What is the return on investment for laboratory medicine? The antidote to silo budgeting in diagnostics

ABSTRACT

Procuring and managing diagnostic services, such as laboratory medicine, is generally based on cost and activity. Improving productivity of laboratory services therefore tends to focus on reducing the cost per test. However, this approach fails to recognise the impact of the test result on the other stakeholders involved in delivering care to the patient across the care pathway. Any assessment of the return on investment from a diagnostic service therefore needs to be undertaken together with a value proposition established for the service. This will enable the clinical, process and economic impact for all stakeholders to be assessed, which can then be used to develop an implementation plan that ensures the expectations of all stakeholders can be addressed.