Deutsche Allgemeinversicherung Case

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Deutsche Allgemeinversicherung Case Summary Deutsche Allgemeinversicherung (DAV) is one of the world’s largest insurance companies. The success of the company has been contributed to its product offerings and “an excellent group of insurance managers” (case page 2). The company provides superior “traditional insurance management” and excellent customer service. However, the company began to face stiff competition not only from larger competitors but also from smaller insurance firms that are able to provide customized service to each individual client. To keep its current position in the market DAV has decided to concentrate on quality of customer service which it sees as a core competency. The…show more content…
SPC method is used in a manufacturing sector and therefore is much harder to implement in the insurance industry. This is because in manufacturing sector you can have precise data where at DAV you have a lot of ambiguous data. It is hard to measure this data unless it’s clearly outlined what needs to be measured and how. In our case it was not clear cut, for example, some managers started to select data that they thought it was relevant to them but in fact is still needs to be used in the process. It is hard to measure what values are acceptable and when a problem actually exists. These challenges with ambiguous data created a significant chance for a misuse of SPC. Without proper planning and clear implementation process with guidelines will hinder roll out success. DAV is looking for forms that are being filled out by the customers and entered in the system by its employees. The forms can have different errors from the address to the phone number for example. Currently what qualifies as an error has not been outlined and therefore confusion arises between different departments. This also gives room for managers a chance to not count all of the mistakes that their employees make. Therefore they can manipulate collected data to their advantage. This leads me to believe that rolling out of SPC has not been done properly and the data that will be

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