Benefits and Advantages of a Laboratory Information Management System (LIMS)

The Advantages of a LIMS

There are many benefits of a Laboratory Information Management System (LIMS), and the value, or return on investment, is quickly achieved. Implementing the right LIMS for your laboratory can eliminate manual processes, optimize sample management, standardize workflows, increase productivity, and improve regulatory compliance. We’ll discuss the various functionalities of LIMS and the specific benefits of using a LIMS. These benefits are especially impactful for labs that are currently using paper, Excel spreadsheets, or a home-grown solution as a LIMS.

LIMS vs Excel Spreadsheets

Labworks has been a leader in LIMS since 1985 and has seen the full evolution of LIMS and other lab tools. We are often surprised by how many large companies – even Fortune 500 companies – still use paper or Excel to manage their labs and process their samples. These companies are leaving significant benefits on the table by not implementing a modern LIMS.

We get excited when a company contacts us that doesn’t have a LIMS and is currently using paper or Excel because we know that it will immediately improve every aspect of their lab operations.

What Are the Foundational Functionalities of a LIMS?

Before we discuss the many benefits of a Laboratory Information Management System, we feel it is beneficial to list many of the common foundational features that make up a leading LIMS solution. There are too many features to provide a comprehensive list, so we will list the most important items that make up the foundation of any leading LIMS. This feature list will help provide greater context when discussing the specific benefits of a LIMS.

What Should You Look for in a LIMS?

Primary LIMS components include:

• Sample management
• Analysis management
• Project management
• Sample and task scheduling
• Sample workflow design and automation. For example:
  • Sample scheduling and creation
  • Sample collection (often via a mobile application for samples collected in the field, plant, etc.)
  • Sample receipt or login
  • Sample/Analysis preparation
  • Test result entry via both manual entry and automated through integration with instruments
    • Calculations
    • Violation management
  • Validation and approval
  • Final Reporting
  • Certificate of Analysis
  • Invoicing
• Label printing and barcoding
• Quality assurance and quality control (QA/QC)
• Inventory management
• Instrument management
• Personnel management
• Document management
• Electronic Lab Notebook (ELN)
• Compliance management
• Audit trail/eSignatures
• Analytics
  • Operational dashboards
  • Canned reporting (simple to very complex)
  • Ad hoc query and export tools
  • Statistical Control Charting
  • Trend analysis

Again, these are just some of the key functional areas that make up a leading LIMS. Seeing these foundational LIMS functionalities listed, you can easily start to determine how many benefits a LIMS can bring to your lab. In the following sections, we will list the benefits that help companies achieve an ROI in 1-3 years, depending on your laboratory’s current state and the size and scope of your LIMS implementation.

Benefit 1: Increased Productivity

Increased productivity of resources is a prominent benefit and is visible in nearly every aspect of the LIMS. This is especially true if you are currently using paper or Excel spreadsheets.

In our 2022-2023 customer survey, over 100 respondents stated that they saw an average of 50%-70% increase in productivity throughout the lab. Increased productivity is achieved through small items, such as implementing barcoding to reduce the time it takes to enter data or to find an item. This reduces the time it takes to prepare for an audit from weeks to hours.

Every feature listed previously has an increased productivity aspect to it. Increased productivity means labs can do more with less. As with most of the benefits discussed here, there are cost savings associated with every benefit which contributes to the return on investment.

Increased productivity is magnified in a pandemic or other natural disaster situations because of the increased communication and collaboration a LIMS facilitates.

Benefit 2: Improved Data Quality and Security

Data Entry With a LIMS

Labs generate and manage large amounts of data. For example, a single sample may require multiple analyses, and each analysis may test for multiple analytes, resulting in hundreds of results or other data points that need to be entered into the system.

With a LIMS, a simple integration with an instrument loads hundreds or thousands of data elements into the system in seconds. Faster and more accurate data entry allows for faster decisions to be made or actions to be taken.

For example, as results are manually entered or automatically loaded into the LIMS, “Violations” can be identified. Automatic notifications or other trigger actions can then communicate and handle the violation as it occurs. Identifying issues can save considerable time and money in manufacturing or other time-sensitive processes.

