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TitleWNS Case study - Insurance Center of Excellence
File Size133.7 KB
Total Pages5
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Page 1

The client – a leading multi-line insurance provider working
across life, general and health verticals – was looking for
innovative solutions to adapt to the dynamic operational
landscape. The focus was on combining high levels of
operational expertise, tight financial discipline and
technological excellence to deliver stronger balance sheets.

To achieve these objectives, the client sought to improve its
MIS functions to deliver consistent profitable growth.
Its goal was to set up a Center of Excellence (CoE) that
would harness the power of predictive analytics and help
the company draw better insights into business operations.

The CoE would enable the client to achieve better returns
on people investments, improve operational effectiveness
and lower costs, leading directly to superior products,
better claims and underwriting management. After rigorous
due diligence, which involved significant knowledge-related
assessment, the client decided to partner with WNS for
building a CoE for the MIS function.

The client's MIS team, spread across two diverse
geographies, was providing analytics and reporting services
to multiple stakeholders, generating close to 4,000 reports
per month. However, complex and disparate data sources,
and a silo-operating model led to duplication and resulted
in 'multiple versions of the truth'. The consequence was
unstable reporting to high-value corporate partners, causing

The Client's Challenge

discontent and an overall deterioration in customer
satisfaction. The client identified people management and
service quality as the main concern areas that needed
immediate attention. In order to restore stakeholder
confidence and customer satisfaction, the client had to
surmount the following challenges:

Multiple stakeholders with varying degrees of experience
in offshoring

Reliance on manual data collection and use of disparate
measuring systems

Inconsistent data leading to ineffective insights
from analytics

Lack of ownership of the processes

Limited quality and quantity of documentation
and process undertaking

Adverse overall efficiency that distanced report
generators from business context

Varied skill sets and competencies leading to ineffective
resource utilization

Lack of synergies between the reporting and analytics
team resulting in duplication of efforts and inadequate
knowledge sharing

Shortage of resources hampering technology-driven
reporting and insights delivery

Team focus divided between support
and developmental activities

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Industry

Process

General Insurance

Data and Analytics

Copyright © 2012 WNS Global Services | wns.com Industry: General Insurance | 01

WNS helps by
building an advanced middle office
for a leading global insurance player

reduce operating costs by GBP 1.3 Million
Center of Excellence

mailto:[email protected]
http://www.wns.com
http://www.wns.com/Services/Industry-Focused-Solutions/Insurance.aspx

Page 2

Copyright © 2012 WNS Global Services | wns.com | 02Industry: General Insurance

In the coming two years, WNS will work closely with the
client towards building a single version of truth, bring more
functions under the CoE umbrella, further automate the
reporting and insights function; and finally move up the
value chain with more analytical modeling.

Figure 1: Represents the four phases of the transformation process, completion so far and the way ahead

The WNS Approach and Solution
Before designing the solution, analysis was done at three
key levels:

Figure 2: Represents the WNS approach to the problem

The Premise
WNS conducted an on-site diagnosis to explore the depth
of the client's challenges and suggest a new operating model
to leverage an offshore Center of Excellence.

The key directives were to:

Enhance efficiencies: Eliminate redundant work,
cut overheads, streamline processes

Improve compliance with global standards

Bring in globally accepted 'best practices'

A three-year transformation process was mutually agreed
upon by the client and WNS, with the premise that it would
be implemented in four phases.

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Maturity Transition Cost-benefit

We've made it difficult for ourselves and have
over-engineered things for 'structural' reasons
at the expense of being more effective
- A Client Representative

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Senior management overseeing delivery
of customer demand

Onshore Account Manager to ensure
accurate delivery and value-add
to the customer

Senior Management focus on MIS
strategy and design / direction
with offshore

Analytics lead from onshore,
with offshore execution and
knowledge transfer

Senior Management focus on Change
portfolio and delivery

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Buy-in from senior management to help
deliver and sponsor new model

Work collaboratively with WNS
to ensure the right recruits

Invest in knowledge transfer
and operating protocols

Plan extensively for technology
enablers (Citrix / data / speed
and reliability)

Manage continuity of service
on / offshore

Retain key associates onshore

Redeployment of displaced
people - 85% redeployed internally

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Knowledge optimization work:
Governance, Program management

Culture change:
Change and communication
management

Measure improvement and value-add from
M&I: Performance management, quality
and KPI-driven rather than solely being
efficiency and SLA-driven

TransformTransitionDesign

Create shared services model
and one version of the truth

Phase 4

Build economies of scale / leverage
business knowledge

Standardisation and efficiency gains

Phase 3

Phase 2

Phase 1

Set up CoE M
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mailto:[email protected]
http://www.wns.com
http://www.wns.com/Services/Industry-Focused-Solutions/Insurance.aspx

