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Assessing the Merits of Shared Services in China

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Shared Services in China: Assessing the Merits
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From the Advice Worth Keeping podcast series
Hosted by Stan Lepeak, Global Research Director,
KPMG LLP Management Consulting


Often the initial business case for setting up a shared service center in China does not appear compelling, at least if the value proposition is focused narrowly on just cost savings.

In the short-term, the complexities and overhead associated with setting up a center may result in increased costs in the short to medium term, rather than delivering immediate cost savings.

However, China-based shared services can deliver a multitude of strategic benefits over the long-term, that clearly outweigh startup costs.

Gary Nowak, Partner in KPMG Advisory Services in Shanghai, discusses opportunities and challenges in setting up shared services in China.

Listeners will gain an understanding of:

  • Key questions companies must answer when establishing shared services operations in China
  • The two primary concerns for companies with existing shared services in China
  • How China compares to other more established countries in shared services maturity
  • The significant role China’s government plays in encouraging the establishment of shared services
  • The skills and knowledge companies must possess internally when establishing shared services centers in China vs. those they seek from experienced third-parties in the market
  • The unexpected surprise value that China offers organizations   


Duration: Less than 21 minutes

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For additioinal into assessing the merits of Shared Service Centers in China, read China Shared Services: Start Now! at kpmg.com.

Read the 3rd Quarter 2015 China Shared Services Survey Results.

Explore shared services and outsourcing in China on this website.

Learn more about KPMG's Shared Services and Outsourcing Advisory in China at kpmg.com/china.


For more Advice Worth Keeping, view the full list of podcasts and visit the Reality Check blog.