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Combining FSP and FSO Outsourcing Strategies

Scale

Dave Agrella, vice president, functional service partnerships (FSP), and Timothy King, executive director, FSP, write about combining outsourcing models to fit client needs.

Strategically selecting the right outsourcing model can bend the cost and time curve of drug development by achieving economies of scale and optimizing resource utilization. Today’s typical drug development model is being challenged to ensure life-changing therapies get to market faster and with lower research and development costs. For its part, PPD is leveraging its experience to help companies identify the right mix of service models to use. This includes supporting an internally run study via functional service partnerships (FSP), a completely outsourced study via full-service outsourcing (FSO) and conducting studies with hybrid approaches that include a mix of FSO and FSP strategies.

Core Features of FSO and FSP outsourcing models:

FSOFSP for insourced trials
Typically:Clients award to CROs on a study or protocol basisCROs provide multiple services for the awarded study, such as site ID and study startup, data management, clinical monitoring, drug safety and moreOften uses the CRO’s systems and standard operating proceduresStudy is overseen by a project manager from the CROContracts are milestone or unit-basedTypically:Clients award to a CRO by functionCROs provide multiple services for the awarded study, such as clinical monitoring, data management, safety case processing and more, across numerous protocolsOften uses the client’s systems and standard operating proceduresEach study is overseen by a project manager from the clientContracts are full-time equivalent based (FTE) or unit-based

For many years, the industry tended to embrace one model versus the other. Over time, we have seen more clients invest in deploying both FSO and FSP models to maximize their ability to deliver life-changing therapies, a hybrid approach that gets the best of both models. Including a hybrid model in outsourcing strategies gives us the flexibility to create optimized, tailored solutions on a client-by-client basis that have the greatest impact on key operational metrics and deliverables.

Examples of Multiple Outsourcing Strategies

Client A: Studies are insourced in the countries where clients have affiliates with a significant dependence on FSP CRAs. Studies run in countries without client affiliates are FSO.

Client B: Metabolic studies are insourced using FSP CRAs, hematology/oncology studies use FSPs for data management and pharmacovigilance, while all other phase 2-3 studies are FSO.

Client C: A biotech client with FSO studies where they want certain key roles (project managers, CRAs, statisticians, medics, etc.) is wrapped into a 100 percent dedicated (ring-fenced) FSP contract that spans all protocols.

Importantly, there is an additional advantage delivered when we support clients with multiple and/or hybrid outsourcing models—it allows us to compare key performance indicators (KPIs) and key quality indicators (KQIs) across trials for the same client. We have found that this visibility is the backbone of successful productivity agendas which allow for significantly improved harmonization among studies.

Example KPIs we are tracking across models include:

FunctionKPIs
Site StartupTurnaround times for site contracts, essential document collection, IRB/ethics approvals
Site MonitoringVisits within window, trip report/follow-up letters in window
Data ManagementDatabase build turnaround times, data backlog, query aging
Pharmacovigilance/Regulatory/ Marketed ProductsSubmission compliance to health authorities, case processing quality, percent acceptance of dossiers by regulatory agency with no validation errors (marketing authorizations and variations), major/critical audit findings

Learn more about how combining FSP and FSO outsourcing strategies can benefit your company’s performance.