Automatic Regulatory Compliance With a LIMS

LIMS data security is required to achieve most industry certifications and to achieve regulatory compliance. While traditional data security is very important for any system, the LIMS provides additional security with an “Audit Trail” that tracks all data changes. The LIMS Audit Trail tracks who entered or changed the data, when the data was entered or edited, and why the data was changed. It also retains the data before it was changed so users can see how data values changed over time and why. The LIMS Audit Trail is key to achieving most regulatory compliance and certification requirements, such as 21 CFR Part 11 and ISO 17025, among others.

Benefit 3: Reduced Employee Attrition and Greater Employee Job Satisfaction

This is a two-sided benefit with direct results from increased productivity. When employees are more productive and can reduce repetitive or remedial tasks, they feel more accomplished and find more satisfaction at work.

A LIMS can also help when there is turnover in a lab by reducing the time required to onboard a new employee. New employees learn their job functions more easily and have access to the proper tools to perform their jobs effectively. A LIMS clearly organizes data and incorporates automation tools to facilitate many of the lab tasks. This benefit is amplified when employees work remotely or work different shifts because the LIMS increases collaboration and communication.

We won’t go into all the benefits of higher employee morale because they are mostly obvious. Still, it is safe to say that increased job satisfaction is a clear-cut benefit with far-reaching positive impacts. This is especially true in today’s environment where qualified resources are harder to find and as resources work remotely.

Benefit 4: Reduced Costs

Cost reduction is part of all the LIMS benefits discussed thus far, but because it is a key component to achieving an ROI for the LIMS investment, it is worth discussing more directly.

Increased efficiency and doing more with less has direct cost savings. Greater efficiency can also increase revenue, especially with labs that charge for their services. If a lab can increase its throughput, it will increase revenue. Larger profit margins can be achieved if costs can be simultaneously maintained or even decreased.

One of the frequently underrated functional LIMS items is Inventory Management. Inventory management is rarely discussed as a part of a LIMS, but has one of the biggest impacts in reducing cost. Inventory management, of course, tracks inventory volumes, but it also tracks vendors and the quality of materials and will trigger events when inventory items are about to expire and when they need to be reordered. As tests are performed, inventory is automatically decremented, which gives a real-time view of inventory levels.

This drastically reduces waste and helps to ensure expired items are not used and that inventory is ordered ahead of time to avoid material outages. Inventory management is also a large contributor to employee satisfaction and overall efficiency. The capability to track sample results back to inventory reagents is also key to achieving compliance and certification.

Benefit 5: Increased Revenue

Many don’t associate a LIMS with increased revenue, but for many industries, the LIMS is a key part of the manufacturing process or a key tool in the R&D process – both of which drive revenue. As mentioned, labs generate a lot of data. By using a LIMS, as opposed to paper or spreadsheets, the data can be easily transformed into information which can then be used to make decisions more quickly, increase customer satisfaction through increased quality, identify opportunities for operational improvement, help manage vendors or 3rd party partners’ quality, and much more. Identifying trends, good or bad, can save revenue against errors in the manufacturing process. A LIMS can also identify opportunities based on test results.

Speed to market is critical, and in R&D labs, greater collaboration and communication amongst the R&D team and between the R&D team and the lab are crucial.

Many labs in different industries must meet very strict regulations to function. Having a LIMS in place helps to ensure that regulations are consistently being met and that the lab can easily and efficiently demonstrate compliance when audited. In this case, the LIMS helps protect revenue by maintaining operations.

