The company running community medical testing in Auckland needs more staff and is working to a tight budget while addressing problems with the service, expert reports say.
The region's district health boards brought in experts to monitor and help the company, Labtests, improve safety and quality.
An independent assessment by the Waikato pathologist Dr Ian Beer says the analytical equipment at Labtests' plant in Mt Wellington would be the envy of many other labs.
But he says the company does not yet have enough staff with the right level of experience.
The DHBs' other experts say staff numbers are rising and the firm is making improvements, including meeting the targets set for it.