Next generation of service delivery models

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GenAI is expected to revolutionize service delivery models and drive business value. In this article, we will explore GenAI’s impact on workforce development and skill requirements and learn how to incorporate strategic transformation plans with one goal in mind: creating a seamless, efficient, and customer-centric future that connects every aspect of the organization.

Embarking on the journey toward a digitally enabled finance function requires organizations to overcome numerous challenges and navigate the complexities of evolving technologies, such as GenAI. Organizations must emphasize the importance of change management and create an environment where employees feel supported throughout the transformation.

Integrating change management strategies helps employees accept and adapt to new technologies, processes, and models. Successful transitions are built on clear communication, setting expectations, and providing essential training and support. Additionally, organizations must be diligent in developing and implementing data security and privacy strategies to protect sensitive information and comply with relevant regulations. The integration of AI technologies with existing systems and processes demands close coordination and partnership between business departments and IT to ensure alignment with organizational goals and strategies.

The challenges of transitioning toward a GenAI-enabled service delivery model call for a focus on workforce implications and emphasizing the reskilling and enablement of employees for an AI-driven future. Incorporating GenAI into service delivery models yields benefits such as process efficiencies, cost savings, enhanced customer experiences, and innovation.

According to our webcast poll:

50%

of poll takers were only somewhat prepared to adopt GenAI technologies

11%

of organizations have already implemented GenAI technology

The rest plan to implement GenAI in 1-2 years

Dive into our thinking:

Generative AI and Finance

Driving the next generation of global business service organizations and service delivery models

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As GenAI becomes increasingly integral to business operations, the workforce must adapt to the changing landscape by acquiring new skills and talents. The emergence of GenAI demands a shift in focus toward data science, deep learning, and strong analytical capabilities in the finance function. Employees must also embrace intellectual curiosity, creativity, and innovation as they leverage AI technologies to optimize processes and transform their ways of working. By promoting a culture of continuous learning within the organization, companies can foster the development of a talented workforce capable of thriving in a GenAI-driven environment.

With a well-oiled global capability center (GCC) focused on driving business value beyond labor arbitrage, organizations can enable a seamless employee experience. To achieve this, the next-gen service delivery model should prioritize three key value propositions:

· Return on efficiency: Align costs to business strategy to achieve organizational objectives. Cost transformation initiatives such as indirect spend optimization, labor arbitrage, and centralized functions can eliminate redundancy and enhance efficiency.

· Return on effectiveness: Focus on delivering results and outcomes that increase effectiveness and enhance value to the business. Performance transformation initiatives, such as centralized data and analytics providing predictive insights, automation of transactional activities, and an emphasis on innovation and growth, can improve decision support.

· Return on experience: Empower employees and customers with superior individualized service experiences. Adopting an experience-led service design, breaking down functional silos, and improving self-service through automation can help achieve enhanced customer and employee experiences.

Organizations need to adopt a value-driven approach when using GenAI, ensuring it enhances efficiency and creates genuine business value. This requires identifying key areas where AI can impact operations positively and aligning technology adoption with strategic goals. By fostering innovation and developing the right skills among employees, organizations can fully harness GenAI’s potential, leading to improved value propositions, helping businesses flourish in a competitive environment.

KPMG assists organizations in digital transformations essential for driving future growth. Their approach includes wide-ranging change management, cloud-based solutions, and innovation required to reimagine an AI-driven service delivery model. KPMG integrates multiple initiatives, creating an executable roadmap that balances quick wins with long-term strategic objectives, thus helping ensure a holistic transformation experience tailored to each organization’s needs.

The NextGen Global Service Delivery Model webcast hosted by KPMG.

The NextGen Global Service Delivery Model

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