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ITSM Sourcing specialization 2008-2009 Shared Services, Collaboration and Crowdsourcing
Agenda <ul><li>Shared Services </li></ul><ul><li>Collaboration as a sourcing solution </li></ul><ul><li>4 th  generation s...
But first: how about the outcome of the Digital Selftest?
Experience with the outcome of the Digital Selftest Test should be made on  http://www.twynstragudde.nl/tg.htm?id=8635 10 ...
Conclusion <ul><li>IT Service management and Sourcing is all about people </li></ul><ul><li>People can share energy, knowl...
Shared Services
Definition and goal of a Shared Service Center (SSC) <ul><li>We speak about an SSC as supporting processes within an organ...
Measures in perspective Measures at task level: Stopping investments Orcutting down on current initiatives Measures at a p...
Concentration leads to economies of scale Internal SSC Insourcing/ External Supplier Costs Volume Efficiency- effects Econ...
Are the trends moving up and down? Yes, to take maximum concentration and complexity there will be need for new solutions....
Potential services for a SSC <ul><li>Facility Management </li></ul><ul><li>mailroom  </li></ul><ul><li>copying and printin...
Variants of Shared Services supportfunctions Management   primairy functions Shared Support Process Shared Business Proces...
The components of Shared Services How to manage the  environment, where the  process is cut and  who is responsible for  w...
Name the change components Ontwikkelen maatwerk Ontwikkelen maatwerk Beheer infrastructuur Beheer infrastructuur Beheer & ...
An Change approach for Shared Services … . Change idea Intervention-oriented communication about plan and implementation S...
Example of a Target Efforts Network More innovative power  and sharing knowledge Higher efficiency  pension processes Bett...
Collaboration
Collaboration is not obvious “ Working together requires the courage to stand away from yourself without losing sight of. ...
Organizing between organisations Choos youe position in the group! Build an effective collaboration! Develop a legitimated...
Build an effective collaboration  Consent Condtional Assimilation Independant Exchangeable Appropriate partners Consensus ...
The Kraljic Purchasing model Purchasing Risk  Is it a standard or a specialized product? What is the extent to which the p...
The sourcing solutions plotted on this model Purchasing Risk  Is it a standard or a specialized product? What is the exten...
Crowd Sourcing
Definition of Crowd Sourcing <ul><li>Due to deep changes in technology, demographics, business, the </li></ul><ul><li>econ...
Building the Community of the Future <ul><li>While hierarchies are not vanishing, profound changes in the nature of </li><...
Internet is the infrastructure for the crowd <ul><li>New low-cost collaborative infrastructures — from </li></ul><ul><li>f...
Four principles of Crowd Sourcing <ul><li>Crowdsourcing is based on four powerful new ideas: </li></ul><ul><li>Openness </...
Being Open <ul><li>Today, companies that make their boundaries porous to </li></ul><ul><li>external ideas and human capita...
Peering <ul><li>Peering succeeds because it leverages selforganization —  </li></ul><ul><li>a style of production that wor...
Sharing <ul><li>Smart firms are treating intellectual property (IP) like a mutual </li></ul><ul><li>fund — they manage a b...
Acting Globally <ul><li>The new globalization is both causing and caused by changes </li></ul><ul><li>in collaboration and...
The Lego Prosumer Community <ul><li>One of the earliest, and still most vibrant, prosumer communities has formed around Le...
Crowdsource Design Principles <ul><li>So how should leaders go about applying the principles of </li></ul><ul><li>wikinomi...
Which Change Colour is dominant? <ul><li>For learning, sharing and developing Crowd Sourcing? </li></ul>10 24 24 19 19 Reb...
Which examples do we have together? <ul><li>Of crowd sourcing </li></ul><ul><li>In an IT Service Management Environment </...
Tips for building succesfull Crowd Sources <ul><li>You must: </li></ul><ul><li>Take cues from your lead users </li></ul><u...
The sourcing solutions plotted on this model Purchasing Risk  Is it a standard or a specialized product? What is the exten...
Dominant change colours per sourcing generation Purchasing Risk  Is it a standard or a specialized product? What is the ex...
All rights reserved. No part of this presentation may be reproduced or published in any form or by any means without the p...
