Article | October 5, 2022

Industry Trends: CDMO Outsourcing

Source: ISR Reports

A recent study by Industry Standard Research (ISR) examined the selection of contract development and manufacturing organization (CDMO) partners at different stages of drug development. The data revealed a shift in preference from small/niche CDMOs in early-stage development to global CDMOs during Phase III and commercial manufacturing. Early-stage sponsors value the accessibility and high-touch service provided by small/niche CDMOs, benefiting from their expertise and troubleshooting support. However, as projects progress to Phase III and commercialization, respondents prefer global CDMOs due to their ability to meet global recruitment, manufacturing scale, and regulatory requirements.

While switching providers incurs costs and timeline implications, organizations recognize the need for different CDMOs based on drug development stages and specific project requirements. The study highlights the importance of tailoring outsourcing strategies on a case-by-case basis and finding the best-fit CDMO model for each project. Strategic partnerships with a single provider offer advantages, but the dynamic nature of drug development necessitates considering different CDMOs based on their areas of expertise and project needs.

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