1

IBM BPM (Process), ODM (Rules & Events) and Mobile in Action

2

“An estimated $5 billion is up for grabs for the health insurer who figures out how to make health insurance as simple as ordering a value meal from a local fast food joint.”

~ US Consumers Willing to Pay Five Percent More For Their Insurancehttp://www.thetruthaboutinsurance.com/u-s-consumers-willing-to-pay-five-percent-more-for-their-insurance/

Why shouldn’t filing and insurance claim or opening a bank account be as easy as buying a book online?

2

3

What does it mean to be easy to do business with?

Insurance:Can I report an accident on my mobile device and automatically trigger a tow truck and taxi?

Healthcare:Can I shorten hospital stays by one or two days without compromising treatment quality?

Government:Can I speed up passport control at the border for pre-certified frequent travelers?

“Amazon, Apple and Netflix provide the customer satisfaction benchmarks to which [other business] must aspire”

~ Where is the ROI on Customer Experience?Systems & Technology Journal, 2012

Banking: Can I instantly add a family member to my credit card account?

4

Your customers are no longer your customers

~ Global Consumer Banking Survey 2012,Ernst & Young

“The proportion of customers

planning to change banks has

grown by 70% since 2011”

Homeowners in the 18-34 range changed insurance carriers 2.5x more often than those 51 and older~ The Voice of the Personal Lines Consumer

Deloitte Research, 2012

“RETENTION IS THE NEW HOLY GRAIL”

~ Beyond Price: The Rise of Customer-Centric Marketing in Insurance, McKinsey & Company, 2012

4

5

Effective business operations create superior customer experiences

Process today plays a critical role in driving customer experience initiatives…from companies looking to overhaul customer service processes to companies seeking to deliver more compelling experiences that incorporate big data analytics and real-time guidance.

The Forrester Wave: BPM Suites, Clay Richardson & Derek Miers, 2013

Customer experience is the #1 factor in both customer retention and acquisition:

“Customer-Centricity in Retail Banking”, Boston Consulting Group, 2012.

5

6

The gap in business operations is widening

Time to open a new account in retail banking

5 minutes – best

76 minutes – worst

Availability of loan funds

2 days – best

37 days – worst

Time for conditional mortgage approval

15 minutes – best in class

4 hours - median

Source: Boston Consulting Group, The “New New Normal” in Retail Banking, 2012

6

7

InstantAt Internet speed

47% of online bank account opening applicants don’t successfully complete the process and fund their accounts

InsightfulTargeted and relevant

47% say it frustrates them when companies don't use the information they have to make interactions and offers more relevant

InsightfulTargeted and relevant

47% say it frustrates them when companies don't use the information they have to make interactions and offers more relevant

SeamlessInterconnected & ubiquitous

In the US, mobile banking jumped to 32% of customers in 2012 up from 21% in 2011

SeamlessInterconnected & ubiquitous

In the US, mobile banking jumped to 32% of customers in 2012 up from 21% in 2011

What do you need from your processes in a customer-centric world?

Processes must be:

8

New forces are disrupting how companies do business

Mobile requires process reinvention

Forrester forecasts that companies will spend about $900 million on

mobile process reinvention services in 2013 and up to $2.7 billion in 2014

$3.6B spend by

2014

Cloud deployments force companies to rethink their processes

Gartner ranks Business Process as a Service (BPaaS) as the fastest

growing cloud segment with 47% annual growth

47% growth in cloud

processes

Socially-enabled processes drive increased productivity

According to McKinsey, social technologies, when used within & across

enterprises, can raise productivity of high-skill knowledge workers by 20 to 25%

25% productivity

improvement

Big data drives insight into processes

McKinsey found government administration could save more than

€100 billion in operational efficiency improvements alone by using

big data

€100B

government savings

8

9

Marie Wieck launched Smarter Process to 7,000 people at Impact

IBM’s approach for reinventing business operations

- to enable greater customer-centricity

- in the age of mobile, social, cloud and big data

- while driving efficiency and optimization into end-to-end processes

10

IBM capabilities for Smarter Process

Enterprise Content Management

Business Intelligence

PredictiveAnalytics 

Master Data Management

Service Oriented Architecture & Integration

Industry Solutionsand Accelerators

Industry and Functional Consulting Expertise

Managed Business Processes

GovernmentBanking EnergyHealthcare TelecomInsurance Transport

Case Management

Business Process Management

Operational Decision Management

Operational Intelligence

Mobile Social Cloud Big Data

Retail

11

Go to http://SmarterProcessDemos.com for YouTube & Downloadable Demos!

