direct insurances product development procedures
TRANSCRIPT
Direct Insurances
Product Development Procedures
Direct Insurances –
Product Development
Procedures
> strength >>
> expertise
ANZ.801.098.0672
Direct Insurances
Product Development Procedures
Page 2 of 22
Table of Contents
1. INTRODUCTION ......................................................................................................................................... 5
1.1. PURPOSE OF THIS DOCUMENT ........................................................................................................... 5 1.2. ABOUT THIS PROCEDURE MANUAL ..................................................................................................... 5 1.3. PRODUCT DEVELOPMENT PROCESS - OVERVIEW .............................................................................. 5 1.4. PROJECT MANAGEMENT FRAMEWORK ................................................................................................ 5
2. PRODUCT DEVELOPMENT PROCESS ................................................................................................ 6
2.1. VARIATION TO THE STANDARD PROCESS ............................................................................................. 6 2.2. PROCESS - CONSIDERATIONS ............................................................................................................. 8 2.3. PRODUCT DEVELOPMENT PROCESS MAP (REFER TO APPENDIX 4.4 FOR CHECKLIST).................... 9 2.3.1. PRODUCT DESIGN ......................................................................................................................... 10 2.3.1.1. DEVELOP PRODUCT CONCEPT ..................................................................................................... 10 2.3.1.2. DEVELOP PRODUCT SPECIFICATION............................................................................................. 11 2.3.1.3. SEEK PROJECT FUNDING .............................................................................................................. 12 2.3.1.4. ASSESS PRODUCT RISK ................................................................................................................ 12 2.3.2. PRODUCT DEVELOPMENT ............................................................................................................. 14 2.3.2.1. DESIGN AND BUILD SYSTEMS ....................................................................................................... 14 2.3.2.2. DEVELOP MANDATORY DOCUMENTS ............................................................................................ 15 2.3.2.3. DEVELOP MARKETING DOCUMENTS ............................................................................................. 15 2.3.2.4. DESIGN AND PRINT ........................................................................................................................ 16 2.3.3. LAUNCH ......................................................................................................................................... 18 2.3.3.1. DISTRIBUTION ................................................................................................................................ 18 2.3.3.2. ROADSHOW/ TRAINING .................................................................................................................. 18 2.3.3.3. IT SYSTEMS RELEASE .................................................................................................................... 18 2.3.3.4. POST LAUNCH ................................................................................................................................ 18
3. GLOSSARY ............................................................................................................................................... 19
4. APPENDIX ................................................................................................................................................. 20
4.1. THE GENERIC PROJECT LIFECYCLE (GPL) ....................................................................................... 20 4.2. PRODUCT PRICING APPROVAL PROCESS (PPAP) GUIDE ................................................................ 22 4.3. PRODUCT DISCLOSURE STATEMENT ISSUE AND MAINTENANCE PROCESS ..................................... 22 4.4. PRODUCT DEVELOPMENT PROCESS – CHECK LIST .......................................................................... 23
ANZ.801.098.0673
Direct Insurances
Product Development Procedures
Page 3 of 22
Information Sheet Version Control
Version Author Date Changes
1.0 G.Bajpe/ T.Nelson/ P.Geeves
9/11/ 2009 Initial Draft
Various Amendments
Review and Sign-Off This Guide has been reviewed and signed off by the following persons: Name Position / Title Date
Direct Insurances Executive Team
Craig Harrison Head of product
Tony Nelson Senior Product Manager – CCI
Pip Geeves Senior Product Manager – Direct Life
Ganesh Bajpe Senior Product Manager – GI
Sonia Anand DI Risk and Compliance Manager Document Ownership The document owner, the Head of Product has responsibility for:
Maintaining / updating of this document
Document Review Timetable
This document will be reviewed and updated annually or earlier as required.
Updates to this Guide will follow requests from the business, as a result of industry, economic or market changes, or in response to changes in INGA strategy.
ANZ.801.098.0674
Direct Insurances
Product Development Procedures
Page 4 of 22
1. INTRODUCTION
1.1. Purpose Of This Document
The purpose of this document is to outline the Product Development Procedures (PDP) to be followed by Direct Insurances product management team for new and existing products.
The processes, models and procedures contained in this manual are to provide a guide for product development activities. This is a living document which will be updated from time to time, to reflect new and improved practices, changes in the market environment, ING Australia (INGA) organisational imperatives and changes in legislative requirements.
