1. iprocess
creating intelligent and cost conscious
processes for portfolio operating companies
2. Contents
1 iProcess Value Creation Approach
2 Portfolio Review for Quick Wins
3 Strategic Sourcing Analysis
4 Shared Services Deployment
5 Outsourcing Feasibility
6
6 Technology Outsourcing & Governance
7 Sales Process Improvement
8 Sustaining a Low Cost Operating Model
9 Strategic Options Review
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3. 1 iProcess Value Creation
Approach
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4. The iprocess Approach to Value Creation
1. Portfolio 2. Options
Assessment Formulation
• Apply appropriate assessment and • Develop options in conjunction with operating
measurement techniques to understand company leadership to transform the cost base
the current portfolio mix in light of
investment parameters
5. Strategic
Options Review
3. Feasibility
• Monitor key performance indicators
derived from initial investment criteria
CUSTOMER Analysis
• Understand and evaluate transaction
merits and exit considerations
• Develop a detailed blueprint for future
state and transition plan from the current
state outlining the financial viability of
4. Low Cost Model proposed projects
Development
• Implement the blueprint – strategic sourcing, shared
services, process integration, physical layout
consolidation, organizational transition etc
• Review performance metrics and refine implementation
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5. The Investment Review Approach
Portfolio Company - Approach Overview
Develop & Apply Apply Portfolio
Apply Portfolio
Inventory of Current &
Inventory of Current & Determine Economic
Determine Economic Monitor & Manage
Monitor & Manage
Strategic Selection Management
Management
Planned Projects
Planned Projects Viability of Projects
Viability of Projects Projects
Projects
Process Screening Process
Screening Process
• Accurately account for • Conduct working • Determine rationale / • Determine whether • Establish standards,
every ongoing & sessions with executives feasibility for projects initiatives fit within schedule & tools
planned project, to define organisation, by conducting “portfolio” by screening necessary for project
capitalized investment, strategy and vision business case against specific selection updates
and business line analyses (cost/benefit) criteria (correlation with
other projects, risk,
return, ease of
• Apply “Filter Criteria” to implementation, timing, • Define key owners,
• Determine key owners, screen out projects • Gain consensus from etc.) metrics, and incentives
budgets, financial misaligned to company executives around for ongoing
returns, and time goals & strategy appropriate hurdle management
frames rates (IRR, ROI, NPV,
etc.)
• Apply hurdle rates to
initiatives to determine
whether or not to
proceed
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6. 2 Portfolio Review for Quick
Wins
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7. Portfolio Review for ‘Quick Wins’
4 to 6 weeks 2 to 4 weeks
Project start-up off-site Management to review and prioritise
opportunities
Analyze Prioritize Implement
4Analyze
4 the cost base 4Agree prioritization
4 criteria Plan & Realize:
4Assess
4 current organizational 4Identify
4 potential ‘show-stoppers’ 4Develop detailed project
4
efficiency / effectiveness 4Obtain business buy-in
4 plans
4Identify key cost drivers
4 4Develop costed business cases
4 4Validate business case
4
4Analyze existing initiatives
4 for a portfolio of initiatives assumptions
4Assess value of existing activities
4 4Prioritize opportunities
4 4Determine
4
Activities
4Confirm strategy
4 4Obtain sign-off and commitment
4 interdependencies
4Use benchmarks / leading
4 to implement 4Establish resourcing
4
practice to identify opportunities requirements
4Define/Develop & Deploy
4
4Definition
4 of the cost baseline 4Prioritized
4 opportunity business 4Finalised business cases
4
opportunities
4Comparative analysis of
4 cases 4Project
4 plans
differences in performance 4Business buy-in
4 4Identified resources
4
4Initial list of cost reduction
4 4‘Quick Wins’ planned and
4 4Opportunities
4
Outputs
opportunities and ‘Quick Wins’ implementation commenced implemented and savings
realized
Implement ‘Quick Wins’
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8. Opportunity Analysis Framework
Cost Structure Comparative Management
Segment Analysis
Analysis Analysis Knowledge
Analysis - Where are What do we compare to? Where are costs high Where does
the large areas of cost relative to revenues? management believe
and what are the opportunities exist?
primary drivers?