Customer-centricity requires a cross-functional approach

The new triumvirate: Operations, IT and Line of Business

and business unit leaders

and technology leadersand cross- functional

business leaders

PresidentSVP/GM of Operations

Chief Transformation OfficerChief Innovation OfficerChief Customer Officer

Chief Risk Officer…

VP of Claims ProcessingVP of Retail Lending

VP of Commercial LoansVP of Outpatient Services

VP of Power Delivery Services

Chief Technology OfficerVP of Software DevelopmentEnterprise ArchitectIT Architect

Successfully attracting and retaining customers requires companies to think and act cross functionally.

~ Adam Klaber, Managing Partner Emerging Markets,

IBM GBS

At HCF we have found that delivering a superior customer experience requires tight partnership between operations, IT and the various lines of business.

~ Stephen Nugent, General Manager of Operations,

Hospitals Contribution Fund

“

”

“

”

Strategic Leadership: Chief Executive OfficerChief Financial Officer

12

13

Credit card processors make updates to credit authorization and settlement rules based on business conditions and regulations

Customs officers make updates to import fees based on new tariff schedules

Insurance underwriters update insurance coverage rules based on changing risk conditions

Loan officers make updates to new loan requirements based on regulatory changes

Business experts can directly make changes to business rules

Business users can make changes to the rules that represent business practices, policies and

regulations

13

14

90%improvement

Lincoln Trust realized a 90% reduction in customer complaints caused by process delays

Eliminated paper & lost documents; Estimated $3M in annual savings

Business process management yields significant benefits

3000Average users

per day

3000Average users

per day

Banco Espirito Santo has 200 simple processes in production with 80,000 process instances in 6 months

3000 average users per day running on the processes

300%ROI

Horizon Blue Cross Blue Shield generated an average of 300% ROI on each internal process improvement project

Reduced processing time for claims by 20-30 minutes each

$594Million in savings

NYS Tax generates $594 million in cumulative savings over 5-year period, with ROI of 1,461% over same period

$117M in annual revenue; $1.45M in annual cost savings

AccountAdministration

InvoiceReconciliation

Teams

ExecutiveManagement

Finance & Ops

ExecutiveMgmt

Risk Management

Teams

CustomerService

Finance and Ops

Rules

Rules Rules

Account

Admin

Improve business efficiency for innovation with Smarter Process

Inefficient working environment

Incomplete or inaccurate data flow

Inconsistent prioritization

Lack of control over the process

Poor visibility into process performance

Automate workflow & decision making

Reduce errors and improve consistency

Leverage existing systems and data

Streamline processes and initiate actions

Real-time visibility and process control

Typical process problems Bring order to the chaos

Billing

ERP

Imaging

CRM

CustomerService

15

16

Simple and intuitive process discovery and design

Browser based interface empowers everyone to participate in the discovery and documentation of business processes

Easily visualize and model each process to help understand bigger picture

17

Collaborate on process design & execution through social interaction

Work together on the same tasks via real-time interactions; reach out to experts to help complete tasks; monitor and perform ad-hoc actions through activity streams

Collaborate with experts that are currently logged on, or create notes for view upon return for timely completion of tasks

18

At a glance visibility into team work

Manage work and team performance

Review work across teams

Manage work across teams

Drill down into individual team member view

19

Optimize your process with visibility and analytics

Visibility into work-in-progress providing the ability to take corrective action when necessary

Detect bottlenecks and performance thresholds and display them visually

View into process performance

Analyze process performance to uncover areas for improvement

20

130 milliseconds

per transaction

MasterCard processes each payment transaction within 130 milliseconds per request

43,000 transactions per minute; Responds to fraud threats within hours

Operational decision management yields significant benefits

96%straight-through

processing

96%straight-through

processing

Swiss Customs achieves 96.5% straight-through processing to validate electronic customs declarations

200,000 declarations daily; Over 700 business rules

8000transactions per second

Visa Europe handles up to 8000 credit card payment authorizations per second across Europe

60 rule changes in 13 months; Over 30,000 business rules

300%improvement

WorkSafe Victoria sees 300% improvement in payment times to workers compensation treatment providers

85% straight-through processing; Over 2,000 complex rules

21

Externalizing decisions from applications into business rules Manage decision logic independently from applications

