Source: Shared Services
1. Not measuring costs or service levels before a move to shared services
2. Not documenting processes and work streams pre-implementation
4. Not focusing sufficiently on the transition period
“The transition is an important part of the shift to shared services,” explains KPMG’s Cliff Justice. “Many organizations invest most of their time and effort on strategy, design and deal execution when vendors are involved, but dedicate inadequate resources to transition activities. But mistakes made during the transition can be magnified for years to come. For example, a poor transition can lead to delays and loss of financial benefits. But potentially more costly is that it can also possibly lead to stakeholder dissatisfaction, which can prevent a broader adoption of the shared services model throughout the organization.”
6. Fighting the battles of yesterday, not those of tomorrow
7. Becoming bogged down standardizing technology and processes pre-implementation
8. Believing that “it’s already a centralized process: there’s nothing we should do”
- Services scope: Business units for which the centralized service is offered are usually not the only clients using the services offered by the SSC. These other clients' requirements thus need to be identified and products and processes should be adapted to their needs.
- Process role: Centralized services not operated within a SSC also have control functions not compatible with the new model. Therefore, those functions need to be redefined and processes and organizations need to be adjusted accordingly.
- KPIs: In most cases, centralized services lack the appropriate KPIs to be measured as part of a shared services model.
- People skills: Even though users probably know how to operate the process, their attitude toward customers and their customer service skills should be reinforced, since these are skills that are not considered to be important when things are centralized.”
10. Omitting the “make versus buy” equation