! Major Processes ! Competition ! Business Units ! Interviews
! Functional / ! Internal Comparatives ! Customer Groups ! Focus Groups
Organizational
! Historical Performance ! Product Groups ! Workshops
! Line Item
! Benchmarks/Best ! Channels ! Initial opinion can be
! Cost of Management Practices directionally correct
! Geographic
! Reasonability ! Treated as a hypothesis,
Standards then tested with facts
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9. Opportunity Analysis – Prioritization of Outcomes
Opportunity Prioritization Matrix Examples
Opportunity Shared Migration IT Dev Supplier Risk Mgt Quick Wins Intermediate-Term
(Examples) Service of Rationalisatio consolid efficiency
Center transaction n ation High IT outsourcing
Contractor
processing
Criteria rationalization
IT/network
Sales project
Contribution to strategy Call center
administration prioritization
consolidation
and support
Potential size of benefit rationalization
Value of
Ease of implementation
savings
Second Priority G&A shared Back Burner
services
implementation Call center
Efficiency gap Management process
span of control streamlining
rationalization
Speed of realization Improved Procurement
G&A functional customer credit centralization
consolidation screening
Organizational impact
Low
Priority
1 2 1 2 2
Low High
Difficulty of implementation
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10. Business Case Development for Savings Realization
Outline Business Case Detailed Financial Business Case
Improvement Opportunity 1: High Level Description - Revise Purchase Order Procedure
•Description: Replace current PO system with a system where all items are sourced through Central Supplies with items being sourced through 4 CashflowA alysis
n
national major suppliers using suppliers accounts, we would achieve material cost savings of approximately $0.85million and reduce FTEs from 21
to 18. Y1r Y2 Y3
r r Y4 Y5
r r Y6 Y7
r r Y8
r Y 9 Y 10
r r
2000 2001 2002 2003 2004 2005 2006 2007 2 008 2009
FTEV alue - - 2.50 2.50 2.50 2.50 2.50 2.50 2.50 2.50
•Benefits
•Reduction in material costs of •Costs •Technology Enablers O R
ther ecurringB efits
en - 4.00 4.00 4.00 4.00 4.00 4.00 4.00 4.00 4.00
$0.85m • Creating supplier • Suppliers will need to make changes to their systems. (Cost G B ne
ross e fits O N R
ther on ecurringB enefits - 6.00 - 7.00 -
•Reduction in FTEs from 21 to 18 accounts, negligible borne by supplier).
= $84k • Redundancy costs of • PO database for Central Supplies , sized to cope with RecurringP rofit - - 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00
•Improved management £18k anticipated volumes (maximum $5k) N R
on ecurringP fitro - 1.00 1.00 1.00 -
information and control • Cost of PO database • PO database adapted to produce electronic data for allocating
•Less fraud (max $5k) cost in accounts Total A nnual G B
ross enefit - 11.00 9.50 16.50 8.50 8.50 8.50 8.50 8.50 8.50
• Possible supplier costs in • Supplier capable of providing sufficient management
administration (unknown information for control purposes FTEC ost - - - - - - - - - -
C O
osts ff-set
at this stage) O R
ther ecurringC ost - - 3.00 3.00 3.00 3.00 3.00 3.00 3.00 3.00
S everance - - - 1.50 -
ITH are
ardw - 2.00 - - -
ITS are
oftw 2.00 - - - -
Im entation
plem
ITD evelopm t
en - - - 5.00 -
Costs
•People Enablers O O
ther pex - - 0.40 0.40 -
•User Service Impact/Business Risks
• Training on PO database Internal C su
on ltancy - - 3.00 - -
• No change
• Training on product availability through the suppliers
• Management information held on 2 systems O C
ther apex - - - - -
• Local staff briefings
• Management by exception
• Accounts payable briefings Total Annual Cost 2.00 2.00 6.40 9.90 3.00 3.00 3.00 3.00 3.00 3.00
• Suppliers will need to train sales staff to ensure they can
•Implementation Risks
adequately interpret requirements N Cet ashflow- 2.00 9.00 3.10 6.60 5.50 5.50 5.50 5.50 5.50 5.50
• Under estimate of FTE requirements on Central Supplies
•
• Under specified/size requirements from PO database Discount Factor 1.00 0.89 0.80 0.71 0.64 0.57 0.51 0.45 0.40 0.36
• Suppliers unable to satisfy required standards of service
DiscountedC ashflow- 2.00 8.04 2.47 4.70 3.50 3.12 2.79 2.49 2.22 1.98
C ulativeD
um iscoun C
