Despite previous improvements they were still needing to run a 24/7 operation to manage claim volumes. They had over three thousand staff working hard to investigate and respond to claims. This included expensive agency staff as volumes regularly fluctuated and made it hard to effectively manage staffing levels. Despite their best efforts they faced a constantly growing backlog.
High Claim Volumes
Complex Data in 20+ Systems
The case handling process required data handlers to search for data in more than twenty separate systems.
Most customer cases involved reviewing hundreds of pages of complex data. Many of the systems had been around for a long time, were cumbersome for humans to use and impossible for RPA to reach.
A major retail bank were struggling with a high volume of complex compensation claims from both customers and complaints management companies (CMCs).
They were aware that this was resulting in quality problems and had already invested in improvements to the process, applying lean principles and implementing RPA (Robotic Process Automation).
From 4 hours with RPA to
6 Minutes with SmartFlow
UK Retail Bank - Compensation Claims
86% to 100%
40 x Faster
High overhead costs
Not meeting quality goals
Difficulty meeting regulatory requirements & deadlines
Risk of regulatory fines
Not achieving customer service targets
Inability to scale effort up/down easily
It was easy to make mistakes typing search terms, or miss data points while reviewing information. This loss of data quality and lack of accuracy had a negative impact on customers so it was important to improve this. It also resulted in challenging conversations with the regulator and external auditors. Extensive quality checks were introduced to help ensure fair and consistent customer outcomes. After spending a lot of money on extra staff, quality control and auditing they were able to achieve 86% accuracy.
Finding a Solution
The management team were frustrated that this was the best they could achieve and were determined to find a better way to improve efficiency and quality. After initial successes with RPA they wondered if automating more could help.
After speaking with multiple RPA vendors, it was evident that their ‘task automation’ offerings could not go far enough, as sophisticated decisions needed to be made based upon the data held for each customer.
“None of your competitors offered us a solution like this!”
Why SmartFlow &
Maximise IT Were Selected
Ability to automate complex processes
Able to work with all 20+ existing systems
Innovative approach and technology
Rapidly deployable solution
Ability to prove concepts necessary to meet business goals
Innovative capability to make smart decisions based upon underlying data for each case.
Flexibility to integrate with existing security model to ease integration pain and maintain high security standards
They were surprised when a comparatively unknown vendor like Maximise IT said that they could provide a suitable solution. But a demonstration showed that SmartFlow provided an innovative solution to the problems they faced. Based on this a proof-of-concept project was agreed. This quickly showed that SmartFlow technology and Maximise IT's delivery team had the necessary capabilities, vision and skills to deliver the results they needed. Clear business goals were agreed by both parties and the full project was given the green-light to go ahead.
“I have been very impressed by Maximise IT, being honest I was sceptical they would be able to help us as I'd not seen their solution elsewhere. Maximise IT has delivered on their promises, been flexible in their approach and dealt with some challenging issues maintaining their high level of professionalism throughout”
- Director of Customer Remediation
Automating More With Decisioning
Multiple stakeholders worked with the Maximise IT team to automate the claims process from end-to-end. The automated process started when a new claim was received and completed all steps a human claims handler would normally take, right through to issuing customer communications and any payments owed.
By condensing complex claims handing rules into smooth process with automated decision making they were able to process claims forty times faster than they could using only RPA. When decisions were subjective SmartFlow presented the claims handler with all of the relevant information and likely outcomes so that they could quickly make an informed decision. The process then continued automatically, meaning that claims handlers could easily work on multiple cases in parallel.
Results Exceeded Expectations
As well as saving over fifty million pounds the project exceeded the ambitious goals agreed with the management team. Customer satisfaction metrics also improved due to faster response times and better data leading to fairer customer treatment.
Goal: Reduce 4 hour processing time to an average of 1 hour
Result: A 6 minute processing time per case
Case volumes could now be handled easily even at peaks, so one thousand agency staff were no longer needed. Operations were able to redeploy skilled internal resource to higher value tasks further on in the claim process. Reduction in staff, efficiency and quality improvements resulted in savings of more than four million pounds every month.
Goal: Increase 86% data accuracy to 97%
Result: Achieved 100% accuracy in all cases
"This thing is relentlessly accurate."
Mistakes were reduced to zero, this was mostly due to eliminating human errors. But also a result of reducing pressure on claims handlers and providing them with much better data. The new system was tested against hundreds of the most complex cases the third party auditors had checked. All previously detected issues were quickly identified as well as some that even the third party auditor hadn't found. Accuracy now easily met FCA quality requirements. Spending on quality control reduced dramatically and rework was almost entirely eliminated.
Goal: Integrate 75% of systems
Result: Integrated 100% of systems
All of the systems were able to be integrated to achieve end to end process automation. Working with existing systems made it possible to rapidly streamline processes for fast business results.
Improvements to processes meant that IT teams were able to decommission some of the outdated solutions provided by another vendor.