business process management, ultimus

Ultimus Business Process Management

Mihails Galuška

Nexum Insurance Technologies

mihails.galuska@nexum.lv

+371 29137360

50% Reduction in Task Time Drives to 10% Reduction in Process Time

50% Reduction in Lag Time Drives to 40% Reduction in Process Time

Fight the lag time!

◊ Construct the process (Quality)

◊ RUN & EXECUTE (Operations)

◊ Measure the process (task/lag time, process costs)

◊ Analyze

◊ Change (close the loop)

Business process management

20% theory + 80% practice

Goal – collect information, core

business operations with accounts,

products, HR, contracts

Goal – excellent customer &

internal service, fast and

accurate operations, control

HR system, Accounts,

Transactions, Contracts,

Document storage

Fact view Process view

Web access + Task automation

Fast communications

Operational control

Error-free operations

< 1 000 EUR &

contract exists

< 10 000 EUR &

contract exists

Incoming invoice

Smart process routing

Queues

30%70%

Persons or groups

Job functions

Relative job

functions

Weighted groups

◊ Prioritize and classify contracts

◊ Set up automated reminders

◊ Define roles and deadlines

◊ Workload distribution

◊ Employee cost rates

Business rules

User view - individual task lists

• Real-time task lists - no reporting overhead

• Prioritized active, completed, overdue, urgent tasks,

• Outlook, browser or other application

• Shared Inboxes

project manager

Archive man

bookkeeper

supplier

Document library

NEXUM Insurance Technologies

• All contract documents in one place!

- Contracts

- Appendixes

- Reports

- Invoices

- Payment orders

- Reminders

• Access anytime from anyplace

Debt information comes directly from accountancyBenefits: Debt collection starts immediately

Automated reminders and invoicesBenefits: no human interaction to calculate, prepare and send them

Classification according to predefined business rulesBenefits: focus on the most promising and important debts, optimized workload

Commission payment controlBenefits: no cash fraud and undue payments to brokers

Debt collection

Product First reminder Call Contractbreak

Pass to externalcollector

Write-off

Loan securedwith income

+5 days, automatically>2000 LTL

+10 days, customermanager>2000 LTL

+60 days,lawyer>2000 LTL

+90 days, automatically>2000 LTL

+720 days, accountant>2000 LTL

Loan againstsurety

+10 days, automatically>2000 LTL

+15 days, customermanager>2000 LTL

+60 days,lawyer>2000 LTL

+90 days, automatically>2000 LTL

+360 days, accountant>500 LTL

Real estateloan

+2 days, automatically>5000 LTL

+10 days, customermanager>5000 LTL

+30 days,lawyer>5000 LTL

+45 days, automatically>5000 LTL

<auctionprocess>

Loan up to 3000 kroons

+5 days, automatically>150 LTL

+7 days, customermanager>500 LTL

+15 days,lawyer>500 LTL

+30 days, automatically>500 LTL

+360 days, accountant>500 LTL

Product patterns

Solution – business rules

• Debt sizing, classification and prioritization

• Debt with/without loan security

• Schedule for reminder letters

• Roles and task completion time

• Employee cost rates

Customer&user view - automated reminder letters

• Different media – e-mail, fax, post mail, SMS

• Automated generation and distribution using message templates

• Always sent on-time

• To be used for 80% of debts

• No human power required!

Konstatēt problēmu

What results in better debt recovery?

◊ Recovery rate,

◊ Older than X days...

◊ # of bad debts

Process bottlenecks and performance

Architecture (SOA)

Core business functions:

Account operations

Process context:

Ultimus BPM

Alerts and notifications:

E-mail serviceCentralized document storage:

Microsoft Sharepoint

Core system

Custom front-end, customer portal

Custom front-end, customer portal

Custom front-end, customer portal

Claims administrator

Process changes

26

Architecture (SOA)

Core business functions:

Information and document view

Process context:

Ultimus BPM

Alerts and notifications:

E-mail serviceCentralized document storage:

Microsoft Sharepoint

Information

Documents

Hiring/firing

Correspondence management

Contract lifecycle management

Incident management, Call center

Sales process, lead management

Development and launch of new product

Process Result, savings

Credit Card Request 470% more applications with same staff

Internal infrastructure servicerequest

From 5 to 100 requests daily with thesame staff

Customer Service 62% less time needed with same amount of requests

Job Application Process Throughput increased by factor 5

Reduction of fax costs Reduction of communication costs between 2200 locations and HQ (95 Processes)

HR Process: Leave Management 1 employee

Insurance claims management Average time to decision reduced from 10 days to 15 hours (best time – 3 hours)

BPM Results – Productivity, costs, errors