Functional Service Provider (FSP) vs. Full-Service Outsourcing (FSO)
Outsourcing trends are shifting rapidly in the drug development sector as it has become apparent that Functional Service Provider (FSP) outsourcing versus a full-service CRO model can deliver demonstrated cost savings in terms of operational efficiency and the overall reduction of program budgets. As biopharmaceutical companies have increased their outsourcing, they have been forced to maintain an internal overhead associated with the oversight of the work performed by a third party FSO. Often, our clients have been able to reduce the amount of overhead devoted to full-service contracting by leveraging the KPS Life model. In an FSP relationship where the emphasis is on managing providers by function, our Sponsor partners maintain strategic oversight and direction.