Unlike previous knowledge management approaches that require employees to search for information about processes, systems, or policies in paper or online manuals or attend lengthy, upfront training sessions/simulations, performance support is all about delivering pertinent, moment-of-need information to each employee according to their roles and the tasks that they are engaged in when they request assistance.

Why Performance Support?

With a hardening market looming but a soft market continuing, cutting operating costs can no longer be done by reducing an already reduced workforce. Current staff are nearing overload level and there is a fear that further cutbacks in operating costs will significantly impact quality. Therefore, the focus has turned to boosting employee efficiency.

A recent study on the U.S. insurance industry found that three main issues are challenging the efficiency of insurance providers' workforces: the need to maintain relationships with customers even as claim systems increase automation; the retirement of baby boomer workers coupled with an influx of Generation-Y employees; and maintaining compliance in a complex regulatory environment. Performance support is emerging as a key tool to address these issues, and the approach is being adopted by numerous providers.

So how is performance support influencing each of these concern areas?

Maintaining Customer Service

While the efficiency of claims is constantly being improved by technologies such as straight-through processing, predictive analytics, and electronic case management, there is a limit to which the function can be automated. That's because claim adjusting is a customer service. The ability of claims to deal with the claimant's loss in a personal way is an important factor in driving customer satisfaction and therefore customer retention and positive word of mouth. Furthermore, there is a limit to which automation can replace an adjuster's instinct for fraud or his ability to assess more complex or unusual claims.

When it comes to training and efficiency, this manual grey area can be a difficult one to teach and monitor. The time it takes to reach competency for beginners can be lengthy, and often involves weeks of instructor-led training, which is not necessarily the most effective method for ensuring on-the-job fluency and competency. This is especially relevant in highly regulated environments such as insurance, where familiarity with detailed policy and procedure information is required, along with the ability to apply the knowledge to varying situations.

Claim situations by nature tend to be emotionally charged, so it is essential that even the least-experienced adjusters be well versed on policy and procedures to be able to satisfy the customer and provide the best possible experience. These days, customers can be more self sufficient, and this often means inquiries are more complex by the time they contact an insurer.

In this area, performance support solutions provide a knowledge base of information in a form that is easily navigated so that employees can complete their jobs and deliver content sensitively. It is designed to provide accurate information at the moment of need so as to not interrupt the natural flow of a work process or customer interaction, which ultimately ensures that the best possible customer experience is achieved. With a performance support tool containing all of the information and details on how to work in a system or application, training can focus conceptually on how to deal and manage more complex inquiries.

Facing Retirement

Baby boomers have been a stable part of the workforce for the past 30 years, but within the next five years the majority will be retiring. This will cause a significant brain drain in many claim operations, especially since much of their knowledge has not been recorded for later use by less-experienced personnel.

The second issue is the influx of the Y generation into claims. This group has two very distinct differences from the Boomer generation. Generally, they are more impatient and want to get on with the job so they can advance their careers. Many have been through college and do not feel they need to sit through more training before they can start working. They are also used to a more self-directed style of learning than Boomers, who expect to be put through structured training before commencing their roles. Generation-Y members are often less loyal to their employers than Boomers, which means the average claim adjuster will not see through the first three years of employment with his first employer.

These changes not only mean that there is increased competition between providers for experienced adjusters, but also that the approach to training must change because of different learning styles and a need to decrease the time to competency for new employees. Higher turnover means less time and money can be invested in preparing a new employee for their role, so six weeks of starter training followed by intensive supervision for six months is now proving to be an expensive option.

Performance support is allowing the industry to capture as much informal knowledge as possible from retirees and makes that knowledge available to new recruits so they can perform as well as their predecessors as soon as possible. It assists new employees to comply with policies and procedures and take full advantage of systems and best practices, which reduces the need for up-front training and increases efficiency. Errors are also reduced. With an increased amount of inexperienced adjusters, there has been a sharp increase in leakage. Easy access to procedural information can ensure claims are settled in accordance with company policy. With a workforce that is more knowledgeable and has access to moment-of-need skills, an insurance provider can be more flexible. There's no longer a need for teams of advisors to be dedicated to certain products or specific customer accounts.

Above all, performance support delivers information in a way that is appealing to the new generation of workers. What makes sense to the multi-tasking, fast-switching Generation Y-er who is au fait with abbreviated communication, likes high-level overviews, and only dives into detail if and when it is needed? The answer is just-in-time, just-enough knowledge solutions that provide information at the moment it is needed and in the context of the task that is being performed. That is performance support in a nutshell.

Compliance

Claims is the department upon which compliance falls most heavily. There are appropriate forms to complete, timeframes to adhere to, and information that must be supplied to the customer. Claim adjusters have to deal with a lot of information and constant change, which makes training an incomplete solution.

Performance support is an ideal solution for complex and highly regulated environments. It assists employees in complying with policies and procedures and helps them take full advantage of systems and best practices. The approach can provide adjusters with all the information they need about accurate estimating, settling losses, guidance on regulatory compliance, and how to use case management, estimating, and other business systems.

With performance support, help is always at hand. Adjusters understand and comply every time and spend less time sweating the details and more time helping more customers. The need for up-front training sessions is reduced because on-the-spot, up-to-date compliance information is provided during the course of work.

What is the moral of this story? As the workforce and industry continues to change, insurance providers will need to adapt accordingly. Training approaches that appeal to the new generation of workers must be context sensitive, and they will drive efficiency in an extremely complex, high-turnover environment to be successful in the industry in the coming years.