Next-generation HR Shared Services

"Releasing HR professionals to do value-adding work was one of the main reasons for creating shared services in the first place"
Beth Fegan, Director, Empoyee Services, KeyBank

Realising the full potential of HR shared services

-Achieve continuous cost-saving, productivity and services gains
-Develop a customer service culture in shared services
-Enhance the status of HR shared services in your organization
-Extend shared services from transactional to strategic activities
-Improve the contribution of shared services to corporate success
-Take full advantage of technology to improve self-service
-Master the change management challenge

Put yourself at the cutting edge of HR shared services. This completely revised and significantly enlarged edition of Business Intelligence’s best-selling report is simply the most comprehensive guide to gaining value from HR shared services.
Next-generation HR Shared Services reveals the key to developing the full potential of HR shared services in the context of the changing role of HR and the drive for greater corporate effectiveness. Whether you are planning to introduce shared services, or extend the scope and range of your current HR shared services operations, this Report provides you with the practical advice and useful tips to make a success of your initiative.

Discover how high-achieving HR shared services are successful not just in terms of cost savings and service improvement but also in making better use of HR resources to improve business performance. The Report distils the valuable lessons HR shared services practitioners have learnt.

- Find out how leading companies including Eastern Health Services, Keybank, Procter & Gamble, Scotiabank, Surrey County Council, Statoil and Sun Microsystems achieve superior results.

- Benefit from expert advice on planning and implementation from experts at Atos Origin, Deloitte, the Hackett Group, In Partnership UK, Metavec, PricewaterhouseCoopers and Watson Wyatt Worldwide.

- Adapt smart practices identified in Next-generation HR Shared Services to develop and constantly improve the value of HR shared services.

Author Profile
Acknowledgements
Business Intelligence
Executive Summary

Chapter 1: The Origins of Shared Services
Executive Summary
Introduction: The Path to Shared Services
BP Exploration Case Report
Outsourcing and Corporate Branding
Whitbread Case Report
The Birth of Shared Services
The first shared services centres
Early shared services successes
Alcoa Case Report
AlliedSignal Case Report
The New York Times Company Case Report
Other examples
Empirical Evidence of Shared Services Success
From cost to service benefits
Selecting HR Processes for Shared Service Centres
Survey evidence
Case study evidence
Defining Shared Services
Steve Joyce, The Hackett Group
Philip King, Atos Origin
Sue Goodman, Partnership UK
How this Report defines shared services
The Drive for HR Service Improvement
How to Use this Report
A pathway to success
Answers to the most frequently asked questions
Learn from the best practice case studies
Eastern Health Shared Services
KeyBank
Procter & Gamble
Scotiabank
Statoil
Sun Microsystems
Surrey County Council
Realizing the potential of shared services
Ten Steps to Creating an Effective Shared Services Centre
1 Win management support
2 Plan for success
4 Communicate and consult
5 Build strong staff resources
6 Create a service culture
7 Draw on your e-HR strengths
8 Set the right goals
9 Apply the right measures
10 Drive the process forward

Chapter 2: Making the Business Case for Shared Services
Executive Summary
Introduction: Balancing Benefits Against Risks
Reasons for Implementing Shared Services
Institute for Employment Studies findings
Political reasons
Eastern Health Shared Services
Royal Bank of Scotland 24 Surrey County Council
The Business Case for Cost Reduction
Deloitte shared services study
case study cost reductions
Process efficiency
Changing the value proposition
Timeliness of response
The Business Case for Service Improvement
Case study service improvement benefits
The Business Case for Risk Management and Mitigation
Dealing with Sarbanes-Oxley
Sarbanes-Oxley and HR
Why risk management is a significant benefit
Risk management at KeyBank
Shared Services and Globalization
Shared Services and Acquisitions
Alcoa Case Report
Invisibility – the downside of success
Benefits from Repositioning the HR Organization
Freeing up the time of senior HR executives
Transactional benefits
Benefits for HR – Keybank
Benefits for HR – The Royal Bank of Scotland
Self-Assessment Checklist

Chapter 3: Scoping Shared Services and Creating a Robust Plan
Executive Summary
Introduction: Getting the Measure of the Task
Creating a Path from Business Needs and Strategy to Implementation
1. Clear project definition
2. Business case creation
3. Gap analysis
4. Business planning and strategy
The Importance of Senior Management Buy-in
Why FedEX values support from the top
Essential Elements for the Plan
Gaining Buy-in at all Levels of the Organization
A major change effort
A change and communications team
InterContinental Hotels Group Case Report
Cascading the buy-in
Mandating shared services
People – Finding Staff with the Right Combination of Capabilities and Competencies
Hiring new staff
Combining new and existing staff
Case Examples
Procter & Gamble
Royal Bank of Scotland
Eastern Health Shared Services
Scotiabank
Teamworking
Sun Microsystems Case Report
Scotiabank Case Report
Information Technology
Technology: the experience of the pioneers
Employee self-service
Case study examples
Eastern Health Shared Services
KeyBank
Scotiabank
Statoil
Surrey County Council
Self-service: the future of shared services
Location: Where to Locate the Shared Services Operation
Offshoring: the history
Offshoring and outsourcing
Offshoring and HR
Case study examples
Standard Chartered Bank Case Report
Self-Assessment Checklist

