Customer Experience Rules: Lessons from Old Mutual

Lorelei JensenHead of Strategic Business Solutions

BRANCH SERVICING PROJECT

OLD MUTUAL

BUSINESS TRANSFORMATION OVERVIEW

WHO ARE WE?

Old Mutual plc is an international group delivering …

I N V E S T M E N T , S A V I N G S , I N S U R A N C E &

B A N K I N G

Established in 1845 in South Africa, it is now a FTSE100

listed company and has more than 16 million

customers and £293.8bn assets under management

1


OLD MUTUAL


THE CASE FOR CHANGE

The organisation comprises of a

number of product centric and

silo based divisions - each

focusing on a distinct customer

segment.

As a result it is highly complex.

WEB / ON LINE VOICE MOBILE BRANCH MAIL

CLAIMSCONTRACTUAL

CHANGESPOLICY ADMIN DISINVESTMENTS NEW BUSINESS

VANTAGE 01,02,03 COMPASS, OMNI, IDMS FLEXICUBE

Custom

Custom

Custom

AWD IL

DL 69

Documentum

AWD IL

Encor

Custom Documentum

Encor

AWD UT

MFC Affluent Corporate Wealth

• Multiple entry points

• Limited POCR

• No integration between

channels

• Duplication of processes

• Multiple back offices

2


OLD MUTUAL


THE CASE FOR CHANGE

We expose our service staff & customers to the complexities in our business.

C U R R E N T

Staff endeavour to deliver the desired customer experience in the following Landscape…

• Over 10,000 product / business rules

applied across 500 products

• Customer portfolio fragmented across

11 different systems

• Over 1,000 process / work types to

select from with over 450 service forms

• physical docs /wet signatures) needed

for 95% of processes

F U T U R E

Develop a simple solution shielding customers & staff from complexity…

• Service distilled into five core offerings

• Rules governing core transactions

embedded into system with data

driven, system enabled processes

• Consolidated, uniform customer 360

portfolio view

• On-line pre-populated forms in place

for all high volume processes


OLD MUTUAL


OMSA STRATEGIC THEMES

4

Drive growth through lifetime relationship with

customers and acquisition of new customers

Drive efficiencies to improve customer value

and margins

Drive a culture of collaboration

OMSA-wide adherence to critical regulatory requirements


OLD MUTUAL


TRANSFORMATION OBJECTIVES

5

o Customer centricity is the organising principle for our enterprise design

o Service and product offering that is

Simple, easy and convenient

Relevant and appeals to as broad a customer base as possible

o Enhanced, consistent and seamless service experience

o Optimise value from service through cross/ upselling and retention opportunities

o Empower and enable our people

o Establish a comprehensive understanding and insight into our customer

behaviour

o As easy to buy from us as possible, through traditional and digital channels


OLD MUTUAL


6 BUSINESS TRANSFORMATION PILLARS

A set of core customer-centric pillars were identified as the building

blocks for our future desired service delivery model…

Build Compelling

Digital Offering

Deploy 360°Customer

View

Case Management

Capability

Opportunity Leverage &

Sales Enablement

Deploy Customer

Centric Processes

Elicit & Apply Customer

Knowledge

6


OLD MUTUAL


ENGAGEMENT

BACK OFFICE

SHARED

SERVICES

PRODUCT

IT ARCHITECTURE

DATA

MONEY

MANAGEMENTFUND ACCOUNTING

GENERIC

CORRESPONDENCECOMPLAINTS

CUSTOMER INSIGHT/

BIUNDERWRITING

NEW

BUSINESS

PROCESSING

DISINVESTMENT/

WITHDRAWAL

PROCESSING

CLAIMS/ BENEFIT

PAYMENT

PROCESSING

POLICY ADMIN

NON

CONTRACTUAL

POLICY ADMIN

CONTRACTUAL

SPECIALIST

BACK

OFFICES

A S S I S T E D S E L F

I N T E G R A T E D E N G A G E M E N T L A Y E R

CONSOLIDATED PROCESS ORCHESTRATION (& SINGLE WORKFLOW)

CENTRALISED DATA MANAGEMENT AND PRESENTATION (MASTER DATA MODEL)

S A L E S A N D S E R V I C E

CONTACT CENTRE

MOBILE APPCUSTOMER & IMED

WEB PORTAL

D I G I T A L

PRODUCT PROPOSITION PRODUCT ADMIN SYSTEM

MONEY

MANAGEMENT

(DISBURSEMENTS)

COMMS

AND

CORRESPONDENCE

INPUT

HANDLING

SINGLE

DOCUMENT

REPOSITORY

MONEY

MANAGEMENT

(COLLECTIONS)

