Conducting an Audit
..., as well as top management should, throughout the duration of the process, use methods such as kick off meetings, and town hall meetings to communicate the purpose of the project. Creating the environment that change is needed in many cases is challenging, therefore, management will have to develop ways so all parties are communicated the new vision. Everyone will need to understand that they play a crucial part in assisting management improve the overall performance of the company. Motivation techniques must also be found to enhance the project. A “opinion poll” can be used as the first step toward finding out how employees feel about the company. The project manager will create a core group/team; “the” team will be responsible for assisting the project manager complete the project. This group will have representatives from each department of the company. Preferably these members are the leaders or decision makers of key departments within the organization. In addition, the project manager will have the latitude to add other individuals that he/she considers necessary for the success of the project, particularly in the implementation phase. The core group will also develop taskforces that will be responsible for specific assignments. For example, one taskforce will be assigned to the claims department to conduct a comprehensive process analysis. The analysis will identify issues and make recommendations as to how to improve the process. Members of this taskforce should be employees of the claims department, but will include other participants such as insurance agents. Outsiders, meaning other interested parties not from the claims department, often can provide input about the perception of the “problem”. For instance, brokers can be great resources; they can serve as the strategic intelligence. D. Data Collection and Tools of Process Improvement The book “Superior Customer Value” by Weinstein and Johnson provides insight on the many ways that companies can improve processes. Chart 1 illustrates components of the tools of process improvement and its purpose. To begin KIC needs to re-emphasize and redesign its business operations and processes that are valuable to the customer. The assignment is primarily to look at the claims department and audit the process. In other words, value must drive process design. (_________). It is recommended to develop a clear set of goals that will lead the new process. Process as defined by _______________ is as follows: “is a specific group of activities and subordinate task which results in the performance of a service that is of value. Business process design involves the identification and sequencing of work activities, tasks, resources, decisions, and responsibilities across time and place, which a beginning and an end, along with clearly identified inputs and outputs. Process must be able to be tracked as well, using cost, time, output quality, and satisfaction measurements. Business need to monitor, review, alter, and streamline processes continually in order to remain competitive”. (See Chart 2) Dr. W. Edwards Deming pioneered the use of statistical tools and sampling methods for the purpose of presenting and auditing processes. According to Deming the first step is to conduct a “Process Assessment” (See Chart 3). The benchmarking process is also recommended for the purpose of comparing KIC with competitors as it relates to “standard of excellence”. In other words, a company, at a minimum should be aware of how it measures against other comparable companies in quality, customer and employee satisfaction, market share and operating performance. KIC should research and come up with “best practices” as models and targets to consider. (See Chart 4) Surveys are _____________ __________ ____________ _________ ____________ _______________ ____________ Recommended Tools: · Employee Survey · Customer Survey · Interviews (One-on-One) · Focus Groups · Telephone Survey These surveys will, at a minimum, obtain information as to: 1) what happens; 2) how does it happen; 3) how often does it happen; 4) how long does it happen; and 5) how important is this. The project manager will use and coordinate these tools to develop and collect data from employees, senior management, board of trustee members, insurance agents, and policyholders. In addition, a SWOT analysis will be conducted. E. Analyze Dat...