Electronic Patient-Reported Outcome (ePRO) Services Category Procurement Intelligence Report

The market for Science and Environmental Research and its sub-segments such as Electronic Patient-Reported Outcome (ePRO) Services are at an interesting intersection. Service providers are increasingly investing in the adoption of automation software and advanced technologies to realize process efficiencies, broaden their service offerings and reduce time to market. This is increasing their OPEX, which will be passed on to buyers in the form of slightly higher procurement costs.

There are only a handful of \"Tier 1\" vendors in the Electronic Patient-Reported Outcome (ePRO) Services market and they have traditionally enjoyed a premium in their pricing. However, Tier 2 suppliers are giving them a tough competition now as they can provide similar services at a lower cost. Many tier 2 suppliers achieve this parity by finding right talent at a relatively lower cost and maintaining lean operations without any frills.

Most suppliers of Electronic Patient-Reported Outcome (ePRO) Services are moving up the value chain and offering integrated services that go beyond just Electronic Patient-Reported Outcome (ePRO) Services. Buyers are increasingly collaborating with vendors who can offer one-stop solutions as they now have fewer suppliers to manage and can achieve greater cost savings that arises out of awarding a larger contract to a supplier.

Trends like these and many others discussed in this report are necessitating a relook at the way Electronic Patient-Reported Outcome (ePRO) Services is procured and the procurement cost saving opportunities that exist.

It has become imperative for category managers to remain as agile as possible in terms of their procurement practices. However, it is not always easy to quickly spot and implement alternative practices in a category like Electronic Patient-Reported Outcome (ePRO) Services. To help quick decision making, this report advises on several procurement best practices that have worked well for category managers.

For example, Buyers must clearly define clauses related to ownership of subcontracting services that are not part of their preferred partners' portfolios to ensure service consistency and control of sensitive data that are shared with subcontracted firms. The roles and responsibilities of subcontractors should be clearly defined by supplier to provide visibility on the quality of main service provider vs sub-contractors.

Buyers should engage with service providers through a rate card model. Within the rate card model, Customers are provided with rate cards that contain pre-determined prices for various activities and resources required for the project. Price is fixed based on per resource hour for different job roles. This pricing model ensures that there is optimal utilization of supplier's resources.

It is crucial to develop measurable milestones that help monitor and benchmark the performance of service providers. In case of variations, buyers should discuss and find appropriate solutions in conjunction with the service provider, followed by the implementation of an effective strategy to avoid variations in the future. The performance of service providers can also be linked to a portion of their fee and can be paid upon rendering of services in a satisfactory manner. For instance, measuring performance based on adherence to budget and accuracy of data or information provided during research.

Electronic Patient-Reported Outcome (ePRO) Services procurement managers also need to proactively identify and mitigate potential risks that can arise in the supply chain or contracts for Electronic Patient-Reported Outcome (ePRO) Services procurement. Some examples include: