Your SlideShare is downloading. ×
Technology As An Enabler for Global Shared Services
Upcoming SlideShare
Loading in...5
×

Thanks for flagging this SlideShare!

Oops! An error has occurred.

×

Saving this for later?

Get the SlideShare app to save on your phone or tablet. Read anywhere, anytime - even offline.

Text the download link to your phone

Standard text messaging rates apply

Technology As An Enabler for Global Shared Services

1,040
views

Published on

Published in: Business, Technology

0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total Views
1,040
On Slideshare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
20
Comments
0
Likes
0
Embeds 0
No embeds

Report content
Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
No notes for slide

Transcript

  • 1. 2012-05-21 Copyright ©2012 by Oriflame Cosmetics SA 1
  • 2. Technology as an Enabler for Global Shared Services2012-05-21 Copyright ©2012 by Oriflame Cosmetics SA
  • 3. Oriflame Facts & Figures Sales by Category 2011• €1.5 Bn sales in 2011• 3.6 million Sales Consultants• Around 700 million products sold per year• 1,000 products of which 1/3 new each year• 150 million catalogues printed in 40 languages• 7,900 full-time equivalent employees 2012-05-21 Copyright ©2011 by Oriflame Cosmetics SA 3
  • 4. Operations in over 60 Countries –of which 13 Franchises 2012-05-21 Copyright ©2011 by Oriflame Cosmetics SA 4
  • 5. A Long Term Growth Company 1990 - 2011: CAGR organic sales of over 15%€m 2012-05-21 Copyright ©2011 by Oriflame Cosmetics SA 5
  • 6. Implications for Shared Services ?• Fast growth over two decades – unaligned processes• Complex, front-office driven business• Culture of independent entrepreneurs• Highly fragmented landscape 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 6
  • 7. Global Shared Services
  • 8. keep it simple2012-05-21 Copyright ©2012 by Oriflame Cosmetics SA 8
  • 9. Fundamentals of Shared Services Concentration Standardization Automation • Scale effects A prerequisite for More effective • Fewer people shared services processes • Fewer IT assets Focus activities on Elimination of non- Substantial time core business value added savings and activities and productivity Leading to further quality improvements indirect savings improvement 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 10
  • 10. Fundamentals of Shared Services Concentration Standardization Automation • Scale effects A prerequisite for More effective • Fewer people shared services processes • Fewer IT assets Focus activities on Elimination of non- Substantial time core business value added savings and activities and productivity Leading to further quality improvements indirect savings improvement 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 11
  • 11. Concentration - GSS Organization Christian Jönsson VP Global Shared Services (GSS) Pawel Pietruszewski Krasimir Gaydov Senior Director Senior Director GSS Finance GSS IT 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 12
  • 12. Concentration - GSSF Organization Senior Director GSS Finance Global Systems & Processes SSF SSF SSF SSF Mexico SSF Delhi Warsaw Fribourg Istanbul City 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 13
  • 13. Concentration - Delivery of services in GSSF Integrated SSF Virtual SSF Entity Finance Entity Finance Manager Manager Customer – Service Provider Customer – Service Provider Local SSF team Local SSF team reporting within GSSF structure Shared Services Shared Services Finance Finance Integrated service delivery independent of the location Location decisions based on the best configuration of cost, flexibility, knowledge requirements 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 14
  • 14. Concentration - Split of work in GSSF deliverymodels Scope Integrated SSF Virtual SSF Service Delivery Service Delivery  AP, Travel Expenses  Mainly Central  Mainly Local (level of AR, GL, Cognos, central delivery Service Delivery Payments and dependent on local Treasury, tax regulations, time zone, compliance costs) Accounting  Functional delivery  Central  Central System delivery  Issues resolution  Central  Central and development  Process improvement  Central  Central Process  Internal Audit  Central  Jointly Management  Special projects  Central  Central  Policy development  Central  Central  Group Reporting  Central  Central Stakeholders  External Audit  Central  Local Management  Other functions  Central  Jointly 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 15
  • 15. Fundamentals of Shared Services Concentration Standardization Automation • Scale effects A prerequisite for More effective • Fewer people shared services processes • Fewer IT assets Focus activities on Elimination of non- Substantial time core business value added savings and activities and productivity Leading to further quality improvements indirect savings improvement 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 16
  • 16. Standards in Oriflame GSSF• Standards – IFS system – Interfaces to Cognos and Orisales – Chart of Accounts for Group and design logic for statutory – Processes and procedures impacting system design – Management Reporting tools and standard reporting package – Services scope and specification• Non-standard – Statutory and tax reporting – Manual processes and procedures – Control over standardized system set-up speeds-up implementation, provides ability to implement improvements across all the entities in the efficient way, reduces cost of support and maintenance – Standardized reporting allows for cross-entity comparisons, reduces development effort, simplifies cross-entity knowledge exchange – Unified scope provides ability to manage services in a consistent way across the regions 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 17
