Humana S.A. delights customers with improved service

IBM WebSphere software helps enable collaboration and process transformation

Published on 12 Dec 2012

"With BPM, we could participate in the transformation of Humana, from working in silos to working in processes that extend throughout the organization." - Marco Puente, chief information officer, Humana S.A.

Customer:
Humana S.A.

Industry:
Insurance

Deployment country:
Ecuador

IBM Business partner:
BAYTEQ Cia. Ltda.

Overview

Established in Quito, Ecuador, in 1994, Humana S.A. is the second-largest health insurance company in the country, with USD45 million in annual revenue, 240 employees and 250,000 customers nationwide.

Business need:
Humana S.A. wanted to improve efficiency by streamlining its processes and better integrating its systems.

Solution:
Humana implemented IBM® Business Process Manager and IBM WebSphere® Enterprise Service Bus software to transform its processes and integrate its systems.

Benefits:
According to a survey, Humana customers now have a more favorable perception of the company’s services and are 20 percent more willing to recommend the company to others.

Case Study

Established in Quito, Ecuador, in 1994, Humana S.A. is the second-largest health insurance company in the country, with USD45 million in annual revenue, 240 employees and 250,000 customers nationwide.

Addressing issues caused by lack of integration

Like many companies in the insurance industry, Humana wanted to improve efficiency by streamlining its processes. However, the company’s existing IT systems were a hindrance to this goal, rather than a help. One of the main issues was that the company actually had two primary systems: one to perform business transactions and the other to perform administrative, financial and accounting functions. But because these systems were not integrated, the company had difficulty gaining the insight it needed to make effective business decisions. “The systems did not allow the organization to function and execute processes,” says Marco Puente, chief information officer, Humana. “The systems did not offer sufficient information to help make timely decisions or to evaluate how the organization was doing.” Further, using the existing systems, employees were mired in manual tasks, such as sorting paperwork, preparing reports and looking for documents. “We wanted to have the technology available that would improve the employees’ quality of life,” says Puente.

Transforming the entire organization through process management

Humana invested significant time and resources before choosing a new solution. “We dedicated considerable time to understand, discuss and define the needs for the operations of the organization and the needs expressed by the customers of Humana so we could focus on the tools that would effectively allow the execution of that strategy,” says Puente. After considering the available solutions, Humana worked with IBM Business Partner BAYTEQ Cia. Ltda. to implement IBM Business Process Manager and IBM WebSphere Enterprise Service Bus software to transform its processes and integrate its systems.

Using Business Process Manager software, Humana was able to model its processes and begin transforming the organization into a more cohesive whole. “With BPM,” says Puente, “we could participate in the transformation of Humana, from working in silos to working in processes that extend throughout the organization, delivering services to the client, working on these processes as a team and delivering the results to the client.” Business Process Manager software helped enable Humana to tailor its applications to meet employee needs. “IBM BPM also enabled us to design the application: the screens, the controls, the system validation,” says Puente. “And during the execution of this job, it also allowed all of us, with the whole team, to design the screens, how the user wanted to view the screen, how the individual needed to have the information displayed on the screen during the execution of the process.”

Business Process Manager software helped facilitate greater collaboration among Humana teams and gave the company better insight into its processes than it ever had in the past. “When the process was designed, we could upload it, we could model it in IBM BPM and in a graphic tool that enabled us to place each of the steps and each of the roles of the individuals involved in the process,” says Puente. “It was very interesting to have this process and the steps involved visible on a tool that is available to everyone.”

To better integrate its systems, Humana used WebSphere Enterprise Service Bus software. The application integrates the company’s two primary systems, linking business transactions with the administrative, financial and accounting system.

Streamlining employee workloads and gaining visibility

Business Process Manager software helps guide employees through business transaction processes, relieving them of some manual tasks previously required. The WebSphere Enterprise Service Bus application captures all the information that is created as the process is executed and delivers it to the company’s administrative, financial and accounting system. Business Process Manager software also tracks employee and team performance, allowing the company to continuously make process improvements. “So people know their performance and they can make the necessary corrections to the processes to continue improving the level of service each time,” says Puente. “This has been a very powerful tool that has helped us to increase our ability to react and better solve the problems that our clients present to us.”

Improving the customer experience

After implementing the IBM solution, Humana engaged a research organization to analyze its customers’ perception of the new solution. “A marketing research company provided us information indicating that Humana has shown an improvement of 7 percentage points in clients’ perception of our services and the relationship of cost versus value that Humana offers them,” says Puente. In addition, the research showed that the company’s existing customers are now 20 percent more willing to recommend Humana to others and 9 percent more willing to purchase products again.

Humana credits the improvements to a cultural shift that the IBM solution helped enable and support. “It happened because we broke the barriers and because our people shared an organizational culture that was open to change, and they were self-motivated. It also happened because the processes were supported by a technological tool like IBM BPM,” says Puente.

For more information

To learn more about IBM WebSphere software, please contact your IBM representative or IBM Business Partner, or visit the following website: ibm.com/websphere

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To read this case study in Spanish, please click here:

http://www.ibm.com/common/ssi/cgi-bin/ssialias?subtype=AB∈fotype=PM≈pname=SWGE_WS_BU_COES&htmlfid=WSC14450COES&attachment=WSC14450COES.PDF

Components

IBM products and services that were used in this case study.

Software:
WebSphere Enterprise Service Bus, IBM Business Process Manager Standard

Legal Information

© Copyright IBM Corporation 2012 IBM Corporation Software Group Route 100 Somers, NY 10589 Produced in the United States of America December 2012 IBM, the IBM logo, ibm.com, and WebSphere are trademarks of International Business Machines Corp., registered in many jurisdictions worldwide. Other product and service names might be trademarks of IBM or other companies. A current list of IBM trademarks is available on the web at “Copyright and trademark information” at ibm.com/legal/copytrade.shtml This document is current as of the initial date of publication and may be changed by IBM at any time. Not all offerings are available in every country in which IBM operates. The performance data and client examples cited are presented for illustrative purposes only. Actual performance results may vary depending on specific configurations and operating conditions. THE INFORMATION IN THIS DOCUMENT IS PROVIDED “AS IS” WITHOUT ANY WARRANTY, EXPRESS OR IMPLIED, INCLUDING WITHOUT ANY WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE AND ANY WARRANTY OR CONDITION OF NON-INFRINGEMENT. IBM products are warranted according to the terms and conditions of the agreements under which they are provided.