How HDFC Standard Life Insurance Effectively Recruits and Trains Consultants
A case study on in InsuranceExecutive Summary
CIO 100 Winner: Here's an ingenious CIO who found an inexpensive way to ensure that his company could hire more financial consultants, quickly.
HDFC Standard Life Insurance (HDFCSL) is a dominant player in the insurance industry with 27 lakh policies as of March 2009. In line with the industry's competitive pressures, HDFCSL has been scaling up rapidly. And it has been doing it the way everyone in the industry does: by getting more financial consultant boots on the road.
Case Study Highlights
But, HDFCSL couldn't recruit, train, test and license them fast enough. "At 8,840 financial consultant recruited a month, the recruitment level was low compared to our target of about 13,200," says Sunil Rawlani, EVP-IT, HDFCSL.
The insurer was also experiencing a high dropout rate, mainly because branch operations could not provide timely updates on training and exam schedules. At the high cost of Rs 3,000 to train financial consultants, dropouts were the last thing HDFCSL needed. But it was having a hard time just keeping track of the number of candidates it had to license.
With growing competition, these were inefficiencies Rawlani knew HDFCSL could ill afford. So he decided to align various sub-processes into a centralized and consolidated operation. A small group of cross-functional teams envisaged a project they called ATLAS (Agency Training Licensing and Servicing System). It would map every activity required to take raw recruits and turn them into licensed financial consultants.
But because ATLAS had a pan-Indian implementation, it was a challenge just to train its users and provide post implementation support. It was also daunting, recalls Rawlani, to streamline geographically-dispersed departments that were involved in different stages of training and licensing.
But once these problems were overcome, ATLAS opened a world of benefits. The project, which cost about Rs 1.47 crore will help HDFCSL save Rs 4.74 crore in its first year. It allowed HDFCSL to improve its turnaround time by 30 days. It's eliminated multiple types of queries and rescheduling, saving Rs 10 lakh a year in recurring costs. And MIS reports are now available online saving the insurer Rs 80 lakh a year in peoples' time. "Over the next five years, ATLAS is expected to achieve ROI of 642 percent," says Rawlani.
The Person Behind It
“Over the next five years, ATLAS is expected to achieve an ROI of 642 percent.”
Other Insurance Case Studies
Star Union Dai-ichi Life Places Its Bets On Cloud Platform
A case study on Cloud Computing in InsuranceWith the I.R.D.A breathing down heavily on Star Union Dai-ichi Life Insurance to set up a DisasteR recovery site, Head-I.T., Harnath Babu chose a path only a handful of his peers would be willing to take: Go public cloud.
- The 48 hour Fund Value release assurance backed by IT
- Sybase Helped ICICI Prudential Life Insurance To Lower Reporting TCO by 50 Percent
- HDFC Ergo Achieves 30 Percent Lead Conversion with A CRM Solution
- Aegon Religare Got Great Savings With an Open Source Email Solution
- Reliance Capital Saves Rs1.5 Crore With Remote Infrastructure Management