FACE TO FACE

FUTURE BLUEPRINT


OLD MUTUAL


ENGAGEMENT

BACK OFFICE

SHARED

SERVICES

PRODUCT

IT ARCHITECTURE

DATA

MONEY

MANAGEMENT FUND ACCOUNTINGGENERIC

CORRESPONDENCE COMPLAINTSCUSTOMER INSIGHT/

BI UNDERWRITING

NEW BUSINESS

PROCESSING

DISINVESTMENT/ WITHDRAWAL PROCESSING

CLAIMS/ BENEFIT PAYMENT

PROCESSING

POLICY ADMIN

NON

CONTRACTUAL

POLICY ADMINCONTRACTUAL

SPECIALIST

BACK OFFICES

ASSISTED SELF

INTEGRATED ENGAGEMENT LAYER

CONSOLIDATED PROCESS ORCHESTRATION (& SINGLE WORKFLOW)

CENTRALISED DATA MANAGEMENT AND PRESENTATION (MASTER DATA MODEL)

SALES AND SERVICE

CONTACT CENTRE

MOBILE APPCUSTOMER &

IMED WEB PORTAL

DIGITAL

PRODUCT PROPOSITION PRODUCT ADMIN SYSTEM

MONEY MANAGEMENT

(DISBURSEMENTS)

COMMS AND

CORRESPONDENCE

INPUT

HANDLING

SINGLE DOCUMENT

REPOSITORY

MONEY MANAGEMENT

(COLLECTIONS)

A closer look at Engagement

FACE TO FACE

8

OUR APPROACH

RATIONALE FOR APPROACH

Start with areas that directly

impact customer experience

Customer engagement

determines full value chain

Channel by channel

deployment enables greater

control

More immediate benefits

Engagement informs

enterprise design

1st WAVE Establish an Integrated Engagement Layer

2nd WAVE Transform Core Processes

3rd WAVE Consolidate Back Office Administration


OLD MUTUAL


THE BIZAGI TOOL – OUR

EXPERIENCE

OUR APPROACH TO BPM

Not process improvement … this is process transformation. Therefore, couldn’t start with existing processes.

S O W H A T D I D W E D O ?

We started from scratch … with customer need.

Understood the key reasons for customer engagement

Defined our menu of services

Based on our products, defined what customer

transactions could be done

Menu of services became the organising principle for all subsequent design effort.

This has helped us understand:

Self service capability

Assisted sales and service capability

Back office structures

Overall staff capacity required

Enable Business & IT to collaborate effectively

Enable a process led approach

Supported Agile methodology

Increased flexibility

Relatively simple to use

Rapid deployment

Business driven changes


OLD MUTUAL


10

INITIAL DEPLOYMENT IN THE BRANCH CHANNEL

First engagement layer deployment was the branch channel.

BRANCH

The following video will provide an insight into the rationale for this & an

overview of the solution.

C:/Users/user1/Desktop/New Branch Model 122014.mp4

C:/Users/user1/Desktop/New Branch Model 122014.mp4


OLD MUTUAL


FACTORS WE WISH WE HAD KNOWN AT THE START ...

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*Largest Impact / Highest Volume / Ease Of Implementation /

Risk Mitigation / Benefit Realisation / Appetite

Prioritise your deployment and agree it upfront*

Establish governances prior to commencement

Engage continuously -communication & collaboration across the enterprise is constantly required

Elect someone to make decisions - full consensus is not always possible

DO’S

Wait until everything is designed perfectly ... It will never be – design, deploy, review, enhance

Underestimate the change management effort

Go for the big bang. Rather plan a series of small, controlled deployments

DON'TS


OLD MUTUAL


HOW WE MEASURED IT - BRANCH

M E T R I C E X P L A N A T I O N T R E N D

Net Promoter Score (NPS) A management tool used to gauge the loyalty of anorganisations’ customer relationships.

Point Of Contact Resolution

Increasing the percentage of transactions that are fully resolved at the first point of interaction with no further manual effort required.

Retention Improving the ability of a branch agent to provide suitable alternatives that result in keeping business with Old Mutual as opposed to losing the business.

Operational Costs Decreasing the costs associated with delivering the scope of services at the Branch.

Cycle Time Reducing the total time from the beginning to the end of a process, as defined by the Business and their customer.

Queue Times Reducing the amount of time a customer is required to wait from entering the branch until seeing a consultant.

Physical Documentation Decreasing the volume of physical documentation required in order to complete a specific transaction.

Error Rates Reducing the number of errors made by an agent during the course of an interaction that necessitates rework or duplicate effort.

Data Validation Improving the level of accuracy and completeness of customer data. A mandatory step to check and collect customer data during every interaction.


OLD MUTUAL


13

CRITICAL SUCCESS

FACTORS

1

• Transformation starts with Value Proposition, Strategy & Core Business Objectives

• Define Core Customer Principles upfront to inform design

2

• Executive Level Ownership & Sponsorship (full time role)

3

• Establish Enterprise Level Architecture (Service, Sales, IT, Finance)


OLD MUTUAL


14

4

• Customer-Centric Focus & Business Led Approach

• Agile approach

5

• Involve your customers & intermediaries in the design process

6

• Key Measures in Place for Baseline & Progress Tracking

CRITICAL SUCCESS

FACTORS

THANK YOU

Lorelei Jensen

15

Technology

Customer Experience Rules: Lessons from Old Mutual