GBS will evolve into a Chief Administration Office

Six Dead-or-Alive Questions

Jana Vondran
Jana Vondran
SVP Global Business Services
Ingram Micro
Jana Vondran is a GBS leader with 20+ years of experience in leading Shared Services. Previously working at Siemens, she is currently the SVP of GBS at Ingram Micro. Jana is a recognized member of SSON and Customer Experience Program Advisory Board of University Of California
Sashi Narahari
Founder and CEO
Founder & CEO of HighRadius, a fintech enterprise SaaS leader that provides Autonomous Software for Order to Cash, Treasury & Record to Report. Sashi’s leadership has secured the trust of 200+ Global 2000 companies.

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Dead-or-Alive Question #1: In 10 years, do you think BPOs for outsourcing will be dead or alive?
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Answer First: Alive
  • It would be alive but would look different.
  • BPOs need to focus more on true automation rather than just transactional services.
  • They must find ways to add more value and think from a service/advisory perspective.
  • They need to strike a balance between customer experience and the customization level required for scaling a large company.
  • In the near future, the contracts with BPOs would depend on the ‘Outcomes’ of their services rather than just conventional transactions.
  • Dead-or-Alive Question #2: In 10 years, will large, centralized service centers be dead or alive? Especially given the Covid effect of Work From Anywhere?
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    Answer First: Dead
    • They would be dead.
    • At Least the large, conventional service centers would perish.
    • With the pandemic, the hybrid working model is the new theme, and people want flexibility at work.
    • Organizations need to evolve and have small centers for collaboration and exchanging ideas.
    • This idea would replace the large, physical service centers with satellite organizations that provide the right mix of talent, collaboration, and expertise.
    • With the hybrid model coming up, the selection of work time should be introduced to strengthen the scope of improvisation further.
      • Ex-Young and dedicated employees would wish to strive a bit more at work compared to married employees who want to have a balance between family and work.
    • Satellite workspaces and the diversity of working hours help maintain the optimum work-life balance that will be highly efficient in the future.

    Dead-or-Alive Question #3: In the next ten years, do you think RPA in the current form ‘AS IS screen flow automation’ will be dead or alive?
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    Answer First: Dead
    • RPA in the current form would be dead.
    • RPA evolution is in progress, and we are moving towards a more connected automation model.
    • 10 years ago, RPA was estimated to provide 30% – 40% baseline automation, but the current workflow structure in companies allows only 15% automation to be achieved.
    • Streamlining of processes and synchronization between them seems missing in the present form.
    • Integrating ML and AI is essential to bring transformation in the current form of RPA that focuses on task automation.
    • To add greater value, it is crucial to drive more end-to-end processes and automation 10 years from now.

    Dead-or-Alive Question #4: What are your thoughts on AI in GBS. In 10 years, will AI be dead or alive?
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    Answer First: Alive
    • AI would be alive.
    • The use of true AI at the moment is rare and holds a lot of potential.
    • Companies talk about AI but still need to work on its incorporation into the workflow.
    • 10 years from now, AI will be more mature from a technical perspective and will be an integral part of a Shared Services/Global Business Services organization.
    • AI provides scope for a predictive mindset and allows room for customer value.
    • AI has a lot of scope and should be implemented in the functioning of a GBS organization to drive business at a greater pace.

    Dead-or-Alive Question #5: In 10 years, given the consistent wage inflation, will India be a top choice for service centers?
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    Answer First: Dead
    • Labor cost arbitrage would become a factor of less importance 10 years from now.
    • The focus would be highly on the level of services that the centers have to offer.
    • The transition of service centers from mere transaction centers to value centers would be a crucial determinant in the long run.
    • The vision of emerging leaders is to set up small service centers in resource locations.
    • Furthermore, they are willing to look out for resources globally and then leverage the optimal usage rather than focusing on setting up a center in a particular region.
    • GBS leaders choose countries based on the core competencies they offer to organizations for driving growth.

    Dead-or-Alive Question #6: Would GBS be dead or alive as an organization?
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    Answer First: Alive
    • GBS would be alive but would look different.
    • The sole concept of centralizing workflow and managing business operations would be alive.
    • 10 years from now, the face of GBS would evolve, becoming the Chief Administration Office in an organization.
    • This would mean leaner teams managing the automation, streamlining operations, and the customer experience.
    • AI and other integrations would provide a broad scope for predictive analytics and positively impact the customer base.
    • GBS would evolve into a high-value service model to drive growth in a company.
    • The role of the CEO seems to fade away, and the CTO becomes a more vital administrator to monitor the transformation factor.

    What’s your advice to other GBS leaders?What’s most vital for them to keep their eyes on for success?
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    Key Points
    • The leaders should try to incorporate new technological advancements in their workflow and not be afraid to embrace disruption in the marketspace.
    • The key to success is understanding the concept of GBS and its value proposition and evolving according to the market trends.
    • Emerging leaders should keep their company’s long-term vision alive and strive to achieve it.
    • Young people should explore GBS and understand the concept associated with it.
    • It’s an excellent opportunity to understand the functioning of an organization and how it deploys analytics to measure parameters and drive transformation with the upcoming trends.

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