Chapter 4: Integrating Shared Services into the HR Delivery Model
Executive Summary
Introduction
Processes Under the Spotlight
Trends in Fianacial Shared Services
Diageo Case Report
HR and Value Adding Processes
Shared Services and Centres of Expertise
The case for renaming shared services
Criteria for Migrating Processes
Begin with the basics
Migrating core processes
A wide spectrum of experience
Royal Bank of Scotland Case Report
Shared Services and the Wider HR Delivery Model
The role of the organizational strategy
The people strategy
Transforming HR
Tactical considerations
No simple checklist
HR shared services as an equal partner
Sun Microsystems Case Report
Procter & Gamble Case Report
Scotiabank Case Report
Statoil Case Report
Royal Bank of Scotland Case Report
Shared Services and Business Partnering
Taking Shared Services out of HR
Outsourcing
Procter & Gamble Case Report
Sun Microsystems Case Report
When to outsource
Self-Assessment Checklist

Chapter 5: Aligning HR Shared Services with Customer Needs
Executive Summary
Introduction
Champion International Case Report
Charging for HR Shared Services
Survey evidence on charging
Charging: case study evidence
Performance Measurement
Service level agreements
Why SLAs should evolve
City of Cape Town Case Report
Surrey County Council Case Report
Royal Bank of Scotland Case Report
KeyBank Case Report
Scotiabank Case Report
Statoil Case Report
Keeping metrics to the vital few
Governance Boards
Eastern Health Shared Services Case Report
InterContinental Hotels Group Case Report
Self-Assessment Checklist

Chapter 6: Culture and People Issues
Executive Summary
Introduction: Defining Culture
The fallout from strategy and culture clashes
How to ensure culture is aligned with strategy
Culture: The HR Challenge
Cultural Resistance
Research evidencele challenges
The role of communications
The Dangers of Not Recognizing the Change Challenge
InterContinental Hotels Groups Case Report
Selecting the team
How to Develop and Sustain an Execution Culture
Phase one: creating a climate for change
Phase two: engaging and enabling the entire organization
Phase three: implementing and sustaining change
Overcoming Resistance from the Business
Statoil Case Report
Procter & Gamble Case Report
Sun Microsystems Case Report
Overcoming Resistance from HR
The biggest change issues: the research evidence
New York Times Company Case Report
Eastern Health Shared Services Case Report
Surrey County Council Case Report
Scotiabank Case Report
Recruiting new staff into the centre
Royal Bank of Scotland Case Report
Procter & Gamble Case Report
Career development
Shared Services and Business Partnering
Standard Chartered Bank Case Report
Scotiabank Case Report
Self-Assessment Checklist

Chapter 7: The Future for Shared Services
Executive Summary
Introduction
A flexible service delivery solution
The Prospects for HR Offshoring
Prediction 1: the adoption of HR offshoring
Moving Shred Services up the Value Chain
Shared Services Heading for Obsolescence
Prediction 2: the move to higher value services
Prediction 3: the term ‘shared services’ will be revised or replaced
Prediction 4: more high potential staff will be attracted to shared services
Multi-functional Centres
Deloitte survey findings
Words of caution on multi-functional centres
Prediction 5: multi-functional centres to become the norm
Moving Administrative HR into Another Function
New Functional Configurations for the Knowledge Era
Prediction 6: administrative HR proocesses will be co-located with other functional administraive operations
Shared Services and the Wider HR Delivery Model
Prediction 7: HR needs to redefine the role of the HR business partner
Outsourcing
Prediction 8: outsourcing and insourcing will increasingly be seen as complementary
Virtualization
Koch Industries four stage model
Stage 1: Consolidation
Stage 2: Standardization
Stage 3: Optimization
Stage 4: Virtualization
Prediction 9: technology-enabled virtualization will become more common
Self Service
Prediction 10: self service will grow rapidly in importance
Shared Services: The Next Chapter
Critical Success Factors

Case Studies

KeyBank

Procter & Gamble

Scotiabank

Statoil

Sun Microsystems

Surrey County Council

References

-KeyBank
-Procter & Gamble
-Scotiabank
-Statoil
-Sun Microsystems
-Surrey County Council

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