Shared services

How it works

Not a multi-client BPO. Still employs under the Labor Code. Your single bookkeeper is not a shared-services organization. They may have trained in one. For a U.S. company hiring one Filipino teammate, write this into the brief, the employment contract, and the peso payroll file before the start date. Slack habits do not override the Labor Code, BIR, or NPC. If the local employer of record holds the paper, they run the statutory step; you still owe a clean operating definition so the seat does not fail in week three. Put a number on the example when you budget loaded cost, because a nameless allowance always returns as a December surprise or a missed SLA.

Example: parent company PH finance shared service of 40 vs your one AP specialist. Hire the alumnus, do not copy the org chart.

How it differs

GCC and captive are the shells. KPO is a work type. BPO is multi-client.

Common errors

Renaming two VAs ‘shared services’ on a slide.

In practice

Treat Shared services as a week-one operating object. Use the sector fact as context for a slate, not as proof about one person. Headcount in the millions does not staff your Tuesday. Write an owner - founder, local employer, or worker - and a date you will look at it again: first cutoff, first holiday, or first miss. If nobody can show a contract clause, a payslip line, a calendar block, or a checklist box, you do not have shared services yet. You have a conversation. Convert the conversation before the person starts, while changing the deal still costs a paragraph rather than a resignation. Re-read the worked example above against the actual hire in front of you. If the numbers in that example cannot be swapped for this seat’s pesos, hours, and start date, the brief is still unfinished.