How Much Does It Cost to Implement a LIMS?
In a prior blog post, we discussed several things you should think about when selecting a Laboratory Information Management System (LIMS) for your lab. In this post, we will discuss one of the key criteria that will go into your decision – the cost of implementing a LIMS.
After implementing laboratory information management systems for a large number of organizations throughout the U.S. and Europe, we have found that implementations typically fall into one of three categories based upon a lab’s goals: (1) data organization (2) process automation, or (3) digital transformation. Let’s delve into each of these in more detail.
Data Organization
The first type of LIMS implementation, what we call “Data Organization”, is the quickest & easiest type of implementation. The primary goal of these types of projects is to organize a lab’s sample inventory. Typically a customer has been using Microsoft Excel to track samples, and they now need a more robust and reliable system for tracking sample data, storage, and sample audit history. From a technology standpoint, these data organization projects are the most straightforward, and therefore least costly because there is no process re-engineering, automation or complex configuration required. Once a lab’s historical data is imported into the LIMS, the end users manually create new sample records directly in the LIMS, rather than Excel, going forward. The samples can also be assigned a position in a box, and associated to a parent level ‘Study’ or ‘Project’. For labs that need basic sample tracking, this is an ideal option because it provides end-to-end sample traceability with comprehensive role based permissions and state of the art data security. These types of implementations, which typically take 60-80 hours over 3-4 weeks (depending on the customer’s availability) run between $15,000 and $20,000.
Process Automation
The second category of LIMS implementations is “Process Automation”. This type of project includes everything that might be done in the first “data organization” category, with additional configuration to automate manual steps in the workflow. For example, upon scanning a sample barcode during initial QC, perhaps you want the “QC Status” field to automatically update. Or, you want to automatically record start and end times of protocols or SOPs that your lab techs execute. If you are using a LIMS to manage reagent inventory (“Lab Supplies“) then perhaps you want to automatically decrement the stocking levels as reagents are consumed.
Finally, many labs require some type of PDF Certificate of Analysis or final lab result report to be generated and distributed to a customer. You can automate this so that as soon as the sample status changes from “In Process” to “Completed”, the PDF is automatically generated and sent to a clinical lab supervisor for review. The cost for these types of projects is harder to quantify since the effort is highly dependent on the number of processes incorporated into the LIMS, but you should budget between $30,000 and $50,000.
Digital Transformation
The third category is what we call “Digital Transformation”. This is the most complex type of implementation, and typically includes not just the laboratory, but several other departments in the organization, including sales (for commercial test labs) and customer support. Our first step in a digital transformation engagement is to document the organization’s entire end-to-end process, from the time a customer places an order or sends in a submission, to the time the final result is generated. Each aspect of this process, what we call “Requisition to Report”, is mapped in a process flow diagram. Any hand-offs between departments are scrutinized, and the entire process is re-engineered to reduce redundancies, bottlenecks, and non value-added activities. This entire workflow, from the commercial front end, to the laboratory back-end, and sometimes even invoicing or 3rd party collaboration via a portal, is configured in the LIMS. Digital transformation initiatives are the most variable in time and price. We advise customers to budget at least $60,000 and plan for at least 3 months.
In summary, the cost to implement a LIMS system can vary widely depending on what your goals are. If your lab is just starting its journey to digitization, then perhaps you should start with “Data Organization” for now, and then expand the scope of your project over time. However, if your organization is looking to realize significant ROI through cost reductions, then it may be time for a complete digital transformation.
The Third Wave Analytics professional services team has in-depth experience with all three project types. If you are interested in implementing a laboratory information management system for your organization, please contact us to learn more and someone from our sales team will be in touch. If you are a current Lockbox LIMS subscriber and think your lab could benefit from additional automation or process improvement, please reach out to your assigned Account Manager.