Definition and Classification of IT-Shared-Service-Center

Veit Schulz · Axel Hochstein · Falk Uebernickel · Walter Brenner

37 citations0/0 files storedAlexandria (UniSG) (University of St.Gallen)

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Outsourcing and Supply Chain Management Information Technology Governance and Strategy Service and Product Innovation

Abstract

Shared service centers (SSCs) are an increasingly important and oft-utilized approach to organizing Information Technology services. Nevertheless, researchers hitherto have not investigated SSCs sufficiently. Our research attempts to fill this gap by addressing the following basic problems: Firstly, no standardized definition of SSCs has established; and, secondly, different features of SSCs in practice have not been analysed. In an extensive literature review, we identified the following characteristics of SSCs to be commonly mentioned by researchers: consolidation of processes within the group; delivery of support processes; separated organizational unit; alignment with external customers; cost cutting as a major driver; focus on internal customers; and operation like a business. In a focus group, we identified the following parameters in which existing SSCs differ from each other: legal form; main form of co-ordination; service charges; external market; contractual form; center concept and product portfolio. These criteria were validated empirically by extensive case study research with seven IT-organizations from North America and Europe.

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1987Electronic markets and electronic hierarchies 2006Motives for establishing shared service centers in public administrations 2002Essentials of Shared Services 1997Beyond Outsourcing: Managing IT Resources as a Value Center 1999Shared Services: Adding Value to the Business Units 2000Shared Services: Mining for Corporate Gold 2007Effective strategies for internal outsourcing and offshoring of business services: An empirical investigation 2006Improving shared service implementation: adopting lessons from the BPR movement

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2013Changement organisationnel et reconception de l’organisation : des ressources aux capabilités 2010Characteristics of a successful shared services centre in the Australian public sector 2014Seven challenges management must overcome when implementing IT-shared services

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