winshuttle 2013 shared services survey report
DESCRIPTION
Winshuttle's 2013 Shared Services Survey uncovers the top challenges and concerns faced in Shared Services, how businesses are measuring success and where task automation and technology play a role.TRANSCRIPT
1 Copyright Winshuttle 2013
2013 Shared Services Survey Report
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Executive summary The 2013 Winshuttle Shared Services Survey was conducted in conjunction with the Shared Services and Outsourcing Network (SSON).
758 participants started the questionnaire
395 participants (52%), spanning 58 countries, completed the questionnaire
The completed survey responses are taken into account in the preparation of this report, which: • Outlines the different functional business areas represented by Shared Services Centers • Compares the workload dedicated to different functional business areas • Ranks the general challenges faced by Shared Services Centers • Compares the occurrence of data and business process concerns • Compares success metrics used and investigates the top priority success indicator • Explores the existence and prioritization of task automation • Compares technology used to support Shared Services Centers • Questions the awareness of technology usage • Compares the influence Shared Services Centers have on implementing change
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Report structure
The findings of the survey are presented in the following structure:
• Country and Participant Distribution Page 5
• Business Functions Page 8
• Challenges Faced Page 16
• Measuring Success Page 21
• Task Automation Page 25
• Technology Page 30
• Implementing Change Page 34
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COUNTRY AND PARTICIPANT DISTRIBUTION
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Top 30 participant countries by response volume
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Survey participant job titles
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28.9%
24.1%
6.6%
5.6%
4.3%
4.3%
3.8%
2.5%
2.0%
1.8%
1.5%
1.0%
1.0%
0.5%
0.5%
0.5%
0% 5% 10% 15% 20% 25% 30% 35%
Manager
Director
Head / Head of
Lead
Vice President
Consultant
Specialist
Controller
Analyst
Transformation
Partner
Chief Financial Officer
Senior Vice President
Chief Executive Officer
Chief Operating Officer
Executive Director
Chart shows the percentage of survey participants with job titles that contained the keyword • E.g. 1.8% of participants contained Transformation in their
job titles
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BUSINESS FUNCTIONS IN SHARED SERVICES
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What percentage of Shared Services Centers are involved in these business functions?
90%
72% 74%
39%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Finance Human Capital Management / HR Master Data Other
The workload analyses for Finance, HR and Master Data business areas are presented on the following pages
Sample size: 373
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59%
25%
17%
24%
60%
20%
10%
20%
0%
10%
20%
30%
40%
50%
60%
70%
Finance HR Master Data Other
Average
Median
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Finance Shared Services Centers
What is the average daily workload dedicated to each business function?
Sample size: 337
In addition: • 8% only process finance-related tasks • 37% dedicate 75% or more of daily workload to finance-related tasks • 64% dedicate half or more of daily workload to finance-related tasks
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Finance Shared Services Centers
What is the average daily workload dedicated to each type of data activity?
Sample size: 337
59%
13% 12% 16% 15%
60%
10% 10% 10% 10%
0%
10%
20%
30%
40%
50%
60%
70%
Transactional data Master data creation Master data maintenance Reporting Other
Average
Median
In addition: • 3% only process transactional data • 12% dedicate 90% or more of daily workload to transactional data • 31% dedicate 75% or more of daily workload to transactional data • 8% dedicate half or more of daily workload to master data
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HR Shared Services Centers Sample size: 268
What is the average daily workload dedicated to each business function?
In addition: • 4% only process HR-related tasks • 9% dedicate 75% or more of daily workload to HR-related tasks • 19% dedicate half or more of daily workload to HR-related tasks
48%
30%
18%
26%
50%
23%
10%
20%
0%
10%
20%
30%
40%
50%
60%
Finance HR Master Data Other
Average
Median
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HR Shared Services Centers Sample size: 268
What is the average daily workload dedicated to each type of data activity?
In addition: • 3% only process transactional data • 9% dedicate 90% or more of daily workload to transactional data • 26% dedicate 75% or more of daily workload to transactional data • 11% dedicate half or more of daily workload to master data
57%
14% 13% 16% 15%
60%
10% 10% 10% 10%
0%
10%
20%
30%
40%
50%
60%
70%
Transactional data Master data creation Master data maintenance Reporting Other
Average
Median
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Master Data Shared Services Centers Sample size: 277
What is the average daily workload dedicated to each business function?
