Build vs buy LIS is a critical decision many modern laboratories face as they seek to streamline operations and embrace digital transformation. As labs adopt more sophisticated tools to manage complexity, choosing the right Laboratory Information System (LIS) becomes one of the most consequential decisions a team will make. For many, the question isn’t whether they need an LIS—it’s whether to build one from scratch or implement a commercial system tailored to lab workflows.
This article outlines both options neutrally and transparently. Our aim is to help you consider the strategic, technical, and operational implications of each path, so you can make the decision that best fits your team, your lab, and your goals.
Why Buying a Commercial LIS Works for Most Labs
For most laboratories, buying a commercial LIS is the more straightforward path—and often the faster one. These systems are typically built by teams with deep knowledge of clinical workflows, regulatory frameworks, and the practical realities of lab management. That collective experience shows up in everything from user interface design to built-in compliance features.
Implementation timelines for commercial LIS platforms tend to be measured in weeks or months, not years. Most systems come with a broad set of out-of-the-box capabilities that align with CLIA, CAP, HIPAA, and FDA 21 CFR Part 11 requirements. Many also offer pre-built integrations with lab instruments, EHRs, billing software, and other third-party tools, which helps streamline operations and reduce the burden on internal IT teams.
Another important factor is support. With a commercial LIS, you’re not just buying software—you’re also gaining access to a vendor’s training, product updates, troubleshooting resources, and support team. This level of ongoing partnership can make a significant difference during audits, system updates, or staff onboarding.
For labs that plan to grow, scalability is often easier with commercial software. Vendors typically offer tiered pricing models and modular features that enable the addition of new users, expansion to multiple locations, or rollout of new services without requiring re-architecting of the system.
That said, no commercial LIS is perfect. Some labs find that adapting their workflows to fit an off-the-shelf system feels limiting. Others encounter features they don’t use but still pay for. And while many LIS vendors offer configuration options, they may not meet every lab’s edge cases, particularly in highly specialized environments.
Still, for labs that value faster go-live timelines, lower up-front investment, and access to industry best practices, a commercial LIS presents a clear, practical solution.
The Case for Building a Homegrown LIS
Building your own LIS is a fundamentally different kind of investment. It’s not just about configuring features—it’s about designing the entire system around your specific lab workflows, users, and goals. For some
organizations, especially those in subspecialties with unusual reporting requirements or data needs, this is the only way to get the control and precision they want.
A homegrown LIS offers complete customization. Every interface, automation, validation rule, and workflow is tailored to the way your lab already operates. This level of fit can reduce errors, streamline processes, and enable automation that simply isn’t possible with commercial tools.
Many labs also appreciate the autonomy that comes with building. You decide what gets prioritized. You control the pace of updates and enhancements. You’re not dependent on a vendor’s roadmap or waiting in a support queue to resolve a feature gap. For some, that independence is a competitive advantage, particularly if their services are novel or not well-supported by existing LIS solutions.
There are also long-term cost considerations. While developing a system internally often involves higher up-front expenses, it can sometimes reduce overall costs by eliminating recurring license fees, customization charges, and third-party dependencies. You own the system, the data, and the direction.
However, building a LIS isn’t for everyone. It requires strong internal leadership, technical expertise, and a willingness to take on the responsibilities of long-term maintenance, compliance, and scalability. Projects like these can extend well beyond their original timeline or budget if not scoped and managed carefully. And without careful planning, a homegrown system can become difficult to evolve or support over time.
Choosing What Fits Your Strategy – Five Key Factors
When deciding whether to build or buy a Laboratory Information System (LIS), there are five key factors to consider.
First is the speed to implementation.
If time is a critical factor, buying a commercial LIS is almost always the faster route. Most vendors offer structured onboarding, data migration, and training programs designed to get labs live in weeks or months—not years. These platforms come pre-validated for regulatory compliance, with out-of-the-box interfaces to instruments, EHRs, and billing systems. For labs under pressure to modernize quickly or meet contract deadlines, the speed and predictability of commercial deployment are major advantages.
In contrast, building an LIS from scratch requires extensive planning and development before it can even be tested. Scoping requirements, designing architecture, and validating workflows all take time. And without strict project management, timelines can stretch significantly, sometimes for years.
Second is workflow fit and customization.
Every lab is different. Commercial LIS platforms typically offer a range of configuration options—things like customizable fields, rule engines, and workflow templates. For most labs, this level of flexibility is enough. But in highly specialized environments or complex lab networks, these systems may still require operational changes to fit the software.
A homegrown LIS, by contrast, is built around your lab’s exact needs from the ground up. This can reduce friction, eliminate unnecessary steps, and unlock deep automation aligned to your processes. The trade-off? You’re responsible for defining and building every piece, so the benefit of a perfect fit comes with a higher resource burden.
Third, consider cost and resource commitment.
Commercial LIS platforms usually involve lower upfront costs but come with recurring fees—including licensing, support, and ongoing vendor services. For many labs, this predictability makes budgeting easier. You also avoid the cost of hiring engineers, managing infrastructure, or staying up to date with compliance changes.
Building a LIS requires a significant investment up front. You’ll need skilled developers, project managers, and QA resources—not just to launch, but to support the system long-term. However, owning the platform outright can reduce costs over time by avoiding licensing fees and giving you more control over system evolution. Labs with in-house IT teams already supporting custom tools may find this model more scalable over the long term.
Fourth is support, compliance, and scalability.
Commercial LIS platforms are built with compliance in mind. They typically include support for regulatory requirements such as CLIA, CAP, HIPAA, and FDA 21 CFR Part 11—and many also pursue SOC 2 certification to demonstrate strong data protection and internal controls. These systems are regularly updated to align with changing regulations and provide built-in tools to streamline audit readiness.
Security is another critical dimension. Reputable vendors invest heavily in cybersecurity, including access controls, encryption, audit logging, and penetration testing. This infrastructure helps protect sensitive patient data and laboratory operations from malicious actors—something that’s increasingly important as cyber threats against healthcare organizations become more sophisticated and frequent. With a commercial system, security updates and patches are handled by a dedicated team, reducing the risk of vulnerabilities going unnoticed or unaddressed.
Finally, think about strategic control and long-term flexibility.
When you buy a commercial LIS, you’re aligning with a vendor’s roadmap. That means access to ongoing innovation, yes—but also limitations in how and when changes get made. If a specific feature isn’t on the roadmap, you may be waiting months or years, or paying extra to fast-track it.
A custom-built LIS gives you full autonomy. You set the roadmap. You decide which features to prioritize. And you can evolve the system at the pace your lab requires. This can be a major strategic advantage if your services are cutting-edge or if you need rapid adaptation to stay competitive. But it also means you’re responsible for every future update, fix, and enhancement. That level of control comes with long-term accountability.
Each path involves trade-offs. The best choice depends on your lab’s strategy, resources, and long-term goals.
There’s no one right answer to the build vs buy LIS question. What matters most is clarity around your lab’s strategy. If you need speed, stability, and support, commercial LIS platforms offer a proven foundation. If your workflows are unique and you have the internal bandwidth to maintain and evolve your own system, a homegrown LIS may unlock long-term efficiency and alignment that other tools can’t.
Both paths require serious planning. Both involve trade-offs. But the better you understand the dynamics—technical, operational, and financial, the more confident you can be in making the right decision for your organization.
