Find out what factors are driving the rapid growth of the shared services markets in ASEAN's top locations and how these locations compare to each other in terms of efficiency.
Posted by Barbara Hodge on 8th Nov, 2016
While Asia still plays a key role in most global shared services models, current innovations in technology are rapidly opening up new opportunities for forward looking organizations. Despite this, Asia will retain its importance for the foreseeable future. According to our data, across the top three most popular ASEAN locations of Malaysia, the Philippines and Singapore, shared services have nearly doubled in the past six years alone, driven predominantly by US headquartered organizations although European companies are strongly driving the market in Malaysia, as well.
Skilled talent is a key factor in choosing a location for the Philippines, while for Malaysia the most significant driver is already existing facilities in the country.
We've identified that companies building new shared services centers are looking for technical skills as a key requirement today [more than 90%]. However, and perhaps in acknowledging the shifts in the service delivery marketplace, transformational and problem-solving skills are also being highly rated and sought after.
- Malaysia has nearly twice as many shared services that achieve AP cycle time efficiency of three or fewer days, than the Philippines, and nearly three times as many as Singapore.
- Singapore has the highest accuracy rates in AP processing
- Malaysia and the Philippines have a lot of experience in multifunctional centers
- the Philippines tends to have fewer general "talent management" challenges than other country in the region
If you are considering leveraging Asia for your global services model, make sure you read this workbook to find out where HR services dominate, which countries and cities are particularly strong in finance and accounting, and how salaries compare.
Read the full report here: Benchmarking and Talent Analysis of ASEAN Shared Service Centers