MAXIMIZING AUTOMATION
Scanning and digital document management
can complement transactional filing workflows
By Wanda Shumaker
Scanning and digital document storage can compensate for the "missing pieces" of electronic information in your agency management system.
Transactional filing has dramatically changed the way agencies manage daily paper flow. T-filing, as it has become known, incorporates an electronic "date stamp" entry into the agency management system. While paper is by no means eliminated, it is handled more efficiently. Precious time is not spent pulling and filing daily documentation into individual client file folders.
There are, however, some potential snags to a T-filing workflow system. A daily paper file, just like a customer-based paper file, can be misfiled, or removed and not returned in a timely manner. If there is not some way of maintaining a "check out/check in" system, the same frustrations could exist that do in any paper filing system.
Enter the scanner. This equipment creates digital images from paper documents so they can be stored electronically. Opinions about digital document management are nearly as varied as the number of agencies using the technology and the number of vendors creating new solutions. If you are contemplating digital document management for your agency, the who, what, when, how and why of scanning and digital document management should be carefully reviewed.
Who?
There seems to be a growing trend away from desktop scanners. Agencies are opting for a larger, high-speed scanning solution. At the same time, they're centralizing the scanning process to either a group of mail processors or administrative assistants. Agencies that redefine who is responsible for the scanning do so for the following sound reasons:
* Better use of "knowledge workers." While the trend a few years ago called for a scanner on every desktop, this methodology also required a different technical skill level. Additionally, it took time away from the knowledge workers' primary focus: customer service. As one staff manager put it, "Why would I go to the trouble of creating a T-file system to save the CSRs' time, only to steal that time--and more--away in scanning time?"
* More powerful technology. By opting for a smaller number of large, high-speed scanners in lieu of the smaller, less efficient desktop models, the scanning and storage can potentially be done more efficiently. Optical character recognition software (OCR) can also be implemented to turn digital images into documents that can be incorporated into other client-based word processing output.
* Better consistency, lower cost. By utilizing administrative staff instead of the service representatives, the cost of the effort is generally lower. Also, there tend to be fewer technology support issues. Instead of fielding numerous calls about individual scanners, the IT department handles only scanning team issues.
Regardless of who your agency designates to manage digital documents, consistency, timing and training are critical to support the desired outcome. The downside to limiting the number of individuals who scan centers around staff backup issues and the ability to complete scanning in a timely enough manner for staff to begin using the imaged information in their daily workflows.
What?
Building consensus in the agency as to what should and should not be scanned is essential. It's tempting to scan every scrap and envelope, but this results in clutter and confusion. In fact, some documents of a sensitive nature should not be electronically filed, such as financial statements or credit reports. It is also wise to determine what legal implications, such as privacy matters, might apply in your region to certain types of scanned information. This would be particularly true if you have a system that permits clients to have online access. If these documents are scanned, choose a storage method that permits password protection and/or "read only" access.
Avoid storage of items that are located and extracted more easily from other sources--for instance an article printed from a client Web site. Rather than print then scan the article, enter a link in the T-file entry that indicates where the article can be found on the Web. Convert lengthy documents to text files to save storage space.
When?
If digital document management is to be used in conjunction with T-filing work processes, when information is scanned becomes critical. A clearly defined workflow process should be implemented and communicated to everyone involved in the process. Once items have been scanned and routed, there should be some form of communication or connected workflow so that the servicing personnel have access on a timely basis. If your organization is too large to depend on mail administration staff for the scanning activity, you may want to consider assigning the task to administrative individuals within each department. Such personnel may be more familiar with the client and corresponding servicing assignments than the mail staff. In the "how" section that follows, we'll present another approach that could determine "when" items are scanned.
How?
How your agency is going to implement its scanning and document management capabilities may depend to a large extent on the agency management system the agency is already using. Some agency management systems have scanning capability that also associates a particular document with a specific client, and can also prompt the T-filing entry to be made. On the surface, this seems to be the most logical approach; however, some systems limit the types of documents that can be stored on a customer file. It can also be a more time-consuming process depending upon the individual agency management system used.
Another approach that is gaining popularity is to maintain an electronic "drop file" system. The premise is much the same as the daily paper drop file, only in electronic format. Rather than scan the images "up front," the regular paper and T-filing workflow is utilized, with the T-file entry doubling as the pointer to the electronic drop file. The work then goes into a collection point for scanning after the workflow is completed. This approach is appealing because it does not dramatically alter the existing workflow and thus minimizes the disruption to the service staff. Because the scanning is done "after the fact, there is also less pressure to quickly scan the items and distribute them."
This daily drop file can contain other documents in addition to the scanned type. Since the agency management software may limit the types of files that can be associated with a client file (for example, one system allows Word and Excel attachments but not PowerPoint), the daily drop file would be an "open" area of the network that would not have the same restrictions as the agency software storage system. Any type of file could be stored here; however, some type of client-based
T-file entry should be made to help in the location of that file if needed.
This "off-line" type of storage is also good for accessing documents while the agency management system is being backed up or is otherwise inaccessible due to file maintenance. Since you can assign "read only" or "password only" rights to given documents or sub folders, you can also address privacy and security issues more effectively. Typically, the agency management software client document section is completely accessible to anyone who has access to the daily routines.
Why?
Desktop faxing and e-mail have made the movement of documents more efficient. For agencies that haven't implemented scanning technology, when someone needs to fax or e-mail a document that resides in the paper T-file, we are once again faced with the tasks of locating, photocopying or faxing, mailing, etc. However, if the T-filed items were also electronically drop filed, the access and distribution would greatly lessen the need to take a hike down the paper trail. Digitizing the paper files also better serves remote worksites, making work-at-home options much more realistic and enriching the work experience of your frequent business travelers.
By using imaging along with OCR technology, you can convert imaged documents into usable forms and templates. Inserting pictures into documents and proposals can create a more personalized and professional approach. Submission of a digital image of claim damage can save the photo processing costs, time and postage associated with traditional picture transmission.
So perhaps the best response to the "why?" query is "why not?"
While we all hope for the day when carriers embrace the single-point-of-entry philosophy, the reality is that there will always be proprietary third-party and company-specific software issues. Scanning and digital document storage can compensate for the "missing pieces" of electronic information in your agency management system. Some agencies are already doing an effective job of scanning the policies and forms so that agency personnel--and the client--(over a secured connection) can access the information as needed.
Talk to your agency management software vendor to determine what is available and supported, but also check with document management specialists--there could be advantages in pursuing an "out of the box" solution. Such industry specialists also may be in a better position to help you determine the amount of file space you should anticipate, as well as suggest ideas for long-term storage and judicious file management to avoid becoming an electronic pack rat.
The premise of digitally filing the daily drop file is intriguing and holds great promise for the "single access" experience. As for justifying the effort and related costs, start by determining how much time agency personnel spends handling the existing paper drop files. Include claims staff and sales people in addition to your service staff. As with other agency initiatives, planning, communication and consistency are critical for a successful endeavor. *
The author
Wanda Shumaker is a 20-year veteran of the insurance industry, beginning her career in an agency, then traveling as a trainer for a major software vendor. She has returned to the agency side of the business and is an assistant vice president and the automation manager for Conseco Risk Management, Inc., a large independent insurance agency located in Carmel, Indiana.