Guide sets out shared services tips

Buyer/supplier relationships and effective business cases will be key to success

Written by Sarah Arnott

Greater collaboration with suppliers and improved business case development will be crucial to the success of government shared services programmes, says best practice group BuyIT.

The public sector is increasingly looking to common administration systems such as human resources and finance to help meet the Treasury’s stringent efficiency targets.

Guidelines published by BuyIT this week advise organisations looking at shared services to focus on better buyer/supplier relationships, clear measurement of benefits and effective governance structures.

The report also lists eight ‘golden rules’ for developing a strategic business case, including ensuring board level support, the allocation of sufficient resources and the separation of benefits realisation from programme delivery.

The research builds on guidance published last year.

‘The first set of recommendations were more an exhortation of the shared services concept, now people have taken the message on board so we are looking at the issues they need to address,’ said BuyIT chief executive Frits Janssen.

‘When, as part of the public sector reform agenda, policymakers are looking at the business case they should ensure that they address those eight golden rules. What normally happens is they are not addressed at the beginning and the implementation goes forward in the wrong way and fails.’

Richard Hatfield, Ministry of Defence personnel director, said: ‘There is no doubt shared services is a big step and involves some difficult challenges.’

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