Analysis

Next-generation service delivery model

Expanding the value-creation menu for consumer packaged goods organizations

​While signs of an economic recovery are good news for businesses, this recovery is being fueled by corporate and government spending—not by consumers. This seismic shift in consumption has potentially shattering impacts for consumer packaged goods (CPG) companies that have benefited from conspicuous consumption.

​CPG companies that want to stay in business must view the post-economic crisis environment as an opportunity to make fundamental changes in work processes that can enable them to again grow profitably, despite the challenges.

“Next-generation service delivery model: Expanding the value-creation menu for consumer packaged goods organizations” discusses the benefits that CPG companies can gain from applying a shared service delivery model to appropriate functions across the entire scope of their organization. Whether by moving non-traditional functions into transactional shared services organizations or by establishing “Centers of Expertise” for knowledge-based capabilities, a shared model can consolidate work among fewer people and reduce job fragmentation to enable companies to do more with less. In our view, CPG companies that can effectively leverage a shared model will be better positioned to outperform those that do not—now and in the future.

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