PA Consulting Group’s Simon Tennant, a shared services expert, is quoted in an article in the Financial Times on why many chief financial officers and finance directors still need to improve the approach they take to outsourcing finance functions.
Simon identifies the key issues that must be clarified before a decision to outsource is taken. He says: “You must have a clear objective. Is it to save costs or to achieve an improvement, by, for example, providing headroom for people to do what they are good at rather than filling in expense claims?”
Simon goes on to explain that managers should take stock of where they are in terms of the state of their management technology and the degree to which they have already developed a shared services platform in-house.
Simon also talks about how highly integrated companies can find it easier to outsource financial functions than companies that allow a greater degree of operational freedom. He says: “The more difficult it would be to integrate systems the less you want an outsourcing provider to be involved because you are going to have to pay more money for the complexity."
To find out how PA can help your business realise sustainable value by thinking differently about shared services and outsourcing, contact us now.