navigating the roadmap to trustability

COPYRIGHT © 2012. ALL RIGHTS PROTECTED AND RESERVED. 1

make

an

impact! Navigating the Roadmap

to Trustability

March 28, 2012

#prghealthcare


Today’s Speakers

Elizabeth Glagowski Executive Editor, Strategy

Peppers & Rogers Group

Marc Ruggiano Partner,


Dietrich Chen, Ph.D. Director,



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Agenda

Trust in Healthcare Research Summary

Building a Trust Platform

Trust Roadmap Case Example


Trust in

Healthcare Research Summary


Consumer Perception of Today’s Health Insurers


Consumers Describe the Ideal Health Insurer


Customers’ Trust in the Health Insurance Sector

43%

19%

38%

Distrusters Neutral Trusters

Trust


Customers’ Trust for Individual Health Insurers

0%

20%

40%

60%

80%

100% R

esp

on

de

nts

Health Insurer

Distrusters Neutral Trusters


The Basics

0

1

2

3

4

5

6

7

8

9

10

Does a great job of

keeping the

promises it makes

Processes claims

accurately

Demonstrates a

high level of

business and

technology

innovation that

directly benefits me

Covers me when I'm

traveling away from

home

Makes enrolling in

the plan easy and

straightforward

Works well with my

primary doctor's

office

Is typically first to

market with new

services

Ra

tin

g

Distrusters Trusters

Scale: 0 = strongly disagree, 10 = strongly agree Source: Peppers & Rogers Group research

COPYRIGHT ©2012 ALL RIGHTS PROTECTED AND RESERVED


Communications from the Health Insurer

0 1 2 3 4 5 6 7 8 9

10

Communicates

clearly with me

Proactively alerts

me to potential

problems and

issues that may

affect my

coverage

Provides easy to

read statements

and explanation of

benefits

Uses simple

language and

words I can easily

understand

Communicates

with me on a

timely basis

Sends me

communications

that reflect my

unique needs and

interests

Ra

tin

g





Trust and Communication Frequency and Channel

0%

20%

40%

60%

80%

100%

Too little Just right Too much All of the

time

Some of

the time

None of

the time

Tru

ste

rs &

Dis

tru

ste

rs

Truster

Distruster

Volume of communication

from health insurer Amount of time health insurer

uses preferred channel of

communication

Source: Peppers & Rogers Group research



Communications with the Health Insurer

0

1

2

3

4

5

6

7

8

9

10

Representatives

of my health

insurer listen

carefully to my

issues and

concerns

I can typically

solve any

problem I am

having by

contacting my

health insurer

Representatives

do an excellent

job of

understanding

complex issues

I am able to

reach a

representative of

my health insurer

in a reasonable

amount of time

My issues,

problems and

concerns are

typically resolved

in one contact

At the conclusion

of a contact, I

am warmly and

genuinely

thanked for

being a customer

I am asked for

feedback on my

health insurer's

representatives

each time I make

contact

Representatives

of my health

insurer apologize

immediately

when a mistake

has been made

Ra

tin

g





Trust Impacts Loyalty

0

1

2

3

4

5

6

7

8

9

10


Loya

lty

*

Example Items

Because my health insurer has created a strong, delightful customer experience for me, I have no need to look for better alternatives..

I anticipate that I will remain a customer of my health insurer for a long time.

I feel a strong sense of loyalty to my health insurer.

* Factor weighted mean of responses to 5 questionnaire items assessing “loyalty.”




Trust Impacts Advocacy

0

1

2

3

4

5

6

7

8

9

10


Ad

vo

ca

cy

*

Example Items

How likely would you be to recommend your current health insurer to a friend or colleague?

If asked by your health insurer to serve as an ambassador to your community on their behalf, how likely would you be to

participate?

* Factor weighted mean of responses to 2 questionnaire items assessing “advocacy.”




Trust Impacts Health Outcomes

0

1

2

3

4

5

6

7

8

9

10

Follow Doctor's Instructions Follow Health Insurer's

Instructions

Healthier Because of Health

Insurer

Ra

tin

g





Customers Value Trustworthiness

0%

10%

20%

30%

40%

50%

$0 $1-$25 $26-$50 $51-$100 $101-$150 $151-$250 $251 or more

Re

spo

nd

en

ts

How much more per month, if any, would you be willing

to pay in premiums for a health insurer with high levels of trustability?