Business RulesBusiness Rules

Application Application

Decision logic

Natural language rules can be easily read

Externalized rules are easy to change

Centralized rules enable reuse and consistency

Rules written in software code cannot be read by business people

Hard coded rules are difficult to change

Rules intertwined within applications cannot be reused by other systems

Without Decision Management With Decision Management

22

Rules represent business practices, policies and regulations

Business Practices:

Fundamental operational tactics in daily business

Example:

Healthcare Fraud Detection

Policies:

Mandatory instructions for organizational safeguards

Example:

Insurance Risk Assessment

Regulations:

Externally imposed laws that must be complied with

Example:

Sales Tax Collection

22

23

Business users can easily read and make updates to rules

Natural language syntax

Automatic completion

Rule authoring made simple with natural language syntax

Capture complex rule conditions in a Decision Table

Equivalent action rule Equivalent action rule

24

Business users can easily collaborate on business rules

Automatic notification

Social communication post

The Activity Stream enables easy collaboration in the context of the activity

Overview of the main changes that occurred between 2 snapshots

Side-by-side comparison of project snapshots to visualize changes

25

25

Input Data

Expected Results

RulsetTests

Simulate & Test rules for what-if scenarios

26

Abucreate a

Snapshot

John Create a

Snapshot

A BaselineIs automatically

created

JohnRun a

Simulation

AdamDeploy

On prod2

Abu Run

UAT scenarios

Joe CreateComprehensiveBase Premium

John CreateRoadside

Base Premium

Abu DeployFor UAT

Williams & Averellapprove

the release

Bea updateComprehensive

Discount

John CreateRoadsideDiscount

Release is Complete

Release is In Progress

AdamDeploy

on prod 1

PaulCreate aRelease

Release objectives are documented

To complete, a Release must be reviewed and approved

4

Release has status

Rule management activities occur in the context of a release

4

Release has an owner

Changes and deployments related to a specific release

Decision governance framework

Leverage IBM Worklight adapter sample to develop, test and deploy business rules applications for mobile devices.

Client device invocation enables end users to leverage decision services taking advantage of mobile specific features like geo-location and device information

Decision Server now provides a Representational State Transfer (REST) application programming

interface (API) for ruleset execution

Decisions on the goRESTful API and IBM Worklight Adapter for mobile invocation of business rules

27

28

29

30

Top 20 Smarter Process Use Cases: From #1 to #10

A large US bank achieves faster loan origination with 85% straight-through processing

HCF reduces claims processing times by 93% and increases market share by 56%

Jet Airways reduced reporting errors and regulatory errors by 80%

Castilla y Leon regional government improves the speed and accuracy of social services payments

MasterCard speeds up creating new fraud rules from days to hours

Regulation & Compliance Management Fraud & Risk Management

Claims Processing Eligibility Determination

Tata Sky on-boards 1M customers on its satellite TV network in 1 year

Hiscox reduced development effort by 70% to create a dynamic website for real-time insurance quotes

Visa Europe handles up to 8,000 payment transactions per second

Customer Care & Insight Payment Processing

The Ottawa Hospital speeds up patient flow through the hospital improving quality of care

Underwriting Healthcare Process Management

ASE speeds up unemployment benefit calculations from 15 minutes to 10 seconds

Credit & Loan Processing Pension & Benefits Management

Top 20 1-10

31

Reliance Life’s self service portal reduced costs by 30%, enabling policies for low income households

BNP Paribas targeted the right customer with the right product and increased customer satisfaction

MVV Energie enables customers to automatically optimize consumption to minimize their power costs

Hanson Cements created a single view of the current training status of all team members

The City of Madrid reduced emergency response times by 25%

Power Grid Management Citizen Safety & Security

Cross-sell & Up-sell Training & Certification Management

University Hospitals Birmingham reduced recruitment cycles by 30%

NY State Tax saved the state more than $889 million, while allowing it to process refunds faster

Yansha department store reduced order lead time from 2.5 days to 4.5 hours

Customer & Employee Onboarding Order Management

Odyssey Logistics & Technology increased the productivity of its for logistics operations by 300%

Tax Collection Transportation Management

Accovia enabled travel booking engines create real-time dynamic packaging of vacation activities

Customer Self Service Dynamic Pricing & Bundling

Top 20 Smarter Process Use Cases: From #11 to #20

Top 20 11-20

32

Go to http://SmarterProcessDemos.com for YouTube & Downloadable Demos!

