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Shared Service centers are an innovative means of standardizing and streamlining public processes within an organization through the effective integration of people, technology and processes.
- Chinese name
- Shared service center
- nature
- Innovative means
- Business architecture
- strategic
- Integrated object
- People, technology and processes
catalogue
As a strategy
Business architecture
,
Shared service
To customer service and
Continuous improvement
The core of the culture is the realization of value-oriented services, which enables the organization to focus on it in a larger scope, even on a global scale
Core competence
Thus enabling each business unit to create more
Added value
.
The earliest use of the shared service center management model is the United States Ford company, in the early 1980s, Ford set up a financial in Europe
Service sharing center
. With that,
Dupont
and
General Electric
Similar institutions were established in the late 1980s. In the early '90s,
Hewlett Packard
, Doyle, and
IBM
They also made such decisions one after another. Domestic enterprise
Haier Group
,
Enn Group
,
China Netcom
Etc are also using the shared service center management model.
Shared service
Refers to the organization originally dispersed in various business units carried out
Transactional work
and
Professional service
Work (e.g. administrative logistics, maintenance support,
Financial revenue and expenditure
,
Accounts receivable
Liquidate,
Complaint handling
After-sales service, logistics distribution, human resource management, IT management services, legal affairs, etc.) separated from the original business unit and set up a special department to operate, so as to realize the marketization of internal services
Internal customer
Provide unified, professional, standardized and efficient services to create value
Operation mode
. Shared services enable organizations to integrate resources, improve efficiency,
Reduce cost
The purpose of...
There are many models for sharing services, a common model is to set up a separate center within the company/group, with other business units/departments to be associated with the center
Internal customer
The relationship of the shared service center is self-contained as an organization, through a set of explicit
SLA
(
Service level
Agreement) to deliver services. It is also because of such a set of agreements that the centralized functions can be more streamlined and standardized, which can be guaranteed
Service quality
The consistency of
timeliness
At the same time, it also enables the measurement and monitoring of service quality with the help of the definition of service level standards by both sides in advance. In order not to make this center become a deformed monopoly within the company, so as to completely lose the pressure of self-improvement, some companies have also introduced
Competition mechanism
,
Internal customer
It is not limited to sharing service centers from the company
Procurement service
If the level of service provided internally is not comparable to the level of external service providers, internal customers will give priority to the purchase of external suppliers. This competitive pressure, forcing the internal shared service center must always be committed to constantly improve the service level, and strive to provide internal customers with always better
External market
High quality, timely service. A good shared service center must always focus on the following key factors:
1. Always ensure the service elements that internal customers need and care about to ensure the effect of the service;
2, always committed to cost reduction. At this point, many enterprises are informationizing or outsourcing part of procedural activities and in
server
Introducing the form of autonomous services to reduce costs as much as possible without compromising quality;
3. Make yourself a true business partner. To their own business needs
Deep understanding
To help more deeply and concretely
Internal customer
Create more value.
Benefits of shared service centers
The shared Service Center can provide professional services in many areas, including finance, human resource management,
Information service
, logistics,
Material management
, customer service, legal affairs services, etc.
Shared service
Its advantages are reflected in three aspects:
1. The primary driver for establishing a shared service center is cost reduction. There are two kinds of cost reduction: one is in
Volume of business
The personnel should be reduced without increasing, which is a very intuitive cost reduction; There is also a case where the volume of operations increases without an increase in personnel, which is a relative saving. As a growing company, the business is always increasing and growing fast,
management
Expect a small or no increase in personnel as the size of the business increases. In order to
MOTOROLA
Companies, for example,
Company headquarters
Place it in
Asia-pacific region
Financial services in 14 countries include
General ledger
The processing of accounts payable and receivables, wages, fixed assets, etc., are concentrated in China
Tianjin Economic and Technological Development Area
The Asian Accounting Center, which also provides MOTOROLA worldwide
Accounts payable
Service while the center
Service personnel
Only 180 people.