Advantages of a LIMS by Functionality

Now that we have provided some high-level benefits, we will start where we began and elaborate a bit more by specifying the LIMS benefit to a specific LIMS function. We will use the same list of LIMS functions we listed above for initial context:

Sample Management	A LIMS manages the entire sample lifecycle from sample creation and login to the final report. Benefits include: Greater throughput, timely and accurate results, facilitated compliance, reduced data entry, ensured data quality and integrity, and increased employee and customer satisfaction. LABWORKS LIMS provides a highly flexible and robust solution that manages and automates all aspects of the sample lifecycle.
Analysis Management	In addition to the benefits listed under Sample Management, Analysis Management ensures samples are within specification. When they are not in specification, actions are triggered to resolve any issues. The state of the sample often depends on the collective status of all its analyses. LABWORKS LIMS provides functionality to manage the entire analysis processing workflow.
Project Management	A LIMS helps organize samples and analyses into meaningful groups, allowing for greater analysis and providing better project communication and collaboration. This is key for R&D labs. LABWORKS LIMS includes a robust project management module that easily associates samples with projects and helps analyze results.
Customer or Vendor Management	Customer portals allow customers to submit work orders prior to sending samples to the lab for processing. Customers place an order, print labels, and attach the labels to the samples so that the lab knows the samples are in transit and can easily scan the label/barcode/QR code upon arrival at the lab. The LIMS may allow customers to track their order status and get final results upon completion. Most LIMS facilitate communication and collaboration between the lab and third-party labs, particularly when outsourcing analyses by providing data transfer and entry mechanisms. LABWORKS LIMS provides tools that allow results from third-party labs to automatically load into the system. Results can be reviewed before loading or loaded without review. LABWORKS LIMS also provides a state-of-the-art secure portal for external entities to submit requests and track progress.
Sample and Task Scheduling	A LIMS allows for future samples or tasks to be scheduled. When the sample’s time arrives, it is automatically created and available for further processing. For labs that have samples created regularly, users can look into the future by selecting a day to see what is scheduled for that day. This helps with resource planning and helps prepare for what is coming that hour, day, week, or month. This helps with resource scheduling, reduces data entry, and ensures instruments are maintained and resources are trained. LABWORKS LIMS provides a full calendar and scheduling module that allows for the scheduling of samples, tasks, and programs at any interval.
Sample Workflow Design and Automation	Sample workflow design and automation provide greater throughput through transitioning sample status based on defined criteria. This automation facilitates hand-offs from one function to another and ensures that samples or other items are processed efficiently. LABWORKS LIMS Workflow Architect allows users to completely and easily design workflows that meet their current processes. Workflows can be set at a global, individual sample, or analysis level.
Sample Collection (often via a mobile application)	Using a LIMS for sample collection allows greater collaboration between those collecting samples in the field, at the plant, or on-site at the lab. Integration with map technology helps define the most efficient collection route, thus saving time and resources (like fuel). Better communication between the field and the lab informs the lab about what has been collected, what is in transit, and if there are any issues with the planned samples. Data collected in the field allows for samples to be easily received and helps track the chain of custody. GPS location tracking ensures that samples are collected where expected. LABWORKS LIMS includes a robust Mobile Field Application that works with iOS, Android, or Windows devices.
Sample Receipt or Login	A LIMS provides greater throughput and efficiency by reducing data entry and ensuring data quality and integrity. LABWORKS LIMS provides a sample login module that is template-based. This module helps users know what data is needed and defaults many of the common data elements.
Test Result Entry	A key part of a LIMS is the ability to enter and track results. Most LIMS allow for manual entry and automated entry through integration with instruments. Most leading LIMS, like LABWORKS, allow for simple and complex calculations that trigger automatically upon entry. Once a result is entered, the LIMS will check to see if a specification is present. If there is and the result is outside of the specification, workflows can be triggered to notify someone and/or reorder the test on the same sample, reorder a different test on the same sample, reorder a new sample, etc. LABWORKS LIMS integrates with over 200 instruments and has a violation workflow that allows users to define what happens when a violation occurs.
Validation and Approval	A LIMS provides ways to validate the results and overall data. A LIMS identifies what needs to be validated, for what reason, and by whom. Multiple layers of validation can be established. By enabling the validation process, the LIMS helps to ensure quality and timely results. LABWORKS LIMS allows for any number of validation levels through its Workflow Architect.
