Insurance and financial services firms are making great progress on their digital transformation journeys, particularly as it relates to online transactions and transactional forms. The combination of new generation tool implementations combined with redesigned data collection experiences that change dynamically based on the data you provide are opening new digital and self-service opportunities. Unfortunately not all clients and delivery channels are ready to embrace fully digital models, so we live in a hybrid environment that strives to balance the new and the older methods of opening accounts or servicing clients. This hybrid situation poses unique challenges.
The Level of Straight Through Processing You Can Achieve Matters
The most prominent potential design issue relates to the level of straight through processing you’re able to achieve. If you’re able to capture and process the data collected in a straight through fashion, bypassing traditional ingestion and capture operations, then you’re free to design the digital interaction in any way that works for your customer and you. However; if the data collected still must be submitted for processing via a printed or electronic form, then your capture software capabilities have to be considered in addition to the front-end experience.
Dynamic forms that function similarly to the well-known Turbo Tax type of experience offer a desirable user experience, but a tradeoff comes in backend processing when traditional classification and data extraction processes are required. Most software still must do document identification and specific field mapping to know where the data fields are that potentially contain data for extraction. These solutions just don’t respond well to the presence of 2-3 additional form subsections or the elimination of un-needed form sections (dynamic forms). So, if the size or number of form sections varies depending on the data entered, then those forms will often be thrown into the NIGO queue (Not In Good Order). We know from experience that NIGO items can take days or even weeks longer for processing completion and cost an average of $25-$60 per NIGO item.
Conflicts Can Be Avoided With Proper Planning
So, is this another case of legacy processing constraints, inhibiting progress and user experience? It doesn’t have to be, but you do have to have a plan. Follow this 3-point plan to ensure you don’t foul the backend processing, drive up costs or cause extended delays, and still achieve your objectives for user experience.
- Assess opportunities for STP (straight through processing), identify the high value, high volume transactions that likely provide a positive business case and can bypass capture processing completely.
- Ensure experience and forms design teams include back office processing or capture center analysts in planning dynamic forms design changes.
- Consider emerging AI-based capture tools for backend processing of variably structured form.