How Philippine Delivery Centers are Deploying Success Levers in the Year Ahead


Two levers define value-add for Philippine shared services in the coming years: Global Business Services and Talent.


With nearly 3/4 of shared services organizations in the Philippines at least four years into implementation, the market is both mature and experienced. Finance and HR still lead in terms of functional support, but customer service, analytics and supply chain services are becoming more and more visible, according to SSON Analytics' new Visual Analytics Workbook, GBS Aspirations, Navigating Talent and Tax Woes Top Agenda for SSCs in the Philippines.


With this maturity comes a propensity to target Global Business Services (GBS) as an operating model. At the same time, there is also strong interest in leveraging offshore captive opportunities, particularly in those centers just launching now, or at an early stage.


The interest in GBS maps that identified in the rest of the world in SSON’s 2019 survey. This workbook lists five aspects in particular that need to be taken again into account for a successful GBS implementation, but also highlights the number one talent challenge as leadership succession.


Mature centers tend to be most concerned about upskilling employees whose work is becoming increasingly automated, while leadership succession is a priority across all maturities, the workbook tells us.


An overriding trend that defines good practice is to hire to develop, instead of hire to fill a position. Investing in employees' career development as well as ensuring the onboarding experience is positive, are key in order to retain quality staff. Lateral career moves can expose employees to new skills that drive promotion.


Attrition is expensive – although across Finance the median rate is 8% and in HR 6% – when considering the entire cost of HR process involved. However, with a median cost of HR process across all industries at $319.13, the healthcare sector shows significantly lower costs, according to our data.


See the full Workbook for more details.



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