Page 3

Copyright © 2012 WNS Global Services | wns.com | 03Industry: General Insurance

The analysis threw up some insightful information
and identified bottlenecks across four specific areas:

The MI team was not seen as 'critical' to
business operations by key stakeholders and was placed
in between data owners and end-users

An inappropriate operating model focusing
on efficiency and quality, and in turn, moving the MI team
away from the business. Incidence of human and process
breakdowns and duplication of reports within and outside
the MI team. Inconsistent planning across business units
and limited insights

Ineffective MIS as a result of gaps in data
availability, sub-optimal architecture and inefficient Extract,
Transform and Load (ETL). Limited use of flexible reporting
tools and methodologies

Governance concerns related to inconsistent
definitions, inappropriate data governance and protocols, and
high risk of failure between systems and MI production

n Positional:

n Operating Model:

nTechnology:

n Governance:

WNS's Four-Phase Transformation Solution
Having assessed the business case, the WNS analytics team
put together a solution to build efficiency and effectiveness
by using a combination of people, processes and technology.

Phase 1: Setting up of the Center of Excellence (CoE)
After an in-depth analysis of the client's business, WNS
assembled a 50 FTE team in Bangalore, India. The overall
team balance is now 40% onshore and 60% offshore. While
the offshore arm focuses on delivery, the onshore arm
is customer facing and interacts with the client and manages
the show at the client's end.

Figure 3: The Center of Excellence

Phases 2 and 3: Standardisation & Efficiency Gains.
Building Economies-of-Scale / Leverage Business
Knowledge

The second phase of the transformation process is nearing
completion and some important steps towards
implementing the third phase have been taken.
WNS has delivered the following so far:

Established a strong transition, complete in all respects
and steady-state business-as-usual

Re-aligned and optimized analytics
resources - both onshore and offshore

Alignment to client's strategic goals

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Decision-support by delivering actionable
insights and analytics

Risk management and control via governance,
program management and performance management
using KPIs and SLAs

Improved efficiency through automation of standard
reporting procedures and technology-driven data mining

A knowledge armoury establishment, which utilizes
the knowledge gained through experience in addressing
futuristic business requirements

Fraud analytics model built offshore in partnership
with the onshore team

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Analytics & Technology
Solutions

Reporting & Insight Services

CoE

Predictive models
One Stop reporting
Portal / data mining

Business Intelligence

Reporting & Dashboards
Ad hoc Business Analysis

Data services

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mailto:[email protected]
http://www.wns.com/Services/Industry-Focused-Solutions/Insurance.aspx

Page 4

Copyright © 2012 WNS Global Services | wns.com | 04Industry: General Insurance

So far, WNS's solution has yielded benefits and helped the client address issues relating to customer satisfaction and
people management. Figure 4 provides a brief summary of the key benefits delivered:

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The implementation of the first two stages of the Center
of Excellence is helping the client drive higher levels
of business value through reporting actionable
insights and analytics.

It is helping rationalise reporting while streamlining and
improving control systems. The client is now able to use
predictive analysis to drive insights in support of claim loss,
fraud detection and loss prevention. The milestones
achieved within a year of the project launch are as follows:

Two months after the go-ahead, recruits were being
trained in the UK. Three months later the team
was doing work offshore

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By about six months, the team started adding
insights and commentary

Additionally, the WNS solution brought several
benefits that include:

Cost savings through labor arbitrage

Improved customer support and economies of scale
through better resource utilization
and improved controls

End-to-end accountability for business results
and target transformation while jointly leveraging
its internal assets and those of WNS

Consolidation and standardization of the processes
and rationalized platforms across the business

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Reduction of GBP 1.3M M&I
Onshore Operating costs by
delivering a bespoke client CoE

Efficiency through economy of
scale, low-cost location and
technology improvement

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One central hub of expertise

Additional of knowledge with continuous
working (Learning) at no extra cost

More efficient than current
disparate organization

�n Insights from the CoE offer
actionable intelligence to internal
business users which help translate
this into profitable growth apart from
costs / efficiency gains

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Customer data is technology goldmine only
if unlocked and deployed in the form of
actionable insights via insights generation
and using analytics

A learning hub provides
a competitive leverage

Strong stakeholder engagement and
effective project management through
a complex transition

Fast and effective recruitment of skilled
resource, with skill sets matched to client
and project requirement

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Concentration of resources
and databases along with
people expertise to
operate / leverage these

Excellent documentation,
knowledge management
and data security standards

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One stop shop ensures control and
quality initiatives that start from
research / analysis and disseminate
downstream in business decisions

Resolves internal conflict

Helped save 634 hours so far,
in improvement activities

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mailto:[email protected]
http://www.wns.com/Services/Industry-Focused-Solutions/Insurance.aspx

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