Laboratory Information Systems is Estimated to Witness High Growth Owing to Increasing Adoption in Clinical Laboratories
Laboratory information systems (LIS) are computer-based solutions that are designed to streamline workflows and facilitate the connection and exchange of information between different departments or work areas in laboratories. They help in managing patient test orders, specimen processing and testing, resultentry and storage, and reporting. LIS helps in automating workflows and streamlining processes in laboratories, which allows staff to focus more on high-value tasks rather than administrative duties.
The global laboratory information systems market is estimated to be valued at US$ 2.4 Bn in 2023 and is expected to exhibit a CAGR of 10% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Opportunity:
The opportunity to improve laboratory workflow efficiency through LIS solutions is projected to drive the market growth over the forecast period. LIS helps in reducing manual paperwork, replacing handwritten data with digital data, and automating redundant tasks, which allows staff to focus more on important tasks. This improves operational efficiency and turnaround time in laboratories. LIS also helps in reducing errors associated with manual data entry and improves data accuracy. Moreover, integrated LIS solutions help link together different departments in the laboratories, streamlining communication and information exchange. The opportunity to gain these benefits through LIS adoption is expected to significantly drive the demand.
Porter’s Analysis
Threat of new entrants: The high switching costs for laboratories to adopt new LIS system and stringent regulations act as a barrier for new entrants in the market.
Bargaining power of buyers: The presence of numerous established players providing LIS solutions increases competition and bargaining power of buyers.
Bargaining power of suppliers: The availability of alternative components from other suppliers puts less pressure on price negotiation.
Threat of new substitutes: Alternate point of care solutions pose a potential threat but LIS being a tailored solution for large labs, threat of substitution remains low.
Competitive rivalry: Intense competition among key players to gain greater market share through product innovations and partnerships.
SWOT Analysis
Strength: Tailor-made solutions to suit specific workflow needs. Integration capabilities with other hospital and lab systems.
Weakness: High upfront costs and maintenance expenses. lengthy installation and implementation periods.
Opportunity: Growing lab automation and adoption of cloud-based LIS. Increasing chronic diseases driving diagnostic test volumes.
Threats: Cyber security threats and data breaches. Regulatory changes affecting functionality and features.
Key Takeaways
The global Laboratory Information Systems market is expected to witness high growth supported by rising volumes of diagnostic tests and automation. The global laboratory information systems market is estimated to be valued at US$ 2.4 Bn in 2023 and is expected to exhibit a CAGR of 10% over the forecast period 2023 to 2030.
The market in North America holds the largest share currently owing to established healthcare infrastructure and presence of major players. However, Asia Pacific is poised to grow at fastest pace during the forecast period backed by expanding healthcare sector and focus on digital transformation of laboratories in major countries like China and India.
Key players operating in the Laboratory Information Systems market are Orchard Software Corporation (US), Clinisys (US), Oracle Corporation (US), Computer Programs and Systems, Inc. (US), and CompuGroup Medical (Germany) among others. Regional players are focusing on partnerships to enhance geographical presence and service offerings. Leading companies are investing in new product launches and acquisitions for sustaining their market position.
