Research Survey Shows Strength of Shared Services Approach

Management Services, July 2003 | Go to article overview

Research Survey Shows Strength of Shared Services Approach


A research survey amongst the senior management of Britain's major companies shows that the shared services approach to cost cutting continues to make substantial headway.

The survey shows that these companies are embracing the concept of concentrating their business services - accounting, IT, facilities management, HR and management services - in dedicated centres. Although not part of the core business, many of these operations have had to share locations previously with head office functions or have been replicated across the organisation, often in more expensive premises.

The research which was produced by the Tees Valley Development Company found that amongst the top 1000 companies, 26% have already adopted the shared services solution whilst a further 7% are actively considering the concept. There is also evidence of growth and mobility amongst established shared service centres.

There is almost universal consensus among respondents that cost-reduction and improved service both internally and externally are the major business drivers for the process. Over 90% rank these economic drivers together, as either quite important or extremely important. Cost reduction ranks first with no less than 66% regarding it as extremely important.

A similar consensus exists on the next two factors: the need to focus on the core business and to upgrade services technology. Here, over 60% rate these factors combined as quite or extremely important.

The criteria for choosing a location match closely the top three criteria found in most relocation decision-making with one exception. Site costs are placed in the top four factors alongside suitable premises, staff availability and good communications, emphasising against that the shared services concept is cost driven.

Shared services are seen as a highly mobile operation. Although desirable, companies do not feel constrained to site a new services centre in proximity to their original location or near another company facility. The need to meet all relocation criteria will ultimately decide the issue.

Geographically, shared services centres appear as dispersed as industry itself with all regions represented amongst shared services locations. Asked which regions most actively encouraged companies to relocate, the research revealed highest awareness of Wales, Tees Valley (Teesside), Merseyside and Tyneside, all of which scored around 30%. …

The rest of this article is only available to active members of Questia

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Note: primary sources have slightly different requirements for citation. Please see these guidelines for more information.

Cited article

Research Survey Shows Strength of Shared Services Approach
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen
Items saved from this article
  • Highlights & Notes
  • Citations
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Search by... Author
    Show... All Results Primary Sources Peer-reviewed

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.