Nowa strona 1 » How to Design Shared Services, Centers of Excellence, and Business Partners

Introduction: The Evolving HR Delivery Model Landscape

As organizations navigate rapid business transformation, global competition, and digital disruption, the Human Resources function has evolved beyond traditional administrative roles into a strategic partner driving organizational capability and performance. This shift demands an operating model that delivers HR services efficiently, consistently, and with strategic impact.

The triad of Shared Services, Centers of Excellence (CoEs), and HR Business Partners (HRBPs) represents the dominant framework for HR operating model design worldwide. However, successful implementation is not merely about adopting these components, but about designing their structure, roles, and interactions thoughtfully to maximize value and alignment.

This guide will provide HR leaders and professionals a comprehensive framework for designing these elements effectively — addressing operating model options, role clarity, handoffs, and governance for strategic alignment and service excellence.

1. Operating Model Options for HR Delivery

The foundational decision in HR operating model design is how to structure the delivery of services across transactional, specialist, and strategic activities. The three primary models are centralized, federated, and hybrid.

1.1 Centralized HR Operating Model

Centralization consolidates HR functions into a single, unified entity. It often involves:

A Shared Services center handling all transactional HR activities
Centralized CoEs providing specialized expertise and developing global policies and programs
HRBPs aligned under central HR leadership but embedded strategically with business units for partnership

Benefits of Centralization

Cost efficiency through economies of scale and reduced duplication
Consistency in policy application, data integrity, and compliance
Improved governance with easier oversight and process control
Technology leverage, enabling integrated HR information systems and automation

Challenges and Mitigation

Potential perceived disconnect between HR and business units — mitigated by embedding HRBPs with strong business acumen and influence
Risk of bureaucracy and slower responsiveness — countered by empowering HRBPs and flexible service design
Scalability limits if one-size-fits-all approach is applied without flexibility

Real-World Example

A global consumer packaged goods company centralized its payroll, benefits, and recruitment Shared Services in two hubs, with CoEs leading global talent management strategies. HRBPs were embedded in regional business units but reported into central HR, balancing efficiency and proximity.

1.2 Federated HR Operating Model

Federation disperses HR responsibilities, situating HR capabilities within individual business units, regions, or subsidiaries. In this model:

Each business unit may have its own HR Shared Services-like function
CoEs may be duplicated or loosely connected, tailored by unit needs
HRBPs are embedded within units with greater autonomy

Benefits of Federation

Close alignment with specific business strategies, culture, and market dynamics
Enhanced customization and agility in HR programs
Greater local ownership and accountability

Challenges and Mitigation

Risk of redundant resources and higher costs
Inconsistent employee experience and HR policies
Complexity in cross-unit coordination

Real-World Example

A multinational conglomerate with diverse business portfolios maintained separate HR teams for each unit, optimizing for responsiveness but facing challenges with policy harmonization.

1.3 Hybrid HR Operating Model

The hybrid model blends centralization and federation, balancing standardization with local responsiveness. Typically:

Shared Services handle global transactional HR activities
CoEs provide specialist expertise and global programs
HRBPs are embedded closely with business units and have regional or business reporting lines

Benefits of Hybrid

Combines efficiency of centralized processes with business alignment of embedded HRBPs
Flexibility to adapt services to business and regional nuances
Enables scalable global standards while supporting local innovation

Challenges and Mitigation

Requires strong governance to prevent confusion over responsibilities
Demands clear service level agreements (SLAs) and communication protocols
Needs continuous collaboration mechanisms across components

Real-World Example

A leading financial institution implemented a hybrid model, centralizing payroll and core CoEs, while embedding HRBPs in business units globally. This approach drove both operational excellence and strong business partnership.

2. Designing Roles, Responsibilities, and Handoffs

The strength of the HR operating model lies in the clarity of its roles and the quality of collaboration among Shared Services, CoEs, and HRBPs.

2.1 HR Business Partners (HRBPs)

HRBPs are strategic consultants embedded with business leaders, focusing on talent, organizational performance, and workforce solutions.

