Ask someone to explain supply chain management, and youll likely get an answer in the context of manufacturing: A company making product A needs to regularly schedule the receipt of parts B, C, and D using technology to handle just-in-time scheduling and obtain the business intelligence needed to manage relationships with those suppliers.

Insurers also have a distinct supply chain when it comes to the claims process. Much of the insurance claims chain includes suppliers that provide their product or service directly to claimantsthe auto body shops, car rental companies, retailers, medical equipment wholesalers, and contractors. And lets not forget the litigators, investigators, and medical review firms that deal directly with insurers.

However, a critical difference between the manufacturing and the insurance supply chain is insurers are often simply payers in the process, one step removed from the actual product. Our supply chain isnt like that of any other, says Keith Dalgleish, vice president of e-commerce at HB Group Insurance Management Limited, Mississauga, Ontario. The HB Group writes employer-sponsored auto and property insurance, and is a subsidiary of the Co-operators, one of Canadas largest insurers. Manufacturers can outsource their entire process if they wish, he says, adding insurers dont have that option.