Post on 02-Jan-2016
The Tragic Phrases of Customer Service
▲ Rather than, “yes, I can”, we usually hear…:– “You can’t…”– “You must…”– “You have to…”– “We can’t…”
Most companies ask…
“Why should we do it?”
at JNL, we ask…
“Why shouldn’t we do it?”….
The differences are slight, but theconsequences of these differences are huge
What Facilitates Ownership?
▲ An environment where it is OK to make mistakes
▲ An environment that encourages people to ask: – “Why do we do it this way?”– “Why can’t we just…?”
▲ A service structure that supports the environment you want to create– We have found that cross-functional teams
facilitate the ownership we seek to promote
Old Structure: 1995 - Spring 2000
▲ Client must work with multiple departments and people
▲ Service reps only see their small piece of the big picture
▲ Structure does not facilitate “ownership” of a problem - too easy to:– Pass the problem on and/or…– Point fingers at the other functional areas
Life New Business/Underwriting
Life Applications and Reissue
TSCPhone Calls On Everything ExceptCommissions, Illustrations, PACS
Customer Service CenterAnnuity Issue, Withdrawals
Broker ManagementCommissions & Licensing
Operations SupportPACS, Illustrations, UL
403B Support, Correspondence
Customer
Today’s Structure
▲ Client can meet all their needs within each product line▲ Structure facilitates ownership - it’s hard to blame or
point fingers at the person sitting next to you
Life Division
- Phones
- Policy Issue
- Inforce Service
Fixed Division
- Phones
- Policy Issue
- Inforce Service
Indexed Division
- Phones
- Policy Issue
- Inforce Service
Variable Division
- Phones
- Policy Issue
- Inforce Service
Client
Support Functions
Call Center Support
QA & Training
Technology Support
Licensing & Commissions
This structure is small enough to be responsive to customers, but big enough to provide all the resources needed to add significantamounts of business at virtually no additional cost
Since We Restructured To Enable Individual ‘Ownership’…
0
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Apr-0
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Feb-0
2
Apr-0
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Average daily phone volume has been reduced 33% due to fewer transfers and higher first call resolution
Company Complaints Cut In Half
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Telephone Service Levels Stabilized
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-02
GOAL Overall Fixed Annuity Life Inforce Life Pending Life Indexed Annuity
SIP &
Conversion to
Lucent Phone
System(08/26/00)
CTI Policy #
Routing &
RMO
Reorganization
(11/12/01)
Inforce & Pending Life Single Skilled
(01/01/02)
Telephone service levels (% of calls answered within 30 seconds) has stabilized and exceeded our 80% goal in 26 of the last 28 months
Tenure Nearly DoubledAverage Tenure vs. Number of Customer Service Associates
OVERALL (Fixed Annuity, Inforce & Pending Life & Indexed Annuity)
18
.9 20
.3
18
.5
18
.81
8.1
19
.01
7.7
16
.01
6.1
15
.41
6.3
15
.0
16
.0
17
.0
15
.51
5.0 16
.41
6.8
15
.8
16
.9
17
.91
6.8
17
.8
18
.41
9.2 20
.52
1.8
22
.3 23
.8
24
.6
25
.9
26
.92
7.6
26
.5
22
.62
1.3
22
.4 23
.8 25
.22
5.2
26
.02
6.4 27
.72
8.0
87 85
95
102
95
88
10498
104
96 9894 93
109114
106105110109
114109107109
106103101 99
9489
86 87
95
103
110106
103101104
97 96 94
88 86
121
Jan-
99
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-99
May
-99
Jul-9
9
Sep
-99
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-99
Jan-
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Jul-0
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Average Tenure Number of Customer Service Associates
Turnover in the phone center has decreased. The required number of phone reps has decreased. Average tenure of telephone reps has nearly doubled.
History of Annual Service Expenses
$0
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1997 1998 1999 2000 2001 2002Forecast
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JNL Assets
$ Thousands JNL Assets
Service Rated Better Than Competition
29%
31%46%
21%
29%
67%
0%
25%
50%
75%
100%
Life Fixed Index
Pe
rce
nt
Much Better Slightly Better
Service Comparison by Product(Percent Rating JNL Better Than Competitors)
60%75%
88%
JNL agent survey – Spring, 2002
Technology is a tool…
…For providing superior service. It is not in itself the answer. ▲ RACE (Rapid Annuity Entry) - Expert system:
– Checks data against good order requirements– Integrates electronic images and workflow– Provides a platform for electronic order delivery
▲ NICE – Digitally records voice, data and keystrokes – Enables us to monitor calls for coaching
and QA purposes
Technology is a tool…
▲ Internet: focused on features our clients will really use– Policy account values– Contacting us– Pending policy and commission information– Product performance– Investment rellocations– Address changes
Our Service Philosophy has Enabled Us to…▲ Attract and retain better people▲ Reduce staff▲ Reduce hiring and training costs▲ Reduce phone calls, errors and
customer complaints
All of which has given us a platform to issue more policies and support more assets with no increases in expenses