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Choosing the right Global Business Services location
In this Deloitte Point of View Elias van Herwaarden and Val Popovici of Deloitte’s Global Location Strategies share their insight on Global Business Services (GBS) site selection, and why companies should think twice before deciding where to locate their GBS.
From shared services to GBS
While pioneers like American Express, General Electric and British Airlines first implemented shared services in the 1980’s, the concept is widely accepted today. In fact, some estimates suggest that more than two thirds of Fortune 500 companies have implemented shared services. The leading ones today operate networked shared services centres (SSCs), comprising captive and outsourced processes, with delivery centres in key locations around the world.
For the last 5 years, corporations moved on to create GBS. GBS integrate an enterprise’s governance, locations, functions and processes of all shared services and outsourced activities across geographies. Even if cost efficiencies remain an important driver for setting up shared services or GBS, GBS aim more to improve delivery efficiency, effectiveness, business outcomes and to provide platforms to support growth.
The Point of View on Global Business Services location selection was authored Valery Popovici and Elias van Herwaarden, the members of Deloitte's Global Locations Strategies Team.
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