The client is one of the UK’s leading support service and construction companies, employing around 50,000 people. It has annual revenues of around £5bn.
To reduce operating costs, our client intended to establish a shared service payroll centre to consolidate the work and technology of dedicated business payroll departments. The service would pay over 3,000 weekly and monthly paid staff, and would continue to provide the financial information needed to manage cash flow and profitability in five businesses. A number of non-core activities were to be moved to other departments.
To manage the transition our client needed experienced change managers to establish the approach, divest the non-core services and manage the migration of each payroll to the shared service.
Enton supported the Programme Director plan and manage the transition activities. The work involved:
- Reviewing the existing payroll operations, making recommendations on the shared service operation, and the separation of non-core activities such as HR.
- Planning the migration, and defining the governance structures.
- Managing the migration of multiple payrolls to the new shared service, and the divestment of non-core activities to other business services.
- Implementing new business processes in both the shared service and the stakeholder businesses.
- Working with Finance and HR director stakeholders to build confidence in the migration and its financial controls.
- Planning and executing staff communications.
The shared service centre was established and the payroll of the first tranche of 3,000 employees transferred without disruption to the staff or the continuity of the business. The shared service delivered the planned savings in operational and technology costs. Our client views the approach established by Enton as setting the benchmark for a migration to a shared service.
Enton’s project approach has set the benchmark for the implementation of all future shared services