CASE STUDY: GBS STRATEGY
£24 MILLION IN ANNUAL SAVINGS
NEW BUSINESS SERVICES DELIVERY MODEL
Our client was a manufacturer and retailer with a global footprint. Aware of pressures emerging from new markets, they wanted to proactively assess the benefits a Global Business Services (GBS) model could offer for the future. It was clear that the back office functions had the potential to deliver more of a competitive advantage and greater agility for the organisation. Our aim was to leverage our extensive experience of GBS to help the organisation make an informed and confident decision to move forward with a new strategy that would put them in a strong position.
When we started working with the client, the organisation had around 1800 employees spread across multiple locations around the globe. Many were completing similar functional roles in different ways. It was clear that the organisation had strengths in creativity and ambition but in some areas lacked the structure, compliance and focus on processes to introduce efficiencies. As we often see, decisions that impact multiple functions across different geographies involve a large number of stakeholders, often with conflicting priorities. Three previous attempts to assess and agree a business services model for the organisation had not been successful.
Delivered a ‘Global Business Services master class’ to the operational leadership team – based on practical experience from the many business service set ups carried out by the Proservartner team. We analysed internal data and mapped processes to understand where tasks were carried out within each function – Finance, HR, Procurement, IT and Legal – and the potential benefits that could be delivered by moving work to a different location. We delivered a series of workshops designed to provide information and practical options to allow key decisions to be made in manageable stages, challenging the leadership team to take a forward-thinking approach and work through what the model would need to deliver for at least the next seven years.
The process we followed allowed the client to gain Board buy-in and sign-off for the business case where three previous attempts had failed. We have helped them build their own capability, enabling them to deliver more using their own resource. The organisation now has a new business services delivery model (with centres in Poland, Costa Rica and Malaysia), that brings greater agility, efficiency, clearer roles and governance structures, more documented processes and a focus on solutions. The model has delivered approximately £24 million in annual savings.