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Additional info for Cheaper, Better, Faster: Over 2,000 Tips and Tricks to Save You Time and Money Every Day
Thirty staff were hired to fill the most important positions. A lease was also signed on a building, and in order to link the shared service centre to the rest of the organization a local area network was set up. After the initial induction course in Dublin which lasted four weeks, the centre’s new recruits, about half of them Irish, were sent out to workshadow people whose jobs they were assuming. In countries such as France and Germany, where the company had big operations, they stayed up to five months to ensure that the company did not lose essential local expertise.
Technology is an important enabler Prior to establishing standard processes in shared service centres (and similar to many multinational companies), Oracle’s information system infrastructure was symbolized by: ■ dispersed technology; ■ fragmented data; ■ customized systems. With e-business transformations, SSC and global processes in place, information systems changes included: ■ centralizing and consolidating all IT ■ fewer, less complex data centres ■ a global single instance database. Oracle has used its E-business suite and database solutions to provide strategic advantage to the SSC.
THE AIMS AND OBJECTIVES OF SHARED SERVICE CENTRES There are a number of principles that are essential for shared services success. The following are those that we usually recommend the leader seek endorsement for at the beginning of implementation: ■ there will be no duplication of services in business units once the service is designated as a shared service; ■ services will be charged at a rate to cover fully loaded costs; ■ governance-related activities will be paid for by the executive; ■ during an initial grace period (18–24 months) shared service functions will have exclusive supplier status; ■ following the grace period, decisions to outsource services will be made in the best interest of the corporation and will be based on a business case analysis; ■ business units have a joint accountability with the shared services organization to reduce operating costs and ensure the success of shared services; ■ the shared services organization will benchmark its costs with external best practices and will gather internal client satisfaction feedback; ■ the shared services organization will report annually to the corporate executive committee on costs and satisfaction level; ■ line management accountability will shift.