Building a

Trust Platform


6 Building Blocks of Trust

Trust

Goodwill

Competence

Doing the right thing

Doing things right



Trust

Goodwill

Empathy

Transparency

Accountability

Competence

Customer Experience

Empowerment

Recognition

Anticipate customers’ needs,

understand the context in which they

present, and work to deliver

beneficial solutions

Proactively and reactively

communicate openly with customers

about information, policies, decisions,

and outcomes

Take ownership and action at the

individual and organizational level

when customers encounter negative

experiences

Deliver accessible, convenient,

consistent, and credible experiences

to customers regardless of all else

Train, enable, and authorize

employees to take actions that earn

customers’ trust

Recognize and reward trust-building

actions and customer-centric

behaviors of high-performing

employees

Competence



Trust

Goodwill

Empathy

Transparency

Accountability

Competence

Customer Experience

Empowerment

Recognition








and outcomes




experiences






customers’ trust




employees


Empathy

Empathy

Competence





Do we understand our customers’ health-

related goals and objectives, and know what

motivates their health-related decisions?

Have we clearly defined the role we intend to

play and set customers’ expectations

appropriately?

Do we know which customers’ are best served

by each of our different products and/or

services?

Are insights about our customers’ needs

accessible to customer-facing employees?

Do we match our customer-service staff to

customers based on personality traits, unique

perspectives, and/or necessary expertise?

?

?

?

?

?

Trust

Goodwill


Transparency

Transparency

Competence




and outcomes

Do we have an efficient method of 2-way

communication with each of our customers?

Do we make explanatory information

available to our customer-facing employees,

and via self-service channels?

Do we proactively communicate with our

customers?

Do customers’ receive explanatory information

in plain language and written at an

appropriate level?

Do customers’ who believe they are not

getting the “truth” have an acceptable

alternative for appeal?

?

?

?

?

?

Trust

Goodwill


Accountability

Accountability

Competence




experiences

Do we know what we have “promised” to our

customers, at both the company and

employee level?

Do we accept responsibility when we

communicate the wrong information, make the

wrong decision, or can’t be reached easily?

Does the company and its employees have a

process for resolving issues of ownership and

action?

Do we track “broken” promises at the

individual customer level, and report on them

within the company?

Does the company or an employee act on

100% of negative customer experiences?

?

?

?

?

?

Trust

Goodwill


Customer Experience

Customer Experience

Can our customers reach us through their

desired channels and complete their

intended actions? ?

Do we measure our customer experience

performance and its impact on trustability? ?

Do our customers receive the same messages

and have access to the same capabilities

across channels? ?

Do we ensure that we deliver on commitments

we make to our customers (e.g. trackable

confirmation numbers, scheduled follow-up

actions, etc.)?

?

Are our customers served by trained, relevant,

empowered, understanding employees? ?




Trust

Competence

Goodwill


Empowerment

Empowerment

Does the company have well-defined trust

principles, and are all employees trained on

them? ?

Does a “culture of trust” exist within all levels,

functions, and locations of the company and

its business partners? ?

Are proper policies and permissions in place so

that employees have adequate guidance on

when and how to apply trust principles? ?

Are the necessary controls in place to ensure

adequate oversight of trust-related programs? ?

Do customer-facing employees have the tools

they need to understand and act on individual

customer issues? ?



customers’ trust

Trust

Competence

Goodwill


Recognition

Recognition

Are actions which build trust and enhance

customer-centricity tracked at the employee

level? ?

Are trust leaders among the employee base

viewed as highly valuable assets? ?

Does the performance management program

address trust-related performance metrics? ?

Do employees receive tangible rewards and

clear recognition for trust-related performance

excellence? ?

Do employee recognition programs include

trust-related components? ?




employees

Trust

Competence

Goodwill



Trust

Goodwill

Empathy

Transparency

Accountability

Competence

Customer Experience

Empowerment

Recognition








and outcomes




experiences






customers’ trust




employees


Poll question

Which of the 6 building blocks provides the most

immediate opportunity to build trust within your

organization?


