CASE STUDY
Going Digital: Settling Claims in 7 Days
Transforming a decentralized honorarium system into a seamless digital workflow, ensuring transparency and trust.
Executive Summary
The Client manages a vast network of last-mile workers who are compensated through an honorarium system tied to their performance. These workers are pivotal to the client's operations, often spanning various locations and responsibilities. The payment process is highly complicated due to the decentralised nature of their work and the intricacies involved in accurately tracking their contributions. Prior to going digital, the existing methods leds to delays in payment disbursement affecting the motivation and commitment of the workforce to the organization.
The Challenges
The supervisors would track and measure the work done by the last-mile workers and approve their payments. The process was slow, led to delays in wage disbursement. The frequent delays had become a pressing issue - diminished motivation among the workforce and also resulted in high attrition rates. Centrally, there was a lack of visibility into the claims process, outstanding amounts, and the underlying bottlenecks that caused these delays. This limited the client's ability to identify and address the root causes of the payment delays.
Payment Timelines
Streamline the payment process in such a way that the claims can be settled within a week’s timeframe from the date on which it is submitted.
End-to-End Visibility
Provide an end-to-end visibility into the whole process so that the bottleneck(s) could be identified and removed.
Digital Reconciliation
Make payments digitally into the bank accounts of the claimants so that reconciliation and traceability is easier.
The Solution
Realising that enhanced process visibility was a precursor to addressing the challenges, we prioritized digitizing the entire claim and payment process.
Digitization & Indicators
Realising that enhanced process visibility was a precursor to addressing the challenges effectively, our immediate priority was to digitize the claim and payment process. We identified key process indicators essential for pinpointing bottlenecks and areas of backlog. Using ViewZen Analytics, we visually represented this data, facilitating a clear understanding of our observations and insights.
Value Stream Optimization
We were able to quickly identify and eliminate a few actors and steps that were not adding much values in the payment process but were contributing to the overall pendency. To the claimants we gave the facility to track the claims throughout the process, right from the time it is raised until paid.
Key Results
Delivering measurable impact through digital transformation.
