Outsourcing globalization

The latest outsourcing development is for giant services companies to bundle their services together to provide a one-stop shop. A services contractor may provide some form of permanently installed utilities plant under a build, own, operate, maintain program (BOOM), so that the customer merely pays a contract fee to receive water, steam, electricity, and other services. Thus, the entire responsibility for the provision of utilities can be passed to a contractor, and not merely at one facility, but globally ... 

Traditionally, the mix of pretreatment equipment required to meet a specific FW volume and quality specification is provided as a permanent installation under a capital project, although today there is a growing global market in outsourced water services. Typically, vendors such as Ecolochem, Inc., a world leader in this type of service, provide trailer-mounted, mobile water-processing equipment that can be... 

In 1975, the first commercial entity was formed to provide multicenter, outpatient clinical trial contracting services in the United States. This was the beginning of the modern Contract Research Organization (CRO) industry. It is now composed of thousands of domesfic and infernafional firms involved in medical producf evaluations in humans. The total annual expense globally for clinical trials and related functions necessary for commercial, governmenf, and academic therapeutic product development is estimated at US 50 billion, of which about US 15 billion is outsourced to the contract services market. 

Cameron AM. The European Chnical Trials Directive, Global Outsourcing Review 4 50-52 (2002). 

A limited competition and substantial unmet needs would describe a favorable working environment for business development. For custom manufacturing, neither is the case nowadays. The number of fine-chemical companies and the global GMP fine-chemical production capacity have increased more rapidly than demand since 2000. Also, the reluctance of pharma to outsource has increased (see Chapter 10). 

Pine Chemicals, Sifting for Gold (2001) (e.g.) Global healthcare equity research. Pharmaceutical Outsourcing Trends (e.g.)... 

If there was ever a time for this book it is now. With the United States facing continued pressure to follow the global outsourcing trend, the country must adapt to maintain its edge as a global innovator. But how ... 

In the last decades, the chemical industry and its customers have had to cope with a massive expansion of their reach and scale as globalization took effect, coupled with a need to comply with ever more stringent and varied QSHE regulations. To improve operational efficiency in this vast and complex environment, these companies have turned more and more to outsourcing so that they can concentrate on their core competences. The changing market environment offers major opportunities to the distribution companies ... 

Three interrelated trends of globalization among chemical producers and customers, increasing QHSE (quality, health, safety, and environment) standards, and outsourcing by the producers and customers are currently shaping the chemical distribution industry, offering distributors considerable opportunities for competitive differentiation. 

Globalization has been a key trend in the chemical industry for many years, with regard not only to business with suppliers and customers on all continents, but also to operations. The shift of production to the Far East and business process outsourcing to India or Eastern Europe are only the latest examples of this trend. 

After recent consolidation and globalization efforts, many chemical companies are now geared towards creating better value for customers. The main way of achieving this is to offer customer-specific products and services. Bundling commoditized products with customer-specific value-added services allows customers to outsource manufacturing tasks and services. 

What are the implications of a global outsourcing agreement involving multiple client company businesses, e.g., manufacturing vs. research and development and different regional approaches ... 

Risk identification The first step is to recognize uncertainties and risks faced by the SC. With globalization and increased outsourcing practices, the number of parties involved in the SC and the links connecting them have increased significantly. Hence, some risks may not be obvious and it is important to have a structured method for risk identification, as presented in Section 2.1. 

Another input came from the fact that supply chains are now being looked at more closely, fohowing news stories about exploitation of child labour in developing countries, for instance. The practice of global outsourcing means that companies can... 

The globalization of pharmaceutical companies means that, within the same company, the same assay may be carried out at different sites, within the same country or in a different continent. Under these circumstances, it needs to be assured that the assay transferred to each of these sites continues to perform as originally developed and validated. In addition to within-company transfers, there is an increasing tendency to outsource methods to contract research organizations (CROs). The method is usually developed within the innovator company and subsequently transferred to the CRO. The reasons for using CROs vary with the philosophy of the company. 

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