In addition: • None process master data tasks exclusively • 1% dedicate 75% or more of daily workload to master data tasks • 7% dedicate half or more of daily workload to master data tasks
54%
26%
18%
24%
55%
20%
10%
19%
0%
10%
20%
30%
40%
50%
60%
Finance HR Master Data Other
Average
Median
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Master Data Shared Services Centers Sample size: 277
What is the average daily workload dedicated to each type of data activity?
In addition: • 6% dedicate 90% or more of daily workload to transactional data • 23% dedicate 75% or more of daily workload to transactional data • 10% dedicate half or more of daily workload to master data tasks
56%
13% 12% 16% 14%
60%
10% 10% 10% 10%
0%
10%
20%
30%
40%
50%
60%
70%
Transactional data Master data creation Master data maintenance Reporting Other
Average
Median
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CHALLENGES FACED IN SHARED SERVICES
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4.1
3.1
4.1
2.5 3.9 5.7
4.0
Expanding the businessoffering
Automating manual tasks
Reducing communicationand transparency gaps
Improving businessprocess efficiencyReducing process variance
Integrating spreadsheetsthat we currently use
Reducing cost pertransaction
What is the main challenge faced by Shared Services Centers?
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Participants ranked challenges in order of priority for their Shared Services Centers. Cumulative ranking (lowest number represents highest priority) produced the top 3 challenges: • Improving business process efficiency • Automating manual tasks • Reducing process variance
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The effect of request formats
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What percentage of Shared Services Centers using these formats experience the top 3 challenges?
72%
71%
55%
50%
44%
39%
32%
7%
0% 10% 20% 30% 40% 50% 60% 70% 80%
Phone calls
Text in the body of an email
Scanned document (e.g PDF) by email
Excel spreadsheet by email
Electronic interface directly to your systems
Word document by email
Online form feeding an online work list
Other
What percentage of Shared Services Centers receive requests in the following formats?
Top 3 challenges
Improving business process efficiency Automating manual tasks Reducing process variance
SSCs receiving phone call requests 31% 22% 7%
SSCs receiving text requests 33% 21% 6%
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Data challenges and concerns
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66%
46%
44%
41%
29%
27%
6%
4%
0% 10% 20% 30% 40% 50% 60% 70%
Receiving incomplete or incorrect data
Manual rekeying of data into the ERP system
Avoiding duplication of data
Lack of data validation before loading
Corrupt data already in the ERP system
Time taken to perform bulk changes
We are not concerned about data challenges
Other
What percentage of Shared Services Centers have the following data concerns?
34%
18%
12%
8%
5%
0% 5% 10% 15% 20% 25% 30% 35% 40%
Top 2 = Receiving incomplete or incorrect data & Manual rekeying of datainto the ERP system
Top 3 = Top 2 & Avoiding duplication of data
Top 4 = Top 3 & Lack of data validation before loading
Top 5 = Top 4 & Corrupt data already in the ERP system
Top 5 = Top 4 & Time taken to perform bulk changes
What percentage of Shared Services Centers have the Top N data concerns?
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Business process challenges and concerns
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What percentage of Shared Services Centers have the Top N business process concerns?
13%
5%
2%
1%
1%
0% 2% 4% 6% 8% 10% 12% 14%
Top 2 = Business rule changes are difficult to implement & Workflowchanges would be costly
Top 3 = Top 2 & Workflow changes require technical resources which wedon't have
Top 4 = Top 3 & No workflow tools are in use
Top 5 = Top 4 & Workflow processes are limited to ERP users
Top 6 = Top 5 & Business processes are driven by email only
What percentage of Shared Services Centers have the following process concerns?
49%
26%
26%
25%
23%
17%
15%
14%
0% 10% 20% 30% 40% 50% 60%
Business rule changes are difficult to implement
Workflow changes would be costly
Workflow changes require technical resources which we don't have
No workflow tools are in use
Workflow processes are limited to ERP users
Business processes are driven by email only
Workflow changes require technical resources which we do have
Other
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MEASURING SUCCESS IN SHARED SERVICES
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Metrics used to measure success
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73% 72%
58% 51%
46% 43%
40% 39%
13% 9%
0% 10% 20% 30% 40% 50% 60% 70% 80%
SLA adherenceCustomer satisfactionProcessing durationProductivity per employeeCost per transactionProductivity per processCost per employeeRejection ratesRevenue per employeeOther
What percentage of Shared Services Centers use the following metrics?
