future perspectives on university shared services, robert carter, kpmg
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Future perspectives on university shared services, Robert Carter, KPMGTRANSCRIPT
Rob Carter
12th May 2014
“Future Perspective on University Shared Services”
2© 2014 KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative, a Swiss entity. All rights reserved.
1. Introduction
Rob CarterKPMG
■ Rob works in KPMG’s Public Sector Consulting practice.
■ He has over 10 years consulting experience of working across all elements of the public sectors, delivering organisational improvement and cost optimisation projects.
■ Rob focus on within Higher Education (HE)
3© 2014 KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative, a Swiss entity. All rights reserved.
Objectives:
1. Share with you some of our experience of outsourcing and share serviced in HE and elsewhere
2. To explore how the efficiency agenda is changing the attitudes to more radical solutions
3. Consider what the future might hold for shared service in HE
2. Intended objectives of this session
4© 2014 KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative, a Swiss entity. All rights reserved.
3. Context: A changing environment....
1. The sector is becoming more market driven and customer- centric
2. Fees won’t increase leading to real term reductions
3. Demand is becoming increasingly unpredictable
4. Relaxing the cap on overall numbers will increase competition
5. The sector has a high degree of fixed costs
6. There will be winners and losers
The challenge:
• Achieve more with less
• Become more adaptable and more flexible
• Become better equipped to deliver change
Institutions will need to:
• More effective use of data and technology
• Increased focus on the elimination of waste
• Clear understanding of what is ‘core’ and what is ‘non-core’ business
To achieve this there will need to be:
5© 2014 KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative, a Swiss entity. All rights reserved.
….where driving efficient from non academic spend is key
Pay - Academic Pay
Non Pay - Academic
Non Pay - Academic Support
Pay – Academic Support
Pay - Back-office
Non Pay - Back-office
A significant proportion of the cost base of a HE organisation is supporting the operation of the organisation. It is increasingly debateable whether this is core to the organisation or not
Make or Buy?
Share with others?
6© 2014 KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative, a Swiss entity. All rights reserved.
4. Oursourcing is growing in HE
What Next?
Cost Sharing Group with
External Provider
LLP Outsource
Using the skills of the supply base can deliver significant
benefits
Be clear on what is core and non core
You need to have a clear reason for
change
The right commercial skills can often be in
scare supply
Getting the organisation “on side” is critical
Our key learning points:
Contractual Outsource
7© 2014 KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative, a Swiss entity. All rights reserved.
Student Management
5. Sharing
Strategy and Governance
Vision and Strategy
Development
Strategic Improvement
Risk and Compliance
Performance Management
Education Management
Course Development
and Accreditation
Education Delivery
Curriculum Dis-establishment
Education Commercialisat
ion
Workforce Strategy
(Education)
Curriculum Quality
Management
Support Services
Finance and Procurement
Legal Services
Records Management
Marketing and Public
Relations
Library Services
Recruitment
Enrolment
Advice and Support
Charging and Payment
Assessment
Scholarships, Prizes and
Awards
Graduation
Research Management
Opportunity Management
Workforce Strategy
(Research)
Impact and Reporting
Training and Accreditation
Quality Management
Admin. SupportEthics
Research Project
Management
Admission
ICT
Facilities and Estates
Management
HR
Timetable Management
Proven track record of Sharing in HE
And others exist in the Public Sector who can act as a guide
8© 2014 KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative, a Swiss entity. All rights reserved.
6. Sharing - What have we learnt?
Shared Service in HE to date has:
■ Grown organically
■ Taken time to develop – lack pace
■ Specific areas of focus
Heading
Second level
■ Third level
– Fourth level
■ Fifth level
– Sixth level
■A burning platform
■Willingness to build and develop
■Senior Support
Successful Shared Services developed elsewhere have required:
■Pace and agility
P?
?
?
Does this exist in HE?
9© 2014 KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative, a Swiss entity. All rights reserved.
In front of innovation Familiar interface
Human capital management SaaS solutions
Workday looks and works like your favorite consumer web site. With a minimal amount of training, every type of user – from the C-suite to managers and individual contributors – quickly adopts Workday. From thefirst time users interact with the application, they just get it.
Workday designers and engineers strive to create a user experience that follows three intuitive principles: get in, get it done, and get out. Simplicity is the overarching premise. Workday applications are simple enough for casual users yet robust enough for power users.
Designed for the way we workSocial tools, analytics, and mobile devices are pushing innovation in the enterprise cloud like never before. We are witnessing the birth of a new generation of enterprise applications that truly work the way people work.
The business of user experienceWorkday lets you take care of business in your natural workspace – at work, on a flight, in a meeting, or during your commute. Workday is simple, intuitive, and wherever you are. It's the most intuitive enterprise application ever designed.
Real multi tenant SaaS
■ Organizations can drastically reduce costs, increase productivity, and protect the bottom line by deploying Workday’s proposed Cloud Solution. Workday’s Solution is the result of innovative thinking, new technologies, and a fresh approach specifically designed for dynamic, global businesses.
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170
39
24
20
99
8 7 6 5 5USAOtherCanadaUKFranceMexicoSingaporeAustraliaSwedenBrazilOther
Headcount by country
Case Study - Workday
10© 2014 KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative, a Swiss entity. All rights reserved.
Research Management
Workforce Strategy
(Research)
Impact and Reporting
Quality Management
Admin. SupportEthics
Research Project
Management
Opportunity Management
Training and Accreditation
7. Where could Sharing go in the future?
Strategy and Governance
Vision and Strategy
Development
Strategic Improvement
Risk and Compliance
Performance Management
Education Management
Course Development
and Accreditation
Education Delivery
Curriculum Dis-establishment
Education Commercialisat
ion
Workforce Strategy
(Education)
Curriculum Quality
Management
Student Management
Recruitment
Enrolment
Advice and Support
Charging and Payment
Assessment
Scholarships, Prizes and
Awards
Graduation & Alumni
Admission
Timetable Management
Support Services
Legal Services
Records Management
Marketing and Public
Relations
Library Services
Facilities and Estates
Management
HRFinance and Procurement
ICT
Obvious areas are mature offerings
There are common processes in admissions and enrolment
Others that could be shared
And others where sharing is highly unlikely
Thank you
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© 2014 KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative, a Swiss entity. All rights reserved.
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