Controlling operating costs

The issue


A major global pharmaceutical company sought assistance from PricewaterhouseCoopers to assess their global human resources (HR) organisation and provide recommendations on how to deliver HR and payroll services (which had been previously benchmarked at costing more than their peers) at a lower cost while improving current service performance. Additionally, the company sought assistance with the initial implementation of those recommendations.

Our approach


PwC's HR effectiveness practice brought a distinctive and differentiated approach with its proposal along with substantial qualifications in the area of HR performance improvement advisory. The project scope included a comprehensive assessment of the company’s current HR global and payroll organisations, designing a more effective and efficient delivery model and sourcing strategy. Development of the sourcing strategy included an assessment of whether an HR and payroll business process outsourcing solution would be appropriate. This was compared to costs and other business case considerations of building a global HR and payroll shared services organisation which would centralise and streamline HR and payroll services.

The outcome


Once the delivery models, sourcing strategies and organisational structure changes were approved, PwC assisted in selecting system and/or HR outsourcing vendors to begin the build phase of the new HR delivery organisation. As a result of the project the client expected to realise significant cost savings and operational efficiencies in its HR function. Additionally, the client expected to improve the quality of its HR and payroll services and overall performance of its HR staff.

Contacts
Tony Farino
Tel: +1 (312) 298 2631
Eddy Schuermans
Tel: +32 (2) 710 4004
Sandy Johnston
Tel: +44 (20) 7213 1952

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