Scaling the Heights: The Imperative to Grow Shared Services & Outsourcing

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Scaling the Heights: The Imperative to Grow Shared Services & Outsourcing

  1. 1. Scaling the Heights: The Imperative toGrow Shared Services and Outsourcing Deborah Kops and Friends SSON Week May 2012
  2. 2. Accelerating growth is imperative Mandatory to evolve the business model Critical to achieve maximum benefit for stakeholders Gets more executive attention Creates momentum Exploits synergies Delivers ROI
  3. 3. Why is growth difficult to attain… No executive hammer Typical “build it and they will come”/order taker approach No/few formal metrics requiring scale Organizational focus primarily on solutions, delivery and governance Lack of marketing strategy
  4. 4. …but not an uncommon challenge Goes against the grain: unwelcome structural change for business unit- or geography-led organizations Seen as empire building: perceived by stakeholders as political/power play Natural plateaus: ability to scale beyond a certain size difficult “Enough is enough” syndrome: Slower growth natural after 2-3 years No capability: limited marketing/sales skills driving growth
  5. 5. What’s getting in the way? Lack of capability: Historic focus on financial, sourcing/process acumen, not marketing/sales savvy Too soft and squishy: belief that marketing is the domain of lightweights; detracts from value “Build it and they will come” approach to scale “What about this don’t you get” attitude—the facts should speak for themselves Positioning: facilitator rather than driver of growth Charter: CoEs, not internal commercial service providers
  6. 6. Growing shared services and outsourcing – easier than you think Process – just like any other Measurable – readily track cause and effect Value proposition is obvious Captive target market; “hunting license” Corporate knowledge—know how to play the game achieve Reference-able—can harness internal champions/customers to support sale
  7. 7. Hear the stories• Peggy Fechtmann, Executive Vice President, MetLife• Ken Newton, Deputy Director, Service Delivery Directorate, NASA• Lara Nichols, Senior Director, IT Sourcing and Asset Strategy, Tyco• Barb Pawlik, Senior Manager, Strategic Initiatives, TRW
  8. 8. Questions? Comments?deborah.kops@sourcingchange.com

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