Quality Savings: How Banks, Insurers, and Healthcare Can Smartly Modernize Work

Cognizant THE NEW PROCESS GENOME Re-coding Business Operations to Thrive in the Digital Economy Rigid, outdated processes are causing performance loss in industries like banking, insurance, and healthcare. In this new digital economy, an organization's continued success depends on continuously adapting and improving operating models. Embrace the challenge of achieving concurrent efficiencies and innovative growth with a combination of new technologies, third-party expertise, and shared services. COST, AGILITY, NEW MARKETS DRIVE MODERNIZATION 80% FINANCIAL SERVICES 70% HEALTH INSURANCE 60% PC&L INSURANCE 50% 40% 30% 20% 10% 0% COST REDUCTION AGILITY & FLEXIBILITY NEW MARKETS REDUCED OPERATING RISK ACCESS TO TALENT Response base: 235 business decision-makers The cost of doing business is still the last word in decision-making, but saving pennies in the short term is taking its toll ... and causing companies to lose money in outdated processes. Executives know the time has come: the price of doing nothing is on the rise! STAYING THE COURSE WILL LEAD TO PERFORMANCE EROSION New Product/Service Development Post-trade Processing/Back-office Front-office Finance and Accounting 73% Claims Processing Enrollment and Billing Services Medical Management Fraud and Abuse Services Finance and Accounting 73% of core processes need to modernize over the next New Business and Underwriting 24-36 MONTHS FINANCIAL SERVICES Claims Administration HEALTH INSURANCE PC&L INSURANCE Policy Administration Services Executives anticipate performance will degrade 7% on average over the next 2-3 years unless improvements are made 0% 10% 20% 30% 40% 50% Percent of Decision Makers Anticipating Degradation Response base: 242 decision-makers PROCESS TOOLS AND APPROACH THREATEN PERFORMANCE 38% 36% 25% 25% 21% INADEQUATE TOOLS OUTDATED APPROACH NON-STANDARDIZED TOO COSTLY POOR QUALITY Approximately 55% of processes will suffer due to inadequate tools and technology NEARLY HALF of the anticipated performance degradation is due to failing to update approaches, processes, and business models that no longer work LEADERS SEE NEW TECHNOLOGIES AS KEY TO WORK REINVENTION 32% 39% 41% 28% 54% 29% MOBILE TOOLS CLOUD MOBILE TOOLS ENTERPRISE BUSINESS PUBLIC SOCIAL FOR CUSTOMERS INFRASTRUCTURE FOR EMPLOYEES SOCIAL MEDIA ANALYTICS MEDIA UP TO 85% of processes can improve by making better use of mobile technologies Strategic Partnerships with Business Process Service Experts Are Vital to Modernization PROCESS REFORMATION DRIVERS HIGHER QUALITY/RELIABILITY BETTER TECHNOLOGY LOWER COST 68% MORE CAPACITY MORE MODERN APPROACH 68% of companies look to shared service partners to achieve simultaneous cost BROADER FUNCTIONALITY GREATER EASE OF USE and process efficiencies MORE UNIFORM APPROACH 20 40 60 80 Companies use 3rd-party services to adapt to technology more efficiently while enhancing quality NUMBER OF RESPONSES Response base: 242 business decision-makers. Multiple responses permitted. KEEP CHALLENGING To learn how process innovation can help your business succeed in the new digital economy, read our white paper: http://cogniz.at/RecodeBizProcess KEEP CHALLENGING" © Copyright 2014, Cognizant. All rights reserved. No part of this document may be reproduced, stored in a retrieval system, transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the express written permission from Cognizant. The information contained herein is subject to change without notice. All other trademarks mentioned herein are the property of their respective owners. Percentage of Respondents