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What is Interoperability in Healthcare?

Chris Wilson
,
Director of Product, Provider
September 18, 2025
OA Editorial Team
,
Publisher
September 18, 2025
Finger pushing interoperability button

Interoperability in healthcare means different systems and software can talk to each other and share data. Effective interoperability can help doctors, labs and hospitals work together more smoothly and improve patient care by ensuring the right information gets to the right place at the right time.

Understanding Interoperability in Healthcare

Interoperability has a big impact on patient care. Patient care can be improved when tools like EHRs, lab systems, imaging software and billing programs work together.

For example, a hospital can send lab results to a primary care doctor, or a pharmacy can get updates from an EHR. Interoperability can help avoid repeat tests and speed up care with fewer mistakes.

When systems are connected, billing is even easier since the right data is ready when it's needed. That’s the power of interoperability in healthcare.

Types of Interoperability in Healthcare

There are different levels of interoperability in healthcare, and each one plays a unique role in how systems share and use data. From simple data transfers to advanced system understanding, every step helps improve communication and care delivery.

Foundational Interoperability: Level 1

At the most basic level, foundational interoperability allows one system to send data to another without much interaction. For example, a lab might send a PDF of test results to a clinic. The system receiving the file doesn’t interpret it — a person has to open and read it.

Structural Interoperability: Level 2

At this level, systems use shared formats and rules to organize data. Standards like HL7 or CDA ensure that the data is structured in a way both systems can understand. That means when information is shared, it can be placed in the right spot, like lab results in the right field in an EHR.

Semantic Interoperability: Level 3

Semantic interoperability means systems share data and understand what that data means. This level uses shared medical vocabularies like SNOMED CT and LOINC to ensure everyone speaks the same language. For example, if one system says “elevated blood pressure,” and another says “hypertension,” semantic tools know they mean the same thing. 

Organizational Interoperability: Level 4

The highest level is organizational interoperability. This level goes beyond technology — it’s about people, policies, and workflows. It means hospitals, clinics, and other healthcare groups agree on sharing and using data. This level helps everyone work together, leading to better care and better results.

The Benefits of Interoperability in Healthcare

Interoperability in healthcare directly impacts a practice’s costs, safety and functionality. When systems work together, everything from billing to patient care improves. Let’s take a closer look at the key benefits.

Cost Reduction

When systems can communicate with each other, providers avoid repeating tests and reduce time spent on paperwork. This leads to lower costs for both patients and providers and helps with cleaner, faster claims.

Interoperability also supports more accurate data sharing, which improves claim accuracy and billing processes which can improve the revenue cycle timeline.

Learn how to streamline and simplify your medical billing with these helpful guides.

Patient Safety

Sharing patient data reduces dangerous mistakes like giving the wrong medication or missing a diagnosis. Doctors can make safer decisions when they have all of the necessary information, including past treatments, allergies and test results.

Operational Efficiency

Interoperability streamlines the flow of information, making life easier for staff. Nurses, doctors and admins can access information without jumping between systems or making extra phone calls.

Workflow optimization can also help with patient flow, like moving someone from the ER to a hospital bed faster, or pulling lab results from the testing facility, because all the necessary data is already available.

Enhanced Patient Care

Interoperability gives providers a complete picture of each patient’s health. Up-to-date records from different sources create more personalized, timely and accurate care.

It also supports shared decision-making, where patients and providers use the same information to choose the best care plan.

Secure Exchange of Data

It is important to share patient data in a safe and HIPAA-compliant way. Interoperable systems use secure tools like Direct Messaging to protect private information during transfers.

When providers use systems designed for safety, like those that prioritize EHR security, patients can feel confident that their data is handled correctly.

What Data is Exchanged via Interoperable Healthcare Systems?

When healthcare systems can share information, it helps everyone involved in care. Doctors, nurses, labs and billing teams can easily access the right type of data they need. Let’s explore the type of data that can be shared.

Clinical Data, Diagnoses & Treatments

This data includes a patient’s medical history, current conditions and treatment plans. When shared across systems, it supports better care, especially for people with long-term or complex health needs.

Good patient data management helps providers stay on the same page, reduce errors and make faster decisions.

Lab and Imaging Results

Interoperability can oftentimes allow lab and imaging results to be shared instantly. Providers don’t have to wait for paperwork or repeat the same test.

Fast access to this data helps doctors act quickly, assisting patients to get the proper care at the right time.

Medication and Pharmacy Data

Sharing medication data across systems helps providers see what a patient is already taking to avoid dangerous mix-ups and improve adherence. It also supports tools like ePrescribe, making sending prescriptions directly to the pharmacy easier.

This connection level helps patients and pharmacies stay on track with safe and accurate medication use.

Billing and Insurance Data

The claims process can work more efficiently when billing systems pull accurate information directly from EHRs. Additionally, having integrated tools to help you with eligibility and benefits verification or insurance discovery can result in fewer denials, faster payments and less manual work for staff.

Strong data sharing also supports better revenue cycle management, helping practices run more efficiently and avoid delays in payment.

Key Technologies and Standards Powering Interoperability

To make interoperability in healthcare work, we rely on tools and standards that keep data moving safely and clearly between systems. These technologies help providers stay connected while keeping patients informed. Let’s review a few.

Health Information Exchanges (HIEs)

HIEs are networks that let hospitals, clinics and other providers share patient data. These platforms work locally and nationally to support care coordination, track health trends and improve public health.

They also play a big role in helping providers spot patterns, manage chronic diseases and respond to health emergencies.

Direct Messaging

Direct Messaging is a secure option for healthcare providers to send and receive clinical information. It can meet HIPAA standards and protect patient data.

Many providers use direct messaging to share referrals, discharge summaries or lab results without relying on paper or fax.

FHIR (Fast Healthcare Interoperability Resources)

FHIR is a newer standard that makes it easier to exchange healthcare data across apps and systems. It’s designed to be flexible and modern, supporting mobile tools and patient-facing apps.

With FHIR, patients can more easily access their records, and developers can build tools that improve how we deliver care.

EHR Interoperability with EHR 24/7 

EHR 24/7® by Office Ally® is built to connect with other systems, allowing practices to share patient information easily. Our tools can reduce errors, save time and support better care decisions. Whether it’s labs, billing platforms or pharmacies, EHR 24/7 makes the exchange easy and secure.

Strengthening Your Interoperability Strategy

Interoperability is more than just a tech feature—it's a key part of delivering safe, efficient and connected care. As healthcare systems become more complex, it’s essential to regularly assess how well your tools work together.

Key Takeaways:

  • Interoperability allows healthcare systems to exchange and understand data.
  • The four types—foundational, structural, semantic and organizational—each support better care differently.
  • It helps reduce costs, improve safety and streamline operations.
  • Shared data includes clinical records, lab results, medications, and insurance details.
  • Technologies like HIEs, FHIR, Direct Messaging and platforms like EHR 24/7 and ePrescribe make these connections possible.
  • Secure and well-connected systems support both patient care and practice success.

If you want to improve the communication between your systems, explore our healthcare solutions, review your current EHR and look for opportunities in workflow optimization, reach out to Office Ally today.

Chris Wilson

Director of Product, Provider

Chris Wilson, Director of Product, leads initiatives to innovate healthcare solutions. With a focus on efficiency and user experience, he spearheads the development of products tailored to streamline processes for medical providers.

OA Editorial Team

Publisher

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