People often ask how Global Business Services (GBS) differs from Shared Services. GBS is an evolution of the Shared Services model.
Traditionally, the Shared Services support model provides services across countries or geographies within a single functional department, whereas the evolved GBS model brings together these functional shared services into a single organisation structure that extends the capabilities of an organisation with the aim to drive further optimisation.
Most larger organisations have implemented Shared Services for their main support services (e.g. IT, HR) in order to save cost and improve performance by sharing resources and standardising processes across countries, regions or geographies.
Where there is sufficient size and scale, some organisations establish Global Business Services (GBS) delivery organisations to centralise large numbers of services and optimise the resource, supplier and technology needs.