ted ashflow- 2.00 6.04 8.51 13.20 16.70 19.82 22.61 25.10 27.32 29.30
P ba Y
ay ck ear 2001
C of C
ost apital 12%
N : A escostsareincurred&benefitsrealisedonJanu 1of eachyear
B ssum ary
N P
et resent Value 29.3
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12. Strategic Sourcing Approach
Approach Overview
Gather and Analyse
Gather and Analyse Evaluate Supplier
Evaluate Supplier Solicit and Evaluate
Solicit and Evaluate Negotiate and Sign
Negotiate and Sign
Purchasing Data
Purchasing Data Community
Community Bids
Bids Contracts
Contracts
Analyse Procurement Infrastructure
Analyse Procurement Infrastructure Design/Implement Required Solution
Design/Implement Required Solution
• Categorize potential • Determine where greatest • Issue bids to potential • Sign contracts with reduced
savings purchasing leverage opportunities consolidated suppliers number of suppliers
exist
• Determine if category size • Choose supplier based on • Integrated solution reduces
and percentage savings are • Evaluate MIS infrastructure overall purchasing cost overall cost to purchase
sufficient required to support procurement (Goods, Processing Service)
initiative
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13. Strategic Sourcing- Value Chain Analysis Framework
Supplier
Evaluation
•• Metrics Tracked
Metrics Tracked
•• Purpose of Evaluation
Purpose of Evaluation
•• Tools Used
Tools Used
After-Sale •• Communication
Communication
Qualification
Service of Parts
•• Process Efficiency
Process Efficiency
•• Return Requirements
Return Requirements •• Time to Qualify
Time to Qualify
•• Line Fallout Policy
Line Fallout Policy •• Extent of Customer
Extent of Customer
Qualification
Qualification
•• Extent of Supplier
Extent of Supplier
Qualification
Qualification
Understanding
Payment the Contracting/
Cost Base Capacity Reservation
•• Date //Basis
Date Basis •• Contract Length
•• Discount Terms Contract Length
Discount Terms •• Clarity of Terms
Clarity of Terms
•• Transmission
Transmission •• Commitments
•• Ease of Resolution Commitments
Ease of Resolution – Prevalence
– Prevalence
– Time Horizon
– Time Horizon
•• Price Adjustments
Price Adjustments
Inventory Forecasting/
Management Order Management
•• Warehousing Model
Warehousing Model •• Forecast Process
Forecast Process
•• Assumption of
Assumption of •• Number of Days/Weeks
Number of Days/Weeks
Warehousing Cost
Warehousing Cost Firm
Firm
•• Liability •• Accuracy & Volatility
Accuracy & Volatility
Liability
•• Information Transferred
Information Transferred
•• Transmission
Transmission
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14. Supply Chain - Cost Analysis
Production/
Raw Inbound Shuttle Off-Site Outbound Customer
On-Site
Materials Transportation Transportation Warehousing Transportation Service
Warehousing
• Lead Time • Forecast Accuracy • Number of Plants • Volume • Customer
• Speed • Capacity Management • Number of Warehouses • Transportation Satisfaction
• Flexibility • Schedule Adherence • Geographic Layout Modes • Order Cycle Time
• Raw Material • Technology • Warehouse/ • Transportation • Order Processing
Costs • Product-to-Plant DC Practices Practices Costs
• Transportation Allocation • Operating and Storage • Number of • Complaint Handling
Costs • Quality Costs Carriers • Customer Service
• Supplier Base • Line Start-Ups • Number of SKUs • Delivery Response Time
• Buffer Inventories • Inventory Levels Performance • Promotion Mgmt
• Changeovers
• Information • Product Mix • Freight Costs • Unauthorized
• Efficiencies
Sharing • Inventory Deployment • Rate Variability Deductions
• Asset Utilization
• Packaging • New Product • Spoilage/Damaged
Complexity Introductions Inventory
• Contract Portfolio
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15. The initial assessment involves quantitative benchmarking
of the performance of procurement operations against
industry average performance statistics
Electronic Commerce Usage
Spend Per Active Supplier The Performance Analysis
Active Suppliers Per Professional Reveals Specific
Improvement Opportunities
Degree of Commonality
Purchasing Head Count
$Millions
% of Transactions
% of Transactions
Purchasing Operating Expense
Number
Dollars Purchased/Professional
% of Total
Supplier Cost-to-Manage
% of Total
1,000
??
