Source: KPS Life
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, the Sponsor can maintain strategic oversight and direction.
Benefits of an FSP Partnership
- Reduces administrative burden from Sponsor by assuming responsibility of several aspects related to:
- Performance Management and Staff Oversight
- Administrative tasks
- Reduces number of vendors and simplifies oversight
- Cost savings benefit through resource forecasting, allocation, and redeployment (per KPS Life an average of 30% on study costs)
- Reduces time and effort in Recruiting process for Sponsor
- Vendor typically leverages capabilities with a pool of existing talent or pulls staff into open roles after coming off another assignment
- Enhanced flexibility and scalability – Can efficiently decrease or increase demand
- Eliminates term limits of contractors therefore enabling retention of high performers and project knowledge
- Greater standards across multiple functions and team continuity to identify efficiencies and implement process improvement initiatives
- Collaboration to synergize experiences and achieve shared goals
| FSO Model | FSP Model | |
|---|---|---|
| Approach | – Full-service project/compound specific model – Covers all facets of clinical trial execution – FSO has control of the clinical trial | – Integrated/embedded cross-functional – Pipeline-driven partnerships – KPS Life staff embedded in Client’s existing infrastructure and processes – Client retains strategic control |
| Operating Infrastructure | FSO provides and finances | Leverages Client infrastructure and SOPs |
| Contracts/Cost | – Trials tied to specific protocols with defined term – Milestone-based/hourly – Potential for change orders | – Pipeline-driven, renewable – Customized as either FTE or T&M – No change orders |
| Experience | Often lower-level experience leading to increased turnover | Meeting agreed upon candidate profile; typically, high industry experience resulting in a high retention rate |
| Branding | No brand benefits to Client | Strong brand benefit as FSP team is an extension of the Client Team |
| Resources | Resources often working with multiple Clients | KPS Life resources dedicated 100% to one Client |
KPS Life Differentiators
One of the notable differentiators of the KPS Life FSP model lies in the flexibility and customization we offer to become a unique resourcing solution to the Sponsor. It is a scalable model allowing the Sponsor to adequately resource your respective departments with direct involvement with candidate identification in line with increased or decreased support requirements in real time without the additional burden of HR processes (such as hiring and onboarding, associated with permanent headcount).
Our embedded resourcing model focuses on the economics of delivery while maintaining the standardization and consistency necessary to drive high-quality data output and efficiencies from engaging our broad spectrum of agile FSP solutions. Another demonstrated benefit of the KPS Life model is that it enables the assignment of best-in-class resources by function and delivers a fully dedicated team curated specifically for your stated functional needs. As we shared, KPS Life maintains a +90% retention rate of our team assuring continuity and consistency of delivery on a given project. This not only provides ‘peace of mind’ but affords the Sponsor greater span of control and the acceleration of development timelines at dramatically lower costs.
Governance: KPS Life Concierge Approach
At KPS Life we understand the importance of governing our relationship with the Sponsor for the duration of the program. We employ a high-touch philosophy that embraces the true meaning of delivering customer satisfaction by ensuring our organization, to include the executive sponsors assigned to this project, our COO, George Sawicki and our CCO, Kevin Duffy are engaged and invested in the positive outcome of your projects.
The concierge methodology we have initiated at KPS Life aims to save time, effort, and energy for the Sponsor team. The Sponsor will have total access to our executive sponsors to insure rapid de- escalation of any issues that may arise or the immediate removal of any barriers to success on the protocols. KPS Life is committed to meet your needs and expectations of this project.