CASE
Nippon Life Insurance Company
Maintenance BPO Using Image Workflow and AI
Primagest introduced a BPO scheme utilizing IWF (Image Workflow) for Nippon Life
Insurance in January 2018 to address the issues of improving efficiency and productivity of
maintenance work (paper-based procedures), identifying appropriate personnel assignments, and
building a system that is resilient to natural disasters. By reforming administrative processes
based on a digital premise, we have achieved standardization and visualization of each process.
Currently, we are also promoting the use of AI in this scheme, which has led to a 50% improvement in
operational efficiency.
Situation Before Introduction: Issues in
Maintenance Operations
Despite efforts to systemize, simplify, and digitize administrative processes, about
50% of procedures remained on paper
Nippon Life Insurance Policy Administration Department
General Manager,
Claims Receiving Center Mr. Toshihiro Misaki
The Policy Administration Department is responsible for three main operations:
maintenance, premium collection, and payment of maturity insurance claims and survival
benefits, of which maintenance procedures account for approximately 6 million cases per
year.
Nippon Life Insurance is striving to improve customer service by promoting efforts to
simplify and expedite procedures, while striving for appropriate and fair assessments to
ensure payment of insurance claims and benefits and to live up to the trust of
customers.
To this end, we have been working on the systemization, simplification, and digitization
of administrative processes, aiming for no mistakes, speedy processing, and minimal
cost. Despite our efforts, about 50% of cases were still processed by paper, and further
streamlining and productivity improvement was an issue.
In addition, since the number of cases handled in maintenance work fluctuates from month
to month, it was difficult to determine appropriate personnel assignments, and it was
also a challenge to build a system that can maintain high quality even when affected by
natural disasters.
Effects of Introduction
Innovations in Project Promotion
Shared information among members to review business operations
In the past, Nippon Life Insurance had often communicated within the company or with its
group companies when developing systems, so we naturally filled in the blanks when
communicating requests, etc. However, in this BPO scheme, each process of the business
was placed on a general-purpose IWF, so it was difficult to communicate information for
visualizing the business, and we had a hard time creating a common language.
In addition, in maintenance work, there are cases where the work process is the same but
the work is performed slightly differently for each product, and since the BPO scheme
changes the order of each process, we had to review the impact of the introduction of
the BPO scheme, business operations and mechanisms to improve business efficiency and
productivity, and standardize the work approach in the course of promoting the project.
In order to review the structure and standardize the way of doing business, a small
group was formed with members in charge of each task, and information was shared among
the members as they worked on the project. Primagest's experience in the insurance
industry and the various proposals it provided allowed us to move forward with the
project smoothly.
Improvement Details
Effects of Introduction
Achieved return on investment in terms of quality and BCP
We can now perform quantitative analysis of operations that require follow-up action,
work time (productivity) required for each process, inspection implementation rates, and
so on. In addition to the logs of each process, the system also visualizes where errors
are occurring. Based on the results of these analyses, we are working to reduce
man-hours and further improve productivity, and we continue to achieve a return on
investment in terms of quality.
In addition, although the work process is the same, each product has a slightly
different workflow, so there were parts that had become dependent on specific employees.
By standardizing each process and enhancing system support, work can now be performed
without specialized knowledge, thus eliminating dependencies on specific employees and
making it possible for one employee to perform multiple jobs.
In recent years, natural disasters have become more frequent, and COVID-19 requires a
telecommuting system. The presence of office centers throughout Japan, including our
Osaka head office, has led to the establishment of a system that is resilient to natural
disasters (BCP) and an understanding of appropriate personnel assignments.
Reasons for Selecting Primagest
Extensive BPO Experience in Back-Office Operations
Track record of contracting for multiple insurance companies, expertise in
resolving various issues in maintenance operations, and comprehensive proposals
In order to solve our issues and build a stable and accurate maintenance
work system, we considered it necessary to reform maintenance work into a
digitally-based process. We also determined that it would be effective to
utilize the knowledge and expertise of outside parties who specialize in
these areas, and considered introducing a BPO scheme.
We consulted with several BPO vendors, but Primagest had the know-how to
solve various issues in our maintenance work because of its experience in
providing back-office operations for multiple insurance companies and its
development and provision of a general-purpose IWF built on that experience.
We selected Primagest as our partner because they provided us with a
comprehensive proposal prior to the introduction of their BPO scheme that
standardized each process regardless of the type of work, eliminated the
need for advanced expertise in input items, and visualized inspection items
by part.
Going Forward
Expanding AI-based Operations for BPO Schemes
Utilize AI for image workflow and inspection functions of BPO schemes, and gradually
expand the area of utilization
As the BPO scheme has spread throughout the company, we are currently working to expand
the number of operations using the BPO scheme, which started with 3 operations and has
now expanded to 12 operations, with plans to expand to approximately 20 operations in
the next 3 months.
In addition, we have heard that Primagest has been utilizing AI for the IWF and
inspection functions of their BPO schemes since this fiscal year, and that the input
work process has been improved by 50%. We have received some proposals for the use of
AI, such as the elimination of rubber stamps on documents, which will help improve our
operational efficiency. Since the use of AI is expected to have a significant effect, we
intend to expand the area of application in stages.
In July 1889, the company was established under the name Limited Liability Nippon Life
Insurance Company as the third life insurance company in Japan. Based on the spirit of
mutual support and the policy "to earn the unwavering trust of our customers," the company
strives for solid and sound management from a long-term perspective.
Website: https://www.nissay.co.jp/
