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Shared Business Model

Shared Service Model is collaborative approach to pool in all the resources into one. This approach allows the economies of scale, pooled experience, associative responsiveness, partnerships with in the organization for low cost and high quality. An internal business unit works as a service provider to the business clients that fulfills the non-core businesses and fragments the core business with higher epxertise within the pool of intelligent resources, with other business units of the same organization. Business organizations request products and services within the organization from the one of the business unit so called 'Shared Service Provider'. The various business units are billed interally and their costs are recovered through revenue generation. Since, these clusters of internal business units have to show profitability for their own existence. They normally buffers up some margins in the cost offered to the 'Shared Service Provider', which is a wrong practice....

Vikas Sharma

Senior AI & Digital Transformation Advisor  |  AI Governance  |  Enterprise Architecture

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