MANAGEMENT

Detailed explanation-1: -Shared Service Centers reduce service duplication and business unit silos within organizations by integrating service functions into a single department. This prevents knowledge silos from developing within business units and ensures that knowledge generated through service delivery can benefit the entire organization.

Detailed explanation-2: -Shared services have four key characteristics, they are centralized, they promote automation, they standardize processes and they act like a business within a business.

Detailed explanation-3: -The SSC can be responsible for handling specific tasks, such as accounting, human resources, payroll, IT, legal, security or purchasing, to name a few. The SSC serves the business unit with its specialised service to cut overall costs and create a higher degree of strategic flexibility.

Detailed explanation-4: -Generally, Centralized Services tend to be heavily focused on compliance and control while Shared Services have added accountability of value creation through a leveraged model as well as managing to agreed service levels.