Simplify Business Process

Financial Services (Insurance)

THE CLIENT

A major UK general insurer operating an expanding complaint function, currently with 75 FTE (Full Time Equivalents).

THE CHALLENGE

More than 25,000 complaints were being received annually in three core product groups – Home, Creditor and Brokered, each with massive sub-product complexity. Complaint resolution was highly regulated by the Financial Ombudsman Service (FOS) who acted as a third tier in addition to the two-tier complaint handling process operated by the company.

THE SOLUTION

Reinvigoration undertook a programme which included:

  • A Lean Thinking pilot on the Home insurance team as it presented the greatest opportunity. The start point was to understanding the purpose – ‘to settle disputes as fairly and as quickly as we can’ (source: FOS)
  • With this purpose in mind Reinvigoration designed against demand by:
    • Removing huge product complexity by eliminating the myth that ‘every complaint is unique’ (runners, repeaters, strangers)
    • Becoming process driven by creating standard resolution guidelines for runners and some repeaters
    • Eliminating the batch and queue mentality that drove waste into processes
  • The redesigned processes promoted the flow of work and consequently lowered cost, improved service and increased employee morale

THE RESULTS

  • Thinking around complaint handling was revolutionised, creating 50% FTE savings or the equivalent of £200k p.a.
  • Significant reduction in Work in Progress (WIP)
  • Significant increase in the number of complaints closed in less than 5 days

HAVE A SIMILAR CHALLENGE?

Get in touch to discuss how we can help you transform your service operations.

Chris Dando

Ryan King

Graham Turnbull