strategies to expand fssc operation supported by emerging ... ricardo wolf.pdf · training apr 19th...

1

Strategies to expand FSSC operation

supported by emerging technologies

1PepsiCo Confidential

LATAM

18

Located in Mexico, we provide Financial back offices services to 18 countries, including 3 Centers of Excellence (A&M, Pricing & Reporting – LAB)

Processes & Services Accounts Payable

Accounts Receivable

General Accounting

Fixed Assets

Bank Reconciliation

Cost Accounting

A&M – Pricing (LAB)

Financial Reporting (LAB &

LATAM HQ)

Payroll (3 Countries – F&B)

Social Security (Mex)

Service Delivery

4.3MILLON OF TRANSACT

MORE THAN

30%TEAM

PROMOTIONS(4 years)

280ASSOCIATES &

GROWING

PepsiCo Confidential 2

2017 SOLID RESULTS

13 FTECost Avoided

SLA s & Efficiency Control Effectiveness

LAST 3 YEAR B (W)

2015 -9%

2016 -13%

2017 -10%

Talent Health

90% OHS

7.5% Turnover

9.8% Promotions

4.3 Customer Satisf.

(Scale 1 to 5)


-68%DECREASE IN

8 YEARS

Cost Per Transaction

+13% vs ‘16

Transaction

Efficiency

GCS Integrated /

CE Optimized

Controls

Effectiveness +95

KC optimization – 28%

KC Computer assisted +4%

3 New Countries

We have a clear Vision & Principles

To be LATAM Shared Services Center providing quality services with innovation, continuous improvement, and enabling our customers decision making process through capable and empowered talent

Op

era

tin

g

Pri

nc

iple

s

Strong Controls

Service Excellence

Integrated & Efficient

- CI

Tools & Technology

Talent & Capability


LATAM SSC Strategy

Meet / Exceed customers expectations by providing accurate, timely business services at competitive cost levels

Keep expanding services across LATAM sector, supporting business evolution

Strategy Statements

2015 SSC State

• Two SSC organizations F&B

• Financial Services

• CoEs for LAB

• SLAs avg accomplishment 98%

• Avg cost per transaction 2.44 LC

• Customer satisfaction (1 to 5) 4.1

• OHS (Engagement / Satisfaction avg) 87.8%

• Standardization 87%

• Automation initiatives 4 (AR RPAs)

Top SS Initiatives

1. Deliver high quality services at every point of contact

2. Provide talent development thru differentiated programs and provide an environment that attract and retain best talent

3. Achieve and sustain innovation and best practices

4. Maintain a flexible and adaptable structure that enable company growth (services expansion)

5. Manage resources and automate processes / services to sustain competitive cost

2018 & Beyond SSC State

• Single SSC organization F&B

• Multi-Services / E2E approach

• CoEs for LATAM region (insights / analytics)

• SLAs superior performance 99 to 100%

• Avg cost per transaction (YoY) -8 to 10%

• Customer satisfaction (1 to 5) 4.3

• OHS (Engagement / Satisfaction avg) +93%

• Standardization +95%

• Automation initiatives +15 (RPAs)


