Economic Multiplier Effect of Shared Service Centres
Anna Kislovska, Rima Tamošiūnienė
Development of Business Services market influences the growing interest in researches on increase of business value by centralizing business functions and establishment of Shared Service Centres (SSC). SSCs are usually being defined as competitive efficiency oriented business model, which plays an important role in increase of microeconomic value expressed in decreased costs, improved effectiveness and quality of the business processes. However, SSC can be also defined as economic catalyst, implementation of which leads both to microeconomic to macroeconomic value and multiplication of this value. This increase in value is known as multiplier effect, which occurs in different phases of economic value chain. Causality between different forms of Foreign Direct Investments (FDI) such as SSCs and economic growth is usually being expressed by analyzing changes of Gross Domestic Product (GDP). However, there is number of other macroeconomic indicators, which being affected by SSCs. Number of employed in SSCs is one of the indicators, which leads to wages, income, purchasing power, spending, supply and other multiplier effects.
JEL klasifikace: D23, D29, E27, F21, J49
Reference:
1. ABSL (2011). Modern business service sector in Małopolska. Związek Liderów Sektora Usług Biznesowych (ABSL), 2011. Available on the internet: < http://businessinmalopolska.com/public/upload/fck/file/BPO_pdrv_30-08-11.pdf >
2. ABSL (2016). Europe‘s Business Services Destinations. Report prepared by ABSL in cooperation with Deloitte, Hays Specialist Recruitment, JLL. McKinsey & Company and in additional cooperation with: Antal, Baker & McKenzie, JLL. Available on the internet: <http://abslreport.com/wp-content/uploads/2017/02/raport_EURO2016_161224_epub_25.02.17.pdf>
3. Casson, M. (1990). Evolution of Multinational Banks: A Theoretical Perspective. G. Jones (ed.), Banks as Multinationals (London: Routledge), pp. 14–29.
4. Cushman & Wakefield (2015). Where in the World? Business Process Outsourcing and shared Service Location Index. Available on the internet:
<http://www.cushmanwakefield.com/~/media/global-reports/Where%20In%20The%20World_Business%20Process%20Outsourcing_low_2015.pdf>
5. Čičak, K., Sorić, P. (2015). The Interrelationship of FDI and GDP in European Transition Countries. International Journal of Management Science and Business Administration, Volume (Year): 1 (2015), Issue (Month): 4 (March), pp. 41-58.
6. Domański, Gwosdz (2010). Multiplier effects in local and regional development. Quaestiones Geographicae 29(2), Adam Mickiewicz University Press, Poznań 2010, pp. 27-37, 1 Fig. ISBN 978-83-232-2168-5. ISSN 0137-477X. DOI 10.2478/v10117-010-0012-7.
7. Dunning J., H., McQueen, M. (1982). The Eclectic Theory of the Multinational Enterprise and the International Hotel Industry. Rugman A. (ed.), New Theories of Multinational Enterprise (New York: St. Martin’s press).
8. Eika (2017). Construction company in Lithuania. Available on the internet: < http://www.eika.lt/en/ >
9. Finansų Ministerija (2016). Lietuvos ūkio 2016-2019 m. perspektyvos. Available on the internet: <https://finmin.lrv.lt/uploads/finmin/documents/files/LT_ver/Aktual%C5%ABs_valstyb%C4%97s_finans%C5%B3_duomenys/ERS%20apra%C5%A1ymas%202016-09-09%20skelbimui.pdf>
10. Invest Lithuania (2014). Tiesioginės užsienio investicijos Lietuvoje: tendencijos ir perspektyvos. Available on the internet: < http://www.investlithuania.com/wp-content/uploads/2015/02/2014-02-25-TUI-LIETUVOJE-FINAL-FINAL.pdf>
11. Invest Lithuania (2015). Multiplikatoriaus efektas. Available on the internet: < http://www.investlithuania.com/wp-content/uploads/2015/05/Multiplikatoriaus-efektas.pdf >
12. Invest Lithuania (2016). Website of Invest Lithuania investment promotion agency. Available on the internet: < http://www.investlithuania.com/lt/ >
13. Invest Lithuania (2017). We speak fluent business. February, 2017. Available on the internet: <http://www.investlithuania.com/wp-content/uploads/2015/02/2017-02-28-Invest-Lithuania-general-presentation-1.pdf >
14. Kalašinskaitė, K. (2009). Tiesioginių užsienio investicijų poveikis ekonomikos plėtrai Lietuvos ir kitų Baltijos šalių pavyzdžiu. Daktaro disertacija, Vilnius, Technika 2009. ISBN 978-9955-28-477-2.
