Friday 3rd May, 2013

A growing number of public sector organisations are investigating the use of shared services in a bid to save millions of pounds per year, without any corresponding damage to frontline services. A new white paper, Six Approaches to Successful Shared Services, commissioned by Advanced Business Solutions (Advanced) looks at six proven approaches to sharing services - depending on how ambitious the parties involved want to be. Options range from shared software and underlying IT systems, to contracts and framework agreements, management, operations and transaction processing.

Dean Dickinson, Managing Director, Advanced Business Solutions, says, “Shared services through merged back-office functions offers organisations huge potential for cost savings, removing the need for each party to make their own individual investments in administrative staff, IT systems and associated floor space. Each year those savings grow exponentially.

“In the local government sector alone, at least 337 councils across the country are engaged in 305 shared service arrangements, resulting in £263 million in efficiency savings. We recently conducted a survey which found 83% of professionals are now looking at shared services as a means of delivering substantial improvements in efficiency, without harming frontline services.”

Following the publication of the Comprehensive Spending Review, it has become increasingly important for organisations of all shapes and sizes to minimise the costs spent on running administrative functions.

The paper also highlights procurement savings as a significant benefit of shared services. Examples include Rotherham Metropolitan Council, which is looking to save £3 million on procurement and services to jointly run back-office processes, pension-related activities and a housing ALMO.

However, every case is different and success relies on organisations finding the approach that best suits their requirements.

The white paper, Six Approaches to Successful Shared Services, can be downloaded here: www.advancedcomputersoftware.com/abs/resources/regform.php?I...