Shared services - Centralise or localise?

5 important questions on Shared services - Centralise or localise?

Should a company centralise or decentralise IT?

  • Centralise the system provider (SAP).
  • Localise the service provider.

Should a company centralise or decentralise marketing?

  • Centralise the corporate communication (the mission and vision statement).
  • Localise the regional interpretation.

Should a company centralise or decentralise purchasing?

  • Centralise the main raw material contracts.
  • Localise call-offs (when something is ordered but I don't have space for it) and purchasing of non-strategic items.
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Should a company centralise or decentralise HR?

  • Centralise the corporate policies.
  • Decentralise the implementation.
It is difficult to centralise because it's often regulated by region law.

Should a company centralise or decentralise production planning?

Today the production of cars, computers, and cigarettes is centralised. For example the production of cables.

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