Global VP of Order to Cash at Adidas, with 20+ years of experience in leading global business services in companies like AkzoNobel and Bose Corporation. Currently, Michael is responsible for implementing end-to-end global processes to deliver high customer value.
CEO and Founder of HighRadius, a Fintech enterprise SaaS company which leverages AI-based Autonomous Systems to help companies automate Accounts Receivable and Treasury. Sashi’s leadership has secured the trust of 200+ Global 2000 companies.
Podcast Summary: Six Million Dollar Questions every GBS Leader wants to Know
Million Dollar Question #1: Captive center vs outsourcing. In your view, which model is better for deploying shared services?
I think there’s no better model, it all depends on what you want to achieve.
Using a Captive Model-
You will have more retention of your staff, and by acquiring higher quality people you can deliver the services in a more agile way.
Using an Outsourcing Model-
Since they have the hiring engine, they can make sure that you build your organization very quickly.
One of the most interesting approaches is that BPOs are now offering hybrid models, from which you can extract all the benefits you need and switch it to a captive model later.
With that being said, one should make the best out of both models to move forward.
Million Dollar Question #4: Michael, you have been successful in optimizing GBS for three large enterprises. Could you share with us your secret recipe for transforming GBS from a cost-cutting focus to a revenue growth strategy?
GBS tends to develop by starting with a shared service center for a particular function
Then you start to improve your labor arbitrage to get that low cost.
When you start making the changes, you go from one single function to multiple functions, combine the end-to-end processes and all the data for your organization.
I think data analytics is one of the keys that reflects the value of GBS which can also influence your bottom line, but also your top line.
What did ADIDAS do?
We automated a lot of processes, while also making sure that we are properly processing our finance and collecting our funds.
This, along with other factors during COVID, resulted in 96% growth in our e-comm business during the 2nd Quarter last year.
There are many values that a GBS can add, but you have to make sure when is the right time to do that and market it properly.