News | July 12, 1999

Analytical Service Brokers Open Virtual Lab Network

Analytical Service Brokers Open Virtual Lab Network

Research relies increasingly on sophisticated, expensive analytical tools that characterize materials and provide data on scientific projects. To help small labs gain first-class analytical services and large labs generate fast returns on their instrument investments, Web-based service brokers have opened new, global virtual laboratories.

Virtual Lab Overview
Member Lab Duties, Benefits
Customer Duties, Benefits


Virtual Lab Overview (Back to Top)
Service brokers like Pace Global Laboratory Resources (Lenexa, KS) build global virtual laboratories by creating large networks of public and private labs that qualify as "members." To join, labs must have analytical instrumentation or human resource skills that are not fully utilized. Members must also agree to accept short-term analytical business contracts that are presented by the broker. In return, members receive an extra income stream that enhances their budget performance and helps to justify their purchases of expensive analytical instruments. Members can remain anonymous if they choose.

After building a network of lab members, service brokers recruit customers who either do not have advanced instrumentation or have excessive internal analytical demands. Through a Web interface, customers fill out forms that specify their analytical needs. The broker matches these to a member lab that can solve the customer's analytical problems. Customers can also remain anonymous.

Because the service transactions are Web-based, the business deals can be finalized quickly, small contracts can be bartered, and solutions can be found for a fair price. Both sides can benefit from this unique research channel to develop solutions for their business needs. Ideal virtual service labs include both a way to share knowledge and a way to form collaborations that yield rapid, quality solutions for a reasonable cost.

Member Lab Duties, Benefits (Back to Top)
Member laboratories become part of a virtual laboratory by signing a contract with a broker. This document officially defines the relationship between the broker and the member and outlines all of the duties that are expected.

The broker then inventories the resources that the member lab wants to make available. Inventories can include instrumentation, standard published methods, certifications, and staff scientist expertise. The broker posts the inventories in a secure database. Inventories are used to "match" customer requests to member laboratory capabilities.

Once a match is made, the broker asks a representative at the matched member lab if the lab wants to accept the project. If the member decides to proceed, sample materials may be mailed between the customer and the member lab. The broker may act as a middleman in all of the exchanges to maintain the member or client's confidentiality. If the project is accepted, the broker delivers the analytical work to the member lab. When the analyses are complete and a report is generated, the member lab is paid by the service broker.

This e-commerce based analytical service concept, pioneered by Pace Global Laboratory Resources, yields several major benefits. It maximizes the use of the member lab's analytical resources to gain cost-offset revenue and provides members with additional access to capabilities that are not available in house. The broker plan also eliminates many of the business chores related to the outsourcing process. Member labs don't spend time and resources marketing and looking for customers who want to use their resources. They also aren't responsible for administrative details like customer billing and credit checks. The service broker provides all of these duties and maintains confidentiality.

Customer Duties, Benefits (Back to Top)
To work with a virtual laboratory, customers sign annual contracts that define their relationships with the broker. When analytical services are needed, customers log onto the broker's Web site and complete a step-wise Request for Proposal (RFP) that defines their analytical needs. Customers may be very detailed in requesting variables like instrument types, standard published methods, certifications, and completion dates, or they may provide only a general description of their project needs.

The customer's RFP is received electronically by a project scientist at the service broker who searches the member lab inventory to determine the best matching laboratory. The RFP is then forwarded to the most appropriate member lab, where a corporate representative decides if the lab wants to accept the project. When a project is accepted, the representative assigns a price on the Web site and forwards the project proposal to the service broker. The broker adds a small percentage to the price to compensate for its services and forwards the cost proposal to the customer via e-mail.

The customer can view the entire project proposal on the broker's Web site, and can accept or reject it with the click of a button. If it is accepted, samples are sent and the analyses are performed. The customer pays the broker.

Customers who use this type of system gain access to world-class facilities that perform advanced analytical techniques. Also, because communication is done by Internet and e-mail, customers receive quick responses to their analytical requests.

For more information, call David Stalling, general manager of Pace Global Laboratory Resources, at 888-821-4454 or 913-599-5665 ext. 258, or e-mail dstalling@PaceGLR.com

Written by Laura Vandendorpe