Final Reporting	Once validation has occurred, a final report is often generated and sent to a defined recipient list. This can be done with a prior review or sent directly to recipients. Reports can be scheduled and distributed automatically. This improves customer support, allows for consistent final data review, and reduces resource requirements. LABWORKS LIMS provides many out-of-the-box reports, and the reporting tools allow you to create custom reports, including calculations, pictures, graphs, etc. The LABWORKS LIMS scheduling capabilities allow reports to be scheduled and run automatically.
Certificate of Analysis	For some industries, a Certificate of Analysis (COA) is often the final report, and it is critical to show that the results meet a customer’s specifications. This increases customer satisfaction and reduces the manual creation and storage of COAs. LABWORKS LIMS’ Certificate of Analysis module allows for a custom COA for each customer. If a product does not meet the customer’s COA, LABWORKS can search across customers to determine if the produced product meets the specifications of other customers. This helps match products to customers and generate revenue.
Invoicing	Some LIMS provide capabilities to generate invoices based on the services provided by the lab. Invoices can be generated specific to each customer. The LIMS often connects to the customer’s financial system for invoicing. While some LIMS can perform invoicing, it is not the primary function of a LIMS, and therefore, best practices suggest integration with a financial system. LABWORKS LIMS provides invoicing capabilities. It allows for the creation of price catalogs for each customer to reflect their negotiated pricing. LABWORKS LIMS integrates with most leading financial systems.
Quality Assurance and Quality Control (QA/QC)	QA/QC can be as important as samples and analyses, depending on the industry. Setting up and managing the QC batching process can be complex, and trying to do so with paper or Excel workbooks is a nightmare. Performing the QA/QC processes in a LIMS saves extensive time and resources and minimizes mistakes. Just making the QA/QC process more efficient provides a full ROI on the LIMS. LABWORKS LIMS has a very robust QA/QC module that can also integrate with bench sheets for greater flexibility and efficiency.
Label Printing and Barcoding	Label printing and barcoding with a LIMS helps users quickly access information and take action. They also reduce data entry and increase data accuracy. LABWORKS LIMS provides a full label designer that can create any label style.
Inventory Management	Inventory management is a key driver in efficiency and cost reduction. Real-time tracking of inventory levels allows for reordering lead time and tracks overall costs. Tracking vendor quality is also important. Most labs don’t have any tools to track inventory and waste hundreds of thousands of dollars due to inefficiencies in inventory tracking. Inventory management is also a critical component of almost every lab certification or regulatory requirement. It allows labs to ensure their testing is done with non-expired and quality inventory. LABWORKS LIMS has a full inventory management module that is fully integrated with lab operations, providing real-time inventory tracking. Monitoring, ordering, vendor management, receiving, and disposal are all parts of the LABWORKS inventory management module.
Instrument Management	Instrument management is essential to any lab management software. It’s important to be able to schedule maintenance, keep track of past maintenance, and track calibrations. Knowing when instruments are available or not is key to work management. LABWORKS LIMS provides an Instrument Management module that tracks maintenance and calibrations. Like many other components, instrument management is a core part of compliance by making sure instruments are properly maintained and accurate.
Personnel Management	Personnel management tracks resource training and certification. When integrated with samples/analyses and instruments, the LIMS can determine who is qualified/trained/certified to run certain tests and use certain instruments. LABWORKS LIMS provides a full Personnel Management module.
Compliance Management	Compliance management comprises almost all of the items listed above, such as sample management, inventory management, instrument management, and personnel management. It also includes things like audit trails and reporting. LABWORKS LIMS bundles and intertwines the relevant modules to ensure automated compliance.
Analytics	Analytics comes in many forms, such as operational dashboards, canned reporting (from simple to very complex), ad hoc query and export tools, statistical control charting, and trend analysis tools. It helps convert data into information to allow for faster decisions and issue resolution. LABWORKS LIMS provides all of the above-mentioned analytical tools.

Labworks LLC has been a leader in LIMS solutions since 1985. Our robust and flexible solutions are uniquely suited for quick and complete implementation, helping you realize the inherent benefits of a LIMS solution quickly and effectively.

We have expertly executed over 400 successful LIMS implementations globally, and our clients see an accelerated ROI in as little as 12-18 months. If you’re interested in experiencing the advantages of a LIMS for yourself, request a demo! We’d love to chat.