The Importance of Knowledge Management and Innovation for the Functioning of Shared Service Centers

Abstract

The aim of the paper is the initial recognition and analysis of the nature of knowledge and innovation activities in Polish shared service centers (SSC), and to analyze their influence on the functioning of such entities and turnover of employees working in these units, which are mainly people with higher education. Moreover, the author was trying to check whether the intensification of actions in the examined areas could increase the efficiency of this type of entities. The paper is based on qualitative research conducted in three SSCs using a standardized questionnaire via an interview. The results showed that these units are very different in the analyzed aspects. In the first SSC, lack of knowledge and innovation activities was observed. In addition, despite clear requests from employees, the organization's headquarters opposed changes. The result was a high turnover of employees. In the second SSC, a strong focus on the flow of information and knowledge was noted, as well as attaching great importance to innovations, especially those proposed by employees. The turnover of employees in this entity was much lower. In the case of the third SSC, the activities in the field of knowledge and innovation were not intensive, but the earnings of employees were above average. The area of the activities was also important - introducing innovations and new standards to the organization. This did not eliminate problems in the functioning of an SSC or the frustration of employees, although it definitely reduced the turnover of employees.