Latest research from KPMG and HfS Research shows Global Business Services market to grow 15 percent year-over-year to reach $73 Billion in 2017
Six out of 10 organizations will embrace global business services (GBS) over standalone outsourcing and shared services by 2017, according to new research from U.S. audit, tax, and advisory firm KPMG LLP and HfS Research, a leading analyst authority on global business operations strategies.
Cliff Justice, Principal and U.S. Leader, KPMG Shared Services and Outsourcing Advisory, said,“GBS offers enormous potential for unlocking greater business value. However, due to its enterprise-wide, cross-functional nature, it also requires new ways of operating between GBS, corporate functions, business units, and their key external delivery partners.”
In this report, GBS is defined as an operating model and strategic governance framework thatoptimizes the mix of human capital, outsourcing and shared services-based service delivery models, process innovation, and technology to deliver business services on an enterprise-wide, cross-functional basis to support key components of an organization’s business strategy.
The Global Business Services Industry Study gathered empirical data from managers through C-level executives, at 416 organizations with more than $1 billion in revenue across global regions and industries.
Key findings from the study include:
According to Phil Fersht, CEO of HfS Research, “We are seeing an escalated focus on both automation and analytics from mature organizations, but what is clear is that centralization of governance and a GBS approach provides the building blocks to achieve more effective results.”
“It is imperative that change management leadership be implemented as an element of the design for new governance and organization structures in order to redefine joint accountabilities for GBS success,” added Justice. “Astute GBS leaders also recognize this. In fact, a popular response to our study question on what gets in the way of greater GBS success was, simply, ‘us’.”
About KPMG LLP
KPMG LLP, the audit, tax and advisory firm (www.kpmg.com/us), is the U.S. member firm of KPMG International Cooperative (“KPMG International”). KPMG International’s member firms have 155,000 professionals, including more than 8,600 partners, in 155 countries.
About HfS Research
HfS Research is the leading independent global analyst authority and knowledge community for the business and IT services industry.
HfS serves the research and strategy needs of business and IT operations leaders across finance, supply chain, human resources, marketing, customer management and core industry functions. HfS provides detailed and thoughtful analyst coverage of the various areas that impact successful business outcomes, namely process automation and outsourcing, global business services frameworks, mobility, analytics and social collaboration. HfS also focuses heavily on talent acquisition, development, and motivation strategies. HfS applies its acclaimed crowdsourced Blueprint MethodologyTM to evaluate the performance of service providers in terms of innovating and then executing against those business outcomes.
To learn more about HfS Research, please email research@HfSResearch.com.