Trust Roadmap

Case Example


Building a Platform for Trustability

Trust Roadmap

3

Trust Platform

Development

2 1

Trust

Assessment

•Conduct workshops and executive interviews to align trustability within the corporate strategy

•Conduct member survey to

assess trust baseline and benchmark against the industry

•Gain additional trust insights from employee surveys and interviews

•Develop Trust guiding principles that are used to guide the actions of employees

•Prioritize initiatives

•Prepare implementation plans and capture sequencing of initiatives on a roadmap

• Identify execution team,

key dependencies, and constraints

•Provide on-going support options

• Identify Trust gaps along

Moments of Truths

•Develop Trust-building initiatives that target Trust framework components

•Evaluate initiatives along,

e.g., – Trust impact – Ease of implementation – Financial and/or

satisfaction metrics

•Conduct workshops to share and validate findings


Trust Guiding Principles were developed with our client

We transparently communicate what is the best for our customers

We provide our customers with the

expected customer experience for all products and services

We empower our employees to earn our customers’ trust and recognize

their trust-building behaviors

Empathy

Transparency

Accountability

Customer Experience

Empowerment

Recognition

2

1

3

Trust Guiding Principles

Trust

Goodwill

Competence


Voice of Employee questions were developed based on

the Trust Framework

Trust

1 Do you think our company is transparent in the way we communicate with our customers? Why do you think so?

Do you think our organization assumes accountability when customers go through negative experiences?

2

Do you think our company currently provides good and consistent customer experience at all channels?

3

Do you think our company empowers frontline employees to resolve complaints?

4

Goodwill

Competence


Several Trust-building initiatives were identified based on

the gap assessment

Build awareness and educate members about competitive product and price advantages

Develop empathic communication when members go through negative

experiences

Provide clearer explanation of bills and

other educational material as part of the onbaording process

Initiative to Close the Trust Gaps Trust Gaps Discovered

Lack of awareness about comparative product and price

advantages

Lack of awareness about innovation-leading products

Lack of awareness about comparative customer service

quality

Lack of empathic communication after members have

negative member experiences

Lack of empathic communication after members have

unresolved complaints

Members often do not understand the explanation of bill

1

2

3


Trust initiatives were prioritized along 3 dimensions

Impact (+)

Feasibility (+)

Trust (-)

H

H

L L M L

M

Trust (+) H

M

L

H

M

H M L


To drive immediate results, the feasibility dimension was

given the largest weight

Trust (-)

H

H

L L

H

M L

M M

L

H

H L

Trust (+) 1.1 1.2 1.3

2.1 2.2 2.3

3.1 3.2 3.3

Impact (+)

Feasibility (+) M

M


Trust-building initiatives were then sequenced in 3 phases

End of Trust Project

2011 2012

1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12

Phase 1 Initiatives

Phase 2 Initiatives

Phase 3 Initiatives

1.1 High

Impact

1.2 Med.

Impact

1.3 Low

Impact

2.1 High

Impact

2.2 Med.

Impact

2.3 Low

Impact

3.1 High

Impact

3.2 Med.

Impact

3.3 Low

Impact

27 Initiatives

14 Initiatives

3 Initiatives


How to get started

Conduct internal working session to discuss trustability

with leadership team

Conduct trust survey to assess trust baseline and

benchmark against Peppers & Rogers Group trust research

Gain additional trust insights from employee surveys and interviews

Develop trust guiding principles that are used to guide

the actions of employees

Review language used in member communication

(e.g., EOB) and revise if necessary for simplicity


Poll question

Where does trust sit on your organization’s priority list?


PRG Healthcare Practice Activity

1. Trustability Assessment and Working Sessions

• Conduct your own trust assessment and benchmark it against

Peppers & Rogers Group research

• Schedule your own on-site working session for your colleagues

• Contact Tom Schmalzl at [email protected]

2. Join us for upcoming webinars in the “Trust” series:

• “The Social Media Agenda for Healthcare” – April 25

• “Case Study: Making the Consumer-centric Transformation” – May 17

• Register at http://www.peppersandrogersgroup.com/healthcare

3. Come visit us at World Healthcare Congress – Booth #111

• April 16 – 18 in Washington, DC

4. Follow us on Twitter @PeppersRogers

mailto:[email protected]

http://www.peppersandrogersgroup.com/healthcare


Q&A Session

Elizabeth Glagowski Executive Editor, Strategy


Marc Ruggiano Partner,


Dietrich Chen, Ph.D. Director,



Marc Ruggiano Partner

[email protected] +1.203.989.2189 (office)

Dietrich Chen, Ph.D.

Director

[email protected]

+1.203.989.2200 (office)



navigating the roadmap to trustability

Health & Medicine

health insurer10

health insurersinsurer

health insurer listenproblem

current health insurer

individual health insurers100

health insurance sector38

ideal health insurercopyright

customers trust