Understanding Shared Services Opportunities in Government (Strategy Focus)

Shared services offer clear opportunities to both public bodies and to the technology vendors trying to meet their needs. This report examines how governments and vendors can and will develop IT management using shared services.



Report Highlights
Governments across the globe are looking carefully at shared services as a way to address the challenges that currently face them. The report details the types of function that will be the focus for shared service and the crucial success factors.


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CATALYST 1
SUMMARY 1
ANALYSIS 2
Most governments are considering the employment of a shared services strategy 2
The Canadian experience has both positive and negative lessons for other governments 2
The approach, the service in question and the right structure will determine strategy 3
Leadership and governance will be crucial to the success 3
Clear top down drive is vital to the realization of shared services 4
The structure for governing the system is as important as the physical infrastructure 4
Agreed technological standards for the common platform are essential 5
Most shared services are driven by agency specific changes 6
A shared service approach will migrate to higher value functions 7
Business functions with wide use and the potential for automation will deliver the greatest savings 7
Human resource and financial functions are common shared service targets in the medium term 8
Shared services will evolve over time to incorporate higher value functions 9
ACTIONS 10
Governments need to put in place the right leadership and governance for success 10
Vendors need to target the right opportunities for the short, medium and longer term 11
APPENDIX 12
Definitions 12
Methodology 12
Further reading 12
Ask the analyst 12
Datamonitor consulting 13
Disclaimer 13

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Figure 1: Overlapping factors for a successful shared service 3
Figure 2: Types of function and their correspondence with the criteria for success in shared services 9
Figure 3: The evolution of shared services over time 10

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