This document contains all the necessary steps and tools to develop and enhance products and covers Direct Sold Life, General Insurance and Consumer Credit Insurance Products.
1.2. About This Procedure Manual
This manual should be read and adhered to by all product managers within Direct Insurances and cross functional teams involved in product development initiatives. This manual will be reviewed and updated periodically to ensure it reflects the most efficient work practices.
The sequence of tasks can vary from project to project and, in the interests of brevity, a streamlined approach has been taken in documenting most activities. In certain situation some of the activities may be undertaken in parallel depending on the project approach. Repetitive tasks generally have only been covered once.
For example, planning is an on-going activity which occurs from start to finish in every project, with updates to project management plans, project schedules, Cost Benefit Analysis, communications etc. Likewise, status reports are required fortnightly for identified projects.
1.3. Product Development Process - Overview
The diagram on the following pages provides an overview of Product Development Process and key activities / milestones in the development of Direct Insurances products. The product development process documented here is applicable to all product development activities within the Direct Insurances business unit.
Whilst an attempt has been made to capture the correct sequence of tasks, the sequence may vary from project to project, depending on special prevailing circumstances. These are explained further in later sections of the document.
1.4. Project Management Framework
This manual contains links and references to the Project Management Framework. This framework is a business focused subset of the Generic Project Lifecycle (GPL), the project management methodology used throughout INGA.
GPL templates have been referenced throughout this manual, as these are required deliverables as part of the product development process.
All projects requiring involvement by IT must use certain templates conforming to GPL standards and all these procedures have been structured accordingly. An overview of the PMF is provided in Appendix 4.1.
ANZ.801.098.0675
Direct Insurances
Product Development Procedures
Page 5 of 22
2. Product Development Process
2.1. Variation to the standard process
The nature of product development falls into the following broad categories:
1. New product development,
2. Significant change or enhancement to existing products, and
3. Cloning an existing product that is, white labeling existing products. This may also include some non-material product changes.
Generally the activities listed in the process are common across all products and product development categories listed above with varying degree of work effort for certain activities depending on the nature of the development. For example, the process of product concept development and approval may involve significant amount effort for new products but may not be the case for simple product changes.
The variation to the process will arise with respect to the following approval process:
Approval of product concept and changes – Direct Insurances Executive Team (DIET) versus Project Governance Board
Approval of project funding - Direct Insurances Executive Team (DIET) versus Project Governance Board
Approval of product by pricing committee – ALCO approval, Product Approval Report, Product Pricing Memo, Product Risk Assessment and PDS verification
The nature of product development falls into 3 generic categories:
1. New product
A ‘new" product is a product that is not currently offered by either by ING or ANZ brand. The ’new’ product is subject to the full Product Pricing Approval Process (PPAP), which will require compliance with the INGA Generic Project Lifecycle methodology for project management, a Product Approval Report (PAR) and a Product Risk Assessment (PRA) to be completed.
Note: For a non-INGA manufactured product a Product Pricing Memo (PPM) and a Product Risk Assessment is to be completed.
2. Changes to existing product
Where an existing product has an update to features or benefits, or pricing (for example), there is a requirement for some level of development and approval, but generally this does not require a full project lifecycle or full approval.
If an existing product has had a Product Approval Report (PAR) and a Product Risk Assessment (PRA) previously completed, and a ‘new’ product feature is being added (for example full building replacement cover added to the existing Home Insurance product) then a Product Pricing Memo (PPM) and a Product Risk Assessment (PRA) are to be completed.
Price reviews:
Where a product has not had a PPAP and the product is being re-priced then a PAR and Product Risk Assessment (PRA) are required.
ANZ.801.098.0676
Direct Insurances
Product Development Procedures
Page 6 of 22
Where a product has been subject to a PPAP process before (i.e. PAR and PRA), then there is no need to complete the full PPAP documentation for each price change, provided that there is no material change in the product design, conditions or administration. A Product Pricing Memo (PPM) is required.
3. Cloned or cloning of product Changes within the agreed framework of a product fall into this category. An example is where a specific product offer has limited maximum sum insured benefits offered to customers. A product name change may also fall into this development aspect. White labeling an existing product for a specific distribution channel with no change to the product features and benefits would be another example.