33

Smarter Process has received strong support from analysts

“With Smarter Process, IBM is the first megavendor to introduce an integrated collection of hardware, software and services offerings designed to facilitate intelligent business operations.”

Gartner : Michele Cantara & Teresa JonesIBM Smarter Process Expands to Transform Business Operations

“Smarter process seems to be more about raising the top line, leveraging continuous engagement with the customer in the age of mobile, social, cloud, and big data… Smarter Process is an interesting story, and one that IBM can tell better than anyone else.”

Bruce Silver AssociatesIBM Impact Makes Way for Smarter Process

“BPM in some form has been a significant feature of the previous two IMPACT events, and this year its position was elevated even further – although IBM is now using a different term to describe it… Partly the shift to ‘Smarter Process’ is a result of IBM being a victim of its own success regarding its use of the term BPM.”

Neil Ward-DuttonMoving IBM's $100 Billion Needle with Smarter Process

“Big Data, cloud, social and mobile is driving change in the Smarter Process portfolio. In particular it means that process efficiency is no longer enough to guarantee success – you need processes that are effective also.”

James TaylorSmarter Process and Decision Management Updates

33

34

Gartner defines 10 core components of an iBPMSIBM Smarter Process is 10 for 10!

Source: Gartner Magic Quadrant for Intelligent Business Process Management Suites, 27 September 2012 

35

Install base of over 5,000+ active implemented customers and 800+ business partnersInstall base of over 5,000+ active implemented customers and 800+ business partners

Leader in Gartner’s Magic Quadrant for Intelligent Business Process Management Suites and leader in the Forrester Waves for BPM Suites and Dynamic Case Management

Leader in Gartner’s Magic Quadrant for Intelligent Business Process Management Suites and leader in the Forrester Waves for BPM Suites and Dynamic Case Management

#1 market share in Business Process Management (BPM) and Business Rule Management Systems (BRMS) according to Gartner and IDC

#1 market share in Business Process Management (BPM) and Business Rule Management Systems (BRMS) according to Gartner and IDC

Global Business Services and ISSW established the Smarter Process Center of Competency (CoC) to provide deep expertise and create repeatable Smarter Process assets

Global Business Services and ISSW established the Smarter Process Center of Competency (CoC) to provide deep expertise and create repeatable Smarter Process assets

Why IBM for Smarter Process?

36

YouTube & Downloadable Demos SmarterProcessDemos.com

Trial IBM Blueworks Live

Attend a Proof-of-Technology Lab

Hold a Discovery Workshop

Plan a Quick Win Project

ibm.com/bpm

Get started today!

37

38

Merci

Grazie

Gracias

ObrigadoDanke

Japanese

French

Russian

German

Italian

Spanish

Brazilian Portuguese

Arabic

Traditional Chinese

Simplified Chinese

Thai

Korean

39

A leading US bank brings customer-centricity to loan origination

Challenges

Onboarding new customers took several days for the average loan

Inconsistent customer experiences as employees interpreted written policies differently

“Our existing loan origination process became a potential obstacle to unifying operations. Now, the customer experience is consistent and we can onboard new customer faster.”

~ IT Architect, A leading US Bank

Faster loan origination with 85% straight-through processing

Solution

Automate loan processing operations and increase straight-through processing prioritizing human interactions for exception flows

Combine 17 different legacy systems together with IBM BPM, IBM ODM and IBM ECM

Benefits

Instant: Faster customer onboarding and a more consistent customer experience

Seamless: Consolidated the operations of a new acquisition and created a single process flow for all loan processing centers

Insightful: Automated decision making in 85% of the loan approval process

Back to Top 20

US bank

40

Hospitals Contribution Fund achieves same day claims payments

Challenges

Settle medical and hospital claims on the same day

Pay ancillary claims in real-time

Move to a paperless claims management system

“At HCF we have found that delivering a superior customer experience requires tight partnership between operations, IT and the various lines of business.”

