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Chen Theng Aik: Because from the condition were being at now, were being however contemplating our migration of things to do to the SSCs from the highercost Asian nations around the world. Our officers happen to be explained to to observe headcount, and headcount substitution, pretty meticulously, and its receiving harder for the organization units, so there may be a lot more interest for 2 good reasons. A person is, pure wage arbitrage and our capacity to continue to leverage that, so theres improved interest in moving much more things to do above to us, and what was typically regarded taboo to not be transferred over to shared expert services could now all be within the desk. With our SSC in Malaysia, theres a substantial wage arbitrage from the highercost Asian international locations.
Significant companies are expanding outsourcing their human useful resource operations making sure that now many companies present HR BPO providers. A few of outsourcing assistance associated to provide payroll outsourcing, administration, worker knowledge documents & management and asset management solutions.
Hugo Walkinshaw: Well its definitely good news that at least someones busy in these times The only things Id add to what you guys have said is that, firstly, specifically within our shared expert services environment and this plays a little bit towards Rodrigos point initially we are making much greater and more frequent use on the SSC for almost daily operational facts, as everything is shifting so fast and swinging so hard in terms of decisionmaking around recruitment, costs and so on. Have been putting considerably more emphasis on the basis of ad hoc management information coming out in the center. Ive noticed that had been partnering much better with the center and that theyre being forced to become much far more reactive and responsive about producing information.
Rodrigo Martins: I fully agree with you. And I would add to that: remember why you exist in the first place... Just since have been while in the middle of an economic crisis now, theres no need to reinvent everything. Remember why you exist and keep focused of course, be aware of whats going on with the crisis, but dont get distracted by it. Focus over the daytoday execution of your goals; and manage what is in your control.
Chen Theng Aik: I think my situation is quite similar to Eriks in that have been mostly captive; once in a while from the small business there's the opportunity to try some outsourcing.
However, having spoken with a few people, and now having just heard that from Chen, it actually sounds like its business as usual: that there are extra players coming into the shared services space and actually its just going to carry on being a competition for the talent.
Erik Moller Nielsen: Id like to echo what Chen just said, and actually Hugo you just used the words we use: its a burning platform. Were being looking at anything and everything, and we see a widening of your scope and depth of what have been being asked to handle. For example within the backoffice support for SAP, we are escalating the percentage of your endtoend finance process that were being handling inside the services center, and we have a Six Sigma project going on now to take it up to 70 per cent. But have been also being asked to look at almost additional things that we can handle at the moment from claims settlement to quite sophisticated KPO work, so have been transferring up the value ladder, for sure, at the moment. We definitely see a lot more offshoring coming our way.
Chen Theng Aik: I think our big focus will be on two areas. A single will be on receiving our unit costs down even further; inside the past, our internal small business partners were pretty happy with our unit costs simply because from the big wage arbitrage, but now things are acquiring pushed further and further theyre saying weve got this great wage arbitrage and had been pleased with that but can you get costs down even further? So thats acquiring a whole lot of focus not that it didnt before, but now its with even greater intensity.
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