BlueScope
BlueScope Steel Teams with Capgemini to Address a Changing Environment.
- Industry
- Manufacturing
- Solution
- Applications Management
- Business Process Outsourcing
- Infrastructure Management
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2005-04-18 11:24 PM
Business Process Outsourcing
As part of its de-merger from BHP Billiton, BlueScope Steel was required to identify a cost-effective alternative for delivering the back office processing services that were previously provided by BHP Billiton SharedServices.
The Solution
Leveraging from its global experience in shared services and outsourcing, Capgemini created a Business Process Outsourcing entity (BPO), which allowed these services to be transparently and successfully provided externally.
The Result
Capgemini and BlueScope Steel successfully collaborated to ensure the smooth transition of all services from the BHP Billiton Shared Services Centre to the Capgemini Business Services BPO, without disruption to operational service or quality.
How BlueScope Steel and Capgemini Worked Together
BlueScope Steel is the leading steel company in Australia and New Zealand, supplying about 80 percent of all flat steel products sold in these markets. Before BlueScope Steel successfully de-merged from BHP Billiton, a number of its back office-processing services had been provided by the BHP Billiton Shared Business Services in Adelaide, Australia. Those services included accounting, accounts receivable, accounts payable, purchasing, payroll and HR.
During the de-merger process, BlueScope Steel was faced with a decision around how these services would be provided in its new business environment after the public listing. As a result of Capgemini’s successful partnership with BHP Billiton in establishing the BHP Billiton Shared Business Services, BlueScope Steel approached Capgemini for a solution.
Together Capgemini and BlueScope Steel developed a Business Process Outsourcing (BPO) model that resulted in the creation of a separate entity to provide the services to BlueScope Steel on a commercial basis. The joint effort involved optimizing the capabilities of existing employees by changing the organisational structure to deliver more career opportunities and retain staff longer.
This approach also helped align the newly formed BPO organization to BlueScope Steel’s businesses. The joint team also created the role of Performance Improvement Manager to drive simplification in the processes managed by Capgemini for BlueScope Steel. In addition, the team developed and shared an HR strategy focusing on a holistic approach to managing the people in the center.
The collaborative BPO approach has yielded a number of benefits for BlueScope Steel, including:
A clear understanding of the resource requirements of the processes that are under Capgemini management.
Structured frameworks around process control and changes.
A reduction in the inherent process risk under the management of Capgemini.
The outsourcing agreement helps target value by driving both parties to realize savings and efficiencies in the business processes that have been outsourced.