15. Keith, B., Vitasek, K., Manrodt, K., Kling, J. (2016). Strategic Sourcing in the Economy. Harnessing the Potential of Sourcing Business Models for Modern Procurement. Palgrave Macmillan, ISBN: 978-1-349-57329-5.
16. Kisswani, K., M., Kein, A., Shetty, Sh., T. (2015). The Impact of FDI Inflows on Real GDP in Estonia: Evidence from a Cointegration Approach and Causality Test. The Journal of Developing Areas, Volume 49, Number 4, Fall 2015, pp. 25-40. Tennessee State University College of Business, DOI: 10.1353/jda.2015.0127.
17. Marciniak, R. (2013). Measuring Service Satisfaction in Shared Service Organizations. Procedia - Social and Behavioral Sciences 81 ( 2013 ), pp. 217 – 223.
18. Marciniak, R. (2013). New framework about the differences between Shared Service and Outsourcing models. International Research Institute sro, Komárno, Slovakia, 2013. Current Issues in Some Disciplines, ISBN 978-80-89691-01-2, pp. 37-44.
19. Micek, G., Działek, J., Górecki, J. (2010). Service centres in Krakow and their relationships with the local environment. Wydawnictwo Uniwersytetu Jagiellońskiego, Kraków.
20. Mucuk, M., Demirsel, T. (2013). The Effect Of Foreign Direct Investments On Unemployment: Evidence From Panel Data For Seven Developing Countries. Journal of Business Economics and Finance. ISSN: 2146-7943.
21. Naraškevičiūtė, V., Barkauskaitė, A. (2016). Naraškevičiūtė, V., Barkauskaitė, A. (2016). Foreign Direct Investment Impact on Economic Indicators of the Baltic Countries. Volume 28, Issue 1 (Apr 2016). DOI: https://doi.org/10.1515/eb-2016-0009.
22. Nelson, Ch., R. (2006). Keynesian Fiscal Policy and the Multipliers. Macroeconomics: an Introduction. Available on the internet: <http://faculty.washington.edu/cnelson/Chap11.pdf>
23. Laskienė, D., Pekarskienė, I. (2011). Tiesioginių užsienio investicijų poveikis investicijas priimančios šalies darbo produktyvumui. Ekonomika ir vadyba: 2011.16. SSN 1822-6515.
24. Ober Haus (2015). Real estate agency in Lithuania. Available on the internet: <http://www.ober-haus.lt/wp-content/uploads/NT-kainos-2017-sausis.pdf>
25. PwC Central and Eastern Europe (CEE) by By Paul Stewart, Managing Partner. Shared service centres in Central and Eastern Europe - Moving up the value curve. Article dated 24th June 2015.
26. Richter, P. C., Brühl, R. (2017). Shared service center research: A review of the past, present, and future. European Management Journal 35 (2017), pp. 26-38.
27. Rudzioniene, K., Sakalauskiene, R. (2014). Shared Service Center Factors and Return on Investment. In: Social Sciences (1392-0758). 2014, Vol. 83 Issue 1, pp. 55-62.
28. Ruplienė, D., Garšvienė, L. (2008). Tiesioginių užsienio investicijų įtaka šalies ekonominiam augimui. Ekonomika ir vadyba: aktualijos ir perspektyvos, nr. 3 (12), pp. 262-270.
29. Ruplienė, D. (2013). Darbo rinkos veiksnių poveikio šalių pritraukiamoms tiesioginėms užsienio investicijoms vertinimas. Daktaro disertacija, Kaunas, Vytauto Didžiojo universitetas 2013.
30. Statistics Lithuania (2017). Nekilnojamojo turto kainos Lietuvoje, 2017 m. sausis. Available on the internet: < http://osp.stat.gov.lt/ >
31. Tamošiūnienė, R., Kislovska, A., Kazlauskienė, E., Gankova, T. (2016). Economic Aspects of Increasing Value and Scope of Shared Services Centres. The 9th International Scientific Conference “Business and Management 2016”, May 12–13, 2016, Vilnius, Lithuania. Vilnius: Technika, 2016. ISSN 2029-4441, pp. 1-8.
32. Oshri, I., Kotlarsky, J., Willcocks, L. P. (2011). The Handbook of Global Outsourcing and Offshoring. Second edition, Palgrave Macmillan. ISBN: 978-0-230-29352-6.
33. Zenasni, S., Benhabib, N. (2013). Foreign Direct Investment, Financial Integration, and Growth: Panel Data Analysis for North African Countries. The 12th Annual GEP Postgraduate Conference 2013, University of Nottingham, United Kingdom, 25th and 26th March, 2013.