News & Research: Client Successes

Case Study: Cost Reduction Diagnostic for Shared Services Organization

ScottMadden worked with a newly formed shared services organization to apply process-specific benchmarks and best practices, prioritize areas for improvement, and implement improvement efforts to reduce costs.

• The company had recently launched a shared services organization and had not achieved the expected cost savings
• The organization wished to identify significant cost savings to be achieved the following year
• The scope was large and involved all 15 of the organization's service areas, including HR, accounting/finance, supply chain, and IT

• Researched best practices and benchmarks for all shared services processes
• Applied best practices and benchmarked targets to in-scope processes to determine where and how much improvement was necessary
• Developed an implementation plan designed to achieve the improvements and savings required to meet the immediate goals of the shared services organization
• Implemented the improvement recommendations

• Expected more than $24 million in annual savings
• Increased efficiency of all in-scope shared services processes
• Increased responsiveness of the service organization to customer needs
• Increased customer satisfaction