{"id":2642,"date":"2016-06-23T21:34:26","date_gmt":"2016-06-23T21:34:26","guid":{"rendered":"https:\/\/www.peeriosity.com\/shared-services\/articles\/?p=2642"},"modified":"2022-07-28T23:29:16","modified_gmt":"2022-07-28T23:29:16","slug":"barriers-to-implementing-an-integrated-business-services-model","status":"publish","type":"post","link":"https:\/\/www.peeriosity.com\/shared-services\/articles\/2016\/06\/barriers-to-implementing-an-integrated-business-services-model\/","title":{"rendered":"Barriers to Implementing an Integrated Business Services Model"},"content":{"rendered":"

The expansion of the Shared Services model continues to evolve, from single-process centers using captive resources, to multi-functional centers using captive and outsourced resources and expanding scope<\/a> up and down the end-to-end process stream.\u00a0 Once considered a final stretch objective, \u201cGlobal Shared Services\u201d expanded to \u201cGlobal Business Services\u201d, with a new model \u201cIntegrated Business Services\u201d being discussed as the next frontier for superior performance.<\/span><\/p>\n

A PeercastTM<\/sup> in the Shared Services Leadership research area<\/a> featured a large global company discussing their transition from Multi-Functional Shared Services to Global Business Services (GBS), with a recent move towards Integrated Business Services (IBS), with each phase including extensive use of business process outsourcing.\u00a0 With IBS, the emphasis is on an end-to-end service-based model that looks to simplify the customer experience, which is considered the next step beyond an end-to-end process-based model that stops at process efficiency and effectiveness, without carefully considering the end customer.\u00a0<\/span><\/p>\n

For our feature company, implementing GBS was a 10-year process, starting with Finance and Accounting outsourcing in 1991, and transitioning through multiple phases to a mature GBS model<\/a>, complete with global capabilities, defined global process ownership, and the elevation of GBS to be a group-level function that is independent of individual business units or geographies.\u00a0<\/span><\/p>\n

Requirements cited for the new IBS include:<\/span><\/p>\n

    \n
  1. A high level of integration with business partners<\/span><\/li>\n
  2. One shared vision, strategy, goals, and performance objectives<\/span><\/li>\n
  3. A focus on creating enterprise value and not only on cost efficiency<\/span><\/li>\n
  4. Being viewed as business and process experts in core areas of service<\/span><\/li>\n
  5. Thinking strategically about automation opportunities and change management<\/span><\/li>\n<\/ol>\n

    An iPollingTM<\/sup> question created to support the Peercast examined the obstacles companies are facing in the move towards an Integrated Business Services model.\u00a0 For 40% of responding companies, the biggest obstacle cited is internal politics, where people want to retain control.\u00a0 For 18% of the companies, having current operations that are developed<\/a> enough to take the next step is the biggest obstacle, with securing senior management support, and coordinating end-to-end process design with global standards each cited by 12% as the biggest obstacle.\u00a0\u00a0 Here are the details:<\/span><\/p>\n

    \"biggest<\/p>\n

    Wherever a company finds itself along the journey to implement components of a \u201ctheoretical ideal\u201d for Global Business Services or Integrated Business Services, the key is to keep focused on the fundamentals with strong processes and standards that increasingly capture end-to-end improvement opportunities.\u00a0 Doing so ensures that the value proposition from Shared Services will continue to grow, resulting in sustainable benefits that will continue to increase.\u00a0\u00a0<\/span><\/p>\n

    Below are a few of the poll comments added by Peeriosity members:
    \n<\/em><\/span><\/p>\n