Don’t understand Shared Service Centers? View this information
Shared service center or often abbreviated as SSC is a service to distribute or share tasks to overcome limitations, both of company-owned resources and technology. It is said that services like these are services that are shared with other business lines so that it does not feel that it has to spend excess costs in order to have its own service line.
It can be said that services like these are mandatory services that must be owned by companies if they want to optimize how their business is performing. In fact, the government itself has also implemented such a system for state-owned enterprises in order to be able to maximize how these companies are without having to spend expensive maintenance costs.
For ordinary people, there may be many of them who are not very familiar with and certainly know what is meant by a service like this, because it is not easy to get to know the service.
A simple explanation of Shared Service Center Services
Because many rumors have said that if shared service or SSC is a type of service to be able to improve optimization in a company, knowledge is needed to learn more about what SSC is. Because there are manyproblems, especially for companies. Ifyou can implement such services in the company, it will, of course, bring profit for the company, so that it will be more optimal.
Basically, a shared service center is a division of service services or tasks to overcome resource constraints. Because using this concept creates a burden for the business that must be done in order to pursue the goal by spending the minimum possible cost. This is because they don’t have to spend money to buy a technology or other supporting things, as it can already be done through SSC.
By using this concept, it actually aims to only minimize the cost to the company’s operational fields and improve the reliability of the services at the company. Because the organizers and agents of the shared service will certainly always supervise the course of the services provided by the leadership of a number of experts in their field.
Thus, it can be concluded that this SSC is a unit or agent in a company that provides service services in order to be able to distribute the use so that it can be used for all parts of an entity in a company.
Key benefits of using a Shared Service Center
Even by realizing the benefits and also the benefits that can be obtained through the concept of the service, it causes some business entities to choose to implement or implement this concept. Some examples of this are soes such as Telkom Group and also PT Pertamina, one of the largest competitors in Indonesia that implements shared service centers. Of course, they are aware of some of the benefits of using this shared service.
One of the advantages of using the shared service concept is that it is a means to reduce the costs incurred because it can continue to optimize the performance of the company by spending relatively efficient costs. So that the use of this service will certainly be able to improve the management of business operations in a company. As a result, the company not only has to allocate relatively large investments to devices.
It feels like an increase in reliability in a company is certainly an added value if it has implemented the use of shared services. If you feel such benefits, it will of course be very beneficial for the company, as this will ultimately have a focus on optimizing customer satisfaction.
Another advantage is to be used to support decisions. Because the use of a shared service turns out to produce data that is submitted and analyzed, it turns out to be reliable data and ready to be executed.
A simple example of implementing a Shared Service Center
Perhaps so far there are many of you who are not sure what SSC is. This is natural because most of the people who understand this term are those who work in the field of business, especially in business development. To find out what the concept of a service like this is like, a real example is needed to be able to describe the service.
We will take a simple illustration that can now be illustrated to implement this concept. One is a company like a post office that has started implementing shared services. This company uses these services to develop and manage HR, accounting and asset functions.
Before using this service, every post office certainly uses each department’s support function system. For example, the finance department, HR and others. However, since the implementation of the concept of this service, every post office does not need to have these departments, as it can be decentralized based on certain regions to provide the same service to open different post office branches.
Therefore, all post offices no longer need a support department as above, so they enable the company to reduce operational costs and reduce the number of employees. The cost of reducing personnel can be attributed to the business domain, such as efforts to deliver goods or withdrawal of goods. So that this leads to the company being able to run more optimally and effectively without more costs.
Barriers toimplementing a Shared Service Center in a company
While it is well known that services like these can indeed provide significant benefits and optimizations to businesses, unfortunately there are still many companies that have not been able to implement or implement shared service centers due to some obstacles or challenges.
Of course, one of the biggest obstacles for a company if they want to implement services like the above, they must inevitably be able to change or reorganize the management structure. In addition, the company must also be able to assess how its work management and human resources may be in line with the goal in achieving the company’s goals.
Therefore, in order for the company to be able to focus more on the determining factors for the company’s success in using or implementing this service, the company must develop sufficient resources and infrastructure. The solution to address this is to try to communicate this implementation by having a meeting with senior management to implement the changes effectively.
It can be concluded that the implementation of these services is one of the solutions to improve business quality in this digital age while maximizing operations. This allows the application of this concept to optimize the business by spending and costing as little as possible, so that the company can work more effectively.
Of course, in order to achieve sustainable profits, especially in the long term for the company, it is necessary to devise a strategy to optimize a job in the company in order to achieve a fixed profit. The company must allocate a portion of the business to improve the overall performance of the business. That is why the application of the shared service center plays a major role in realizing the above.