Operating Model Effectiveness and Multi-Hub Models

Single entrepreneur models (or multiple sole-entrepreneurs in some cases) that are becoming more difficult to operationalize and/or seeing increasing tax costs

Firmwide executive leader seeking to develop a holistic cross-function future state business model: the transformation agenda overlaps multiple functional areas and defines the optimum business model of the future

High levels of tax controversy related to transfer pricing, withholding tax and/or permanent establishment risk

General counsel, risk officer or corporate relations leader: multi-hub models reduce tax controversy and reputational risk associated with many traditional sole entrepreneur structures

Reputational risk exposures related to the tax model

Supply chain leader: the scope to combine complex supply chain re-evaluation with a more aligned global tax model securing tax cost savings can fund, catalyze or accelerate the desired operational transformation

Pressure on talent optimization due to tax controls on workforce location and/or workforce mobility

M&A leader: the scale of impact of the tax changes creates winners and losers with under/overvalued tax risks which can be unlocked via M&A. Big-ticket M&A can also be a catalyst for transformation

Friction between tax and non-tax functions in the organization due to tax-based controls and restrictions affecting business effectiveness

Operational leader and talent: multi-hub models will improve access to talent and reduce controls related to location of talent and policies related to mobility/physical location of workforce supporting design of "work from anywhere" plans

Challenges related to alignment between the tax model and the location of risk control and/or DEMPE functions

Tax VP wanting to be innovative or leading edge: allow tax to play an anchor and/or funding role in the context of wider business transformation trends