57%
36%
22%
16%
10%
7%
6%
0% 10% 20% 30% 40% 50% 60% 70%
Top 2 = SLA adherence & Customer satisfaction
Top 3 = Top 2 & Processing duration
Top 4 = Top 3 & Productivity per employee
Top 5 = Top 4 & Cost per transaction
Top 6 = Top 5 & Productivity per process
Top 7 = Top 6 & Cost per employee
Top 8 = Top 7 & Rejection rates
What percentage of Shared Services Centers use the top N metrics?
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Measuring Success
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Of the Shared Services Centers that use SLA adherence as a measure of success:
16%
24%
24%
25%
35%
57%
62%
0% 10% 20% 30% 40% 50% 60% 70%
Only use email as the business process driver
Can only measure call opened and call closed times
Have no workflow tools in place
Only have workflow processes for ERP users
Can't report on lead times
Can't track the handover of process steps
Measure processing duration
In addition: • 81% rank improving business process efficiency as a top 3 priority • 41% rank reducing process variance as a top 3 priority • 25% rank reducing communication and transparency gaps as a top 3 priority
Sample size: 288
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Measuring Success
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Of the Shared Services Centers that use SLA adherence as a measure of success:
3%
26%
31%
35%
40%
44%
47%
67%
0% 10% 20% 30% 40% 50% 60% 70%
Have no repetitive task automation in place
Are concerned about the time taken to perform bulk changes
Are concerned about corrupt data already in the ERP system
Are automating 25% or fewer of their repetitive tasks
Are concerned about a lack of data validation before loading
Are concerned about avoiding duplication of data
Are concerned about manual rekeying of data into the ERP system
Receive incomplete or incorrect data
Sample size: 288
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TASK AUTOMATION IN SHARED SERVICES
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How many different tasks do resources handle?
Task: • Unit of activity within a data maintenance process that contributes to the completion of that process • Examples:
• Creating cost centers • Changing salaries • Approving supplier invoices
1
2 to 3
4 to 6
7 or more
37%
30%
3%
30%
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What percentage of Shared Services Centers are automating a portion of repetitive tasks?
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76% are automating half or fewer of their repetitive tasks 41% are automating a quarter or fewer of their repetitive tasks
Automation: • Automatic operation of a process or system • Example:
• Using a data upload program to change thousands of customer payment terms
Automating none
Automating up to 25%
Automating 26% to 50%
Automating 51% to 75%
Automating more than 75%
6% 18%
35%
36%
5%
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How do you prioritize task automation?
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Of the full set of survey participants: • 22% ranked automation as top priority • 58% ranked automation within the top 3 priorities • 74% ranked automation within the top 4 priorities • 84% ranked automation within the top 5 priorities • 5% ranked automation as lowest priority
17%
19%
25% 25%
17%
6% 6% 5%
4% 4%
0%
5%
10%
15%
20%
25%
30%
None Up to 25% 26 to 50% 51 to 75% More than 75%Current level of task automation
Automation ranked as top priority
Automation ranked as lowest priority
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If you could automate or improve your processes, how would you change Shared Services operations?
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Of the Other proposed actions,
44% would outsource menial tasks
58%
56%
39%
32%
8%
3%
0% 10% 20% 30% 40% 50% 60% 70%
Shift towards quality management
Expand business scope
Reduce headcount
Consolidate/merge geographical locations
We would not reorganise our teams
Other
Shift towards quality management
Expand business scope
Reduce headcount
Consolidate/merge locations
36% X X 24% X X 22% X X 19% X X 15% X X X 14% X X
Combined actions:
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TECHNOLOGY IN SHARED SERVICES
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Which ERP systems are you using?
