A global services provider operating in thousands of locations needed to centralize its operations to improve efficiency.
A large international services company was struggling with a highly decentralized and costly operating model that lacked standard processes. Instead of one back office, there were literally thousands, with small Finance and HR operations scattered at the individual locations where the company provided its services. The company’s leaders envisioned a much more efficient future including a transformed back office that would be delivered centrally on a common platform to reduce costs, enhance agility, improve compliance, and enable front-line workers to better serve their customers.
Our Shared Services and Outsourcing advisors team worked with advisors from our Finance Effectiveness, IT Strategy, and People & Change practices to help the company plan a smooth transition. We started with a review of the company’s objectives and helped develop a business case to support the transformation and a future state operating model. The design and implementation plan addressed locations and facilities, recruiting, organization design, IT enablement, and change management. In the implementation phase, we worked with the company to redesign the processes supporting the scattered customer sites, reviewing and standardizing the processes as we progressed. Most importantly, we helped establish a new Shared Services Center that will ultimately accommodate more than 750 people.
The company is forecasting a 25 percent cost reduction in the delivery of its Finance and HR processes while achieving the same throughput. As it consolidates headcount, staff previously located in the field is being transitioned to the new Global Business Services Center, and processes and IT systems are being standardized, improving their effectiveness and scalability and further reducing costs. With even more process efficiency in the works, front-line, customer- facing staff will be relieved of many of their back-office responsibilities and will be able to focus more directly on delivering value to their customers.
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