australia shared services

8/7/2019 Australia shared services

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www.treasury.sa.gov.au/ssro

Shared Services

in theSouth Australian

Government


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Message from the Minister

Message from the

Under Treasurer

Introducing Shared Services SA

Guiding vision and mission

Initial services

Service transition

Working in Shared Services SA

Reforming services in SharedServices SA

Working with Shared Services SA

Further information

Contents

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In September 2006 the South

Australian Government announced a

shared services initiative to streamline

and simplify internal corporate andbusiness support services to deliver

savings that can be redirected to

community facing services.

The use of shared services in all

sectors of government worldwide is

growing, delivering benefits of

efficiency and improved service

standards. The private sector has

been embracing shared services

since the early 1990s with impressive

results.

Cabinet has recently approved a shared

services model developed by theShared Services Reform Office in the

Department of Treasury and Finance.

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Message from

the Minister


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The success of this reform will

require the positive and active

participation of all agencies and their

staff. I encourage you to make themost of this opportunity to be part of

this initiative that will enable ongoing

business improvement in the South

Australian public sector.

Hon Michael Wright MP

Minister for Finance

The implementation of this model

will enable agencies to increase

focus on their core service priorities.

Staff transferring to shared serviceswill work in a customer focused,

team based culture that supports

continuous improvement and offers

enhanced career development and

progression opportunities.

The shared services reform initiative

supports South Australia's Strategic

Plan Objective Growing Prosperity,

and in particular Target 1.9

Administrative Efficiency in the

public sector. The reduced cost and

improved efficiency of delivering

corporate services to agencies will

enable government to pursue itspriorities.

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Reform.

Service.

Workplace.

Message from the

Under Treasurer

Since establishment in 2006

the Shared Services Reform Office

(SSRO) has undertaken many

activities to ensure we have a good

understanding of what is required tosuccessfully deliver shared services.

The SSRO has researched broadly,

gathering information from agencies

and building networks with other

jurisdictions that have implemented

shared services. This has helped to

develop a model to implement sharedservices across government.

The model will deliver a range of

services in the functional areas of

ICT, human resources, finance and

procurement.

It is recognised that this reform will

have significant implications for staff

currently delivering corporate services in

agencies. Staff transferring to shared

services will become part of a

dynamic team that will be instrumental

in shaping the direction of future

delivery and improvement of servicesto gain efficiencies. It will help

position the Government to more

effectively respond to changing demands.

This is an exciting time in the South

Australian public sector and I hope

that you will embrace the opportunities

this reform will offer.

Jim Wright

Under Treasurer

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On 15 October 2007 the

SA Government approved a

shared services model and reform

program to transition suitable

corporate and business servicesinto a new organisation called

Shared Services SA.

Shared Services SA will be part of

the Department of Treasury and

Finance and will initially be located

in Westpac House, 91 King William

Street, Adelaide.

Shared Services SA will be

organised along the functional

lines of ICT, HR, finance and

procurement. Three services -

payroll, accounts payable and

accounts receivable - will be thefirst to transition to Shared

Services SA commencing late

February 2008.

A common Client Services function

will manage the strategic service

relationship with agencies and

provide customer support services

to handle operational queries

across all service lines.

All agencies in the general

government sector will receive

services from Shared Services SA

to ensure the full benefits ofeconomies of scale and scope are

realised.

Staff working in Shared Services SA

will be part of a customer focused,

team based culture that encourages

and actively supports continuous

improvement.

The current Chief Executive Shared

Services Steering Committee, which

comprises five Chief Executives, will

continue to oversee the shared

services reform program.

The consultative groups established

as part of the Shared Services

Governance and Consultation Framework

will remain in place to ensure the

continuation of open and transparent

communication and consultation with

key stakeholders.

Further information about the Shared

Services Governance and ConsultationFramework can be found on the

shared services website.

Introducing

Shared Services SA

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Reform.

Service.

Workplace.

Guiding vision and

mission

The vision for Shared

Services SA has three dimensions:

to be an asset of government and

a valued business partner of our

clients

to be respected for the quality and

efficiency of our services, our

capability and responsiveness and

the calibre of our people

to be recognised as an organisation

where people want to work.

Shared Services SA has a mission to:

provide a suite of high quality

corporate and business services that

are cost effective, standardised and

relevant to the SA public sector.

We will achieve this through thedevelopment and empowerment of our

people, the continual pursuit of system

and process improvement and

maintaining strong relationships with

our clients.

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A number of services in ICT,

HR, finance and procurement have

been identified as having the potential

to be delivered in a shared services

environment including general accountingand system generated reports, cash

management and financial systems

support, purchase / credit card

management, and ICT infrastructure

and network support.