% of Sales
$Millions 750
500
250
$/Supplier
Industry
(Client)
Average
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16. The initial assessment will also examine actual purchase
data by commodity group to determine specifically where
the effectiveness benefits can be captured
Commodity Category Statistics
Commodity SAMPLE OUTPUT
Parts/Supplier Share of Total
Purchases
Number Number Range Average Median
of of (Min:Max)
Commodity Suppliers Parts 1992 YTD 1991 YTD
Electronic Components 15 88 1:31 5.9 2 32% 29%
Tubing 7 31 1:15 4.4 2 26% 34%
Screw Machined Products 11 94 1:45 8.5 3 15% 13%
Commodity Commodity Annual Cumulative Percent Number of Vendors
Stamping 18 148 1:40 8.2 3 9% 11% Code Description Expenditure Dollars Of Total Primary Total
Steel 2 N/A N/A N/A N/A 7% 4%
643 Electric Circuits $5,835,262 $5,835,262 35.2% 46 125
Precision Plastics 16 43 1:8 2.7 2 2% 3%
512 Power Transmission 3,802,733 9,637,995 58.2% 19 143
Clamps 8 19 1:5 2.4 2 2% 2%
Cold Heading 2 3 1:1 1.5 1 0% 345 Oils & Lubricants 3,209,138 12,847,133 77.6% 26 78
763 Fasteners 1,117,232 13,964,365 84.3% 51 173
189 Miscellaneous Elec. Materials 904,550 14,868,915 89.8% 7 61
418 Motors, DC 622,034 15,490,949 93.5% 39 173
377 Mechanical Components 521,777 16,012,726 96.7% 35 190
235 Shipping Material 177,346 16,190,072 97.7% 19 168
153 Safety Supplies 156,354 16,346,426 98.7% 15 5
916 Office Supplies 54,423 16,400,849 99.0% 30
447 Janitorial Services 42,226 16,443,075 99.3% 1
81 Controls 40,887 16,483,962 99
855 HVAC 34,908 16,518,870
732 Linen Service 22,578 1
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17. Each “company spend” category will be assessed a “stage
of development” rating. This rating is an important tool in
determining the relative size of a given opportunity
Procurement Life Cycle Illustrative
Stage I Cost Focus Stage II Cost/Service Focus Stage III Value Focus
5-10%
7-15%
Impact on Total Steel
Cost /
Competitive •
Position
10-30% Telecom
Lumber •
•
Office Supplies
Temp Services •
•
Procurement
Primary Mission: Supply base reduction Supply base optimization Value optimization Evolution
Orientation: Leverage volume to reduce Reduce fixed costs from Reduce total system costs by
supplier per unit costs client-supplier system optimizing total cost-quality-
service relationship
Typical Actions: • Unsophisticated, reactive • Control / Supplier • Cross-functional integration
performance focus within company and key
• Align customer needs with supplier(s)
supplier capabilities • On-going effort to improve
= estimated savings % value
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18. The first end-product of the analysis is a matrix profiling
each category with the estimated economic opportunity
Opportunity Matrix Illustrative
Annual Number of Implemen- Organi- Potential Potential
# of Supplier Business Potential
Spend Buying tation zational Barriers/ Savings
Commodity Suppliers Stratification Significance Savings %
($ Millions) Locations Difficulty Readiness Linkages ( $ Million)
Temp Services $200 40 Fragmented 75 None Medium 20% $40
Benefits/Insurance $500 15 Consolidated 10 Personnel Impact Medium 0% $0
Telecommunication $100 40 Semi-focused 50 Existing Contracts Low 10% $10
Machine
Maintenance Supplies $200 1,000 Fragmented 75 Req./Solution Design Low 20% $40
& Selected Project
Software/Computer
Accessories $100 20 Semi-focused 75 Existing Contracts Medium 5% $5
Solution Design &
Office Supplies $100 10,000 Fragmented 125 Low 20% $40
Selected Project
Copiers and Faxes $50 50 Fragmented 125 Existing Contracts Low 20% $10
Engineering Supplies $300 1,000 Fragmented 100 Existing Contracts High 10% $30
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20. Shared Services Approach
Approach for outsourcing There is a spectrum of solutions…
Evaluate
Evaluate
Assess
Assess Solicit and
Solicit and Finalize
Finalize
Supplier
Supplier
Opportunity
Opportunity Evaluate Bids
Evaluate Bids Partnership
Partnership
Universe
Universe
Define functional Determine Define service Conduct face-to- 4 Finance 4 Property services 4 Payroll
“candidates” supplier universe requirements, face discussions
within company specifications with finalists 4 Middle Office Strategy &
4 IT 4 Operations
Establish and metrics Development
Compare qualification Review final 4 Regulatory 4 IT
functional criteria Develop and proposals and reporting Infrastructure
performance distribute RFP select vendor(s)
with industry Conduct vendor
benchmarks 4 Global 4 Data
interviews, as Manage RFP Develop
required response transition plan procurement processing in
Assess process jointly with Finance
intangibles, such Evaluate vendors vendor
as service, against criteria Evaluate bids
quality to determine and select Begin migration Shared service Service companies Outsourcing
improvements short list finalists and monitor centres
performance
Finalize list of
functions to be
outsourced
Savings can be achieved by…
• Establishing shared service centers for core activities allows organizations to achieve economies of scale.
