Realizing the Potential of Shared Services
Internal Outsourcing

While the Oil and Gas Industry can trace the concept of shared services back to the 1970's, when common support processes were amalgamated together to enable faster and more cost efficient entry into new geographic markets. However, for the broader business community a shared service is a relatively new phenomenon. Like all business concepts in the evolutionary phase, the marketplace is full of conflicting stories and different interpretations of the shared service philosophy. 

However, with a recent Fortune 500 survey suggesting average cost reductions of around 40%, it is clearly a business approach demanding greater scrutiny.

In partnership with the Shared Services Network, Bywater undertook to conduct one of the largest and most detailed research projects to date on this important topic. Primarily focused in Europe and North America, almost 200 blue chip organizations have contributed their perspectives, learnings and best practices to this study, and for that we are indeed grateful. 

If there is a single conclusion from this research project, it is that organizations have only just begun to realize the benefit stream emanating from shared services. Achieving those further benefit areas will require a much bolder approach to governance, charging policies, revenue generation and sourcing. However, for those corporations that are prepared to take such steps, the rewards are indeed handsome.