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Sourcing Lecture 4 Shared Services Collaboration And Crowdsourcing

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This is lecture 4 from 5 about three types of sourcing; shared services, collaboration and crowdsourcing. Specially the crowsourcing will be an revolutionair way of sourcing.

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  • Transcript of "Sourcing Lecture 4 Shared Services Collaboration And Crowdsourcing"

    1. 1. ITSM Sourcing specialization 2008-2009 Shared Services, Collaboration and Crowdsourcing
    2. 2. Agenda <ul><li>Shared Services </li></ul><ul><li>Collaboration as a sourcing solution </li></ul><ul><li>4 th generation sourcing and Crowdsourcing </li></ul><ul><li>Explanation of learning Task 3 about Sourcing </li></ul>
    3. 3. But first: how about the outcome of the Digital Selftest?
    4. 4. Experience with the outcome of the Digital Selftest Test should be made on http://www.twynstragudde.nl/tg.htm?id=8635 10 24 24 19 19 Rebin 18 20 24 24 10 Gideon 16 19 24 24 13 Egbert 20 19 35 10 12 Jaime 22 14 10 39 11 Michiel 19 24 16 18 19 Thijs 14 21 23 26 12 Raage 10 23 21 26 16 Sofia 15 19 21 24 17 Ibrahim 14 28 13 24 17 Joanmis/Ioannidis White Green Red Blue Yellow Name
    5. 5. Conclusion <ul><li>IT Service management and Sourcing is all about people </li></ul><ul><li>People can share energy, knowledge and power together when they are aware of the differences and the comparability </li></ul><ul><li>Organizational Change Management can help to manage the right interventions </li></ul>
    6. 6. Shared Services
    7. 7. Definition and goal of a Shared Service Center (SSC) <ul><li>We speak about an SSC as supporting processes within an organization on an approximately similar way, are delivered a new, semi-autonomous unit and on the basis of agreements it provides services to other units </li></ul><ul><li>The goal of an SSC is generally to improve the service quality while cutting costs </li></ul><ul><li>SSC versus centralization, service-oriented versus task </li></ul>
    8. 8. Measures in perspective Measures at task level: Stopping investments Orcutting down on current initiatives Measures at a process level: Collaboration and joint investments Measures at a functional level: Concentration, integration, mergers, Take-over or outsourcing Saving potential Short term (0,5-1 year Medium term (1-2 years Long term (2-5 years) Stopping projects Cutting down on training and learning Cutting down on engaging external consultants System optimazation Collaboration regarding purchasing, support, etc. Optimization and standardization of processes Integration, mergers and concentration Outsourcing of parts of the organization Shared Services Centre Full outsourcing Capitalizing effects
    9. 9. Concentration leads to economies of scale Internal SSC Insourcing/ External Supplier Costs Volume Efficiency- effects Economy of Scale
    10. 10. Are the trends moving up and down? Yes, to take maximum concentration and complexity there will be need for new solutions. Costs Volume Startingpoint Impact Scale reached Impact Scale reached Complexity Costs will increase
    11. 11. Potential services for a SSC <ul><li>Facility Management </li></ul><ul><li>mailroom </li></ul><ul><li>copying and printing service </li></ul><ul><li>archive </li></ul><ul><li>purchase </li></ul><ul><li>catering </li></ul><ul><li>Customer Service </li></ul><ul><li>sales service </li></ul><ul><li>telephone customer service (call center) </li></ul><ul><li>Administration </li></ul><ul><li>financial administration </li></ul><ul><li>pensions administration </li></ul><ul><li>Payroll </li></ul><ul><li>Personelmanagement (HRM) </li></ul><ul><li>recruitment and selection </li></ul><ul><li>Personnel administration </li></ul><ul><li>training </li></ul><ul><li>ICT Services </li></ul><ul><li>application development </li></ul><ul><li>Helpdesk </li></ul><ul><li>Management and operation </li></ul><ul><li>Training </li></ul><ul><li>Real Estate Management </li></ul><ul><li>management buildings </li></ul><ul><li>Security management </li></ul><ul><li>Sales and marketing </li></ul><ul><li>ad coordination </li></ul><ul><li>direct mail </li></ul><ul><li>sales </li></ul><ul><li>Tele ordering </li></ul><ul><li>Order administration </li></ul>
