According to a Forester report, cloud computing is a thriving market expected to generate revenues of R2.5 trillion by 2020. Although South Africa’s adoption is slower than that of other global economies, it is evident that it will become more relevant to African businesses for the next 10 years.
When Creating Synergies through Shared Services and the Cloud, we need to understand the underlying drivers behind the adoption of cloud computing and shared services, and the commonalities between the two.
• Flexibility and Pay as you Go: Organizations across the world are facing complex business environments – changing consumer behavior and business cycles that are creating rapid peaks and troughs in their business.
• Economies of Scale: Both cloud computing and shared services are platforms of choice to bring in economies of scale when running organizational processes and infrastructure.
• Easy and seamless deployment: While this does not seem as apparent upfront when considering SSC and cloud computing platforms, both initiatives over time provide the ability to implement change easily, seamlessly and rapidly.
• Simplification of organisational structures: Both cloud computing and shared services allow for simplification and streamlining of organizational structures. Centralization, consolidation and rationalization are central to these initiatives and remove any internal redundant positions and layers within organizations.
I also unpack three models which cover options for an organisation to consider. These include implementing a shared services model where cloud solutions already exist; introducing cloud based technologies to rationalise the infrastructure of an existing shared services centre; or using a phased approach to simultaneously implement shared services and cloud computing.
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BPaaS: Shared Services & Outsourcing Advisory
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