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Latest
Findings
-
Employee
productivity
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Satisfaction
& morale
-
Communication
& productivity
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Shared
Services
|
The key
success ingredient for Shared Services
Achieving efficiencies in internal processes was a
key impetus to establishing Shared Services centres for Finance &
Accounting, Personnel & HR and IT services. Since 1999, The Ryder Self
Group has measured the satisfaction of over 6,500 users
and the satisfaction of those working in Shared Services centres.
In many cases, we measured customer and employee satisfaction at
the inception of the Shared Services centres and then tracked satisfaction
a year or two later. While customer satisfaction has improved over time,
employee satisfaction has remained static.
Management commitment is the key for a satisfying
and fulfilling Shared Services centre. This means the need for a management culture where managers
are involved on a day-to-day basis, committed to consultation and open
communication with employees, providing formal and informal recognition of
their performance. It also
means managers ensuring effective resource management so that employees
can work efficiently and feel a sense of accomplishment.
Customer
Satisfaction
Three key findings:
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Customer satisfaction usually
starts with a low base for Finance & Accounting, HR and IT
services
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External customers experience
greater satisfaction than internal customers for the same service
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Customer satisfaction does
increase over time.
Customer satisfaction as indicated by a Customer
Satisfaction Index (CSI) is variable across the different shared services:
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For Finance & Accounting
and HR & Personnel services, the CSIs are mostly in the
‘average’ to ‘good’ range for internal customers, based on the
benchmarks in table 1.
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For external customers,
satisfaction with ‘Finance & Accounting’ services is in the
‘high’ range.
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Internal customers’
satisfaction with IT services tends to be in the ‘fair’ to
‘average’ range.
Satisfaction increased over time for customers of
finance and HR services while it remained static or only slight
improvements for IT services.
Table 1. Satisfaction
benchmarks
Index
|
Satisfaction level
|
<65%
|
Poor
|
65-70%
|
Fair
|
70-75%
|
Average
|
75-80%
|
Good
|
>80%
|
High
|
Customers
report improvements in:
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Accuracy of processing and
efficiency
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Staff skills, knowledge and
having the authority to make decisions
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Customer focus, understanding
specific customer needs and being flexible
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Responsiveness to queries,
communication and follow-up
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Providing up to date
information
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Producing customised / ad hoc
reports
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Traceability of documentation
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Achieving value for money
Employee Satisfaction
Key findings:
Employee satisfaction is generally in the
‘average’ to ‘good’ range with some results in the ‘poor’
range (see Table 1).
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Employees consistently raise the following
concerns:
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Communication between
management and staff
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Sharing of information and
being kept informed
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Being able to contribute to
decisions that affect their work
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Being recognised for a job
well done
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Being trusted, valued and
respected
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Adequacy of staffing,
resources and equipment to do the job.
The overriding theme is the need for management
commitment for a satisfying and fulfilling workplace.
This means managers being involved on a day-to-day basis and
addressing the concerns above. Management
commitment will also address other employee issues, namely the need for:
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A sense of accomplishment
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Positive morale
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Fair pay for the work they do
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Efficient systems and
processes
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Training to do the job
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A clear direction for the
Shared Services centre
The need for management
commitment is supported by the finding in the article, “Shared Services
– Reaping the Rewards” (Ernst & Young UK, 2003) which identified
committed senior management as the single most important factor in the
success of Shared Services centres.
We believe the same upward trend in Customer
Satisfaction levels will be achieved in Employee satisfaction once
employees perceive management commitment.
A successful Shared Services provider needs to
manage and measure its performance in customer satisfaction, employee
satisfaction and the efficiency of its internal processes.
Of these, the area requiring greatest focus is
improving employee satisfaction as this has remained static over the past
few years. A management
culture is required where managers are:
Our findings are based on research conducted between the beginning of 1999
and end of 2002 with over 6,500 users of shared services. The table below
outlines the nature of different types of services offered as shared
services and number of users that evaluated the different services.
Organisation Type |
Type of services
|
External Service Provider – Public Sector |
Finance, HR, IT |
Internal Service Provider – Private Sector |
Finance, Payroll |
Internal & External Service Provider – Private Sector |
Finance, HR, Payroll |
Internal Service Provider – Private Sector (3) |
IT |
Internal Service
Provider - Public Sector |
Finance, Administration,
Other Specialist Services |
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© The Ryder Self Group 2003 |