Allocation of costs

Shell’s centralised services charge fees for services that provide a benefit for the receiving entities and which these entities would have been willing to pay a third party to provide.

In cases where there is just one recipient of a service, the entity pays a direct fee for the service it has received based on the actual cost of the service. However, if there are different entities receiving the same service, they share the cost. Their share is allocated proportionately based on an appropriate measure of the usage of the service, for example turnover, staff employed or orders processed. This proportionate allocation of costs is also determined by applying the guidance provided by the .

Business service centres

Our business is supported by business service centres around the world. The choice of location for these centres is based on available expertise and costs which compare favourably to alternative outsourcing solutions.

The centres provide significant employment opportunities with 17,000 staff worldwide. Some of their activities benefit from local tax exemptions where, for example, certain employment levels are met.

Our centralised service activities include:

Information Technology

Information technology (IT) provides capabilities that improve the way we do business. IT services are centralised in India and Malaysia.

Human Resources

Human resources focuses on reviewing, monitoring and guiding the business processes and systems that affect our employees, such as staff recruitment, on-boarding, retention and motivation. Human resources services are centralised in Poland, Malaysia and the Philippines.

Legal

Legal provides expert advice on the activities of the businesses and functions. Legal services are centralised in Poland and Malaysia.

Finance and Data Operations

Finance and Data Operations provides the businesses with access to reliable data and analysis of their financial profiles and performance, as well as accounting, tax return and billing services. Finance and Data Operations are centralised in Poland, the Philippines and India.

OECD
OECD stands for the Organisation for Economic Co-operation and Development which is an intergovernmental economic organisation with 36 member countries, founded in 1961 to stimulate economic progress and world trade.
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