PillarsS

SC

Str

ate

gy


7

Categories

PepsiCo Confidential

• Workflows management• Data stage• WEB portals

• Project management• Team collaboration

• Decision making• KPI´s Dashbaording

• Process management• Content Management (AP mostly)• Workflows

• Productivity• Automation activities

• Expense control• Compliance

• Decision making• Reconciliation • Balance Sheet Review

• Supplies management

• Customer service• Value added

• Collaboration• Teamwork

• Decision making• Corporate reporting

• Payroll management

• Automate period closing process

Smart close

Tools


9

Pillars vs Categories

2009 2014 2015 2016 2017 2018 2019• Onbase

• SAP Concur

• My Buy / Ariba

• HFM / FDM

• Konesh

• Clarizen

• Tableau

• SM9

• Jidoka

• Office 365

• BPM

• ADAM

• Black Line

• Uipath • Smart Close


10

Benefits

Innovation Program

Smart close


0

10

20

30

40

50

60

70

oct-16 nov-16 dec-16 jan-17 feb-17 mar-17 apr-17 may-17

Clie

nts

In Q4’16 we piloted 4 Bots with strong results


Currently60 clients

140 M invoices

Kick off 20 clients

90 k invoices

4 Bots

4 Bots

3x installed capacityCycle time improvement 80%

In particular RPA’s is delivering strong support to keep achieving solid efficiencies

AR collection payment posting in SAP service

Jidoka software

AR Cost per transaction trend / LC

The expansion strategy is

created to maximize the

benefits to LATAM control

processes

CET LATAM Background


13

Strategy Inputs

# Initial Assessment• IC CoE LatAm

# Prioritization/Time• IC CoE LatAm• CET# Technological Solution• IC CoE LatAm ACES • / CET

# Estimated Benefits• CET

Internal Control

Leverage

¿What?

¿When?

¿How?

¿How much?

Str

ate

gy to

accele

rate

RP

A´s

Exp

an

sio

n

New

InstalledCapacity

• CET SSC (3HC)• XX Additional HC

• XX SME´s• IC CoE Team

Proposal

Business Case

• Program Definition

• Scope• Benefits

• Budget• Teams

TrainingApr 19th


14

Road Map

2018 2019Q1 Q2 Q3 Q4 Q1

P2P

R2R

OTC

Payroll

7 Bots / -10 HC

3 Bots / -4 HC

2 Bots / -2 HC

4 bots / -4 HC

Feb 2018 – Aug 2018

Apr 2018 – Sep 2018

Jul 2018 – Nov 2018

Apr 2018 – Dec 2018

Pre Golive / Go-NoGo Sesions

2018 2019

Q1 Q2 Q3 Q4 H1

L6sTraining IC Coe

RPA´s WS

Roll Out Assessment

BC

Deployment

WS

IC CoE

March 2018

April 2018

TBD IC Team

Proposal Jul 2018 – Aug 2018

Phase 1

Phase 2

Sept– Nov 2018

SS

CR

PA

´s

Ex

pa

ns

ion


15

Strategy

Top Down Management Alignment• Formalize expansion strategy

High Level LATAM Priorities definition• Initial Assessment by LATAM Control CoE

Create Business Case• Based on priorities

• Define SME´s, Additional CET

Approval & Kick Off• Sign

Deployment• Based on the CET Methodology


STRATEGIC PARTNERS

CET LATAM Expansion

End to end – Vision

Process improvement based on L6S

Analyze each initiative to prioritize them and assign the specific implementation strategy

Perform the analysis of each project delivering the analysis of costs, benefits, and ROI

Methodology allow implementations and faster decision-making

06

05

04

03

02

Government modelEstablish standards: processes, platform

01

Implementation RPA solution (high complexity)

Training Quality assurance

Data stage BPM Web portals

Internal platforms support

Infrastructure Support model

Initial assessment Process identification High level process review

SME´s

Support the implementation strategy according CET methodology

Be the point of contact between CET and the country / area

Change management assurance

Report any issue throughout the project stages

LATAM Internal Control

COE


Leverage CET experience throughout LATAM

Establish standards: processes, platform

Methodology allow faster implementations and

decision-making

Increase productivity

Cost reduction

Improve control, quality and accuracy information


Benefits


R2R, Payroll and DCs administrative activities

Automate closing process

Transactional FP&A & Taxes

Analytics CoE (based on Tableau)

Cost avoid 20 HC for the next 3 years (60 HC)

Keep delivering 8% to 10% cost per transaction reduction

Automate KC


Commitment


strategies to expand fssc operation supported by emerging ... ricardo wolf.pdf · training apr 19th...

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