CPHI Trends in Outsourcing

According to the latest CPhI Online 2024 Global CDMO Trends Forecast, the most successful outsourcing partnerships occur between equals, with both parties expected to bring certain capabilities and expertise to the relationship and being accountable for risk management. There also continues to be growing interest in end-to-end service providers, which are seen to offer the advantages of better scalability, timelines, and customer support. Finally, continued geographic and modality diversification are requiring additional considerations when establishing outsourcing relationships.

With respect to risk sharing, it is important not only to consider financial aspects of an outsourcing partnership, but the technical and business risks associated with drug development. Beyond risk-sharing, sharing of learnings (read as intellectual property) must also take place to ensure successful process and formulation development. All of these types of sharing require clear communication, including clear definitions and true understanding by both parties upfront. With this approach, both the CDMO and customer are equal partners and there is greater incentive to collaborate.