Global insurance company, Mapfre, had studied lean IT in-depth and had already determined how it could support a continuous improvement process. It contacted Eraneos to assist with the execution of a pilot project to implement these lean IT principles.
The implementation of lean IT demanded a radical change in attitude at Mapfre. It was important that the company’s employees – the people who perform the day-to-day operations – were the ones spearheading the firm’s objectives of a continuous improvement process.
We worked with Mapfre to launch its pilot project by focusing on maintaining the areas of project development and application management, eradicating or minimizing activities that did not add value to the customer – something it referred to as removing “muda” (a Japanese word used in lean IT meaning types of waste).
During implementation, all goals were continuously measured for each project, including customer satisfaction, efficiency targets, and the follow-up deadline.
Mapfre is an insurance company that has a presence in 49 countries. It is a leader in the insurance market in Spain and Latin America, as well as one of the 20 best automobile insurance companies in the United States. All in all, Mapfre has more than 27 million clients, employs 37,053 people, has a global network of 5,524 offices, and works with around 80,000 stock brokers. In 2015, the Group generated a total of €26.367 billion in revenue and a net profit of €845 million.
The pilot demonstrated clear benefits. Mapfre had managed to reduce delivery time by approximately 60%, from 61.14 days to 25.5 days, increasing efficiency from 79% to 97%.
On top of this, over 200 employees who were involved in the transformation process at the company have now changed the way they work as a team for good. They have new tools and have been trained to use them in their daily activities, to simplify their tasks, coordinate with other teams and ensure that deadlines (for testing, delivery, etc.) are met.
The implementation of lean IT has injected energy and optimism into the company. This has led to a transformation of the employees, from being mere spectators to having initiative in projects and being committed to their work and to the new way of doing things.
The company’s new lean attitude has also resulted in greater transparency, better communication, and more energy from staff in daily meetings.