The Insider's Guide to Next-Generation BPM
By Steven Minsky, CEO and Founder, LogicManager Inc. , 06/24/2005
Print this article
Email this article
Talk Back!
Write to Editor
The effort to keep up with an onslaught of compliance and regulatory requirements is swamping insurance firms, causing them to put important operational issues on the back burner, sometimes to the detriment of the business, according to senior executives attending the recent LOMA/ACORD Insurance Forum and the Risk Insurance Management Society (RIMS) annual conference.
“The regulatory environment has increased 10 times versus 3 years ago,” said Chuck McCaig, CIO of Chubb Insurance “Regulations are being passed and implemented state by state as well as federally, which means insurance firms have to manage their people and systems horizontally and vertically. It’s incredibly complex.”
With the threat of punitive action hanging like the Sword of Damocles over their heads, the insurance industry has poured time, money and resources into compliance initiatives. But progress has been painfully slow, Sarbanes-Oxley deadlines have been pushed back, and errors and abuses are still occurring.
Why isn’t it working? The reason, experts say, is that businesses are tackling the regulatory challenge incorrectly. The wrong people are driving the process, key groups within the organizations are being excluded, the right tools are not being put in place, and, perhaps most importantly, they are not beginning with a risk plan.
“Every initiative should begin with a risk plan,” said John Phelps, Director of Risk Management for Blue Cross Blue Shield of Florida. Initiatives to date have been too focused on risk suppression and instead should be focused on risk management. Helping operations to better manage their business.
A risk plan allows an organization to rate and measure risks associated with a particular initiative, identify items on the critical path or high risk issues, and score those assessments against business metrics. With an accurate risk plan in place, businesses can objectively prioritize its requirements, get the right folks around the table, and focus on those projects that will yield the greatest benefits to the company.
A good risk plan gets risk management, compliance, audit and operations needs on the table, and demonstrates how the IT organization can effectively support this diverse group of constituents, noted Phelps. A risk plan built around compliance can also identify costly problems that have not been uncovered previously.
“It’s a lot like the process we all go through to get a car inspection sticker,” added Bob Parisi, Senior Vice President and Chief Underwriting Officer of AIG. “To comply with the law, we go through the inspection process and display the sticker as a symbol of compliance. But if, in the process of getting that sticker, the mechanic discovers and fixes a safety flaw before someone gets hurt than the end result is much greater than simply achieving compliance.”
-1-
Best Practices in Moving Processes to the Clouds
How Can the Cloud Fit Into Your Applications Strategy?
Cloud Data Integration Best Practices
The Economics of Cloud Computing
Data Services Insight: Successful implementation of Canonical Information Models
How to Empower Your Business Innovators to Make the Most of Business Process Management 
Automating a Purchase Requisition Process with BPM
Pegasystems Makes Rare Deal, Buys Chordiant for $161.5m
BPM VIEWPOINT: Are You Asking Yourself the Hard Questions about BPM in Today's Economy?
BPM VIEWPOINT: Does Oracle/Sun Mean It's a Horse Race for BPM?
ebizQ editorial highlights and updates, compiled by Site Editor Anne Stuart
March 10, 2011
The sixth annual BPM in Action 2011 Virtual Conference will explore cutting-edge market developments in BPM and describe how to leverage them for improved business operation and performance. More
Date:Apr 07, 2010
Time:13:00 PM
ET- (17:00 GMT)
Date:Apr 07, 2010
Time:12:00 PM
ET- (16:00 GMT)
In part two of Joe McKendrick's recent podcast with Miko Matsumura, chief strategist for Software AG, they talk about how SOA and IT systems need to change and grow and adapt with the organization around it.
Listen Now
Phil Wainewright interviews David Vap, VP of products at RightNow Technologies, and finds out how sharing best practices can help businesses understand how best to engage with online communities.
Listen Now
Scott Hebner, Vice President of Marketing and Strategy for IBM Rational, discusses a topic on the top of every company's mind today: getting the most from IT investments.
Listen Now
In BI, this tough economy and the increasing role of Web 2.0 and MDM are certainly topics on people's minds today. WiseAnalytics' Lyndsay Wise addresses each of them in this informative podcast.
Listen Now
Deepak Singh, President and CTO of Adeptia, joins ebizQ's Dennis Byron in a podcast that gets its hand around the trend of industry-specific BPM.
Listen NowSmart event processing can help your company run smarter and faster. This comprehensive guide helps you research the basics of complex event processing (CEP) and learn how to get started on the right foot with your CEP project using EDA, RFID, SOA, SCADA and other relevant technologies. Learn More
A lot of people are talking about Enterprise 2.0 as being the business application of Web 2.0 technology. However, there's still some debate on exactly what this technology entails, how it applies to today's business models, and which components bring true value. Some use the term Enterprise 2.0 exclusively to describe the use of social networking technologies in the enterprise, while others use it to describe a web economy platform, or the technological framework behind such a platform. Still others say that Enterprise 2.0 is all of these things. Learn More
|
|
This new publication from our sister site SearchSOA.com explores workflow, business activity monitoring (BAM) and complex event processing (CEP) issues. |
|
|
