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Shared Services offer significant opportunities for efficiency improvements and the release of scarce resources for front line activities. Many organizations implement projects which involve the identification of common activities, consolidation into a common structure, standardisation of the underlying processes, and may ultimately result in outsourcing to an expert provider or low cost location, if required.
Novos Limited’s shared services model incorporates Lean and Six Sigma process and continuous improvement techniques to ensure that customers receive the benefit of operational excellence and reduce the concerns that participating organisations may have on losing control over the delivery of key services. The elements we address are:
- Governance, assurance and relationship management
- Establishment of effective and inclusive arrangements so that all participating organisations are involved in the decision-making process.
- Formal partnership agreements to articulate the agreed vision, objectives, processes and commercial arrangements that apply.
- Establishing effective partnering relationships across organisational boundaries to address common pitfalls such as the lack of cultural readiness to change, lack of clarity in objectives and ineffective baselining or performance measurement.
- In-sourced versus outsourced arrangements
- We will review current operations and engage with stakeholders to provide recommendations on whether the organisation establishing a shared service operation should stay in house, form a joint venture or use a third party provider.
- Business case
- For organisations to consider the upheaval of moving to a shared service, the business case must be compelling and the costs and benefits must be realistic. We will estimate the cost and impact of business change and ensure that all participants understand these.
- Service Level Agreements & service charges
- Novos can help you to formulate well defined and agreed SLAs which meet the collective needs of the participating organisations in terms of:
- service expectations
- quality standards
- performance measures
- costs
- respective roles and responsibilities of the shared service provider and the client organisation for each of the services.
- Addressing cultural issues
- The formation of shared service operations can create challenges when merging different organisational cultures. Dedicated effort needs to be channelled into transformation to develop a new working culture based on excellent service performance. Differences in pay and conditions should be addressed as this undermines the effectiveness of the operation.
- Training
- introductory training for executives within organisations considering the move to shared services
- advanced training for those seeking to transition or improve existing operations.
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