Latin America has become a premier destination for back office Shared Services and Outsourcing. The inherent advantages of cultural affinity, geographic proximity, time zone, and strong labor pool have driven significant growth in the number of organizations leveraging the region to ensure back office operational improvement.
However, despite all of this activity, accurate operational information and insights specific to LATAM were scarce. To gain more clarity on the real benefits Latin America can provide, Auxis surveyed Shared Services trends in Latin America and has published its Shared Services in Latin America Survey Report to share the key findings.
Auxis’ survey collected over 30 Shared Services Center responses across multiple Latin American countries within different industries. All respondents who participated were from actual companies that have set up their SSCs either under a “captive” model or a “hybrid” model in LATAM.
The research provides both a general overview and specific details on what Shared Services Centers’ operations in Latin America look like, such as the average lifespan of a SSC in the region, levels of satisfaction, top concerns and functions, and the predominant migration approach companies are taking.
Along with this data, our report dives into why organizations have modified their operational model in Latin America to eliminate unnecessary barriers and inefficiencies, resulting in the rise of the “Americas Region” concept. This shift has been facilitated by a combination of factors that make Latin America a viable destination alternative to support North American operations, all of which we break down in the report.
Auxis foresees a growing trend of North American operations being supported from Latin America, with 100% of survey respondents planning to expand their SSC operation. We explore the different implications of this.
Investments needed in facilities and technology improvements, together with currency fluctuations, are the respondents’ two top concerns. Additionally, increasing the use of technologies in the region will be essential for peak performance, as well as selecting the right outsourcing partner to ensure successful transitions to nearshore locations. The responses also indicated that there might be opportunities to expand the use of methods and tools for service delivery consistency and continuous performance.
If you would like to learn more about the current state of Shared Services in Latin America and what the future of SSCs in the region looks like, download our Shared Services in Latin America Survey Report today.