  • 17. Standards - Decision processBroad input, tight decision making• Steering Committee – Objectives and priorities – Approves exceptions• SSF Reference Group (local finance managers) – Provides feedback on performance, issues, functional requirements• SSF Project Team – Solution design, implementation• SSF Management – Coordinates governance process, delivers – The whole finance community provides input into the design and implementation of the concept – Focused decision making ensures timely delivery 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 18
  • 18. Fundamentals of Shared Services Concentration Standardization Automation • Scale effects A prerequisite for More effective • Fewer people shared services processes • Fewer IT assets Focus activities on Elimination of non- Substantial time core business value added savings and activities and productivity Leading to further quality improvements indirect savings improvement 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 19
  • 19. Automation - IFS ERP solution is at the centre ofFinancial Systems concept Cognos BI Orisales Reports IFS Reports Cognos Controller Reports IFS GSSF Controller Cognos General Accounting IFS Connect Orisales AP / T&E Orisales GDC Non-Consultant AR Planning Cognos 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 20
  • 20. Automation - IFS ERP solution is at the centre of Financial Systems concept Cognos BI Orisales Reports IFS Reports Cognos Controller Reports IFS GSSF Controller Cognos General Accounting IFS Connect Orisales AP / T&E Orisales GDCOne Accounting system onsingle occurrence: Non-Consultant AR Planning CognosSingle Chart of AccountsIntegrated Group and StatutoryReportingFunctional alignment 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 21
  • 21. Automation - IFS ERP solution is at the centre ofFinancial Systems concept Automated interfaces between key applications – single input of data Cognos BI Automated Interface: Orisales Reports IFS – Orisales Reports – Cognos IFS and IFS Cognos Controller Reports IFS GSSF Controller Cognos General Accounting IFS Connect Orisales AP / T&E Orisales GDC Non-Consultant AR Planning Cognos 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 22
  • 22. Automation - IFS ERP solution is at the centre ofFinancial Systems concept Elimination of the paper flows of documents and manual input of data • E-Invoicing for scanning and approval of vendor invoices (IFS module) Cognos BI • Expense management for setting and approving cash advances and travel costs (IFS module) Orisales Reports Cognos Controller • Bank interfaces through IFS ConnectReports IFS Reports IFS GSSF Controller Cognos General Accounting IFS Connect Orisales AP / T&E Orisales GDC Non-Consultant AR Planning Cognos 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 23
  • 23. Automation - IFS End-User Portal 5/21/2012 Copyright ©2011 by Oriflame Cosmetics SA 24
  • 24. Automation - IFS E-Invoice workflow Visibility of all the invoices in the process Elimination of the paper-flow and walking around Strict Internal Controls 5/21/2012 Copyright ©2011 by Oriflame Cosmetics SA 25
  • 25. Automation - Expense Management System 5/21/2012 Copyright ©2011 by Oriflame Cosmetics SA 26
  • 26. Automation – Payment Solution Base line solution for outgoing payment On-Line Bank Application Core XML OriSales IFS Extended Server(bonuses, disburs.) HTTP Routing/Routing AddressIFS Application 7.5 IFS Connect File Core XML Transformer FTP Service Bureau Swiftnet SFTP Mail preferably payment message Core XML XML ISO20022 Payroll (salaries) 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 27
  • 27. Automation - IFS ERP solution is at the centre ofFinancial Systems concept Integrated Management Reporting Cognos BI Orisales Reports IFS Reports Cognos Controller Reports IFS GSSF Operational, transaction Controller level reporting Cognos General Accounting IFS Connect Orisales AP / T&E Orisales GDC Non-Consultant AR Planning Cognos 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 28
  • 28. Putting this together into the ServiceCatalogue 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 29
  • 29. What have we done• GSS IT – Process started in 2007 with establishment of GSO IT and business owners – Low rates (cost levels and staff levels) in external benchmarking• GSS Finance – Full implementation in EMEA finalized in 2 years – Asia and Latin America following in 2012 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 30
  • 30. GSSF WAW and FRI are supporting 17 and 11legal entities respectively 2012-05-21 Copyright ©2012 by Oriflame Cosmetics SA 31
  • 31. GSSF WAW and FRI are supporting 17 and 11legal entities respectively FRI WAW Poland Jul 10 Spain Oct 10 Slovakia Oct 10 Portugal Jan 11 Czech R. Jan 11 OCSA Lux Feb 11 GSO Prague Jan 11 (7 legal entities) Hungary Apr 11 Holland Mar 11 (2 reporting entities) Slovenia Apr 11 E-Commerce Mar 12 Sweden Jul 11 (2 legal entities) Norway Jul 11 Finland Jul 11 GSO Dublin Jul 11 Romania Oct 11 Bulgaria Oct 11 Serbia Jan 12 Kosovo Jan 12 VIRTUAL Montenegro Jan 12 Turkey Jan12 OPP Jan 12 2012-05-21 Copyright ©2012 by Oriflame Cosmetics SA 32
  • 32. GSSF Team in Europe• 60 people based in Warsaw, Fribourg and Stockholm• From 0 to 20 years of experience in Oriflame• 9 nationalities – Brazilian; Polish; Portuguese; Romanian; Slovak; Slovenian; Spanish; Swedish; Swiss 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 33
  • 33. Summary• Can we provide both integrity and agility ? – Integrity allows for greater agility at the global level – Business relieved from finance and IT can be more focused on core business• How can multifunctional business services organization add more value to the business ? – Ease of managing multifunctional changes – Seamless experience for the clients in regards to the implementation / improvement projects 5/21/2012 Copyright ©2012 by Oriflame Cosmetics SA 34
  • 34. 2012-05-21 Copyright ©2012 by Oriflame Cosmetics SA 35