Where there are non-material changes in product design, conditions or administration (e.g. re-branding) then a Product Pricing Memo (PPM) is to be completed.
Otherwise the changes are to be subject to the full PPAP process (i.e. PAR and PRA) unless PRA and PAR already exist for these products in which case they do not need to be completed .
The Chief Actuary will make the determination if the planned changes are of a non-material nature or not.
Note: Where an existing product is replicated (i.e. cloned) and the features, pricing etc., are altered, then the Chief Actuary will determine if these changes constitute a material change.
Regardless of the type of change, all product developments do require some level of approval, as well as a risk management and due diligence framework. The table below illustrates the approvals required for each type of development:
A. New Product
B. Changes to existing product
• Features
• Price
• Re-insurance
C. Cloned or Cloning of product
• New name
• New issue date
• Small ancillary benefits
• DIET product approval
• PGB approval if >$500k
• ALCO approval (PPAP)
• PRA
• PAR
• PDS Verification – Legal & RM
• DIET product approval & BAU funded
• Product Pricing Memo (if PRA, PAR exist)
• PR, if no prior PRA exists
• PAR if no prior PAR exists
• PDS Verification – Legal & RM
• DIET product approval & BAU funded
• Product Pricing Memo (if PRA, PAR exist)
• PR, if no prior PRA exists
• PAR if no prior PAR exists
• PDS Verification – Legal & RM
Material changes
Non-material changes
Existing parameters (within existing pricing,
communications or
feature boundaries)
Minor enhancements (small ancillary benefits
Or promotional offers)
Chief actuary
decision
ANZ.801.098.0677
Direct Insurances
Product Development Procedures
Page 7 of 22
2.2. Process - Considerations
The following points to be noted in relation to the process activities listed in the process map:
Activities being performed simultaneously: Some of the streams of work may be performed in parallel, for example, Development of Mandatory and Marketing Documents; commencement of systems design while the details of product specification are being finalised.
Variation to the sequential order of tasks: Some of the process tasks may not follow the same sequential order indicated in process map depending on the project circumstances. For example, Product Risk Assessment may be preformed after the Design and Build Systems activity. Whilst an attempt will be made to capture the correct sequence of tasks, the sequence may vary from project to project, depending on special prevailing circumstances.
Variation to tasks: The tasks and their details may vary depending on the product, the nature of product development, the distribution channels impacted and the business entities involved (includes distribution and insurance partners). These requirements will be determined as part of the project management activity.
Stakeholder engagement:
o Stakeholders from all impacted areas need to be considered for engagement in the product development process (product, service/operations, marketing, IT, legal, compliance, underwriting, re-insurance, corporate finance, corporate communications, sales, distribution partners, insurance partners and the Executive Board).
o The key stakeholders and the process of engaging these stakeholders may vary depending on the product, the nature of product development, the distribution channels impacted and the business entities involved (includes distribution and insurance partners). These requirements will be determined as part of the project management activity.
o Stakeholders from Underwriting and Legal/Compliance will need to be engaged in all types of product development activities.
Approval process: The product development process is underpinned by the following guidelines for effective project risk management
o The Generic Project Lifecycle (See Appendix 4.1): The Generic Project Lifecycle (GPL) is INGA's methodology for managing projects.
o This Product Pricing Approval Process Guide (See Appendix 4.2): The Product Pricing Approval Process (PPAP) guide provides an oversight of elements relevant to the pricing, financial and risk analysis process.
o Product Disclosure Statement (PDS) Issue and Maintenance Process (See Appendix 4.3): This Policy sets out INGA’s requirements for issuing, publishing and on-going use of the PDS for all Financial Products offered by INGA or any of its subsidiaries.
