- General Ledger capture dari keseluruhan transaksi yang di tampung dalam GL

Account

- Activity GL, master data maintenance, transaksi, closing operation.

- Untuk maintenance master data (Edit) bisa dilakukan SSC transaksi jurnal manual
yg non strategic oleh SSC, closing (accrual, GR/IR Clearing)

- Jelaskan transaksi As is best practise

- Pain untuk transaksi jika ada banyak sekali transaksi manual (JV) yg harus dibuat
berasal dari audit adjusment atau analisa team finance PLN, maka kantor
distribusi dan Area dapat melakukan penugasan ke SSC dengan mengirimkan
softcopy JV yang akan dibuat kemudian SSC bisa POST

- Pain untuk transaksi clearing , cth GR/IR manual yg banyak sekali.

- Tobe,TXN yang diatas dpt di tugaskan ke SSC

- FTE yang berkurang akan memberikan optimalisasi kepada SSC

A shared service is an accountable entity within a multi-unit organization tasked with supplying
the business unit, respective divisions and departments with specialized services (finance, HR
transactions, IT services, facilities, logistics, sales transactions) on the basis of a service level
agreement (SLA) with a costs charge out on basis of some type and system of transfer price.[1]

Shared service centers are deployed for a variety of reasons:[2]

to reduce costs of decentralization, to increase the quality and professionalism of support

processes for the business,

to increase cost flexibility for supporting services,

to create a higher degree of strategic flexibility.

Reported cost reductions of costs of services organized in shared service center are as high as
70% of the original costs, but average about 50%.

Shared service centers are not to be confused with corporate staff departments. Different from
staff departments, shared service centers have measurable outputs (by quantity and quality), with
costs per unit of service provided. Tasks not organized in shared service centers include
corporate control, corporate legal, management development policy, IT-governance and other
support typical for the statutory duties of the executive board.
Shared services training:

Many organizations in private and public sectors use a competency-based training course to
identify and fill skill gaps. The SSO Pro course is one that looks to do that with an industry-
relevant certification.

Critical issue
Specific requirements

To reap the benefits a multiple shared service centers sets specific requirements to the resource
allocation process in the internal organization of the firm. A critical issue is that the manager of a
business unit and the manager of a shared service center will prepare a service level agreement
(SLA), but the approval of the SLA is a reserved power of the executive board. This is to balance
the overall budget of the firm as well as to avoid budget gaming between the managers of the
business unit and the shared service center.

A common mistake is to grant the shared service center a status equal to that of business unit or
division. This creates confusion as it conflicts with the primacy of the units responsible for
managing market opportunities. Also shared service centers should not report to their
corresponding corporate staff department (with the exception of the financial shared service
center) as this creates the risk that the corporate staff department uses the shared service centers
to deploy functional authorities. Managers of business units will then perceive the shared service
center as an implicit control device, impairing the quality of services.

It is equally important that deploying a shared service center in a multi-unit organization makes
the executive board accountable to the managers of the business unit for the performance of the
shared service centers. This is because the use of the services of the shared service centers is
mandatory, the executive board reduces the scope of resources of the business units, whilst the
accountability of the manager of the business unit for business performance remains unchanged.

Deployment

The deployment of shared service centers requires that the managers of the business units
develop the competence to be a professional principal of the shared service, knowing how to
articulate their demand and what value services have to their business.

In the accounting system a shared service usually will have the status of cost and investment
center. As some shared-service centers, e.g. for purchasing and for customer service, dependent
on their activities, actually perform value-creating activities, to the judgement of fiscal
authorities, transborder transfer prices may be subject to taxation.

Cost charge
With respect to cost charge out a critical issue is that costs charged based on activity based
costing (ABC) do not provide an incentive to the shared service center to be efficient because
ABC implies that the costs of non-used over capacity will be charged out as well. It is better to
cost charge out on time-driven activity based costing.[3] The superior solution for cost charge out
is cost allocation based on the deployment of a corporate wide general ledger, which includes the
recording of the internal use of resources for products and customers. This method eliminates the
effect of double marginalization inherent to transfer prices and subsequently improves the
performance of the firm.[4]

Standardized processes

Another critical issue in shared service centers is the way processes are standardized. At the end
of the day shared service centers have to contribute to the competitiveness and the (financial)
performance of the firm. As competition shifts to innovation of business models and in relation
to this there is a higher dynamics in the composite customer value proposition to be performed,
changes in the customer value proposition need to be translated timely and effectively in (back
office) processes. As a consequence standardization of processes cannot be based on "best
practice processes" as used to be promoted by IT (enterprise systems)[5] but need to be based on
basis of modularity.[6]

Coordination of demand and supply

In practice the coordination of demand and supply of services between business units and shared
service centers, as expressed in a SLA turns out not to be effective, this only serves a generic
capacity planning. In sync with the shift in business firms from budget-driven strategy execution
to strategy execution based on validated cause-effect diagrams, the specific performance of
shared service centers needs to be defined through cause-effect relations, linking the customer
value proposition to back-office processes and vice versa.[7] In this way, beyond defining shared
service centers as cost centers, the contribution of shared services centers to competitiveness and
performance can be established and controlled. Also this is an enormous boost to the morale and
motivation of workers in shared service centers.

See also
Offshoring

Offshore development center

Outsourcing

Shared services

References
 1. ^ Strikwerda, J. (2010). Shared Service Centers II: Van kostenbesparing naar
waardecreatie. Assen/ Den Haag: Van Gorcum/ Stichting Management Studies.

2. ^ Janssen, M.; Joha, A. (2006). "Motives for Establishing Shared Service Centers
in Public Administrations". International Journal of Information Management 26 (2):
102116. ISSN 0268-4012. CiteSeerX: 10.1.1.109.6832.

3. ^ Kaplan, R. S., & Anderson, S. R. (2007). Time-Driven Activity-Based Costing.

Boston, Mass.: Harvard Business School Press.

4. ^ Strikwerda, J. (2008). Van unitmanagement naar multidimensionale

organisaties. Assen Den Haag: Van Gorcum Stichting Management Studies.

5. ^ Davenport, T. H. (2000). Mission Critical: Realizing the Promise of Enterprise

Systems. Boston, MA: Harvard Business School Press.

6. ^ Sako, M. (2003). Modularity and outsourcing. In A. Prencipe, A. Davies & M.

Hobday (Eds.), The Business of Systems Integration. Oxford: Oxford University Press.

7. ^ Kaplan, R. S., & Norton, D. P. (2001). The Strategy Focused Organization:

How Balanced Scorecard Companies Thrive in the New Business Environment. Boston,
Mass.: Harvard Business School Press.

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