successful outsourcing of critical services
DESCRIPTION
P&G’s 5 Commandments for Outsourcing critical servicesTRANSCRIPT
Successful Outsourcing of Critical
ServicesServicesAshit Mehra
Associate Director, Asia GBS Leader for Supply Chain,
Sales and R&D, P&G
P&G at a Glance
Number of Employees 127,000
Countries of Operations 80
Countries Where Our Brands Are Sold
180Are Sold
Consumers Served by Our Brands
4.4 B
2010 Net Sales $82.6 B
• Among the world’s best-known household names.
• Represent 90% of P&G sales, more than 90% of profits.
• Includes 24 billion-dollar brands.
50 Leadership Brands
GBS is one of the 4 Pillars of P&G.
globalglobalbusinessservices
marketdevelopmentorganizations
corporatefunctions
globalbusiness
units
Customer Service Operation (CSO) Shared Services• Centralized customer service operations
• Serves 14 Asian Markets & 9 languages
• Complex processes – manual & electronic
• Scope of work –• Scope of work –
i. Order Management
ii. Accounts Receivables
iii. Reporting
• Zero tolerance for errors
5 Commandments for
Outsourcing Critical Services
Establish Robust and Sustainable Design
Create ‘One Team One Dream’ Culture2
1
Deliver & Sustain Executional Excellence
Develop Champions
Build Success stories via Business Transformation
5
4
3
Establish Robust & Sustainable Design
1
Customer Service Operation (CSO)Shared Services
Customers
End to End
Support
Customers
End to End
Support
Customers
Front End
Support(Head Quarter)
Customers
Front End
Support(Head Quarter)
Customers
Back End
Support(Shared Services)
Customers
Back End
Support(Shared Services)
New StructureOld Structure
(Head Quarter)(Head Quarter) (Shared Services)(Shared Services)
FRONT - ENDGrow Sales
Drive Customer satisfaction
BACK - ENDBACK - END
DriveOperational Excellence
Create One Team One Dream Culture
42
One Dream Culture“We are ONE team, in the eyes of customers”
We collaborate as ONE at all levelsthrough joint action plan and regular join-ups
We have fun as ONE through team-buildings and market visits
Deliver & Sustain Executional Excellence
33
Cost, Quality & Cost, Quality & Control
Our report cardOur report card
SLA Metrics
Develop Champions44
Through Rewards & Recognition,
internally & externally…..…..
• Winning the 5th Asian Shared Service Excellence
• Award For BEST NEW OUTSOURCED SERVICES
DELIVERY
• Winning TWO prestigious GBS Excellence awards 2010
• Award for Dare To Dream & President’s Choice award
Champions of the CSO shared services
1. Global PS Supply Chain Officer
2. Asia Group President
3. Asia Product Supply Vice President3. Asia Product Supply Vice President
4. Asia Finance Vice President
Create Success Stories via Business Transformation
25
Transformation
� Joint business transformation workshop between P&G and Infosys
� Leverage on LEAN & Six Sigma methodology
� Identify improvement areas that enables us to do
The Approach
� Identify improvement areas that enables us to do better, faster & differently, such as:
1. Resource optimization via Team re-structuring2. Automation of order acquisition & processing via order
upload3. End to end Credit management tool4. Loss elimination through process simplification &
standardization
5 Commandments for
Outsourcing Critical Services
Establish Robust and Sustainable Design
Create ‘One Team One Dream’ Culture2
1
Deliver & Sustain Executional Excellence
Develop Champions
Build Success stories via Business Transformation
5
4
3
20