ANZ.801.098.0678
Direct Insurances
Product Development Procedures
{ FILENAME \p }R:\Moonraker\2009 Plan\Product development process\PDP document\Product Development Procedures_9 Nov 09.doc Page 8 of 22
Field Code Changed
2.3. Product Development Process Map (Refer to Appendix 4.4 for checklist)
Develop Product
Concept
Seek Project
Funding
Generate Idea Conduct Feasibility Study Seek Input from key stakeholders – Underwriters, distribution, Customer Service, technology, Legal & Compliance, Reinsurers Seek Input from Partners (External Underwriters / Distributors) Prepare Concept Brief (Incl. High Level Product / Business Specifications and Governance Model) Prepare DIET Submission Stakeholder approval
Prepare Project Initiative Brief Est. IT and Business Costs (Level 1 Est.) Final Business Requirements Refine IT & Business Costs & develop solution design (Level 3 Est.) Prepare CBA (Cost Benefit Analysis) Develop Project Plan Prepare DIET or PGB (if costs is > $500k) Submission Stakeholder Approval
Design
Define Marketing Documents (Training, Underwriting manuals,Sales Brochures, Scripting, Customer Comm’s, Campaign Material, Web Content) Develop Content for Marketing Documents Distribute Marketing Documents for Stakeholder Review and Comments Update Marketing Documents Stakeholder Approval
Define Product Features / Benefits & policy T&C Establish Underwriting Requirements Establish Pricing & Reinsurance Models Establish marketing & training requirements (incl updates to underwriting manuals) Prepare Business requirements
Stakeholder approval
Define Requirements for Offer Documents (PDA and Fulfilment Documents) Develop Content for Offer Documents Prepare Stakeholder Verification Form Distribute Offer Documents for Stakeholder Review and Comments Update Offer Documents Stakeholder Approval
Develop “Proof” Version of Offer and Marketing Documents Stakeholder Review & Sign-off Complete Stakeholder Verification Form (PDS Only) (& Quarterly Assurance Report to the Board) BU Executive Director approval Print Upload to Intranet & Internet
Product Concept Approved
Product Specification
Approved Mandatory Documents
Signed Off
Marketing Documents Signed off
Documents approved &
printed
Product Launched
Funding Approved
Develop Product
Specification
Develop
Mandatory Docs
Develop Marketing
Documents
Design &
Development Launch
May be performed in parallel
Despatch to Distribution Points Conduct Road Show Deliver Training Release IT systems into production Complete systems Post Verification Testing Sign off by product manager Lodge in-use notice with ASIC File all documentation
Distribute &
Launch
Design & Build Systems
Prepare detailed functional specification (both for POS and mainframe) Develop detailed technical design Develop test strategy and plan Build Systems Perform testing – Unit, Systems and UAT Sign off by product manager Production support handover
IT Systems build completed
Establish product approval requirements Determine approving authorities (BU-ED, pricing committee, ALCO, Board) Complete product approval documentation
PPM – Prod Pricing Memo
PAR - Prod Approval Report
PRA - Prod Risk Assessment
Submit documentation Stakeholder Approval
Assess
Product risk
Risk assessed & Product
approved
LEGEND: Approvals
ANZ.801.098.0679
Direct Insurances
Product Development Procedures
{ FILENAME \p }R:\Moonraker\2009 Plan\Product development process\PDP document\Product Development Procedures_12 Nov 09.doc Page 9 of 22
Field Code Changed
2.3.1. Product Design
The Product Design function encompasses key activities of Product Concept, Project Funding and Product Specification Approval which is critical in the development of new and existing products.
Set out below are the key sub activities and suggested topics that should be covered and included in presentations to key stakeholders (Including DIET, Direct Insurances Executive Team) in order to make informed decision whether to proceed with the development of new and existing products.
2.3.1.1. Develop Product Concept
The following key topics to be considered (as appropriate) in the preparation of concept brief:
Business situation and challenge
o Market/industry trends
o Customer requirements / demands
o Competitor activity
o Legislative requirements
o Financial performance
o Profit hurdles
o New Business Premium and Policies
o Retention
o Claims and underwriting experience
New product concept or proposed enhancements
Feasibility
o Product pricing
o Claims and underwriting
o Distribution
o Financial performance (as outlined above)
o Customer service and operations
o Marketing communications
o Technology implications
o Competitive position
o Compliance and risk management
Project governance
o High level implementation plan/approach
o Project organisation
o Key issues and risks
o Resourcing
Engage key stakeholders from product and underwriting (including underwriting partners), distribution, customer service and operations, technology, legal and compliance, and reinsurers.