~ Stephen Nugent, General Manager - Operations, Hospitals Contribution Fund

Reduces claims processing times by 93% and increases market share by 56%

Solution

Business Process Management and Business Rules streamline claims processing

Analytics enabled rapid identification of risk patterns and trends

Benefits

Instant: Reduced medical claims processing times by 93%, from 3 weeks to 1 day

Seamless: Interconnected claims payment systems that brings together providers and payers

Insightful: Early identification of high claiming members allows for preventative healthcare while reducing costs

Back to Top 20

Hospitals Contribution Fund

41

Challenges

Comply with EU mandate to reduce carbon footprints through the Emissions Trading Scheme

Need to accurately measure carbon footprint and create reports for faster decision making with audit trails for transparency

Accurately calculate individual aircraft emissions for the entire fleet, using flight records and fuel usage data

Solution

Using IBM Case Manager, Jet Airways automated the calculations and analysis process to determine the best options for buying carbon credits and allowances

Benefits

Instant: Reduce time to compliance by 75%

Seamless: Compared flight records and fuel usage data contained in multiple systems ranging from internal aircraft systems to regional navigation data and flight records

Insightful: Instead of fleet-wide calculations, the solution analyzed credits to the aircraft level and can even exclude fuel used during maintenance activities

Jet Airways streamlines its compliance on carbon credit regulations

Reduced reporting errors and regulatory action by 80%

“Calculations and predictions enable the airline to plan ahead, allowing it to manage routes more efficiently, or to buy offsets and credits when necessary, to help ensure compliance with the EU ETS .”

~ Manish Dureja, Vice President of Marketing, Jet Airways India

Back to Top 20

Jet Airways

42

Challenges

Tata Sky sought first-mover advantage by rapidly launching its satellite broadcast service in India

Meet ambitious growth and market penetration goals with excellent customer service

Solution

Using IBM BPM and Message Broker, ISSW and IBM Business Partner, TCS, built a customer onboarding system that enabled faster service installation & immediate activation

Benefits

Instant: Launched the direct-to-home satellite TV service within 6 months with over 1M activations in the first year

Seamless: Provided seamless integration of customer service across all channels including call centers, over-the-counter or via the web

Insightful: The system customized content for local markets to accommodate regional needs

Tata Sky onboards 1M customers on its satellite TV network in 1 year

Achieved the fastest growth rate in the world for satellite TV

"Tata Sky is the first direct-to-home satellite company across the globe to achieve the significant milestone of crossing one million connections in the first year of our operations and we are confident of achieving the eight million mark as well.”

~ Chakrapani Perangur, CIO, Tata Sky

Back to Top 20

Tata Sky

43

Hiscox Insurance provides real-time online quotes

Challenges

Manage the business policies for eligibility, underwriting and rating to generate real-time, online insurance quotes

Bring insurance products to market across different channels

“The WebSphere solution gives us a single, comprehensive platform for rule-driven business process management. Over the long term, we plan to replace our legacy ratings systems with this unified solution and harness our service-oriented architecture to deliver even greater standardisation and control across all business units, products and channels.”

~ Chris Waters, Head of Architecture, Hiscox IT

70% less development effort to create and maintain a dynamic website for real-time insurance quotes

Benefits

Instant: Provide real-time online direct insurance quotes in multiple US states – giving it a head-start on the competition and triggering significant business growth

Seamless: Provide general liability, professional liability and business owners’ policies to companies in 50 industries across 24 U.S. states

Insightful: Dynamically generate the questions on the direct insurance quote website based on customer responses

Solution

Hiscox used IBM Operational Decision Manager to build a central repository for rules governing eligibility, underwriting and rating, which integrated with multiple web and call center systems

Back to Top 20

Hiscox Insurance

44

ASE improves customer service delivering unemployment benefits

Challenges

Reduce turnaround time of the daily benefit entitlements process

Improve customer service as a differentiator in a market of similar products

Improve agility and auditability to combat changing regulations

“While working with IBM, it became apparent that the IBM offerings would support our goal of remaining the market-leading unemployment insurance provider in Denmark.”

~ Carsten Molgaard, Chief Operating Officer, ASE, Denmark

Return-on-Investment in 18 months

Solution

Implemented BPM and ODM through the Quick Win Pilot program

ODM automated the benefit calculation process, while BPM separated the benefit process from legacy applications

Benefits

Instant: Decreases time required to calculate entitlements from 15 minutes to 10 seconds

Seamless: Automated 80% of benefits calculations while allowing IT to meet business needs

Insightful: Reduce business risk by monitoring complex decisions run through thousands of rules

Back to Top 20

ASE

45

Castilla y Leon regional government administers social programs

Challenges

Dramatic increase in number of new applicants for social services benefits under new Spanish law

New, social services introduced, with precisely defined, complex eligibility criteria

Consistently apply the same criteria to all citizens

“By combining the strengths of IBM Software and services, we are dramatically reducing the time to process benefits, allowing the staff to put more focus on handling exceptional cases.”

