The Aims and objectives of the study are toprovide a standard for good laboratory practice, to increase the clinical effectiveness, patient safety and operational efficiency and designing better and more evidence-based systems for the timely notification of laboratory results which represent potentially hazardous to the patient.This concept was introduced 46 years ago by Lundberg. It is a result, indicating that patient is in imminent danger unless therapy is initiated immediately. A prospective cross-sectional study was done at ASRAMS, a 1000 bedded hospital at Eluru, from July 2017 to June 2018 for a period of 12 months. The laboratory performed 2,22,574 tests in haematology and 2,92,055 tests in clinical pathology. The preparation and approval of critical alert value list was done in consultation with our hospital board and clinician’s panel. During a one year period of study, a total of 7148 critical values were reported. 45.32% of critical alert values belong to inpatient, 48.9% to outpatient and 5.8% to emergency department.We finally Conclude that it is crucial for patient safety, Effective use of the available resources, Creates professional responsibility and Regular quality assurance, meeting with technical staff and strict vigilance are key reasons for low figures in our setting.