ANZ.801.098.0680
Direct Insurances
Product Development Procedures
{ FILENAME \p }R:\Moonraker\2009 Plan\Product development process\PDP document\Product Development Procedures_12 Nov 09.doc Page 10 of 22
Field Code Changed
2.3.1.2. Develop Product Specification
Key areas to be considered (as appropriate for the project):
Product or enhancement description
Strategic Fit
Scope of change
Key Areas of Risk
Commercial Analysis
Economic Environment
Competitors
Target Market
Distribution Strategy (Incl. IT)
Sales
Service
Claims
Support
Marketing
Communication to stakeholders – internal and external
Product
Product Features / Benefits / Exclusions
Pricing
Reinsurance
Commission Structure
Branding
Profit Sensitivity Analysis
Business Requirements:
ANZ.801.098.0681
Direct Insurances
Product Development Procedures
{ FILENAME \p }R:\Moonraker\2009 Plan\Product development process\PDP document\Product Development Procedures_12 Nov 09.doc Page 11 of 22
Field Code Changed
2.3.1.3. Seek Project Funding
The business requirements document will be distributed to all business areas impacted by the project to enable them to plan for the development phase, including:
IT – detailed analysis of the requirements to develop work effort estimates. This may require convening workshops as necessary to obtain business responses to technical design issues etc. to help with the development of functional specifications.
Underwriter/distributor system – similar analysis of the product specification, usually in conjunction with IT to assess the various business impact areas eg. systems, procedures, training and customer service, within their particular operational areas.
Product will engage with key stakeholder groups to initiate the necessary sub-projects within each of the affected business units, to successfully deliver the project end to end.
Stakeholder areas will be requested to provide product with key milestones for their sub-projects and to attend regular project meetings to report and review progress.
Sample documents/ templates:
Project or Concept Brief:
Business Requirements Document: At this stage of the process the business requirements document needs to include key requirements but not the complete detailed requirements. (See Develop Product Specification for template)
Cost Benefit Analysis
2.3.1.4. Assess Product Risk
The outcome of product risk assessment is the approval of product by the relevant approving authorities. This product risk assessment and approval process may take a number of different forms, depending on the nature of the product development. The guidelines provided by INGA’s Product Pricing Approval Process will be followed (See Appendix 2).
The Product Pricing Approval Process (PPAP) guide provides an oversight of elements relevant to the pricing, financial and risk analysis process. In situations where this Guide does not provide specific guidance, the Chief Actuary will provide that guidance. The PPAP is aimed at improving the management of INGA product portfolio by ensuring:
o Clarity in task ownership and transparency
o Compliance with regulatory requirements
o Consultation with relevant subject matter experts
o Understanding of the related processes by stakeholders
o Identification of dependencies and related constraints
o Alignment of product initiatives with the overall INGA strategy
ANZ.801.098.0682
Direct Insurances
Product Development Procedures
{ FILENAME \p }R:\Moonraker\2009 Plan\Product development process\PDP document\Product Development Procedures_12 Nov 09.doc Page 12 of 22
Field Code Changed
o Product pricing meets INGA hurdle rates (i.e. minimum return on investment)
o Mitigation of risks from inadequate internal processes, people and systems or from external events
o Timely introduction of new products and modification of existing products
Product Risk Assessment (PRA) template
Product Approval Report (PAR) template:
Formatted: Default Paragraph Font
ANZ.801.098.0683
Direct Insurances
Product Development Procedures
{ FILENAME \p }R:\Moonraker\2009 Plan\Product development process\PDP document\Product Development Procedures_12 Nov 09.doc Page 13 of 22
Field Code Changed
2.3.2. Product Development
The Product Development function encompasses key sub activities of Design and Build Systems, Develop Mandatory Documents, Develop Marketing Documents, Design and Print and Risk Assessment in the development of new or existing products.
Set out below are the key sub functions and the topics that should be covered and included in presentations to key stakeholders (Incl. DIET) in order to make informed decision whether to proceed with the development of new and existing products.
2.3.2.1. Design and Build Systems
This activity focuses on the design and build of IT systems and INGA project management and systems delivery methodology will be adopted. The delivery of systems is a key driver for planning a product release. At times, IT systems design may run parallel with product specifications development.
The key activities to meet project milestones are:
Precursor activities to execution
Completion and signoff of business requirements
Development of solution design
Final cost estimate
Fit to release schedules & compatibility review
Resource availability and planning
Activities within the execution phase
Preparation of detailed functional requirements, an output of business process and systems analysis based on the product specification
Develop technical/solution design
Develop test strategy and plan
Build systems (both point of sale and mainframe)
Perform testing – unit test, systems test and UAT (and load\performance if required)
Product support handover once the system is successfully delivered.
