Dav Case
Executive Summary
Deutshe Allgemeinversicherung (DAV) is one of the world leading firms in the insurance industry and was founded in 1966. Approximately half of DAV’s business is in Germany, where it mostly offers retail insurance such as health and property insurance as well as life insurance and disability insurance. In 1996, the company wrote nearly DM 48 billion in premiums in over 32 countries.
With the presence of giants such as Allianz, Credit Lyonnais, and Aenta, DAV was able to position itself as the second largest firm in its core market namely; Germany. This high level of success can be attributed to the following factors: * Sound, traditional insurance management * Wide range of insurance management offerings * Excellent group of insurance risk managers * Outstanding customer service
An important part of delivering such outstanding customer service relied on the ability to process information and data without making mistakes and the ability to retrieve it in a timely manner. In reality, this was not such an easy task because DAV ran diversified operations in numerous divisions in various countries making it quite a challenge for the DAVKG.
The issues facing DAVKG were the result of the following factors: * High- volume production environment * Corporate mandate for “ same-day” processing * Problem of hand-written forms * Not- in- good order forms had to be reworked requiring 20 extra minutes processing * Mistakes done by associates in the confirmation notice leading to customer dissatisfaction and over an hour spent rectifying the problem * Double-Key entry and sight verification proved to be expensive as it included extra internal quality failure costs and deterioration in quality was witnessed
DAV has always enjoyed a dominant position in the market but a shift in the industries dynamics has been seen to rise as a result of the emerging of smaller competitors capable of challenging DAV’s
Deutshe Allgemeinversicherung (DAV) is one of the world leading firms in the insurance industry and was founded in 1966. Approximately half of DAV’s business is in Germany, where it mostly offers retail insurance such as health and property insurance as well as life insurance and disability insurance. In 1996, the company wrote nearly DM 48 billion in premiums in over 32 countries.
With the presence of giants such as Allianz, Credit Lyonnais, and Aenta, DAV was able to position itself as the second largest firm in its core market namely; Germany. This high level of success can be attributed to the following factors: * Sound, traditional insurance management * Wide range of insurance management offerings * Excellent group of insurance risk managers * Outstanding customer service
An important part of delivering such outstanding customer service relied on the ability to process information and data without making mistakes and the ability to retrieve it in a timely manner. In reality, this was not such an easy task because DAV ran diversified operations in numerous divisions in various countries making it quite a challenge for the DAVKG.
The issues facing DAVKG were the result of the following factors: * High- volume production environment * Corporate mandate for “ same-day” processing * Problem of hand-written forms * Not- in- good order forms had to be reworked requiring 20 extra minutes processing * Mistakes done by associates in the confirmation notice leading to customer dissatisfaction and over an hour spent rectifying the problem * Double-Key entry and sight verification proved to be expensive as it included extra internal quality failure costs and deterioration in quality was witnessed
DAV has always enjoyed a dominant position in the market but a shift in the industries dynamics has been seen to rise as a result of the emerging of smaller competitors capable of challenging DAV’s