SAP Asia Pacific Shared Services Center Saves Regional Operations US$2 Million Annually
Singapore — SAP Asia Pacific senior vice president and chief operating officer Colin Sampson has been named the Shared Services Leader of the Year. He was accorded the recognition at the inaugural Shared Services Excellence Awards in Asia, held in Singapore on August 22, 2006. The award was presented by the International Quality and Productivity Center (IQPC).
“I’m very pleased to be accorded this honor, as it validates SAP’s continued efforts in the area of shared services,” said Colin Sampson. “This award recognizes SAP’s success in sharing our best practices with our customers and prospects in Asia Pacific, in addition to applying them to our own operations. It is a testament to how shared services can help them run their businesses more efficiently and drive down operational costs, resulting in stronger profit margins.”
SAP Asia Pacific has saved more than US$2 million in its regional operations annually since its Shared Services Center (SSC) was set up in 2003. The cost of the processes transferred to the SSC as a percentage of revenue has decreased by some 50 percent. Further savings are expected as the SSC extends its services to include other functions.
The Shared Services model in Asia Pacific is all the more significant as other SAP regions, specifically Latin America and Europe, Middle East and Africa (EMEA), have followed SAP Asia Pacific’s lead in implementing Shared Services with the same approach.
All processes performed in the SSC are powered by SAP’s own leading edge business solutions, resulting in increased corporate governance and risk management, higher productivity levels and tighter operational controls. Workflows between countries and the SSC have also been far more efficient due to the strong technology and automation deployed in the Center.
One of the most successful automation projects has been the implementation of payroll and employee self-service components of mySAP ERP Human Capital Management across SAP offices in Asia Pacific. By implementing the country-specific versions for payroll and legal reporting, local tax, language and regulatory requirements are adequately covered by the system, reducing the complexity of processes performed in a foreign country. Furthermore, employee self-service scenarios, which include leave application, online pay slip, bank details and address maintenance, have empowered employees to manage processes in a collaborative environment while greatly enhancing efficiency and accuracy.
The Shared Services Excellence Awards is the only globally recognised peer program in the industry, providing a unique opportunity for companies to compete for the recognition and respect of their competitors. Established in the late 1990s, the IQPC Shared Services Excellence Awards is the longest-running awards program recognizing, honoring and promoting excellence in shared services operations.
Entries were received from a wide cross section of government and private sector organizations in the Asia Pacific region, and the winners were short-listed by a judging panel of leading shared services practitioners, drawn from industry.
Fiona Tan, regional programme director, Shared Services & Outsourcing Network (a division of IQPC), said, “Heartiest congratulations to Colin Sampson on winning the award for Shared Services Leader of the Year! Board-level support is a critical element that can make or break the promise of shared services for lower costs, improved control and better services. This Award is testament to Colin’s leadership and drive in maintaining the focus and continued success of the SAP Shared Service Center.”
One of the judges, Christoph Prieler, Global SSC Director, Flextronics, explained why his vote for Shared Service Leader of the Year went to Colin Sampson: “Despite the fact that Colin’s main work responsibility is not Shared Services, he has been a true evangelist of the concept in SAP. As anybody involved in Shared Services knows, the toughest task with introducing SSCs and finding a mission within an organization is to sell the concept to the staff and get their buy-in. It was truly Colin, with his passion and leadership skills, who made the SSC concept work within SAP. It was a risky undertaking to put a significant breadth of processes (HR, Finance etc) under one roof at the same time, and yet he has succeeded to such an extent that his model serves as best practice for other regions within his company. Congratulations to such a great visionary in the field of Shared Services!”
This is the third award that the SAP Asia Pacific SSC has received. In 2005, it was the Asia Pacific winner for ‘Most Advanced Automation of a Shared Services Organization’ in the Asia Pacific Shared Services Excellence Awards 2005, presented by the Shared Services and Outsourcing Network in conjunction with IQPC. In addition, the Center was given the IT Excellence Award by MIS Asia magazine in the category of ‘Best Bottom-line IT’ in 2005.
About SAP Asia Pacific Shared Services Center
SAP has centralized the transactional processing and administrative functions of its 13 Asia Pacific subsidiaries into its first SAP Shared Services Center (SSC) at the Asia Pacific headquarters in Singapore. The SSC, made up of around 38 well qualified and service-oriented resources, are responsible for Software Contracts Administration, Partner Services, Consulting Administration, Education Administration, Human Resources and Payroll Administration as well as Finance and Administration for the region.