Vertical integration is when learning and outcomes from one course directly feed into the next course, so that the subsequent course builds on these outcomes. This also implies that the preceding course is aware of what is in the subsequent course and does what it can to support it, to make the students ready for future learning.
Vertical integration can take many forms and is more often a form of vertical awareness and not real integration. Awareness is important and is needed to know what should be taught and what has been taught. Unless a course is a random elective, the course should support subsequent courses and leverage what has been taught before and how it has been taught before.
If something has just been taught in the term before, the instructor using it in the second course should not necessarily take primary lecture time or content to re-teach the same topic. That could be left for tutorials and labs for example, or remedial assignment work. The awareness should also include the assessments and how the students performed. Intel on the student behaviour and attitude is also helpful when teaching a class. This only works if the instructors talk regularly and discuss the courses that they teach within a program.
There are additional benefits when doing vertical integration. The students get continuity on how the subjects relate to each other and that the courses are not isolated entities. The students can tell if courses are done with knowledge of each other or not. From a relationship building perspective, seeing the instructors working together in a consolidated, coherent fashion to help the students learn the primary outcomes is a good thing.
It is good to know that you are being taught by a team and that the team has its act together. It can provide motivation and incentive to pay attention and to engage. Knowing what you’re being taught now has later value is important, and just been told it is valuable is not enough; you have to see the value.
It is hard to think of a curriculum that does not have the potential for leveraging the power of vertical (or horizontal) integration. Certain fields have focused on this. For example, the field of medicine has consciously addressed this over time. There are many interesting inspiring chapters and ideas that can be found in medical education and applied elsewhere. A starting point would be Understanding Medical Education (see ref. below). Chapter 5 is devoted to curriculum design, but there are good reflections in other chapters as well.