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TFX is a multinational company which manufactures and retails branded designer clothing with business units in a number of different countries globally. Up unless now, each of the business units has had its own finance department.
The company recently appointed an external consultancy company to undertake an internal review of the organisational structures to establish if they are 'fit for purpose'. One of the outcomes of the review is the recommendation that the finance function should be transformed, moving to a shared service centre model.
In taking this recommendation forward a number of factors will needs to be considered, for instance any possible difficulties of moving to a shared service centre model, and also in which country the shared service centre should be established. The execution of a shared service centre will also require the formation of latest teams of staff.
Explain how TFX Company should develop and build the new finance teams, if the move to a shared service centre goes ahead.
If the decision is made by TFX Company to go ahead and establish an SSC, this will result in groups of staff coming together to form latest finance teams. As such, the managers of the several teams should not suppose this happens automatically and need to be proactive in building the teams. Tuckman's team development theory would be a helpful framework to use in order to consider the stages the latest teams will need to go through before they can be effective in the SSC. Indeed, staff might be move from other countries to work in the SSC.
The four stages identified are:
Forming
Storming
Norming
Performing
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