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79% of Shared Services Centers use SAP or Oracle as an ERP provider Heterogeneous software landscapes are common, with: • 13% using SAP and custom-built applications • 11% using SAP and Oracle
47%
32%
30%
15%
13%
11%
8%
7%
5%
5%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%
SAP
Oracle
Custom-built applications
Other
SAP and custom-built applications
SAP and Oracle
JD Edwards
None
SAP, Oracle and custom-built applications
SAP and JD Edwards
Complex technology landscapes face challenges including: • Data separation • Data cleansing • Data synchronisation • Process monitoring
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Do you analyse ERP user activity?
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In addition: • 13% of Shared Services Centers target new business based on ERP user activity • 19% of Shared Services Centers target new business based on other metrics
Usage analytics offers great insight into the status quo of ERP systems, including: • Whom the top users are • Where automation or roundtrip data maintenance opportunities exist • Which compliance issues may exist • Which user behaviour patterns warrant workflow procedures
41%
40%
36%
19%
15%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
We do not analyse user activity
We analyse user activity
We analyse activity for SSC users
We analyse activity for non-SSC users
We analyse activity for SSC & non-SSC users
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Which non-ERP technology are you using?
34
Non-ERP tools contribute additional challenges, including: • Change requests between Shared Services Centers and outsource providers • Dependence on technical resources • Lead times to implement solutions • Ownership and maintenance of delivered solutions
58%
27%
24%
15%
14%
14%
6%
0% 10% 20% 30% 40% 50% 60% 70%
SharePoint
Web Forms (other than InfoPath)
A third party Workflow
SharePoint Workflow
Other
Adobe Interactive Forms
InfoPath
Of the Other non-ERP technologies: • 14% use in-house applications • 14% use scanning / OCR applications
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IMPLEMENTING CHANGE IN SHARED SERVICES
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What impact does your Shared Services Center have on process change?
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61%
30%
10%
9%
4%
0% 10% 20% 30% 40% 50% 60% 70%
The SSC leads and implements process change
The SSC takes direction but implements locally
The SSC only measures the impact of change
The SSC has no role in process change
Other
Additional change driver circumstances were uncovered, including: • Shared Services Centers implementing change in conjunction with clients • Subject matter experts/owners leading change iterations and optimization steps • Process information experts from IT departments leading the process • Transformation teams within the Shared Services Center assisting with improvements • Differing approaches based on the nature of the change required
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WINSHUTTLE FOR SHARED SERVICES
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Foundation for Continuous Improvement
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Winshuttle’s no-code design tools and rapid deployment capabilities allow business and Shared Services users to accelerate continuous improvement initiatives without taxing IT resources. The following capabilities provide options to address many of the challenges highlighted in this survey report: • Data Collection: Use web forms or managed spreadsheet
templates instead of complex user interfaces to quickly gather and consolidate data from disparate users.
• Data Entry: Record scripts and web services that automatically post data to SAP from forms or spreadsheets, error free and without manual re-entry.
• Workflow Automation: Create workflow routines that structure the routing and approval of data based on roles and criteria.
• Governance and Control: Implement central policies that maintain SAP security and promote compliance with standards and policies. Establish centralized form and template libraries that eliminate ungoverned macros and unstructured routines.
Visit winshuttle.com/sharedservices for more information.
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Success story – A.P. Moller-Maersk
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Hear how A.P. Moller-Maersk chose Winshuttle as a solution for eliminating ungoverned Excel macros and reducing local process variance. “Nine months into the project we saw our investment paid back.” -Karsten Lund, Director-Finance & Accounting Processes, GSC, A.P. Moller-Maersk
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Success story – Anglo American
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Hear why Anglo American selected Winshuttle as their process improvement solution for dramatically increasing processing speed and efficiency in their Global Shared Services Center without increasing headcount. “Volumes that would take a person a week to process before Winshuttle now take one day. ” -Trevor Erlank, Project Manager, GSC/Accounting Services, Anglo American
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Where to next?
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Find out how Winshuttle can assist your: SAP Finance processes - visit winshuttle.com/finance SAP Master Data processes - visit winshuttle.com/masterdata
Find out more about the challenges that companies faced, decisions they made, and the benefits they realized by implementing Winshuttle: Read a case study on one of our customers.
Learn more about Winshuttle’s no-programming products and solutions: View or register for a webinar View a product demonstration Explore the Winshuttle TV YouTube channel Browse the Winshuttle Community site
For a quick reply contact [email protected]
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Contact information
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