shared services strategy in emerging markets/gcc
DESCRIPTION
This presentation was shared at the 11th GCC Shared Services event in Dubai. Focuses on how to manage shared services in emerging marketsTRANSCRIPT
Presentation for
11th GCC Shared Services
Centers and e-Services
Quality Excellence
Conference
29-Jan-2013
ANIRVAN SEN
LinkedIn: ae.linkedin.com/in/anirvansen/
Emerging Markets - Overview
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eServices Quality Excellence Conference
Emerging Markets - Overview
As per Wikipedia: Nations with social or business activity in the process of rapid growth and industrialization
Definition
Categories
Attributes
• Rich in mineral resources (countries in Africa, Latin America, Russia),
• Rich in human resources (China, India, Philippines)
• Rich in financial resources (countries in the Middle-East).
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eServices Quality Excellence Conference
• Autocracy and/or long deliberation periods
• Archaic regulation…legacy from imperial times
• Limited exposure to MNC culture
• Cultural limbo…traditions vs. western values
• Emotions and collective societal mind-set
• Inconsistency across country infrastructure
• Geo-political situational impact
• Integrity and compliance definition challenges
• Personal interpretation on process standards
• Strong emphasis on relationship management
• Power of position
• Aspirations often monetary based
• Sub-scale volume of transactions
• Preparedness on Regulatory changes
Strategy
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eServices Quality Excellence Conference
Trans-
actional
Accounting, GL
Accnt Payables
Acct Rec.
Payroll
All Other
Knowledge
Based
TAX / VAT Monthly Taxes
Annual Taxes
Fin. Reports
Stat. Books
Stat Returns
Product
Seamless integration with Stat & Tax…
Adaptation: Small mandatory presence
Establish “organization-culture” footprint &
controls
Rigorous on-boarding process
Emphasize on organization values
Aggregation: Sub-scale operations
Consolidate into hubs for key processes
Create cross-functional experts at hubs
Arbitrage: Mature / Value add centers
Achieve economies of scale
Transfer work to LCC
Automate / standardize Processes
Attract, Develop & Retain talent Big 4 skill set… impact on org culture
Special structure to manage critical talent
Accelerate systems consolidation Leverage and implement global standard ERPs
Strong focus on IT infrastructure
Emerging Markets – Model Strategy
Employee Strategy
• Dissonance on benefits
• Lack of clarity on career path
• Work-Life balance importance
• Relationship over merit
Aspirations
Organization Culture
Training
• Transparency on salary variation
• Education on career options
• Balance and set expectations up-front
• Awareness on meritocracy examples
• Presence of autocracy
• Lack of clarity on goals
• Organization values visibility
• Western vs Eastern work culture
• Regular awareness on Organization values
• Manifesto of organization values
• Cultural sensitization of approaches
• Mismatch b/w education and skills
• Lack of attention on behavioral skills
• Unclear requirements for career growth
• Definition consistency on Integrity and compliance
• Comprehensive training schedule
• Highlight importance on behavioral skills
• Demonstrate importance and retribution on compliance
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eServices Quality Excellence Conference
Operations Strategy
• Talent expectation vs. job content
• War for talent
• Cohesiveness of teams
• Job satisfaction
In-house Talent Management
Talent Sourcing
Leadership
• Ensuring right talent in right job
• Acquiring and retaining “Critical” talent
• Setup “Real” job excitement and expectations
• Foster innovation and collaboration
• Long periods on recruitment
• High Attrition
• Lack of standards and discipline
• High cost of personnel
• Creation of shared services
• Acquire competency through outsourcing
• Leaders created to manage staff
• Aggregation of goals up to managers
• Lack of ingenuity
• Create leaders rather than managers
• Assign special set of goals for leaders
• Dedicated special short-term assignments
• Significant focus on behavioral skills
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eServices Quality Excellence Conference
Process Strategy
• Personal interpretation of guidelines
• Ad hoc approach on execution
• Multiple manual touch points
• Manager intervention
Standardization
Measurement
Quality
• Well-written policies
• Demonstrate policy adherence
• Standardization and automation
• Limited performance management
• Emotions vs. factual
• Lack of baseline standards
• Repeat issues
• Implementation of KPIs/Key metrics
• Structure to mitigate under-performance
• High levels of inefficiency
• Dependent on personal effectiveness
• High amount of re-work
• Setup quality/process improvement cells
• Create a culture of continuous improvement
• Leverage global methods like 6-sigma, LEAN
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eServices Quality Excellence Conference
Technology Strategy
• Large nr. of approvals
• Absenteeism of approving authority
• Lack of records for verification
• Lack of reporting mechanism
Automation
Infrastructure
ERP
• Implement workflow tools
• Rationalize approval structures
• Inconsistent Connectivity
• Challenge with outside office hour support
• Lack of discipline with access rights
• Create a separate structure for critical processes
• Infrastructure IT policy and guidelines
• Excel spreadsheet proliferation
• Implemented ERP not effective
• Outside processing possibilities
• Importance of choosing the right ERP
• Leverage Software as services
• Mandate 100% system usage
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eServices Quality Excellence Conference
Questions and Answers
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THANK YOU
ANIRVAN SEN ([email protected])
LinkedIn: ae.linkedin.com/in/anirvansen/
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eServices Quality Excellence Conference
Anirvan Sen
Industry expert worked in several Fortune 500 companies across the globe. Experience derived from cross-functional roles involving large scale transformation using LEAN six-sigma, Talent Management, Shared Services, IT and Sales. - Ran global delivery model setup for BPO vendors, strategy for shared services in the Middle-East and Africa region and prior to that ran the Quality organization for EMEA operations of Shared Services. He also ran initiatives in China, ASEAN, ANZ, Brazil and US. - Cross-pollinator of ideas and result-oriented. Specializes in successfully leading "cost-neutral" initiatives (ROI: 2-3 years) - Regular speaker, chairperson and panelist at various Shared services, Quality and Technology conferences. Regular contributor to Shared Services publications - Behavioral Skills: Myers-Briggs Type Indicator - E.N.T.J. - Born Leader (Field Marshal) Specialties: • Business Strategy and Transformation; BPO/Shared Services • Project/Program Management Office (PMO), Process Excellence, Change Management • LEAN six sigma (Master Black Belt, certified Black-belt), Theory of Constraints (TOC) • ERP/Technology Implementations: Oracle, Siebel, SmartStream Financial
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