    12. 12. Variants of Shared Services supportfunctions Management primairy functions Shared Support Process Shared Business Process Shared back-offices
    13. 13. The components of Shared Services How to manage the environment, where the process is cut and who is responsible for what processes? What is the proper organization, which staff and how are we ready for the future? How are technology, process and organization knotted together ? The core of the service Processes Organization Systems Customers SSC 1 SSC 3 SSC 2 SSC 4 Opstellen van Business Cases Inrichten van processen Managen van projecten Governance Regie Architectuur
    14. 14. Name the change components Ontwikkelen maatwerk Ontwikkelen maatwerk Beheer infrastructuur Beheer infrastructuur Beheer & draaien pakketten Beheer & draaien pakketten Support/ Helpdesk Support/ Helpdesk Ontwikkelen maatwerk SSC 1 Beheer infrastructuur SSC 3 Beheer & draaien pakketten SSC 2 Support/ Helpdesk SSC 4 Response, context and vision of SSC's clear and design direction activities Target focus on service domains ICT - governance Governance Regie Regie Architectuur Architectuur Make Governance agreements Professionalize demand ICT - governance Governance Regie Regie Architectuur Architectuur Transform demand management ICT - governance - Governance Regie Regie Architectuur Architectuur SSC 1 SSC 3 SSC 2 SSC 4 Opstellen van Business Cases Inrichten van processen Managen van projecten Governance Regie Architectuur
    15. 15. An Change approach for Shared Services … . Change idea Intervention-oriented communication about plan and implementation Support by Change help desk Assessment by Change board Consultation with Sounding board group CIO Client … Characteristics of interaction Characteristics of employees Characteristics of products, pro- cesses & structure Clients, Governance & suppliers Histor y Reason Environment View on change Kick off Change analysis + Culture scan DD MM YYYY Change goals Aligning structure and processes Organizing control and and prepairing SSC implementation Contracting and realizing SLA’s Culture change and competence development Learning to collaborate Inter- ventions And (re) planning Reconsider- Ing goals Measuring progress Plateau 2 Inter- ventions and (re) planning Reconsider- ing goals Measuring progress Plateau 1
    16. 16. Example of a Target Efforts Network More innovative power and sharing knowledge Higher efficiency pension processes Better quality ICT services and products 75% Reuse pension processes and systems (FO & BO) 20% Faster market introduction pension products 30% Cheaper implementation processes 20% Less duplication 60% Knowledge   pension products more accessible 95% Reliable service in accordance SLA Mission Goals Measurable goals Projects and activities Mission Develop a Shared Service Center that is a knowledge-and information-engine around pension products, by sharing forces to deliver better innovation and deliver at lower cost high quality products and services to
    17. 17. Collaboration
    18. 18. Collaboration is not obvious “ Working together requires the courage to stand away from yourself without losing sight of. That is the great challenge”. Edwin Kaats Own control Give up part autonomy Alignment Domains Give away knowledge Slow decision-making Sharing Trust
    19. 19. Organizing between organisations Choos youe position in the group! Build an effective collaboration! Develop a legitimated organization for cooperation! Way of descision making Length of the relationship Marktet behaviour Organising Between organisations Concern Gomes-Casseres organisation organisation III. Organisation II. Collaboration relation organisation organisation organisation organisation I. Group organisation
    20. 20. Build an effective collaboration Consent Condtional Assimilation Independant Exchangeable Appropriate partners Consensus Primary importance Coëxistential Mutually dependent Exclusive Unique partners Better Different Stability and continuïty Creativity Result Description Ambition and goals First order solutions Second order solutions Tomorrow Future Client - contractor Similar Step by step Innovation Transactional Exploring Functional Entrepeneural Control Target subsystem Behavioral Agreements Operational development Different in: Find, get, start, run, restructure!