• Setting-up service companies allows organisations to operate on a more commercial basis and to better understand performance.
• Outsourcing non-core activities allows organizations to focus investment and management attention on more critical issues.
• Provides near-term realization of cost savings and significant scale flexibility, particularly in multi-vendor arrangements.
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21. The Shared Services Assessment Framework
Multiple Multiple
Systems Processes
Rationalize Systems Define Processes
Move to One Commonize Policies
System
Move to One Database Commonize Processes
Shared
ServicesOne Organization
One Location per Process
Consolidate within Region
Separate from
Consolidate within Country Business Units
Multiple Multiple
Locations Organizations
Major Types Description Sample Processes
Handles routine transaction • Procurement
Center of Scale based processes by leveraging • Accounts Payable
Services economies of scale and • Payroll
standardization. • Travel & Expenses
Concentrates expertise to • ERP COEs
Center of Expertise provide high-value services to • Tax/Treasury
Services internal customers at • Benefits
competitive cost. • Legal
Establishes a partner • Internal Consulting
Business Partner relationship between Services
Services organizational units to achieve • Strategy
common goals. • Reengineering
• Government
Provides a structure to support
Corporate Steward Relations
central mission critical
Services • Compliance
objectives.
• Fiduciary
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22. Appendix - Way Forward
Assessment Output – Illustrative Example
Key
INCREASE IN SHAREHOLDER VALUE
Objectives not met
Objectives fully met Client's LONG TERM STRATEGIC OBJECTIVES
STOP FIX OUTSOURCE
Decentralization of processes Effective streamlined Costs are tied to SLA
and functions will result in implementation will deliver agreements with external service
COST headcount and service benefits provider against predefined levels
duplication of functions and
therefore headcount of service
SERVICE Decentralization will permit Internal SLA agreements can be Service levels are tied to SLA’s,
dedicated local teams but restrict used to maximise the level of which penalise poor quality
QUALITY common systems and their service to both internal and delivery
related process benefits external customers
Common systems will permit Common systems and processes Common systems and processes
VISIBILTY centralised visibility but restrict across SBUs will maximize across SBUs will maximize
common operating procedures financial and service level financial and service level
visibility visibility
Integration of new country entities A centralized approach will High level of flexibility possible
AGILITY will be lengthened while local maximise the efficiency of tied to the negotiated structure of
support is built subsequent acquisitions the SLA
A decentralized approach will A centralized approach will A large amount of control is
CONTROL limit the level of control maximize the level of control ceded to the service provider but
possible at SBU level can be limited by the structure of
the negotiated SLA
NON-VIABLE VIABLE VIABLE
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24. Outsourcing - Approach
4 Performing processes/services utilizing internal human and technology resources
4 Improvements in processes/services leverage techniques such as process redesign, service center implementation,
technology infrastructure improvement and role redesign
Insourcing Enterprise Enterprise Infrastructure &
labor cost
Process, Transition savings
Process
Service or Service or
Function Function
4 Utilizes a combination of insourcing and outsourcing solutions, with a third party vendor providing human and/or technology
resources as an extension of the employer’s resources
4 Business process redesign typically accompanies the transition to a co-sourcing arrangement
4 Additional improvements leverage service center implementation, technology infrastructure improvement and role redesign
Hybrid/Co-
Infrastructure &
Sourcing Enterprise labor cost
Enterprise Service Provider
savings
Process, Process,
Service or Service or
Function Transition
Function
4 Typically, a pure outsourcing arrangement called full outsourcing is the final phase in the transition to an outsourcing strategy
4 Outsourcing is where an organization transitions human and technology resources related to non-core competency
processes/services to a service provider with expertise in administering the particular process or processes
4 New responsibilities emerge for the organization to manage the service levels of the service provider
Total
Outsourcing Enterprise Enterprise Service Provider
Process, Infrastructure Process,
Service or Transition
and labor cost Service or
