Shared services: a conceptual model for adoption, implementation and use

Abstract

The 'shared services' concept, which can be described as a business model for the management of internal service functions, is extremely popular in many large public and private sector organisations. This is having a tremendous impact on how these organisations operate. However, research relating to the concept is at an early developmental stage, leading to a lack of understanding of how this concept manifests itself in organisations. This paper aims to provide some formative research into the concept by investigating the issues of its adoption, implementation and use within a large Australian publicly owned organisation. To frame this research, shared services was conceptualised as an organisational innovation, thus providing for the use of existing theories of innovation diffusion and implementation. Empirical data were gathered from interviews with 15 managers. Using the grounded theory approach, analysis of the interview data allowed for the development of a conceptual/theoretical model of shared services adoption, implementation and use. This model provides insights into the concept that can be useful for practitioners as well as researchers.

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