Strategic Design Factors for an Automated Customer Interface

Abstract

A substantial review of the extant literature, which is not included in the paper, identifies three agents that influence automation of the customer interface in insurance companies. They are (1) intensified competition mainly resulting from deregulation of general insurance markets, (2) changes in the customer base (tendency to individualisation, request for more flexible products), and (3) technological development, in particular the increasingly intensive use of information and communication technologies for business purposes. Despite these new market influences, even today many insurance companies do not consider automating their processes at the customer front end. Critical thinking and awareness of the influencing factors that surround decisions on automating service delivery processes are not on the managers’ agenda. Further, it is not especially clear what the criteria are that influence automation of the customer interface in insurance companies. With this in mind a qualitative empirical study, conducted by interviewing experts from a sample of Swiss insurance companies that was representative of the structure of competition in the Swiss insurance market, was undertaken. The relevant question asked was, "What are the critical success factors that enable the automation of the customer interface in insurance companies?”.
An outcome of the study is a list of eight topics, namely (A) Market forces, (B) Strategic focus, (C) Company-customer-interaction process, (D) Suitability of products, (E) Multi-channel service delivery, (F) Customer segmentation, (G) Business case, and (H) Technological aspects, that include a total of twenty one design factors considered important when designing an automated customer interface. Discussions centred on these topics and these design factors provided answers to six key questions that facilitated the development of an appropriate managerial model. The study shows that various criteria from many topics are relevant for the design of an automated customer interface. For a company, consequently, designing an automated customer interface is a task that needs to be looked at from various functional areas and that needs interdisciplinary decision making. As such, it requires intention and promotion at a strategic level in order to give it the adequate status and resources that are necessary for a successful implementation.