Functional Requirements (template):
Solution design: (template)
Test strategy and plan (template):
ANZ.801.098.0684
Direct Insurances
Product Development Procedures
{ FILENAME \p }R:\Moonraker\2009 Plan\Product development process\PDP document\Product Development Procedures_12 Nov 09.doc Page 14 of 22
Field Code Changed
2.3.2.2. Develop Mandatory Documents
In the development of existing or new products key consideration should be given to the changes or development of the following documents;
Product Disclosure Statement
Supplementary PDS
Policy Document
Financial Services Guide
Quotes
Welcome letters
Policy schedules (Certificate of insurance)
Endorsements
Cancellation / Lapse
Statement of Advice
Claims Form
Direct Debit Authority
Application Form
Renewal letters
In this step, the deliverable is the development of the product content for mandatory documents and getting approval by stakeholders. Product content development involves creating the content in a word document (in the case of a new product) or marking up the changes on the existing document. The approach will be agreed in consultation with marketing (design team) and relevant stakeholders. Once the content is signed off, the documents are handed over to Marketing (Design) for design and development of the artwork.
2.3.2.3. Develop Marketing Documents
In the development of existing or new products key consideration should be given to marketing materials required, in consultation with the Marketing Team.
Consideration should be given to the type of documents listed below the development of existing or new products in order to identify whether they are required to be developed or changes need to be made to existing material.
Customer Product Brochures
Multi-product brochures – eg. Insurance omnibus or Credit Card brochure
Web content (Internet and Intranet)
Visual display materials - eg. Posters, web banners
FAQs
Sales and customer service scripts
Training modules - eg. eTrain, INSURE program
Staff guides - eg. quick reference guides, FAQs, Staff briefing documents
Marketing will manage the creation of marketing documents and are responsible for gaining sign off of document content with the following stakeholders. The stakeholders would be determined depending on the nature of the project and which entities would be impacted.
Phase 1
ANZ.801.098.0685
Direct Insurances
Product Development Procedures
{ FILENAME \p }R:\Moonraker\2009 Plan\Product development process\PDP document\Product Development Procedures_12 Nov 09.doc Page 15 of 22
Field Code Changed
ING Product Managers
ING Legal
Claims or customer service department where required
ANZ (one ANZ sign-off is to be received by ING. ANZ marketing is to ensure that this includes ANZ Product, Legal and marketing sign-off)
Brand
Phase 2
QBE (one QBE sign-off is to be received by ING. QBE account manager is to ensure that this includes QBE Product, Legal and marketing sign-off)
BUPA or other external organizations as needed. (The point of contact within the organization is to ensure that this includes QBE Product, Legal and marketing sign-off)
As a general rule, once sign-off of content has been achieved no further content changes would be made.
2.3.2.4. Design and Print
Once mandatory document and marketing content has been approved, marketing will then manage design and print as required.
Key marketing tasks include:
Developing the design proof
Managing stakeholder review and feedback on first design proof
Developing proof and ensuring necessary changes are made
Ensuring Product Management team have completed Stakeholder Verification Form if the document is a PDS
Managing sign-off on final proof for Print, including gaining brand approval using
o Brand approval signoff form
o Direct Insurance Compliance authorisation form
Managing printing of document. Best practice allow 7 days for printing
Managing distribution of document. Best practice allow at-least 2 weeks for distribution
Key Product Management tasks include:
Use the stakeholder verification form to ensure that all stakeholders have reviewed appropriate sections and provided their approval on. INGA’s “Product Disclosure Statement – issue and maintenance process” will be the basis for content verification and approval.
Ensure CARM sign off prior to ED approval; once ED has approved then send documents to print
Completing Product risk assessment
Print sign off:
ANZ.801.098.0686
Direct Insurances
Product Development Procedures
{ FILENAME \p }R:\Moonraker\2009 Plan\Product development process\PDP document\Product Development Procedures_12 Nov 09.doc Page 16 of 22
Field Code Changed
PDS verification:
Product Disclosure Statement (PDS) Issue and Maintenance Process (See Appendix 3): This Policy sets out INGA’s requirements for issuing, publishing and on-going use of the PDS for all Financial Products offered by INGA or any of its subsidiaries.
