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1Confidential, unpublished property of CIGNA. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. (c) Copyright 2005 CIGNA.
Work Force Shift:Work Force Shift:
Business NeedsBusiness NeedsDriving Corporate IT StrategyDriving Corporate IT Strategy
Mitch SteinMitch SteinCIGNA Information TechnologyCIGNA Information TechnologyJanuary 5, 2006January 5, 2006
2Confidential, unpublished property of CIGNA. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. (c) Copyright 2005 CIGNA.
Flow of Today’s Presentation
Compounded Productivity
Decline
Absenteeism
• Unscheduled absence
• Non-occupational disability
Alignment of Information Technology to Business Imperatives IT Employees Shift Focus to Business Functions IT Processes and Priorities Better Aligned with those of
the Business De-commoditization of IT Contribution – IT Engaged in
Value Added Activity To Achieve True IT to Business Alignment Requires a
Cultural Shift Reorganization Business Education for IT Employees Operating Model Modification Organizational Development Activity to Sustain
Focus/Cultural Shift
3Confidential, unpublished property of CIGNA. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. (c) Copyright 2005 CIGNA.
• Movement to Consumer-Directed Products and Decision-Movement to Consumer-Directed Products and Decision-Support ToolsSupport Tools
• Consumers Becoming More Involved in Managing Their Consumers Becoming More Involved in Managing Their Health and Health Care CostsHealth and Health Care Costs
• Consumers and Employers Wanting Access to Consumers and Employers Wanting Access to Technology, Information, and Services that Enable Technology, Information, and Services that Enable Education and ChoiceEducation and Choice
• Value Added ServicesValue Added Services More Options and More Help in Making Decisions about More Options and More Help in Making Decisions about
Benefit PlansBenefit Plans More Information about Medical Procedures AvailableMore Information about Medical Procedures Available Preventive Health CarePreventive Health Care
• Cost Containment through AutomationCost Containment through Automation• Cost Reduction through Predictive ModelingCost Reduction through Predictive Modeling
Health Insurance Industry Trends
4Confidential, unpublished property of CIGNA. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. (c) Copyright 2005 CIGNA.
ns
Cultural Transition:Creating a Business/IT Partnership
Organization Alignment of IT with Business Functions Creation of Application Service Groups (ASGs)
Knowledge IT Employees to Acquire Necessary Business Knowledge
Leadership Commitment Clear Road Map to Change Ongoing Leadership Communication and Updates True Investment in Planning and Managing Change
Process Design New Work Flows that Encourage Greater IT Participation
Earlier in Product Development Define New IT Roles
Planning and Managing Change Work Stream Work Teams to Design Work Flows, Organizations,
and Roles Creation of Team to Ensure a Common Model across ASGs
5Confidential, unpublished property of CIGNA. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. (c) Copyright 2005 CIGNA.
IT Employees Enhanced Business Knowledge Allows Them to Function as Business Partners
IT People Approach their Work with: Knowledge of the Products and Services We Deliver Understanding CIGNA’s End-to-End Business Model Awareness of Roles and Responsibilities of Players Involved Appreciation for How CIGNA Makes Money
As a Result: IT People are Better Positioned to Design Business Solutions IT People Understand How Software Applications Impact the Business (What’s Important) Capabilities of Technology can be More Finely Aimed to Produce Business Value Those with Knowledge of Technical Capabilities Can
Recommend Enhancements
6Confidential, unpublished property of CIGNA. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. (c) Copyright 2005 CIGNA.
The CIGNA Invitational defines the Company’s operating model, how the Company provides value for Employers, Health Services Consumers and Health Care Providers.
1 Selling1 Selling2 Underwriting2 Underwriting
3 Client3 Client InstallationInstallation
4 Member4 Member EnrollmentEnrollment
5 Inquiry5 Inquiry
6 Services 6 Services to Membersto Members
7 Provider 7 Provider RelationsRelations
8 Claims 8 Claims ProcessingProcessing
9 Reporting9 Reporting RenewalRenewal
ProductProductDesignDesign
SharedSharedValuesValues
7Confidential, unpublished property of CIGNA. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. (c) Copyright 2005 CIGNA.
4
How We Make Money illustrates the Company’s revenue sources and expense model.
8Confidential, unpublished property of CIGNA. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. (c) Copyright 2005 CIGNA.
Clear Definition of Job Roles
Career LevelGuide
Duties andResponsibilities
Technical SkillsFunctional
Competencies
What is a broaddescription of
the workperformed?
What key technicalKnowledge or skillsAre applied in my
Work?
What key behaviors are
critical forsuccessful
performance?
• Common framework for all families• Career levels within each job family are broadly defined: - Knowledge - Work complexity - Business impact - Level of independence - Level of leadership• Descriptors may be tailored to the family
• Duties and responsibilities expected of individuals within the job family and at specific levels• Intended to apply to family more broadly – across departments, projects, or other organizational entities
• Knowledge and skill that is required to perform a particular work activity: - Knowledge - Skill• Indicates the relevant knowledge and skills by proficiency level - Range of problems and situations - Scope of responsibility - Business impact
• A set of behavioral skills described in observable terms that guide employees toward effective activity in applied situations• Selected by job family because of special relevance to their work• Defined for each of the relevant levels within the career path framework
What are thefundamental
responsibilitiesof the position?
9Confidential, unpublished property of CIGNA. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. (c) Copyright 2005 CIGNA.
IT Resource Development Model
SkillsGap
Analysis
ResourceSolutionDesign &Delivery
Tracking
• Business Imperatives • Business Strategies• Organizational Development• Operating Procedures• Strategic Alignment
ResourceAssessment
ITProject
PortfolioManagement
• Satisfy Ongoing Project Resource Requirements• Improve Resource Availability• Improve Effectiveness in Resource Utilization over Time
10Confidential, unpublished property of CIGNA. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. (c) Copyright 2005 CIGNA.
Focus on Enterprise-wide Project Delivery Role-based Processes and Organizations
CIGNA Project Solutions
Development of Role-based Competencies Project Management Requirements Definition Solution Design IT Frameworks Design Testing and Quality Assurance Application Development Process Improvement
Effective Resource Management Shared Efforts across Organizations Virtual Teams Employees Focused on Value Added Work Introduction of Enterprise-wide Formal Resource Management
Quali
ty
Respo
nsivene
ss
Cost
Unified and Business Aligned IT Organization
11Confidential, unpublished property of CIGNA. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. (c) Copyright 2005 CIGNA.
Best Practices: Business Aligned Functions, Standardization of Redundant/ Common IT Services, Focus on Value-Added Activities
Transition is Difficult. Manage it, Provide Support Framework
Quali
ty
Respo
nsiven
ess
Cost
Reality is Commoditization of IT Functions that Used to be Value-Added
Considerations: Changing Business Needs, Available Technology, Application Life-Cycle, Flexible Enough Strategy to Accommodate Change
Conclusion
12Confidential, unpublished property of CIGNA. Do not duplicate or distribute. Use and distribution limited solely to authorized personnel. (c) Copyright 2005 CIGNA.
Question, Comments, Remarks?