
Transforming a Cost Mandate into an Integrated Global Business Services Model
A major global retailer needed to reduce SG&A spending across HR, Finance, and IT. Acquis designed and delivered an integrated Global Business Services (GBS) and outsourcing strategy that would reduce service costs by approximately 20% while preserving operational capability and establishing a sustainable transformation roadmap.
Cost targets without an operating model to deliver them
The client faced a clear mandate from the board and CEO to improve net margins by reducing SG&A spend across HR, Finance, and IT. Leadership moved quickly, engaging consulting support to identify savings opportunities through operational efficiency gains, labor cost reduction through arbitrage, and service quality preservation or improvement.
Prior engagements delivered analyses and savings projections, but when execution began, the projections were not valid. Leadership turned to the most accessible option: reducing headcount. What was intended as modest cost-cutting gradually reached deeper into the organization's core capabilities.
The organization needed a structured view of how work should be designed, allocated, and governed across internal teams and external providers. Without that structural layer, cost reduction efforts became an exercise in removing capability, institutional knowledge, and efficiency from the business.
An integrated service transformation
Acquis approached the engagement as an operating model transformation. The core premise: sustainable cost improvement in HR, Finance, and IT required shifting from functional management to an integrated GBS model, where work is designed, sourced, and governed as a unified service portfolio.
Execution required executive alignment before any analysis began. Working directly with the CHRO, CFO, and CIO, Acquis structured the engagement as a multi-vertical transformation spanning all three towers’ operations and developed a unified strategic outsourcing program.
The engagement progressed through six phases:
Phase 1: Validate priorities and define success criteria
Leadership understood the financial targets but was not aligned on the constraints. How much operational risk could the organization tolerate during transition? Which capabilities were non-negotiable? What timeline was realistic given the organization's change capacity?
Acquis facilitated structured alignment sessions with the CHRO, CFO, CIO, and their designated leaders to resolve these questions. The team established measurable success criteria across efficiency, cost, and service quality, then grounded the criteria in a transformation timeline calibrated to what the organization could absorb.
Phase 2: Map the current state operating model
With success criteria defined, Acquis analyzed workforce distribution, fully loaded costs by service, service delivery processes, and the alignment between work complexity and resource skill levels.
The three functions entered this work from different starting points. HR had not operated an outsourcing model, which required additional guidance and stakeholder education. Alternatively, Finance had maintained the same BPO relationship for 15 years. Over time, the contract, governance model, and service expectations had become misaligned with the company's current needs. The organization needed to determine whether to modernize the existing partnership or pursue a new provider.
Phase 3: Benchmark performance and identify structural opportunities
Acquis benchmarked the organization's HR, Finance, and IT operations against industry peers and applied a consistent maturity framework across five dimensions: people, process, technology, data, and governance.
The team used comparative data to distinguish between areas where structural inefficiency drove high costs (addressable through operating model redesign) and areas where necessary complexity drove costs. This distinction enabled the organization to focus transformation efforts on changes that would produce sustainable savings.
Phase 4: Design the future state workforce and service delivery model
Building on the current state findings and benchmarking analysis, Acquis developed the workforce strategy at the core of the operating model. The team mapped service and process against the delivery model, determining what should remain in-house, what could shift to shared services or lower-cost delivery locations, what could be automated, and what should transfer to external providers.
The team also looked at individual roles and talent, retaining talent that held critical institutional knowledge, required proximity to business decision-making, or supported capabilities the organization could not afford to lose. This allowed the retained organization to focus on high-value work. The remaining service elements identified for offshoring, automation, or outsourcing constituted the value proposition.
Phase 5: Reset the outsourcing relationship
The existing Finance BPO relationship could not meet the organization's evolving needs to expand into HR and IT. Acquis led a full vendor reassessment, from RFP development through evaluation, selection support, and contract negotiation. The team provided independent analysis throughout the process, verifying that service levels and pricing in the negotiation reflected the organization's delivery requirements. Acquis structured the new arrangement to integrate into the broader GBS governance model rather than operate as a standalone outsourcing contract.
Phase 6: Build the transformation roadmap
Acquis translated the strategy into a sequenced implementation plan, prioritizing initiatives based on business impact, implementation effort, and organizational readiness to avoid change fatigue and improve execution success. Acquis designed a comprehensive RFP that addressed the varying levels of maturity across functions, based on the existing BPO’s contract and service delivery. The revised BPO provided economies of scale that would otherwise require additional outsourced providers.
A sustainable operating model grounded in GBS principles
The GBS strategy delivered measurable financial and operational outcomes:
Cost reduction. The organization achieved approximately 20% reduction in service delivery costs across the areas where it implemented the redesigned workforce and sourcing model.
Outsourcing performance. The reset BPO relationship operates under clearly defined service expectations, enforceable performance standards, and governance structures that support accountability.
Transformation roadmap. Leadership now operates from a prioritized, sequenced transformation plan grounded in operating conditions as they exist today. The roadmap provides a clear execution path from near-term efficiency gains through longer-term structural improvements, with each initiative mapped to expected impact and organizational readiness requirements.
Cross-functional integration and savings. By addressing HR, Finance, and IT outsourcing as a single transformation, Acquis surfaced interdependencies that would have remained invisible if the organization had tackled each area separately. By scoping the work simultaneously, the organization gained visibility into shared processes, overlapping service delivery structures, and common governance gaps. It also drove significant savings in pricing, reducing costs by as much as 15% due to the packaging of services.
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