Key tasks include:
Define requirements for offer documents - Structure/format of the PDS and organisation of content
Determine key stakeholders to be engaged – Legal, compliance (CARM), product, distribution (branches, call centre), design, brand, corporate communications, printers and mail house
Assign responsibilities for review
Review and confirm the content and /or changes with Product
Develop a project schedule for document design, printing and mailing
Develop the artwork (“proof version”) of the documents
Review and proof read the documents – ensure that they are of the required standard and quality
Engage stakeholders to review and approve the artwork
Use the stakeholder verification form to ensure that all stakeholders have reviewed appropriate sections and provided their approval as per the guidelines outlined in the INGA’s “Product Disclosure Statement – issue and maintenance process”
Obtain approval from CARM
Obtain ED approval
Go to print
Review printed documents
Send copies of the documents to key stakeholders
Liaise with key business stakeholders to arrange for documents to be uploaded to the Intranet / Internet as required.
ANZ.801.098.0687
Direct Insurances
Product Development Procedures
{ FILENAME \p }R:\Moonraker\2009 Plan\Product development process\PDP document\Product Development Procedures_12 Nov 09.doc Page 17 of 22
Field Code Changed
2.3.3. Launch
2.3.3.1. Distribution
Marketing team to distribute mandatory documents and marketing documents to the appropriate channels (Stream, POS systems, distributor’s web sites or distributors’ intranet site).
2.3.3.2. Roadshow/ Training
Deliver roadshows - key stakeholder communication, executive briefing, BDM communication
Deliver training – BDM training, call centre training, test run call centre scripts
Training may involve presentations and / or system demonstrations
2.3.3.3. IT systems release
Release all systems changes into production
Conduct Production Verification Testing – appropriate business stakeholders to test and approve
2.3.3.4. Post launch
Brief key business stakeholders on the launch – executives, board
Lodge In-Use notice with ASIC
Retain and file all documents (during product development/approval, final PDS/Policy document, signed verification form, ED approval and a copy of in-use notice lodgement) in due-diligence file
ANZ.801.098.0688
Direct Insurances
Product Development Procedures
{ FILENAME \p }R:\Moonraker\2009 Plan\Product development process\PDP document\Product Development Procedures_12 Nov 09.doc Page 18 of 22
Field Code Changed
3. GLOSSARY
ACRONYM DESCRIPTION
ALCO
Asset & Liability Committee The ALCO provides ownership, accountability, monitoring and transparency around product pricing, investment risk and investment performance.
BAU Business As Usual; For funding purposes, BAU refers to the business unit’s opex budget.
CARM Compliance & Risk Management
CBA Cost Benefit Analysis for the project.
DIET
Direct Insurances Executive Team Comprises the Direct Insurances Business Unit’s Executive Director and their direct reports (functional heads and other direct reports)
GPL Generic Project Lifecycle This is INGA’s methodology for managing projects.
PAR
Product Approval Report This report is an outcome of the Product Pricing Approval Process. The Product Approval Report documents the PPAP outcomes. The Product Approval Report inclusions are intended to be the minimum requirement and further information is to be provided if relevant. The Chief Actuary may specify additional documentation where appropriate. A Product Approval Report template has been created as a guide for the minimum requirements.
PDS Product Disclosure Statements
PDP Product Development Procedures, the title of this document.
PGB Project Governance Board; INGA executive board that reviews and approves any project spending over $500k.
PPAP
Product Pricing Approval Process The Product Pricing Approval Process (PPAP) guide provides an oversight of elements relevant to the pricing, financial and risk analysis process.
PPM Product Pricing Memo. The PPM provides minimum details of the product (e.g. product profitability, pricing assumptions, key dependencies, risks, etc.).
PRA Product Risk Assessment The PRA documents the key risks for the product. The outcome of the PRA is included in the PAR or PPM.
ANZ.801.098.0689
Direct Insurances
Product Development Procedures
{ FILENAME \p }R:\Moonraker\2009 Plan\Product development process\PDP document\Product Development Procedures_12 Nov 09.doc Page 19 of 22
Field Code Changed
4. Appendix
4.1. The Generic Project Lifecycle (GPL)
The Generic Project Lifecycle (GPL) is INGA's methodology for managing projects. The use of GPL is mandatory for IT and strategic projects. It can be applied to internal business projects as appropriate.