~ José María Molina, Project Director, IT Department Social Services Management, Junta de Castilla y León

Serves over 50,000 people including the disabled and elderly; Provides child protection services

Solution

Business rules based decision service to score applications and assess eligibility

Centrally managed content repository to give all case managers access to the same information for timely service

Benefits

Instant: Automates the processing of the paperwork, allowing agency staff tofocus their time on exceptions

Seamless: Fair decisions are applied through consistent scoring and rules-based eligibility criteria across all agency canters

Insightful: Powerful, user-friendly interface allows case managers to review, validate and maintain cases directly to confirm compliance

Back to Top 20

Castilla y Leon regional government

46

MasterCard combats fraud threats in hours rather than days

Challenges

Quickly detect the less than 0.1% of fraudulent payment transactions from over millions of payments

Change fraud rules dynamically to handle new emerging threats

“Every time we wanted to change or create rules, we had to perform a full development cycle, getting the requirements ready, testing them into regression. We had to find a way to do this a lot more quickly. You can’t tell a bank, ‘There’s a fraud attack and we’ll help you in a week from now.’”

~ Johann Gerber, Group Head, Global Network Products, MasterCard

43,000 payment transactions each minute and a total of more than 23 billion transactions each year

Solution

Business rules based approach to implement fraud detection using ODM

IIB and Message Broker forms the messaging backbone to carry high volume payment transactions

Benefits

Instant: Faster fraud rule creation and deployment, down from days to hours

Seamless: Extends fraud detection visibility to several business departments at member banks

Insightful: Enables checks and balances in the fraud management system, helping to mitigate risk

Back to Top 20

MasterCard

47

Visa Europe unifies payments across 36 countries

Challenges Needed a scalable, automated payment authorization

and settlement system for payments across Europe

Regulatory requirement to unify payments for the complex European market with multiple currencies and 36 countries

“While we could have continued to use the global Visa Inc clearing and settlement platform, we saw the opportunity to create a far more capable solution and seized it”

~ Justin Snoxall, VP, Head of Development Services, Visa Europe

Adapt to regulatory changes 3X faster; handle up to 8,000 payment transactions per second

Benefits

Instant: 3x faster time-to-market to adapt to new regulatory changes

Seamless: Support over 500 different payment transaction types across 36 different countries

Insightful: Simplifies the handling of over 10,000 validation policies and 20,000 fee calculations

Solution

IBM Operational Decision Manager to simplify the creation and management of over 30,000 rules

Reduces the cost of maintaining business logic by over 25%

Back to Top 20

Visa Europe

48

The Ottawa Hospital provides patient-centric care

Challenges

Needed patient focused processes to improve quality of care with better visibility

Need to improve key metrics: Patient wait times, Discharge rates, Instances of relapse

“What we are doing is putting process orchestration and process models in place, so that you can literally see the characteristics of the hospital system… and you can then influence that.”

~ Dale Potter, Senior VP and CIO, The Ottawa Hospital

Goal: Top 10% performer in Quality of Care and Patient Safety in North America

Benefits

Instant: Faster consults and treatment through the electronic closed-loop consult service

Seamless: Improvements in patient flow through the hospital and easy access to patient information

Insightful: Benchmarking process execution to use historic and real-time data to make better patient care decisions

Solution

BPM and Business Rules to create a ‘Circle of Care’ visual interface improves communication and collaboration within the care team

Back to Top 20

The Ottawa Hospital

49

30% reduction in operating costs, enabling the distribution of low cost policies to rural, low-income households

Benefits

Instant: Accelerated new product launch by 75% and product development by 50%

Seamless: Evolve business model for broader market base for growth compared to competitors

Insightful: 30% reduction in operating costs, enabling the distribution of low cost policies to rural, low-income households

Solution

Reliance uses IBM BPM, MDM and WMQ to build a comprehensive self-service portal solution

Lifeline, Reliance’s self-service portal, has lowered operational costs by 30% while making the customer experience more streamlined and transparent

“While they were all completely thrilled with the concept, the only question in people’s minds was whether it could actually be executed, since nothing like it had yet been done in the Indian market.”

- C. Mohan, Chief Technology Officer, Reliance Life Insurance Company Limited

Reliance Life achieves 100% growth in new business

Challenges

A new entrant into India’s newly privatized life insurance market sought to transform the way insurance is sold to reach the masses.

