Improving planning, processes and productivity in a multi service, multi client IT services organization
Over the past 15 years, the Shared Services Organization at a Large Insurance Company had gone through multiple integrations, increased compliance requirements and significant growth in demand. The organization had also gone through a major restructuring exercise under the Service Excellence model in the past year. As a result of these changes, the organization had not had the chance to focus on improving operational efficiencies. The leadership believe that the time had come to optimize key processes, and improve management practices. Additionally, greater competition in the insurance industry requires industry leaders to continually improve operationally to maintain costs, and to retain and attract clients. Carpedia was invited to perform an opportunity analysis with the Shared Enterprise Services group. Initial studies identified 56% lost time across the various roles and domains. Findings were compelling and an improvement program was launched to address some of the specific opportunities identified:
- Idle time existed across all areas.
- Communication issues resulted in a significant amount of lost time.
- Ineffective meetings consumed a massive amount of resources.
- A forecasting system did not exist, and neither did the organization have a proper resource planning system.
- Workload management tools did not exist in most areas, and activity based planning was not prevalent.
- Most areas did not have clear measures of success (no KPIs).
- Area leaders spent their times firefighting and performing direct work, instead of setting expectations and following up on them.
Project results are tracking as planned with an improvement in labor productivity, while also enhancing the overall customer experience.
Specific results included:
- Annualized labor productivity improvement of $4.95 MM versus an R2 requirement of $4.2 MM.
- A 17% increase in service levels for software tickets and a 20% increase in service levels for hardware tickets in the Technician Services area.
- A 13% increase in service levels in the Security Administration Area, even with a 9% increase in volume.
Improvements that were implemented include:
- Implementation of a standardized workload management tools across 26 distinct areas.
- Generation and installation of key Cost, Quality, Speed and Service metrics across 29 distinct areas.
- Installation of a comprehensive call center scheduling system.
- Implementation of Execution Control tools in transactional areas.
- Implementation of schedule incident management practices.
- Standardization of service offerings.
- Removal of redundant steps.
- Improved data gathering techniques via standardized templates and checklists.
- Installation of effective meeting practices.
A continuous improvement methodology was introduced which will ensure improvements are realized and to driver further results.
The Client Experience
“The variety of activities in the unit, from transactional to major project, the complexity of the organization and the multiple geographic locations all contributed to the difficulty of the project….We’ve had a history of change management that has been poorly implemented through ineffective change management so Carpedia’s change management methodology and support ‘on the floor’ was critical to the overall success.”
VP, Information Services