SharedServicesModelle

The Shared Services Model is a organisational strategy that involves the centralisation of non-core business functions into separate, standalone entities. The primary goal of this approach is to improve efficiency and reduce costs by eliminating duplication of efforts across different business units.

In a Shared Services model, core business functions are typically retained by the parent company or its business units, while supporting functions such as accounting, finance, and human resources are outsourced to dedicated Shared Services units. These units operate independently, using standardised processes and technologies to deliver services to the parent company and its subsidiaries.

The benefits of Shared Services models include streamlined processes, increased efficiency, and improved cost management. By eliminating duplication of efforts, companies can reduce costs associated with maintaining redundant processes and staff. Additionally, Shared Services units can provide expertise and support to business units, helping to standardise processes and improve overall operational efficiency.

However, implementing a Shared Services model also presents challenges, including the need to invest in new systems and processes, as well as the potential for resistance from business units that may see the transfer of services as a loss of control or autonomy. To succeed, companies must carefully plan and implement Shared Services programs, selecting the right services to centralise and ensuring that the model aligns with the company's overall strategy and goals.