Reach low income, rural customers

Back to Top 20

Reliance Life

50

BNP Paribas provides customers with personalized services

Challenges

Quickly construct grouped offers mapped to customer requirements - providing home insurance with a mortgage

Personalize fees based on the customer’s profile and service channel - giving discounts to some clients

Develop multi-brand customer loyalty offerings - waiving a monthly fee for a specified period

Targeting the right product to the right customer to increase customer satisfaction

Benefits

Instant: Create new offers and make product changes in near real-time.

Seamless: Customers receive personalized offers through any service channel: credit card renewals automatically detect eligibility for premium services

Insightful: Target the right product to the right customer to increase customer satisfaction

Solution

Business Rules define eligibility and target the right product or offer to the right customer

Master Data Management provides the single repository of product and pricing information

“Every bank provides packages to their customers… But we can really target the right product to the right customer. If you can provide the best product for each customer’s needs, the customer will be satisfied and will reinforce loyalty with the bank…”

- Vladimir Milojkovic, BNP Paribas

Back to Top 20

BNP Paribas

51

MVV Energie creates a smarter energy market

Challenges

Create a marketplace for energy allowing customers to choose from renewable and local sources of power

Enable customers to sell power back to the grid from individual power generation

“With IBM’s experience and technology, we’ve made a major stride toward realizing our vision of a smarter grid. We see the solution as an enabler of smart grid services, a virtual marketplace where all the key elements needed to build a smart grid can be traded.”

~ Dr. Britta Buchholz, Head of grid and plant planning, MVV Energie AG

Responds to the German governments challenge of building an “Energy System of the Future”

Solution

GBS designed processes to support new, flexible relationships among generators, distributors and consumers of power

BPM simplified billing and metering and IIB was used to integrate grid devices and power meters

Business rules in ODM determine the best power utilization patterns for individual customers

Benefits

Instant: Provide real-time information to consumers on the cost and options for power

Seamless: Allows customers to buy their power from distributed local sources reducing transmission losses

Insightful: Enable ‘Distributed cooling storage’ to automatically schedule industrial refrigeration power consumption during the time of day with lowest costs

Back to Top 20

MVV Energie

52

University Hospitals Birmingham speeds recruitment times

Challenges Recruitment processes at UHB could take up to 26 weeks

and involve considerable paperwork

Needed to streamline recruitment processes to reduce administration time and cut agency staff costs

““From the HR department’s point of view, we have introduced a ‘traffic light’ RAG rating system of key performance indicators for each stage in the recruitment process, so we can see which areas are improving and which need more attention.”

~ Suzanne Hartshorne, Deputy Director of HR at UHB

Reducing longest recruitment cycles by 30%, with goal of reducing by over 50%

Benefits

Instant: Cut the longest recruitment cycles by 30% (from 26 to 18 with), with an ultimate target of over 50% (down to 12 weeks)

Seamless: Consolidated the systems used for recruitment, so processes from finance, job advertising and interviews are integrated for simplicity

Insightful: ‘Traffic light’ rating system to assess KPIs to improve each stage of the recruitment process

Solution

Working with IBM Business Partner Axispoint, UHB reengineered their processes using IBM BPM and built a new system for staff recruitment

Back to Top 20

University Hospitals Birmingham

53

New York State Tax collects taxes more effectively and efficiently

Challenges Combat sophisticated tax evasion techniques that can

cost the state millions

Reduce processing time for the refunds of honest taxpayers

5 year ROI of 1,461% with a cumulative benefit of $594M over the period

Benefits

Instant: Saved the state more than $889 million, while allowing it to process refunds faster

Seamless: Process over 24 million business and personal tax returns each year, collecting more than $90B in tax revenue

Insightful: Maximize the amount of tax revenue collected

Solution IBM BPM, Monitor, MDM and Global Business Services

work together to increase the state's tax revenue by identifying which tax returns should be audited and investigated, which refunds should not be paid and how best to collect unpaid back taxes

The solution Improves customer service and increase staff productivity

“The system allows us to process refunds faster, getting the money to the citizens of New York quicker.”

~ Tim Gardinier, Manager, Data Warehousing Unit, New York State Department of Taxation and Finance

Back to Top 20

New York State Tax

54

Accovia enables dynamic packaging and pricing of vacations

Challenges

Consumers demand more options and travel choices; dissatisfaction with pre-priced vacation packages

Create custom vacation packages through self-service booking engines

Quickly add new vacation options

“To offer real-time dynamic packaging, we needed to build our solution on a foundation that reacts quickly to the market. ILOG BRMS offers functionality that allows users to manage their own rules using the routines of their web application.”

