As more biotech and pharmaceutical companies rely on insourced partnerships to support clinical trials, it’s becoming clear just how much efficiency the right model can deliver. It’s long been common practice for sponsor companies to partner with global providers. These providers promise end-to-end support across every region and function, making it seem like a convenient choice. But as clinical trials grow more complex and geographically diverse, many sponsors are realizing this model doesn’t always deliver the flexibility or performance they need. That’s why more teams are shifting toward a multi-vendor insourced strategy, built around Functional Service Provisions (FSP) models, to choose preferred local expertise. Here are the benefits a multi-vendor FSP strategy can offer for your clinical trials and how it can provide the optimal agility needed to stay ahead of a fluid global market.

1. Localized Expertise & Regulatory Insight

One of the key advantages of a multi-vendor FSP strategy is the ability to tap into more targeted regulatory insight across different regions. Local partners tend to have a closer working knowledge of region-specific laws, submission processes, and ethics committee expectations within their own markets. While global providers may offer broad oversight and centralized coordination, regional teams can bring added value because they are embedded in local operations.

Data privacy laws further highlight the importance of local expertise. These regulations vary from country to country and often come with subtle requirements that may not be obvious to global partners. A multi-vendor strategy allows sponsors to work with different teams who stay current on local rules and know how to stay compliant. A few examples include:

European Markets

• Italy: Garante - Data Protection Authority – Outlines protections that controllers must put in place when processing health data for medical research purposes, in cases where data subjects’ consent cannot be obtained for ethical or organizational reasons.

   

• Spain: Organic Law 3/18 - Adds local requirements for transparency, profiling, and consent mechanisms—particularly relevant in trials involving digital tools or remote monitoring.
  
  

Asian Markets

• China: Human Genetic Resources (HGR) Regulations - Imposes strict controls on the collection, use, and export of genetic data, requiring local storage and government approval for international collaboration.
  
  
• Japan: Clinical Research Act (CRA) - Requires clinical trials to be registered and approved by local ethics boards, with strict rules around researcher transparency and participant safety.
  
  

North & South American Markets

• United States (State-level): Under the California Consumer Privacy Act (CCPA), clinical trial data is generally exempt; however, the 2023 California Privacy Rights Act (CPRA) update requires researchers to obtain explicit consent before selling or sharing such data. Meanwhile, the Massachusetts Data Privacy Law (201 CMR 17.00) sets strict requirements for data protection, including secure storage, encryption, and employee training, to prevent breaches and safeguard participant privacy.
  
  
• Argentina: Personal Data Protection Law (Law No. 25.326) - Health data is considered sensitive under this law, requiring informed consent for its collection and use. It also enforces strict confidentiality and mandates anonymization when used for research.
  

As clinical trials continue to expand across borders, sponsors are navigating a growing web of regulatory oversight. Working with multiple partners means gaining access to experts who are already embedded in their local environments and well-versed in the rules that apply there. By partnering with regional teams, sponsors can move trials forward efficiently—whether operating in North America, Europe, or Asia.

2. Strengthened Relationships

Regional FSPs often have deep connections with local sites, investigators, and patient communities. These ties come from shared language, frequent face-to-face interaction, and long-standing familiarity with the area. Just as important, local partners understand cultural norms. They know how to communicate in ways that build trust and encourage participation. Sponsors benefit from that trust. A multi-vendor model makes it possible to work with teams who are already embedded in the communities where trials take place.

Multi-vendor setups also allow sponsors to choose partners based on functional alignment. Some FSPs focus on specific areas such as clinical monitoring, data management, trial management, or regulatory affairs. Others bring deep experience within particular therapeutic areas. Recruitment capabilities can also vary. One partner may offer access to a broader candidate network, while another provides stronger team continuity and retention.

3. Risk Mitigation & Greater Accountability

Relying on a single provider can create unnecessary risk. If that provider experiences a cybersecurity breach or operational failure, the entire trial may stall. Patient data can be compromised. Regulatory deadlines can be missed. Recovery takes time, and the financial and reputational damage can be significant. A multi-vendor strategy helps limit the impact of these events by distributing responsibilities across several partners.

Segmenting work also makes oversight easier. When vendors are focused on specific functions, it’s simpler to audit performance and hold each team accountable. Issues are easier to identify and correct. Sponsors stay in control and maintain quality across every stage of the trial.

4. Cost Optimization

Regional FSPs often offer more competitive pricing because their rates reflect local market conditions. They avoid the global overhead that comes with centralized operations. Sponsors also benefit from reduced exposure to tariffs, currency fluctuations, and logistics disruptions that will inevitability arise amidst current global trade instability.

Invoicing through regional partners adds further value. Payments are processed in local currencies, simplifying financial workflows and avoiding delays caused by exchange rate changes. Unlike global budget centers that often route payments through centralized systems, regional FSPs typically offer faster and more transparent billing cycles. Sponsors gain clearer visibility into where and how funds are allocated. Budgeting therefore becomes more accurate, and tax compliance is easier to manage when invoicing stays within domestic frameworks.

The Advantage of Choice

A multi-vendor FSP strategy gives sponsors greater flexibility, stronger oversight, and the freedom to choose the right expertise for each part of the trial. It supports closer site relationships, improves local compliance, and reduces risk. Financial workflows become easier to manage with clearer budgets and faster invoicing.

As trials grow more complex and geographically distributed, an adaptable model becomes important. If you're exploring a new approach to FSP partnerships, take a closer look at our services. Our embedded solutions are designed to complement other vendors and help your trials run with greater precision and efficiency.