SSON Editorial

Can YOU Define GBS?

Barbara Hodge
Contributor: Barbara Hodge
Posted: 09/29/2016

I was reminded, recently, of the widespread confusion and lack of standardization around the definition of Global Business Services, or GBS (I am in the final draft stage of our annual membership survey, and the question of GBS adoption is, of course, one we always want to ask).

Deloitte defines Global Business Services as: 

Instead of operating numerous Shared Service Centers and managing outsourcing vendors independently, Global Business Services provide integration of governance, locations and business practices to ALL shared services and outsourcing activities across the enterprise.

I think this is a pretty good definition.

I also checked with Phil Searle of Chazey Partners, whom I've known for many years, and who adds that Global Business Services covers multiple aspects of sourcing: Internal shared services, supporting multiple functions/service lines, across multiple business units/regions/countries/jurisdictions, optimizing use of locations (onshore/nearshore/offshore), with the best mix and use of third party outsourcing relationships.

The key point is that GBS works towards true end-to-end processing and service provision, supported by effective and best practice technology, all operating under one global delivery framework.

In aiming to optimize your GBS service delivery model, you may want to evaluate your strategies around multifunctional, mix of internal shared services and third party outsourcing, combination of sourcing into one consistent global delivery framework, etc.

If you work to different definitions – or, indeed, have other suggestions, please share in the comments box below.

Barbara Hodge
Contributor: Barbara Hodge
Posted: 09/29/2016


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