    21. 21. The Kraljic Purchasing model Purchasing Risk Is it a standard or a specialized product? What is the extent to which the product / service adds value for the business Less added value Large added value Standard Specialized Strategic Leverage Bottleneck Routine
    22. 22. The sourcing solutions plotted on this model Purchasing Risk Is it a standard or a specialized product? What is the extent to which the product / service adds value for the business Less added value Large added value Standard Specialized Strategic Leverage Bottleneck Routine Business Proces Outsourcing Backoffice outsourcing Outsourcing workplace mgt Business development Shared Service Centers DataCenter outsourcing Facilities outsourcing Workinnovation 1 e generation sourcing 2 e generation sourcing 4 e generation sourcing 3 e generation sourcing 2 e generation sourcing Crowd sourcing Operations outsourcing
    23. 23. Crowd Sourcing
    24. 24. Definition of Crowd Sourcing <ul><li>Due to deep changes in technology, demographics, business, the </li></ul><ul><li>economy and the world, we are entering a new age in which people </li></ul><ul><li>take part in the economy like never before. </li></ul><ul><li>The growing accessibility of information technologies puts the tools </li></ul><ul><li>required to collaborate, create value and compete at everybody’s </li></ul><ul><li>fingertips. </li></ul><ul><li>This new mode of innovation and value creation is called crowd </li></ul><ul><li>sourcing, peer production or peering. </li></ul>
    25. 25. Building the Community of the Future <ul><li>While hierarchies are not vanishing, profound changes in the nature of </li></ul><ul><li>technology, demographics and the global economy are giving rise to </li></ul><ul><li>powerful new models of production based on community, collaboration </li></ul><ul><li>and self-organization rather than on hierarchy and control. </li></ul><ul><li>Smart companies are encouraging, rather than fighting, the heaving </li></ul><ul><li>growth of massive online communities. </li></ul><ul><li>As a growing number of firms see the benefits of mass collaboration, </li></ul><ul><li>this new way of organizing will displace the traditional corporate </li></ul><ul><li>structures as the economy’s primary engine of wealth creation. </li></ul>
    26. 26. Internet is the infrastructure for the crowd <ul><li>New low-cost collaborative infrastructures — from </li></ul><ul><li>free Internet telephony to open-source software to global </li></ul><ul><li>outsourcing platforms — allow thousands of individuals </li></ul><ul><li>and small producers to co-create products, access </li></ul><ul><li>markets and delight customers in ways that only large </li></ul><ul><li>corporations could manage in the past. People can contribute </li></ul><ul><li>to the “digital commons” at very little cost to </li></ul><ul><li>themselves, which makes collective action attractive. </li></ul><ul><li>Indeed, peer production is a very social activity. </li></ul>
    27. 27. Four principles of Crowd Sourcing <ul><li>Crowdsourcing is based on four powerful new ideas: </li></ul><ul><li>Openness </li></ul><ul><li>Peering </li></ul><ul><li>Sharing </li></ul><ul><li>Acting globally </li></ul>
    28. 28. Being Open <ul><li>Today, companies that make their boundaries porous to </li></ul><ul><li>external ideas and human capital outperform companies that </li></ul><ul><li>rely solely on their internal resources and capabilities. </li></ul><ul><li>People and institutions that interact with firms are gaining </li></ul><ul><li>unprecedented access to important information about corporate </li></ul><ul><li>behavior, operations and performance. </li></ul>
    29. 29. Peering <ul><li>Peering succeeds because it leverages selforganization — </li></ul><ul><li>a style of production that works more effectively than </li></ul><ul><li>hierarchical management for certain tasks. </li></ul><ul><li>Its greatest impact today is in the production of software, media, </li></ul><ul><li>entertainment and culture. </li></ul>
    30. 30. Sharing <ul><li>Smart firms are treating intellectual property (IP) like a mutual </li></ul><ul><li>fund — they manage a balanced portfolio of IP assets, some </li></ul><ul><li>protected and some shared. </li></ul><ul><li>Of course companies need to protect critical IP. But companies </li></ul><ul><li>can’t protect knowledge and should encourage sharing </li></ul>
    31. 31. Acting Globally <ul><li>The new globalization is both causing and caused by changes </li></ul><ul><li>in collaboration and the way firms orchestrate capability to </li></ul><ul><li>pioneer and produce things. </li></ul><ul><li>Winning companies will need to know the world, including its </li></ul><ul><li>markets, technologies and people. </li></ul>