2. Make complex tasks simpler, more standard, and more detailed by concentrating on scale.
Work efficiency
And the quality will be further improved. in
Shared service
Under the model, various functions implement policies,
Work flow
The inspection standards are completely unified, the efficiency of the work is significantly improved, and the centralized management and sharing of information realizes the risk of centralized resource scheduling
Centralized control
. In the sharing center, the service is the focus of its work, everything is focused on the service.
3. In many businesses, the value of shared services has gone far beyond mere cost savings. Handle some tedious,
repeatability
When the business is strong, individual business units are able to focus more on their own
Core business
. And the shared service platform provides a standard working procedure to avoid regional and
Business unit
Between the emergence of standard execution
deviation
To enable more management data to be compared under a unified standard, this is undoubtedly
Company management
The board of directors has won the trust of shareholders. In addition, as a service center, you can develop more professional products in a relatively short time
Technical standard
And are promoted throughout the organization.
Disadvantages of shared service centers
Everything has its two sides, sharing service center mode in the cost saving, improve efficiency at the same time, to a certain extent there are some drawbacks. It is mainly reflected in the following two aspects:
1. The shared service center is provided to internal enterprises as a specialized operating organization
Shared service
In this model, the entire operation of the company is also restructured. The services previously operated by each department within the company will be jointly undertaken by the shared service center and the department, so the shared service center and the department enjoying the shared service are partners
Value chain
The relationship between upstream and downstream. The sectors that enjoy shared services are, as before, informational
owner
. In some cases, information is owned and shared
Service provider
Will hold different views on a business and cause conflict, affect the internal cooperation of the company, or even affect the work efficiency.
2. When a multinational company sets up a shared service center in China, it shall provide services for at least its Asian or global branches. Therefore, yes
Personnel quality
In particular, the foreign language level is very high. However, the business of the shared service center is mostly stylized, repeated, and a large number of simple business operations, which do not match the quality of its personnel. For example, fresh graduates with excellent foreign language skills, after working in the shared center for two or three years, are prone to boredom and a sense of uncertainty about the future of work, so as to find another way out, making the shared service center a center to provide personnel training for other departments.
Information technology sharing Service Center
Unique attributes are what they offer in common within the enterprise
Information technology service
, include
System design
Data processing, information technology security, report generation, etc. In fact, the shared service center is different from the traditional centralized activities, and its services are reflected in the specified requirements of customers or users. Traditional centralized services focus on control and centralized needs, where policy and direction are set by headquarters. The nature of the shared service center is different, it focuses on quality and
Customer service
And pool resources to achieve a common goal. as
Outsourcing service
, can be passed with the shared service center
Service level agreement
Establish quality and service requirements.
A shared service center differs from outsourcing because in outsourcing, suppliers and customers are separated, while the information technology services of a shared service center remain in-house.
Human resource sharing Service Center
The Human Resources Shared Services Center (HRSSC) is a group of companies that will work together
Business unit
All and
Human resource management
Related administrative work (e.g
Employee recruitment
,
Compensation and welfare
Accounting and issuance,
Social insurance management
,
Personnel file
Personnel information
Service management
,
Labor contract management
,
New employee training
Handling of employee complaints and suggestions, consultation and consultation
Expert service
Etc.) Get together and build one
Service center
. The centre provides human resources for all of the Group's business units
Management service
The business unit pays for its services. Through the establishment of human resources shared service center to improve the operational efficiency of human resources, better service business units. The human resources department of the enterprise group focuses on
Strategic human resource management
The implementation of human resources management to achieve
Strategic transformation
.
Human resource sharing Service Center
It's a new kind
Management mode
It is an independent operating entity that introduces a market operation mechanism but serves the enterprise internally. It creates value through service, and its essence is information and network
technology-driven
Change and innovation of operation management mode.
What is called
Financial shared Services Center
(Finance Shared Service Center), that is, various enterprises
Financial process
Focus on a specific location and platform to accomplish, usually including financial payables, receivables,
General ledger
,
Fixed assets
And so on. This model improves efficiency,
Control cost
Strengthen internal control, information sharing, improve customer satisfaction and
Resource management
And other aspects, will bring obvious results.