azuddin jud ismail - melaka sso to kkpo

8/14/2019 Azuddin Jud Ismail - MELAKA SSO To KKPO

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MELAKA ICT HOLDINGSKNOWLEDGE DRIVEN SERVICES

SHARED SERVICES &

OUTSOURCING (SSO)Azuddin Jud Ismail

[email protected]

Clarification on SSO Activities


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Definition of High ValueActivities for SSO

TechnologyInfrastruct

ure

Telecoms

DeviceManagement

Hosting

CustomerSupport

BusinessApplicatio

ns

Vertical

Applications

HorizontalApplications

BusinessProcess

CRM, Billing

Admin,Finance

HR, Training

Supply Chain(Manufacturin

g Services)

Logistics

BusinessManagement &

Integration

Business,Finance and

ProjectManagement

Sourcing andProcurement

Process Designand Engineering

Marketing, Sales

BusinessTransformatio

n

Global BusinessIntegration

Research,Product Design

andDevelopment

InvestorRelations andManagement

Market Strategy

Analytics

IndustryVerticals (BFSI,High Value


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What is SSO?Shared Services are the convergence and streamlining ofand organization's functions to ensure that they deliver theorganization the services required of them as effectively andefficiently as possible.

This often involves the centralizing of back office functionssuch as HR and Finance but can also be applied to the middle

or front offices. A key advantages of this convergence is that itenables the appreciation of economies of scale within thefunction and can enable multi function working (e.g. linking HRand Finance together, where there is the potential to createsynergies)

A large scale cultural and process transformation is often akey component of a move to Shared Services. Thistransformation often results in better quality of work life foremployees.

Shared Services are more than just centralization orconsolidation of similar activities in one location. Shared


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What is SSO?

The term SSO encompasses both outsourcing andoff shoring activities. Shared Services is andarrangement where common services are providedby a single organization levering an economies, such

as outsourcing and call-center consolidation.

Outsourcing is to seek resources outside of anorganizational structure, usually to reduce costs andto exploit competencies of other entities.

Off shoring is the provision of services from a countrythat is geographically removed from the client, forexample, services provided to a US enterprise by aservice provider located in a developing country.[Excerpt from : Economic Report 2005/2006, by

Ministry of Finance Malaysia, p.34]

cont.


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Types Of SSO Activities

Information Technology Outsourcing(ITO)

Business Process Outsourcing (BPO) Knowledge Process Outsourcing (KPO)NB

iii.List of SSO activities presented are nonexhaustive;iv.Companies may be involve in multiple activitiesacross above segmentationv.Horizontal refer to the span of SSO activitiesacross industries and Vertical refers to the specific

industries (i.e. Finance, Logistics, Energy,Technolo Manufacturin etc.


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Example of ITO relatedSSO Companies

Information Technology Outsourcing(ITO) :

iii.ExxonMobil Business Support Center MalaysiaSdn. Bhd.

v.Shell Information Technology International Sdn.Bhd.

vii.Asia-Pacific Information Services (DHL) Sdn.Bhd.

ix.Ericsson Expertise Center Sdn. Bhd.


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Example of BPO relatedSSO Companies

Business Process Outsourcing (BPO) :

iii.E2 Power Sdn. Bhd

v.DHL Asia Pasific Finance Shared Services Sdn.Bhd.

vii.HSBC Electronic Data Processing (Malaysia)

Sdn. Bhd.

ix.IBM Malaysia (M) Sdn. Bhd.


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Example of KPO related SSOCompanies

Knowledge Process Outsourcing(KPO) :

iii.Shell Global Solutions

v.HSBC Global Resourcing Ltd

vii.Pulse MSC

ix.PGS

xi.Panasonic R&D Center

xiii.Nokia Siemen


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Information TechnologyOutsourcing (ITO)

IT Service & Support SSOactivities that relates to the in-

sourcing or outsourcing ofactivities relating to IT services& support


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Example

of ITOActivities

Data CenterIT Helpdesk

Tech Support

DisasterRecovery Data

Center - LHDN

Hosting

SoftwareDevelopment

Applications

Development

System

Integration

Vertical (IndustrySpecific) Applications

DeviceManagement

Horizontal (ProcessSpecific)

Applications

EntireTec

DIGITAL

Melaka

SAMB

K-Eco

M-BPO

KTIAM

MICTHCallCente

r


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Business ProcessOutsourcing (BPO)

Back-office Processing SSO activitiesthat relates to the in-sourcing oroutsourcing of activities relating back-office processing which typically requires

plenty of manual data entry efforts.

In the Finance vertical for example, thisbusiness process includes simple tasks

like credit card or be expanded to includebilling, call center services, transactionmanagement, correspondencemanagement, revenue management,collections and exception processingoperations.

cont


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Business Process Outsourcing(BPO)

In Human Resource (HR) vertical the BPOactivities which are in-sourced oroutsourced may include processos such as

payroll processing, administration ofemployees benefits andentitlements,employee data records andmanagement.The SSO activites under theHR may also cover

performance,reward,training and exitprocess.

Customer Services and Call Centers

cont.


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Knowledge ProcessOutsourcing (KPO) Knowledge

ServiceKPO or Knowledge Services are basically thehigher value activities that can be consolidatedwithin a company. These may include coreand/or non-core activities within the company.

The most common form of KPO being done isResearch and Development work. Companiesin each industry vertical may have varyingcore and non-core activities.

For Example, R&D work for an IT company willbe different from R&D work being done in acompany within the Pharmaceutical industry.Additionally, certain activities may only bespecific to a particular industry.


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Exampleof KPO

Activities

GlobalBusiness

Integration

EquityResearch

Sourcing andProcurement

Market Researchand Intellectual

Property

FinancialModeling and

Analysis

LegalResearch

Investor

Relations &Management

ProjectManagement

Customer andPortfolio Analysis

Research, Design& Development

Process Design& Engineering


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Potential KPO Area forMELAKA MSC Malaysia

BFSI Strong track record for Islamic Finance

and access to BFSI players and customers.Excellent G2G relations to promote products andservices to potential clients

Manufacturing natural progression to useMalaysias strength in traditional manufacturingactivities to develop system, processes andservices to support global manufacturing needs

Legal Strong legal foundations i.e. Englishlaws, Cyber laws and Islamic laws to fuel KPOrelated research and analysisMedical & Pharmaceutical Access to ready

local talents (doctors, nurses) and life sciencesresearches, alternative medicines etc

azuddin jud ismail - melaka sso to kkpo

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