Organizational Framework for Shared Services Centers PPT


This PPT slide, part of the 33-slide Cost Reduction Methodologies PowerPoint presentation, outlines the organizational structure of Shared Services centers, emphasizing how they can be arranged by geography, function, or business unit while addressing varying levels of risk. The framework is divided into 4 main categories: Global, Regional, Country, and Limited Functions, each with distinct characteristics and operational scopes.

At the top, the Global category supports multiple business units (BUs) across various functions worldwide. Within this, the Pan Continental approach allows for support across several countries from a single processing location, enhancing efficiency. The Global Centers of Excellence are highlighted, showcasing their role in fostering technical skills, standardizing processes, and enabling operational flexibility.

The Regional category focuses on supporting one or more BUs across 2 or more countries within a specific region. This structure allows for localized operations while maintaining some level of centralized control. The Corporate section indicates that these centers can operate as separate legal entities, providing a range of services with a complex infrastructure, which can be beneficial for large organizations.

The Division or Group section emphasizes the importance of common systems across different processes, allowing entities to charge for services rendered. Lastly, the Limited Functions category is characterized by a more straightforward operational model, typically focusing on specific transactions without the complexity seen in larger structures.

This slide serves as a strategic guide for organizations considering the establishment or restructuring of Shared Services centers, providing insights into how different configurations can align with business needs and risk management. Understanding these frameworks can aid in making informed decisions about resource allocation and operational efficiency.



This slide is part of the Cost Reduction Methodologies PowerPoint presentation.

Developed by an ex-McKinsey and EY consultant, this presentation breaks down several cost reduction methodologies commonly used by management consulting firms.

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