In this month’s edition of International Clinical Trials (ICT), CROS NT’s Global Head of Business Development & Marketing, Chris Hamilton, talks about strategic outsourcing models between Sponsors and CROs. Chris addresses the risks of the strategic partnership approach and how to build an effective relationship and sustainable outsourcing model with CROs.
Strategic collaborations between sponsors and large CROs are now the norm, but trial partners risk being locked in with no room to manoeuvre – which can spell danger in this ever-changing market. Looking to a more flexible, long-term model must become more of an industry priority.
The clinical outsourcing world has always moved in cycles. Drug development companies – particularly the bigger players – shift from building large internal teams to blending insourced staff with permanent teams, onto outsourcing projects of programmes, passing through functional outsourcing and arriving at strategic partnerships – before starting the whole process again.
CROs and their customers need to be aware of the risks from the strategic partnership approach. On the CRO side, we have already seen evidence of shareholder dissatisfaction where predicted revenues from a partner do not meet market expectation. CROs cannot rely on only one or two partnerships because this makes them vulnerable; the problem is that, once parties agree multiple partnerships individual sponsors need to ask: is my relationship still ‘strategic’?
To read the full article from International Clinical Trials, click here.