CASE BACKGROUND The MGMT Insurance Ltd. accepts payments on various insurance policies from employees of businesses across the island. These businesses deduct payments from employees’ salaries and pay the insurance company a lump sum each month. This total amount deducted is shown on each employee’s payslip. Deductions are due at the end of each month and each participating business submits one payment for its employees to the insurance company via online payments through the bank. However, if payments were received after 11:00 a.m., the bank does not process them until the next business day. At the beginning of each month an administrative assistant at MGMT Insurance Ltd. downloads the deductions for each company and allocates payments to the various policies. These payments include the client’s unique number along with his/her relevant policy numbers and amounts due. However, recently there has been some complaints that payments for some policies were not being allocated correctly. Additionally, assume that one client experienced a problem with insufficient deductions to cover his/her monthly premiums. As a new manager with the company, you wish to check the systems and processes to ensure that they are up-to-date and report your findings and possible recommendations at the upcoming meeting. 1. From the perspective of your department and management level (as the marketing manager), discuss the impact that your issue could have on the department and the company as a whole. a. Suggest ONE reason why the deduction could have been too small b. Critique TWO suggestions made by group mates from other departments. (departments option: department from the following list Claims, Accounting, Human Resources, Information Technology, Customer Service, Underwriting, Marketing). 2. Assuming that a client increases his/her insurance coverage, design and draw a “Policy Change Request” process diagram that will ensure the correct deductions are made the month following the increase. The diagram should show the bands, process flows, decisions and cross functional interactions required. b. As a team, select TWO of the business processes. Describe how they could be improved and make recommendations for their improvement.
CASE BACKGROUND
The MGMT Insurance Ltd. accepts payments on various insurance policies from
employees of businesses across the island. These businesses deduct payments from
employees’ salaries and pay the insurance company a lump sum each month. This total
amount deducted is shown on each employee’s payslip.
Deductions are due at the end of each month and each participating business submits one
payment for its employees to the insurance company via online payments through the
bank. However, if payments were received after 11:00 a.m., the bank does not process
them until the next business day. At the beginning of each month an administrative
assistant at MGMT Insurance Ltd. downloads the deductions for each company and
allocates payments to the various policies. These payments include the client’s unique
number along with his/her relevant policy numbers and amounts due.
However, recently there has been some complaints that payments for some policies were
not being allocated correctly. Additionally, assume that one client experienced a problem
with insufficient deductions to cover his/her monthly premiums.
As a new manager with the company, you wish to check the systems and processes to
ensure that they are up-to-date and report your findings and possible recommendations at
the upcoming meeting.
1. From the perspective of your department and management level (as the marketing manager), discuss the impact that
your issue could have on the department and the company as a whole.
a. Suggest ONE reason why the deduction could have been too small
b. Critique TWO suggestions made by group mates from other departments. (departments option: department from the following list Claims, Accounting, Human
Resources, Information Technology, Customer Service, Underwriting,
Marketing).
2. Assuming that a client increases his/her insurance coverage, design and draw a
“Policy Change Request” process diagram that will ensure the correct deductions
are made the month following the increase. The diagram should show the bands,
process flows, decisions and cross functional interactions required.
b. As a team, select TWO of the business processes. Describe how they could be
improved and make recommendations for their improvement.
Step by step
Solved in 6 steps
