Healthcare outsourcing (e.g. clinical research services)has been a common topic of conversation lately, especially with the Patient Protection and Affordable Care Act soon to be fully implemented. Healthcare providers are doing their best to outsource whatever processes possible in order to streamline procedures and cut down on spending.
But another industry in the healthcare sector may also begin making moves to outsource some of its processes, especially as the deadline for ACA compliance draws nearer. Pharmaceutical companies play a large role in this sector and could see a significant change in how they operate if they turn to outsourcing, which could provide these businesses with more opportunity and potential for cost savings.
Growing costs could force many to rely on an outsourcing company
While most people are familiar with the impact the ACA will have on healthcare providers, individuals and businesses, few are aware of how it could change the pharmaceutical industry. Some analysts speculate it could bring increasing costs to businesses in Big Pharma. In fact, experts anticipate the ACA will cost pharmaceutical corporations between $85 billion and $105 billion over the next 10 years.
It is estimated that higher rebates for drug expenses, industry fees and senior discounts will all contribute to losses from pharmaceutical companies, making it more important for these organizations to cut costs wherever possible.
The pressure these costs could exert on pharmaceutical companies may be significant, especially as businesses continually seek to trim expenses in the uncertain economy. This could lead many organizations to look to a BPO company for assistance enhancing processes and slashing expenditures
Outsourcing trend has already started
While pharmaceutical companies have yet to see the full impact of the ACA, they are already taking the time necessary to comply with regulations and outsource processes. The report “Pharmaceutical Compliance Best Practices: Ensuring Quality through Documentation, Training and Auditing,” released by Cutting Edge Information, revealed these businesses have already replaced roughly 41 percent of their compliance teams with outsourced assistance.
Streamlining processes is especially important for smaller firms, as they often lack the resources needed to complete tasks with only internal teams. Outsourcing allows these companies to employ fewer in-house professionals and instead rely on outsourcing as a way to remain in compliance with new regulations while still cutting costs.