Initially, the shared services reform

program will focus on three priority

services and the required ICT services

to support their delivery. The design of

these services is still to be completed.

When finalised, the specific detail for

each of these services will be

incorporated into a Service Catalogue.

Human Resources -

Payroll/Human Resource

Management System (HRMS)

services

The payroll/HRMS shared service

encompasses the entire payroll cycle

from data input, payroll processing to

disbursement. The payroll service also

incorporates responding to payroll

queries, application administration,

training of HRMS users and leave and

termination management.

Procurement - Accounts Payable

The accounts payable service involvesthe receipt and processing of invoices,

checking and verification of invoices,

inputting invoice data into the accounts

payable system, reconciling accounts

payable ledgers, managing vendor lists and

performing supplier payments.

Finance - Accounts Receivable

Accounts receivable will include activities

related to the management of the order to

cash process including masterfile

maintenance, invoice processing, debtor

management (including collections and

cash application), reporting, analysis,banking, month end processing and

reconciliation to the general ledger.

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Initial

services



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Detailed transition plan-

ning has commenced for each

priority service to determine the

order and sequencing of

transitioning agency / servicegroups.

Transition of payroll / HRMS

services, accounts payable and

accounts receivable to Shared

Services SA will commence in

late February 2008. Service

transition activities will occur

simultaneously for the three

priority services.

Planning for the next phase of

services to transition is currently

being considered and will be

scheduled as the three priorityservice transitions conclude.

Learnings from formal post

transition reviews, which will take

place after each transition, will

be used to refine the strategy for

subsequent transitions.

More information in regard to

how services will transition is

provided on the shared services

website.

Service

transition

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Governance and Consultation Framework

will continue to be engaged.

Shared Services SA will provide a

challenging environment where staff

are encouraged to achieve excellence

and embrace innovation.

To establish Shared

Services SA, services and

associated staff will be

incrementally migrated into the

new organisation. This meansthat 'in scope' employees

currently working in agencies will

become employees of the

Department of Treasury and

Finance, and will physically

transfer to Shared Services SA.

Substantial work is now

progressing to ensure Shared

Services SA is a place where

'people want to work'.

To support transferring staff and

to help establish a new and

positive culture for SharedServices SA, an overarching

Change Management Framework

is being developed. The framework

will incorporate workforce and

HR principles and practices,

targeted communication strategies,

training and development,

induction, culture and team

building strategies. Focus groups

of 'in scope' employees will be

established over the coming

months to help shape this

Framework.

To ensure the interests of staffare represented key workforce

consultative groups established

as part of the Shared Services

Working in

Shared Services SA

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Once services transition to

the shared services environment,

service delivery will change. Each

service will be reformed to improve

efficiency and service deliveryoutcomes in a planned and

structured way. These efficiency

reforms will result in more

standardised systems and processes

with fewer resources required to

deliver services. The gradual

reduction of workforce numbers will

be managed through natural attrition,

redeployment of excess staff and

reducing contract staff usage.

The South Australian Government

remains committed to its "no forced

redundancy" policy for ongoing

employees as reflected in currententerprise bargaining arrangements.

Consultation with the Public Service

Association commenced in March

2007 through the Shared Services

Workforce Consultative Group and will

continue through the reform program.

A Service Reform Framework hasbeen developed to define how the

nature of each service will evolve as

service delivery reforms are

implemented. This will assist Shared

Services SA to consistently manage

and maintain ongoing business

improvement.

The Service Reform Framework can

be found on the shared services

website.9

Reforming

services in

Shared Services SA



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The shared services

initiative will introduce a new

business relationship between

agencies receiving services andShared Services SA as the

service provider.

To support the way Shared

Services SA will work with client

agencies to deliver services, a

Service Level Determination

(SLD) and a Service Catalogue

are being developed. These

documents will be finalised in

consultation with agencies and

will provide information about

roles, responsibilities, services,

service levels, performance

management and pricing.

Working with

Shared Services SA

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Further

information

Communication and consultation

will continue with agencies and staff

across government and will become

more targeted as detailed transition

planning identifies the priority of groupsthat will transition to Shared Services SA.

There are a number of ways to access

further information:

The shared services website

provides current shared services

reform information and is regularly

updated -


Read the shared services reform

monthly newsletter

Talk to your manager and find out

about shared services preparation

in your agency. The Shared Services

Reference Group has a membershipcomprising corporate service

executives from across government

and meets monthly.

Email

[email protected]

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Publication date:

Current as at October 2007

Contact details:

The Department of Treasury and Finance,91 King William Street Adelaide SA 5000

Telephone (08) 8226 6770

Website www.treasury.sa.gov.au/ssro

Postal DX: 56205

GPO Box 1045, Adelaide SA 5000

Translating & Interpreting Service (TIS)

Telephone 131 450

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