Processing million of records in minutes

Previously it was already possible to correctly and consistently specify business logic using the Match™ Specification Developer, allowing for flexibility, transparency, zero defects and a incredibly short time-to-market in your knowledge models. With the Match™ Data Processor it is now possible to enjoy the same benefits, while automatically deploying the model to analyse and transform millions of records in minutes. 

In 2016, when authorities changed the regulations on reporting for life insurance companies (renseigneren), amazing results were achieved with a project at Achmea. Read more about renseigneren.

Knowledge Values can help control MiFID II complexity

In early 2018, a revision of the Markets in Financial Instruments Directive (MiFID) and new Regulation on Markets in Financial Instruments (MiFIR) will be implemented by the European Union (EU). While these directives and regulations are aimed at making the European financial market more efficient, resilient and transparent, they bring a great deal of change and extra work for financial companies in the EU. Among others, more reporting requirements are introduced, assessments will need to be conducted, and trading obligations will be imposed. 

Applying our Advanced Knowledge Services™ methodology, Knowledge Values can help your company to introduce intelligent regulations management solutions in reply to these new regulations. Using the Match™ Specification Developer helps your organization structure processes transparently and with zero defects. And with our newly developed Match™ Data Processor you can automatically process millions of transactions in a matter of minutes. Additionally it can simultaneously produce output that complies to the MiFID II reporting requirements or other regulations. 

Client

Achmea is legally obliged to share information regarding life insurance policies with the Tax Authority, a process called renseigneren. It involves sharing value- and premium information, ~ 300.000 messages once a year, and information regarding extraordinary events (passing, expiration, surrender, donation, and violation of tax rules), ~2500 messages every month. This information is reflected in pre-filled tax declaration forms. Until recently, this process demanded a lot of knowledge and effort from employees, as rules were only partially automated.

Challenge

As per January 1st 2017, new regulations for renseigneren came into force, tremendously effecting large life insurance providers such as Achmea. The new regulations have an impact on multiple IT systems in the chain: administration, workflow, database registration, forwarding to the Tax Authority, informing the customer, and archiving. In addition, the process adds no commercial benefit: no new life insurance will be sold by proper renseigneren. However, not complying with these obligations may lead to considerable fines from the Tax Authority.

Solution

With the expertise and principles of Knowledge Values, the rules for renseigneren were first structured in Match Developer, creating a goal-oriented and transparent, directly executable renseignerings application for all life insurance policies of Achmea. Subsequently, connections with other systems in the chain have been realised, tested, and put into production. As a result, employee effort is limited, and a correct and traceable process is guaranteed.

Benefits

Last but not least, future modifications in the rules for renseigneren will be accomplished easily. In conclusion: business improvement according to the principles of Knowledge Values is a foundation for Achmea’s ambition.

On the 10th of October, the new Centraal Beheer financial advice application “Efficient Advice” went live. The goal of the project was to achieve significant reduction in the time spent on advice.

In the first phase of the project, released January 2016, a time reduction of 1 hour and 15 minutes was achieved. The method was the goal-oriented restructuring of the advice proces. In the old proces, 218 questions were asked. After the phase 1 proces, there are 138 questions left (-80), which is a reduction in questions of 37%.

In the second phase of the project, the goal is to achieve an additional time reduction of 30 minutes (for a total of 1 hour and 45 minutes, about 40% of the original proces time). To achieve this goal, the collection of the necessary client data is done through self-service. This data is sent back to Achmea and automatically analysed by Match. Match recommends a particular advice, which can be tailored by the advisor. Measurements are underway to determine if phase 2 achieved its 30 minutes of proces improvement.

In addition to the proces optimalisation, the Efficient Advice application now also generates complete advice reports in the new Centraal Beheer style (see below). Compliance has indicated that the application assures a minimum quality and that failing grades for advice reports should now be a thing of the past.

As of the 1st of January 2016, applicants for social housing do not only have to satisfy certain income limits, but also need to comply with new appropriateness standards ensuring that their income fits the rent. The web application WIS*kit – of which development was commissioned by Amsterdam-based housing corporation Eigen Haard – simplifies the allocation process and carries out complex income calculations.

“The WIS*kit allows us to make fewer mistakes and generates data enabling uniform reporting for accounting. All laws, rules, and knowledge required for proper allocation are integrated into the web application” says Marlies van den Berg, rental agent at Eigen Haard. “This is the reason why we called the application WIS*kit, in which WIS stands for ‘Woning Informatie Systeem’. It helps our rental agents to make a correct calculation and come to a proper allocation decision. In doing so, we carry out the law accurately”.

Execute process in a couple of steps

Depending on the client-specific situation, rental agents walk through the WIS*kit in a number of steps. The application carries out the calculations required for he European income test and the appropriateness test.

“We thereby kill three birds with one stone: the test on income, the test on appropriateness, and accounting” continues van den Berg. “Because all considerations are captured in an insightful PDF file. This file is all we need as substantiation for audits.”

Extensively tested with colleagues. More corporations follow.

The WIS*kit has been extensively tested by Eigen Haard and fellow corporations Stadgenoot and Rochdale. The application was developed jointly and generically. The intension is to collectively develop the WIS*kit further in the future. That way, corporations will follow a more uniform method, which creates clarity for the customer.

Benefits of WIS*kit in short

Compared to the current, mainly manual method, the WIS*kit offers the following benefits:

• helps employees to correctly make allocation decisions
• simplifies the allocation process
• makes allocation more transparent and automatically generates reports, which can be used by the accountant
• contributes to a uniform allocation method. This also speeds up audits
• new employees are on-boarded more quickly
• suitable for different levels: calculating the appropriate income for advertised rent, or calculating an appropriate rent for a given income.

WIS*kit has been developed by Knowledge Values, partner in high quality knowledge solutions.