Key Responsibilities

Strategic alignment: Translate business goals into people strategies
Talent advisory: Workforce planning, succession, engagement, and culture
Change leadership: Partner in organizational change and transformation
Liaison: Facilitate access to CoEs and Shared Services expertise

Essential Skills and Attributes

Deep business acumen and commercial awareness
Strong consulting and influencing skills
Expertise in organizational dynamics and change management
Ability to interpret and leverage data and analytics

2.2 Centers of Excellence (CoEs)

CoEs provide deep, specialized knowledge in critical HR domains and develop frameworks, programs, and best practices.

Core Responsibilities

Develop global HR policies, tools, and frameworks
Deliver specialist consulting to HRBPs and leaders
Lead talent initiatives in domains like Learning & Development, Compensation & Benefits, Diversity & Inclusion, Talent Acquisition
Ensure regulatory compliance and market competitiveness
Generate insights and analytics to support strategic decisions

2.3 Shared Services

Shared Services deliver efficient, high-quality transactional HR services at scale.

Primary Duties

Process payroll, benefits, HR administration and employee data
Manage case resolution and employee queries
Provide consistent and timely service per SLAs
Support HR systems and technology

2.4 Managing Handoffs and Collaboration

Handoffs between Shared Services, CoEs, and HRBPs must be seamless to ensure positive employee and leader experiences.

Best Practices

Define clear role boundaries and decision rights
Develop process maps and workflows for common scenarios
Establish communication forums (e.g., joint meetings, shared platforms)
Align metrics and accountability for collaboration
Utilize technology for tracking service requests and status

3. Ensuring Strategic Alignment and Service-Level Clarity

3.1 Aligning HR Delivery with Business Strategy

To stay relevant and impactful, HR delivery models must evolve with business strategies.

Conduct regular operating model reviews linked to business priorities
Engage business leaders in HR governance forums
Use capability mapping and workforce analytics to prioritize HR focus
Customize HR offerings to business unit and regional strategies

3.2 Defining Service Levels and Managing Expectations

Establishing SLAs and clear expectations builds trust and drives continuous improvement.

Develop detailed SLAs for each HR service with measurable KPIs
Implement feedback channels for continuous service refinement
Use performance dashboards for transparency
Invest in customer service training for HR teams

3.3 Governance and Continuous Improvement

Sustainable operating models require ongoing governance:

Cross-functional HR councils and steering committees
Regular performance reviews and maturity assessments
Innovation programs for piloting new service delivery methods
Strong change management for new ways of working

4. Practical Insights and Common Pitfalls

4.1 Invest in Talent

Build HR teams with specialized CoE expertise and strategic HRBP skills
Provide ongoing learning and development tailored to new operating model demands

4.2 Balance Standardization and Localization

Use frameworks that allow local adaptation within global guardrails
Avoid rigid one-size-fits-all approaches that hinder agility

4.3 Leverage Technology Effectively

Invest in integrated HRIS platforms to connect Shared Services, CoEs, and HRBPs
Explore automation and AI for transactional efficiency
Use analytics for predictive insights and decision support

4.4 Manage Change Thoughtfully

Communicate clearly and frequently to all stakeholders
Address role ambiguity and resistance proactively
Celebrate quick wins and iterate based on feedback

5. Case Study: Global Technology Firm’s HR Operating Model Transformation

A leading technology firm faced fragmentation in HR delivery across regions and functions, leading to inconsistent service and inefficiency.

Actions Taken:

Centralized transactional services in two Shared Services hubs using cloud HR platforms
Established CoEs in talent acquisition, learning, and total rewards with global mandates
Embedded HRBPs within product teams, reporting to both HR and business leaders
Created SLAs and service dashboards, reviewed quarterly with business stakeholders
Formed a governance council including business leaders to align HR strategy and operations

Outcomes:

30% reduction in HR administrative costs
40% improvement in business satisfaction scores with HR
Accelerated talent acquisition cycles
Stronger alignment of talent programs with innovation priorities

Conclusion

Designing effective Shared Services, Centers of Excellence, and HR Business Partners requires a strategic, holistic approach that balances operational efficiency with business intimacy. Clear role definition, seamless collaboration, robust governance, and continuous adaptation to business needs are paramount.

This operating model, when thoughtfully designed and implemented, positions HR as a true business enabler—driving talent strategy, organizational effectiveness, and measurable business outcomes.