How to Turn an Economic Downturn into an Opportunity for Your Clinical and Pathology Laboratory

Let’s be honest. Running a clinical lab or pathology practice in today’s unstable economy isn’t for the faint of heart.

The word “recession” keeps popping up, and chances are, it’s come up more than once in your recent conversations with colleagues as lab leaders are juggling multiple headwinds: rising inflation, supply chain headaches, and a widening talent gap for trained medical technologists.

These challenges aren’t unique to laboratory medicine. Businesses across sectors are feeling the squeeze, too, and that means medical labs can borrow proven strategies from those who’ve successfully navigated tough times before. By studying how other industries adapt and bounce back, labs can uncover practical insights and best practices to help weather the current storm and position themselves for growth when the tide turns.

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The Importance of Innovation During Times of Turbulence 

Admittedly, economic downturns don’t affect healthcare in the same manner as other industries. Healthcare is an essential service that people need regardless of the current state of the economy. If you’re sick, you go to the doctor for help. Most people also have health insurance that helps cover emergency care. 

Still, consumer sentiment is affected by an economic downturn, even in healthcare. When times are turbulent, consumer confidence wanes, and behavior changes.  

Typically, during an economic downturn, non-essential businesses face a decrease in demand for their products or services and increased competition to retain and grow their customer base. When such conditions exist, keeping costs under control is critically important. The best business leaders understand this and operate accordingly. 

Without exception, these businesses remain competitive and deliver greater value to their customers, not by spending more, but by finding smarter, more efficient ways to optimize their processes and streamline internal operations.

Innovation and automation are the keys, no matter the business. 

Now, let’s explore how innovation can equip your clinical laboratory or pathology group with practical strategies and powerful tools to drive growth and profitability, even in the face of economic uncertainty.

Learn More: Automation in Pathology Labs Using Advanced LIS System Software

Bolster Your LIS Laboratory Information System Software  

When was the last time you thought about the digital infrastructure and laboratory software systems used by your personnel? 

Is your present setup maximizing efficiency and productivity, or is there room for improvement? Would you consider your current laboratory information system software (LIS system) modern and feature-rich, or an unreliable and rigid pathology lab management system that requires expensive support from LIS laboratory information system vendors for even the most minor configurations? 

Learn More: What You Need to Know Before Contracting with a Laboratory Information System (LIS) Company

Modern rule-based pathology LIS systems can help clinical labs and pathology groups by adding efficiency and productivity (without added costs).

Here are the areas where gains in accuracy and turnaround time are typically most evident with the best laboratory information system software:

• Interfacing - A lab information system interface automates seamless data transfer between electronic health record (EHR) systems, laboratory billing solutions, digital pathology solutions, and laboratory instruments. 

• Test Order Management - A modern LIS system is also capable of automating order scheduling, significantly reducing the need for manual transcription.

• Data Management - A comprehensive and full-featured LIS system can ensure end-to-end lab data integrity by being the one source of truth for patient and specimen information, test results, and quality control data.

• Sample Management - A modern LIS system can automate sample tracking, labeling, and routing, making this process virtually error-free. 

• Results Reporting - The best laboratory information system software automatically generates configurable report templates and alerts for abnormal test results.

• Inventory Management - The best LIS can also assist with inventory management, including reagent tracking and reordering of other lab supplies. 

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Simplifying LIS Systems and Laboratory Workflow Management

By investing in new laboratory information systems and adopting new procedures during quiet times, medical labs can continue to work toward their business goals at a more measured pace while preparing for what’s to come when the economy heats up again. 

During this time, these labs can take advantage of the slower pace and incorporate changes to laboratory workflow management, making processes simpler and much less reliant on human resources. 

Here are a few examples of how a clinical lab or pathology group can leverage modern laboratory information systems and introduce new procedures to simplify workflow processes:

• Automation - Adding automation and robotics to the lab workflow translates into larger testing capacity for the lab and fewer errors as the lab takes on a major increase in testing volume.

• Standard Operating Procedures - These are guidelines that consistently define the proper procedures for specimen collection, processing, and reporting. 

• Quality Control - By routinely monitoring and evaluating the accuracy and precision of testing procedures, the laboratory can identify areas for improvement and take corrective action when necessary. 

• Regular Staff Training - Achieving meaningful process improvements starts with staff buy-in. Ongoing training and clear communication help define roles and responsibilities, empowering even the most junior laboratorians to take full ownership of their work.  

Learn More: Top 10 Medical Laboratory Mistakes and How to Prevent Them from Happening in Your Lab

Adopt a More Customer-Centric Approach

The better you understand what your customers truly want, the quicker you can adapt your product and services to meet their needs. 

Does your lab organization truly understand what providers and patients want and how to deliver that to them? If it’s been a while, now is the perfect time to explore this question in-depth.

• Accurate and Reliable Results - Your customers expect this, but do you have the proper LIS software and procedures in place to reward trust?

• Clear, Concise, and Configurable Reports - Do your lab reports support customer preferences (desired look and feel) and how and when they are delivered? Are the reports easy to understand and interpret? Do they not only explain test results but also associated risks and implications? If any of these areas are questionable, it would be worth your time to learn what modern laboratory information system companies have to offer. 

• Fast Turnaround Times - The expectation is for speed and accuracy, as any delays could negatively affect the patient’s diagnosis and treatment. Does your current lab information system provide easy access to dashboards and widgets with business insights (for example, start times and end times for tests)? Can the LIS system provide real-time stats that reflect lab operations? Can the LIS software identify workflow deficiencies? 

• Top-Notch Customer Service - What is your lab’s solution for customer relationship management (CRM)? How responsive is your laboratory staff when customers look to them for help? Do you have the best laboratory information system software to provide prompt and helpful service, or is this service mainly manual? Modern LIS systems often include a CRM module that automates and streamlines customer interactions. 

Learn More: LigoLab’s Advanced Tier: The Ideal Fit for Expansive High-Volume Laboratories Seeking Top-Level Efficiency, Automation, and Insight

Be the First to Identify and Respond to New Business Opportunities 

When the economy rebounds, will your clinical lab or pathology group be ready to seize the moment and outpace the competition?

Now’s the time to lay the groundwork. Here are a few key considerations to ensure your lab is primed for success when the tide turns in your favor.

• Conduct Market Research - A good way to identify potential new business opportunities is by conducting market research. Take the time to analyze trends and identify gaps.

• Assess Current Capabilities - After analyzing your customers, turn your attention inward to assess capabilities and evaluate existing systems, tools, and resources.

• Develop a Comprehensive Business Plan - Now that you’ve gathered information about your ideal customer and have a complete understanding of what the lab is capable of, you’re ready to move forward and create a business plan that lists the opportunities and projects the costs associated with going after these opportunities (resources, timelines, budgets, etc.). 

• Invest in Technology - Next, examine the state of technology within the laboratory and invest in tech solutions that will support the business plan and make it achievable. Is an upgrade to the LIS system or IT infrastructure needed? Or does the lab need to invest in a new laboratory instrument to achieve its ultimate goal? 

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To summarize, treat this economic downturn as an opportunity to perfect processes and embrace innovation. With this mindset, you’ll make your clinical laboratory or pathology group even more competitive and primed for long-term success. 

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