    32. 32. The Lego Prosumer Community <ul><li>One of the earliest, and still most vibrant, prosumer communities has formed around Lego products. Lego itself has become a flagship for how to get your customers deeply involved in cocreating and co-innovating products. Though Lego is perhaps best known for making little interlocking plastic bricks, the company is increasingly focusing on high-tech toys. With Lego Mindstorms, for example, users build real robots out of programmable bricks that can be turned into two-legged walking machines, or into just about anything a teenage mind can envision. When the product first made its debut in 1998, marketing officials were surprised to discover that the robotic toys were popular not only with teenagers but with adult hobbyists eager to improve on them. </li></ul><ul><li>Within three weeks of its release, user groups had sprung up and tinkerers had reverse engineered and reprogrammed the sensors, motors, and controller devices at the heart of the Mindstorms robotic system. When users sent their suggestions to Lego, the company initially threatened lawsuits. When users rebelled, Lego finally came around, and ultimately incorporated user ideas. It even wrote a &quot;right to hack&quot; into the Mindstorms software license, giving hobbyists explicit permission to let their imaginations run wild. </li></ul><ul><li>Today Lego uses mindstorms.lego.com to encourage tinkering with its software. The company benefits hugely from the work of this volunteer business web. Each time a customer posts a new application for Mindstorms, the toy becomes more valuable. </li></ul><ul><li>The Mindstorms experience has proven to be so successful that Lego has transferred its customer-centric development practices to its more conventional Lego brick toys with a service that lets customers design their own custom Lego sets. </li></ul>
    33. 33. Crowdsource Design Principles <ul><li>So how should leaders go about applying the principles of </li></ul><ul><li>wikinomics in their businesses? Your planning must allow for </li></ul><ul><li>a high degree of learning on your part and the flexibility to </li></ul><ul><li>respond to new opportunities that arise out of the interplay </li></ul><ul><li>among participants in your business web. Peering is a design </li></ul><ul><li>and production innovation, and the firm must learn how to </li></ul><ul><li>operate in this new environment. </li></ul>
    34. 34. Which Change Colour is dominant? <ul><li>For learning, sharing and developing Crowd Sourcing? </li></ul>10 24 24 19 19 Rebin 18 20 24 24 10 Gideon 16 19 24 24 13 Egbert 20 19 35 10 12 Jaime 22 14 10 39 11 Michiel 19 24 16 18 19 Thijs 14 21 23 26 12 Raage 10 23 21 26 16 Sofia 15 19 21 24 17 Ibrahim 14 28 13 24 17 Joanmis/Ioannidis White Green Red Blue Yellow Name
    35. 35. Which examples do we have together? <ul><li>Of crowd sourcing </li></ul><ul><li>In an IT Service Management Environment </li></ul>
    36. 36. Tips for building succesfull Crowd Sources <ul><li>You must: </li></ul><ul><li>Take cues from your lead users </li></ul><ul><li>Build critical mass </li></ul><ul><li>Supply an infrastructure for collaboration </li></ul><ul><li>Take your time to get the structures and governance right </li></ul><ul><li>Abide by community norms </li></ul><ul><li>Let the process evolve </li></ul><ul><li>Hone your collaborative mind </li></ul>
    37. 37. The sourcing solutions plotted on this model Purchasing Risk Is it a standard or a specialized product? What is the extent to which the product / service adds value for the business Less added value Large added value Standard Specialized Strategic Leverage Bottleneck Routine Business Proces Outsourcing Backoffice outsourcing Outsourcing workplace mgt Business development Shared Service Centers DataCenter outsourcing Facilities outsourcing Workinnovation 1 e generation sourcing 2 e generation sourcing 4 e generation sourcing 3 e generation sourcing 2 e generation sourcing Crowd sourcing Operations outsourcing
    38. 38. Dominant change colours per sourcing generation Purchasing Risk Is it a standard or a specialized product? What is the extent to which the product / service adds value for the business Less added value Large added value Standard Specialized Business Proces Outsourcing Backoffice outsourcing Outsourcing workplace mgt Business development Shared Service Centers DataCenter outsourcing Facilities outsourcing Workinnovation 1 e generation sourcing 2 e generation sourcing 4 e generation sourcing 3 e generation sourcing 2 e generation sourcing Crowd sourcing Operations outsourcing
    39. 39. All rights reserved. No part of this presentation may be reproduced or published in any form or by any means without the prior written permission of Twynstra Gudde. Frank Willems [email_address] www.twynstragudde.nl
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