~ Jean Marie Grange, Director of Architecture, Accovia

Adapts to changing customer vacation buying behavior – from travel agents towards self-service

Solution

Business rules solution to dynamically manage flights, accommodations and on-site vacation options

Two tier customization that allows seasonal vacation development and tactical daily price variations

Benefits

Instant: Reduced the time required to build new vacation products from months to weeks

Seamless: Increased customer satisfaction by enabling booking engines to meet traveller demand for real-time dynamic packaging

Insightful: Increased competitive and pricing agility

Back to Top 20

Accovia

55

Hanson introduces an intuitive training management process

Challenges

Needed an intuitive process for requesting, managing and budgeting employee training courses

Easily distinguish between mandatory training for health and safety and developmental training

Needed the ability to schedule unplanned training requests

“It is much better than the old training management system - The whole process is at least twice as quick as before. If you are a manager who has a large team reporting to you, you can now see everyone’s training status in seconds, so it’s a huge improvement.”

~ Gareth Price, Technical Director, Hanson Cements

Simplifies cement manufacturer’s compliance to regulation and improves safety procedures

Solution

Applied BPM to model, deploy and monitor new training processes by orchestrating services from multiple existing IT systems

IBM business partner Axispoint worked with the HR stakeholders to create the new training processes

Benefits

Instant: Enables unplanned training requests to be scheduled quickly and with more flexibility

Seamless: Standardizes training requirements across the company compared to a more departmental approach

Insightful: Helps managers easily identify new training that helps employee development

Back to Top 20

Hanson

56

City of Madrid responds to emergency situations faster

Challenges

Create an advanced emergency command center for the city of Madrid

Organize a unified response to incidents across all emergency first responders

Adaptable system that meets fast-changing needs without disruption to vital services

“Commanders are now able to understand how complex and/or multiple incidents affect the entire region. We have more flexibility to innovate in our day-to-day operations, but we are also better equipped for any major challenges the future may have in store.”

~ Fernanco Garcia Ruiz, Head of innovation and development, Department of Security, City of Madrid

Reduces emergency response time by 25%

Solution

Emergency response processes are built and managed using IBM BPM

WebSphere MQ is used as the messaging backbone that connects all responders together

Benefits

Instant: Reduces emergency response time by 25%

Seamless: Enables end-to-end coordination of emergency and municipal assets

Insightful: Commanders can understand how complex or multiple incidents affect the entire region

Back to Top 20

City of Madrid

57

Yansha department store improves order management

Challenges

Increase competitiveness against local retailers and new foreign competitors

Provide real-time visibility into operations with KPIs such as order acceptance rate and on-time delivery rate

Provides suppliers with information on customer buying behaviour and sales trends

“Exchanging our data and interacting closely will enable us to respond to the market appropriately.”

~ Mr. Ai Jie Ma, Director of Yansha Technical and Information Department

Achieved an ROI of 9 months and reduced order error rates from 9% to 1%

Solution

GBS transformed order management processes with over 1,800 suppliers

BPM created workflows for purchase orders, shipping notification, invoicing, payment and return of goods

Benefits

Instant: Reduced order lead time from 2.5 days to 4.5 hours

Seamless: Connects 1,800 suppliers into a single supply chain network

Insightful: Created a value-based supplier pricing model that uses new supplier performance metrics such as profitability, selling trends and level of activity.

Back to Top 20

Yansha

58

Odyssey Logistics provides end-to-end transportation solutions

Challenges

Choose the best transportation options given each customer’s unique needs across the globe

Implement customized logistics processes to provide full service to customers expanding globally

“Process innovation allows an organization like OL&T to go in to a customer and figure out how to work with them versus trying to overlay a very specific rigid model on our customers.”

~ Russell Marky, Senior Vice President, Global Business Technology, OL&T

300% increase in productivity for logistics operations

Benefits

Instant: Exceed customer KPIs in areas of on-time deliveries, invoice turnaround and error-free shipping

Seamless: Provide clients with a unified logistics experience regardless of local country conditions

Insightful: 300% increase in productivity for logistics operations and reduce errors by more than 10%

Solution

Pre-constructed processes based on sets of common activities that can be quickly customized for local needs

Business rules reduce complexity by managing rate structures, routing guides and carrier information

Back to Top 20

Odyssey Logistics