Need for Shared Services?

Many of the big MNC 's have already established their captives in India,There are many Business process outsourcing organizations running operations based on clients who have outsourced to these organizations.

One may wonder,in this recession should we start investing in shared services ? or should we outsource to keep businesses running.

Both are ok ,as long as businesses prosper.But investing in shared services provides a lots of intrinsic value
1) the internal processes gets streamlined
2) increased productivity,
3)increased efficiency and effectiveness

Instead of investing a lot of money by having all the regions run their own marketing , duplicating efforts ,the shared services gives a lot of flexibility in allowing a centralized setup to take over the regular operations .

The strategy and planning in the initial setup days will be very heavy ,once the processes are streamlined ,the flexibility to move up in the strategic chain moving from Business process oriented organization to Knowledge process oriented organization (KPO) will allow not only to leverage on process ,but also give the flexibility to innovate .

The people who know nuts and bolts of the process get involved + the people who are strategically involved in creation of shared services across the world ,this synergy will create a way to make decisions at a higher level easier.