Shared Services

Shared services is a high profile initiative and an important part of the transformational government and efficiency agenda. It involves the creation of a stand alone business unit delivering standardised processes and services which otherwise will be duplicated across divisions, operating units and legal entities.

The benefits of shared services
The shared services challenge
Market Leading Experience
Pinsent Masons Shared Services Toolkit
Pinsent Masons Shared Services Partnership Programme
Contact Us
Further guidance

The benefits of shared services
The prize is significant. Whilst economies of scale can be realised, the standardisation and simplification of processes should result in greater organisational efficiency and enhance front line service delivery.

Learn more about the benefits that shared services can bring.

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The shared services challenge
Whilst there are clear benefits to a shared services approach there are also significant challenges both in the preparatory and the procurement phase of a project. Read on for details including how we can help.

A need to act now
The Committee of Public Accounts report, Improving Corporate Functions Using Shared Services, published in May 2008, contains a number of important recommendations for public sector bodies which need to be acted upon:

  • all Government departments need to analyse the cost and performance of corporate services on a regular and consistent basis, and publish how shared services are being used to improve value for money as part of their annual report.
  • smaller departments need to evaluate the benefits of buying corporate services from HMRC and DWP in order to achieve further efficiencies through economies of scale.

Pinsent Masons can help you to baseline your existing position and assist in a benchmarking exercise.

Procuring a successful shared services project
Embarking upon a shared services project is a significant undertaking. It is resource intensive and can involve sensitive issues, including those relating to staff.  The public sector bodies which are coming together to share services will have different operational needs and decision making processes.

Whilst every situation is bespoke, a number of key legal and commercial issues which are common to shared services projects can be identified. These need to be addressed in a focussed way at an early stage in the process in a manner which will determine the correct legal and financial structure.  Failure to do this can lead to lost time and abortive cost, or worse, a project which does not deliver the intended benefits.

Careful planning and project management is required to deliver these projects successfully.  Why reinvent the wheel?  You can use our experience to help you structure and deliver an effective shared services project.  Go back.

Market Leading Experience
At Pinsent Masons, we have market leading experience of completing some of the largest and most significant shared services projects. We have advised upon many of the key groundbreaking projects including, most recently, advising the Cabinet Office in relation to Project Isaac, known as public sector Flex, and Firebuy (the national procurement vehicle for the British Fire Service), in respect of a range of national frameworks and managed service arrangements which comprise the sharing of services between the Fire and Rescue Authorities of the U.K. 

Learn more about our credentials

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Pinsent Masons Shared Services Toolkit
Pinsent Masons LLP has developed a free shared services toolkit to highlight some of the key issues involved in shared services projects. The toolkit is a practical guide for public sector bodies who are considering embarking upon shared services projects.   The toolkit draws on our experience of completing shared services projects and will help you identify key issues at an early stage to assist with your planning.  

The topics which are covered include not only legal issues such as the possible legal and contractual structures, public procurement and state aid issues, HR and tax, but also practical guidance including a checklist for procuring shared services, a description of the stages in a shared services project, a case study and a template Memorandum of Understanding which identifies some of the key issues which would typically need to be addressed as between public sector bodies which are embarking upon a shared services project.

See the Shared Services Toolkit Introduction

Register for the toolkit here.

We recognise that this is an evolving area and therefore we may update or add to the documents within the toolkit from time to time.   Don't worry, if you register your interest and receive the existing toolkit documents we will ensure that you will receive updates and further documents as and when they are issued. 

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Pinsent Masons Shared Services Partnership Programme
A toolkit can only take you so far. You also need to be able to count upon the support of the people who have produced the documents and who have successfully advised on other projects.   Our leading edge work on projects such as Public Sector Flex and Firebuy means that we have a true working knowledge of the issues facing shared services projects.

Your access to this experience is through our  shared services partnership programme which is designed to provide you with hands on support from our team of experienced advisors throughout each stage of the typical shared services project, from planning and preparation, design, build and transition through to post implementation.

We understand that there is no one size fits all and that needs will differ in relation to our partnership programme. We will work with you to design a bespoke programme comprising the full 'cradle to grave' service or by simply identifying one-off shared services products or individual services.

Learn more about our partnership programme

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Contact Us
We would be happy to discuss our toolkit or partnership programme, or any legal matters relating to shared services projects or any strategic or general issues that may concern you and, should you wish, visit you to discuss our experience and what we can offer.

Please feel free to call any of the contacts on the right.  

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Further Guidance
The Cabinet Office shared services team is charged with overseeing the shared services agenda.

The team has developed a shared services website, which also includes a shared services toolkit to assist organisations with their journey to shared services.

This toolkit has a different focus to our own and provides policy context as well as links to applicable OGC guidance, guidance for providers and customers and FAQs, as well as extracts from public sector Flex.

You can access the Cabinet Office toolkit via the following link:  http://www.cio.gov.uk/shared_services/toolkit/index.asp 

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