Outsourcing or Shared Services?

Feb 29, 2008

Outsourcing or Shared Services?

Categories: Featured Reviews, Thoughts

Written By: Rodel

Outsourcing is not new but shared service concept is somehow new. I can’t just trace it on when did this powerful and effective management concept started. If I’m not mistaken t’was last year when I did my research about “share service” concept and how it could save companies millions if not billions. Well, things would also depend on the company size but this shared service concept has now been preferred by most companies who has lots of business units scattered around the globe, and our Company is not an exemption.

Actually, we’ve been trying to embrace this concept since last year and up until now were struggling to align things. Well, management has also their plans about the companies direction, so I’d rather not interfere on that since I’m not part of the management team.

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Anyway, yes, shared service could save you tons of money and It has been proven by various consulting & research companies. For BPO’s, it has been the hottest industry right now and almost every month a new BPO emerges. See the BPO promise? There a lot of administrative or routine task that can be outsourced. Sometimes people question what are the stuffs that can be outsource. Well, if it’s non-core task then you can outsource it although others would argue that some considered as non-core are core stuffs that others cannot just outsource. Let’s check with other industries like San Diego internal audit services where in they’ve been offering services to big clients for years already. As you can see auditing is a core function to other companies while others consider it non-core that is why they wanted it outsource. Anyway, let your management team decide on this one since they are the ones who knows your industry well. Just concentrate on your job and be productive, undertake other stuffs for you to be financially free because we all know that no one gets financial freedom if your time is consumed by your company alone.

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