A Contract Research Organization (CRO) is a company that provides contract research services to pharmaceutical, biotechnology, and medical device companies. Unlike a conventional research lab, a Contract Research Organization assumes certain obligations of the sponsoring company while providing their research services on a contract basis. This reduces timelines and costs.
A Contract Research Organization is an independent company hired by a sponsor to conduct clinical trials. These companies have extensive resources and specialized knowledge in clinical trials and can plan, execute, and supervise clinical trials. In 2015, the global market for Contract Research Organization services was valued at $25 billion, and the market is expected to increase further in the future. The services provided by CROs help sponsors gain an edge over the competition and develop new medicines faster and at a lower cost.
A contract research organization provides pharmaceutical companies and other companies with specialized research. It does this by assuming the obligations of the sponsor. However, the sponsor is still responsible for the quality of the work performed. As a result, the time and resources needed for the development of a new pharmaceutical product are reduced and the cost of the research is also reduced.
Clinical outsourcing is a process by which a company hires another company to carry out complex medical research on its behalf. The contracted company's researchers perform all of the medical testing while the company does not have to worry about maintaining office space or infrastructure required to perform the research.
This process also saves the company time and money. Many drug companies have started outsourcing these responsibilities to reduce their costs and alleviate the burden of maintaining full-time staff and medical facilities.