ANZ.801.098.0690
Direct Insurances
Product Development Procedures
{ FILENAME \p }R:\Moonraker\2009 Plan\Product development process\PDP document\Product Development Procedures_12 Nov 09.doc Page 20 of 22
Field Code Changed
Project Management Framework:
(P3)
Definition\ Approval & Planning
(P4) Development (Design, Build, Test)
(P6)
Project Close
(P5)
Implement
(P1)
Idea
(P2)
Concept
Project Overview Approval by DIET to proceed with Definition phase
Submit Bus case/CBA to IT Project Office & Obtain IT Approval
Assess Needs – Procedures, Training & Non- Mandatory Documents
Develop User Procedure and Training Manuals
Complete & Initiative brief with Business Engagement, Obtain Level 1 cost estimate
Engage Stakeholders [ Rules of Engagement ]
Complete BR Secure PM
Detailed Project Plans
Review Project, Implementation Plans, Risks, Issues
Initiative Brief & Level 1 Estimate Approval by DIET
Initiate Project – Schedule, Communication & Quality Plan, Issues & Risks
Final Estimate & Solution design Secure resources & do compatibility review
Develop Detailed Test Cases, Communication Tools
Start CBA, Business Case & Updated estimates
Design and Develop PDS & Mandatory Documents
Develop Functional Specifications Define User Test Plans, Secure Resources
Conduct Post Implementation Review (PIR)
Review Project, Implementation Plans, Risks, Issues
Prepare Lessons Learned Report
Publish & Store Project Documentation
Release Project Resources, Close Project
Deliver User Training, Procedures, Product Information
Implement Solution & warranty period
Provide Post Implementation Support
Start Detailed Business Requirements / Product Specifications
High Level Business Requirements / Product Specifications
Feasibility, Strategy & Product Review, Business Case Approval
Establish Project Governance – Biz Project Manager & Sponsor
Conduct Project Kick-off Meeting
Project Delivery Plan, including Business Operational Support Needs
Define User Test Strategy and Scenarios, Test Cases & Data Needs
Perform UAT, Validate Procedures & User Training
Finalise Procedures & Training Docs, Sign-off Solution
Transfer Ownership To Business Operations & IT Production Support
Review Delivery of Business Benefits
Direct Insurances - Project Management Framework
On-Going Status/Phase Reports, Issues Logs, Risk Logs, Meeting Agendas, Minutes
Management Approval / Decision Points. Some activities may not be necessary in all instances and may be skipped.
ANZ.801.098.0691
Direct Insurances
Product Development Procedures
{ FILENAME \p }R:\Moonraker\2009 Plan\Product development process\PDP document\Product Development Procedures_12 Nov 09.doc Page 21 of 22
Field Code Changed
4.2. Product Pricing Approval Process (PPAP) Guide
4.3. Product Disclosure Statement Issue and Maintenance Process
ANZ.801.098.0692
Direct Insurances
Product Development Procedures
{ FILENAME \p }R:\Moonraker\2009 Plan\Product development process\PDP document\Product Development Procedures_12 Nov 09.doc Page 22 of 22
Field Code Changed
4.4. Product Development Process – CHECK LIST
Process step Deliverable Approving stakeholders
Completion date
Develop product concept Product concept paper
DIET, Distribution partners, Underwriters
Develop product specification Business Requirements Specification
Seek project funding Project brief
DIET for <$500k PGB for >$500k
IT Cost estimates (Level 1 & 3)
Project CBA
Project Plan
Assess product risk Product Risk Assessment (PRA)
Product Approval Report (PAR)
Product Pricing Memo (PPM)
Design and build systems Functional Requirements Specification
Solution design
Test strategy and plan
UAT completed Product Manager, Project Manager, …
Handover to production support
Develop mandatory documents
Signed off product content in the form of: * Word document OR * Changes marked up in existing pdf versions
Develop marketing documents
Signed off content for marketing collateral in the form of: * Word document OR * Changes marked up in existing pdf versions
Design and print Proof version of all mandatory and marketing documents
Signed off PDS verification form
BU ED approval BU ED and Board
Printed documents
Documents uploaded to websites
Distribution Despatch to branches, call centres, and copies to stakeholders
Training materials - presentations, manuals, scripts, training systems (eTrain, eProtect)
Product Manager, underwriters, Legal/Compliance, Distribution, Training Manager
Deliver training
Launch IT systems in production & PVT Product Manager, …
Lodge in-use notice with ASIC
Product Manager or authorised representative
File documentation Product Manager
ANZ.801.098.0693