Function savings Function
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25. Outsourcing – Options Assessment
Technology Typical Functions For Off shoring Deutsche Bank IT Development in Bangalore (JV)
Historical Low
4 Transactional sourcing environment, C 4 Single transaction technology projects
4 DB established an IT development centre in 1992
/ Typical O
restricted to specific IT processes / M
to provide services across banking and finance
Off infrastructure T 4 Application development and functions
E P management
shoring C L
4 Limited risk profile HE 4 Infrastructure development and 4 The facility spans 50,000 square feet with 450
Starting X
I management professionals and is supported with dedicated
Point 4 Maturing global market place T
Y 4 Full enterprise technology delivery high-speed satellite communication links
High Number of Functions
Illustrative
ABN-AMRO Card Processing in Chennai
Business Process (BP) Typical Functions For Off shoring
(Outsourced)
4 Strategic sourcing opportunity Low 4 ABN outsourced card processing functions as part
Expansio C of a 10 year deal to a facility in Chennai
4 Rapidly growing market of O
n Area / M
Alternativ
processes to offshore, enabled by P Customer Finance 4 Initially 60 software professionals will manage
maturing service providers, global IT B L application hosting, data and back office
e Starting P E Relation- & Human Card
and telecoms infrastructure X ship processing
Point I Admin- Resource Services
4 Evolving focus for many firms due to T Manage- istration s 4 ABN estimate that they will increase card services
Y ment
the potential for significant cost cost efficiencies by 15-20%
High Number of Functions
savings
Standard Chartered Asia Pacific Hub (Multiple
Hub Possible Structures For Off shoring
Models)
Building
4 Creation of a regional / global 4 SC has developed an extensive hub network
Significan Low within the region, which is managed centrally
shared services organisation
t Scale 4 Single function regional hub through a business hub in Singapore
4 Due to their complexity, hubs require C
And / Or O
significant levels of commitment but M 4 Multi-functional regional hub 4 The Chennai facility was consolidated in 2002 into
Global HP
are potentially the most rewarding U L
a global multi-functional hub, dealing with both
Diversity B E back-office processing and IT development
option 4 Multi-functional, multi-entity global
Of X hub requirements
4 Hub strategy can be established as I 4 Multi-hub network with central
Operation T
the aspirational goal towards which Y management control point 4 SC are investing $40 million into a second back-
s
technology and business process High Number of Functions office processing hub in Kuala Lumpur, primarily
strategy can evolve for their Asia Pacific businesses
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26. Outsourcing – Execution Risk Assessment
Split …Or …Or
Here Here Here………....................... Or Lift In Its
Entirety
Advice /
Customer Customer Support
Execution / Operations Technology
Facing Service Services
Transaction
Key Criteria For Off shoring And Organisational Considerations
4 Physical access to clients is required 4 The current resources supporting the
Requires activity are viewed as irreplaceable
Competitive
Physical 4 Physicalaccess to other staff or
Advantage or 4 Currentresources represent a competitive
G Proximity or departments is required on a regular basis
Irreplaceable advantage to the bank, will not relocate
O Similar Time
4 Physical access to an external entity is Resource and cannot be allowed to go to a
/ Zone
required on a regular basis competitor
N
O 4 Regulatory or compliance statutes dictate 4 Labor pool at new site does not contain a
G a location for the activity
Regulatory or Skill Set regular supply of required skill set AND
O
Compliance 4 Internal audit or risk policy requires (at Deficiency of skill set requires uncharacteristically high
Requirement least given current process) that activity New Site lead time to train, posing an unacceptable
remain in current location level of risk
GO
vs. commodity 4 Strategic priorities
C 4 Specialist
O 4 Client interaction channels
4 Short-term vs. long-term
N
S 4 Product / service mix driven by business
4 Internal vs. external
I requirements
D 4 Complimentary roles and skill
Skill Sets & Organizational 4 Mapping of business and technical
E categorisations / combinations
Types of Structure & requirements
R 4 Mix of types of resources / alternate
A Resources sources Processes 4 Timing of delivery
T
4 Manner of interaction with vendors
I 4 Resource sharing opportunities
O 4 Organisational interdependencies
N 4 Resource costs vs. benefits
S 4 Migration requirements for alternative
4 Flexibility of access
resourcing model
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