Activity based costing underwriting tool

• US 8,386,346 B2
• Filed: 03/01/2004
• Issued: 02/26/2013
• Est. Priority Date: 02/28/2003
• Status: Active Grant

• Current Assignee: Accenture Global Services Limited (Accenture PLC)
• Original Assignee: Accenture Global Services Limited (Accenture PLC)
• Inventors: Magner, Kathryn A., Mahoney, Laurie, Smith, Shelley, McGiffin, Gail E., Kauderer, Steven I., MacIntosh, Kevin W.
• Primary Examiner(s): Gart, Matthew
• Assistant Examiner(s): PARIKH, HARSHAD R
• Application Number:
  US10/546,973
• Publication Number:
  US 20080040168A1
• Time in Patent Office: 3,284 Days
• Field of Search: 705/35, 705/32
• US Class Current: 705/35
• CPC Class Codes: G06Q 10/06375 Prediction of business process outcome or impact based on a proposed change
• CPC Class Codes: G06Q 10/06398 Performance of employee with respect to a job function
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• CPC Class Codes: G06Q 40/08 Insurance

Abstract

A method of evaluating underwriting activities of a company providing insurance coverage is disclosed. The method comprises the steps of storing data related to the underwriting activities for the company; receiving information from employees related to tasks associated with the underwriting activities; analyzing the information from the employees; and generating a report based upon the information from employees. A system for evaluating underwriting activities for a company is also disclosed. The system comprising a user computer storing a program containing questions related to tasks for underwriting activities; a server coupled to the user computer to receive information entered by a plurality of users related to tasks for underwriting activities; and a report generated by the server and providing analyzed information related to responses of the plurality of users.

Claims

1. A method of evaluating underwriting activities of a company providing insurance coverage, said method comprising:

receiving input as to a transaction type, the transaction type selected from a plurality of transaction types of underwriting activities;

determining tasks associated with the selected transaction type;

receiving from each of a plurality of employees a task-rank for each of the tasks associated with the selected transaction type, including a first task-rank from at least one of each of the plurality of employees corresponding to a first task, wherein each of the task-ranks falls within a numerical range;

calculating, using a computer processor, the time spent on each of the tasks based upon the corresponding task-ranks received from the at least one of each of the plurality of employees, such that the time spent on the first task is a function of a square of the first task-rank divided by a sum of the squares of each of the task-ranks corresponding to the tasks associated with the selected transaction type, further multiplied by a predetermined number of time units;

accessing cost data related to employees performing said underwriting activities for said company from a memory;

determining a cost associated with each of the tasks that are associated with the selected transaction type based on said cost data and said time spent; and

generating a report comprising the determined cost associated with each of the tasks.

2. The method of claim 1 wherein calculating the time spent comprises calculating a number of hours per week on a task.

3. The method of claim 1 wherein calculating the time spent comprises calculating a number of hours per month on a task.

4. The method of claim 1 wherein calculating the time spent comprises calculating a number of minutes per day on a task.

5. The method of claim 1 wherein calculating a cost associated with a task comprises aggregating the cost associated with the task for the plurality of employees.

6. The method of claim 1 wherein the plurality of transaction types comprises new business, renewals and endorsements.

7. The method of claim 1 wherein the tasks associated with the selected transaction type are designated as a core task or a non-core task, the core task comprising directly affecting the underwriting activity, the non-core task leading to the underwriting activity;

and

wherein the report further indicates whether each of the tasks associated with the selected transaction type is a core task or a non-core task.

8. A method of evaluating underwriting activities of a company providing insurance coverage, said method comprising:

receiving input as to a transaction type, the transaction type selected from a plurality of transaction types of underwriting activities;

determining tasks associated with the selected transaction type;

receiving from each of a plurality of employees a task-rank for each of the tasks associated with said selected transaction type, including a first task-rank from at least one of each of the plurality of employees corresponding to a first task, wherein each of the task-ranks falls within a numerical range;

calculating, using a computer processor, time spent on each of the tasks based upon the corresponding task-rank received from the at least one of each of the plurality of employees, such that the time spent on the first task is a function of a square of the first task-rank divided by a sum of the squares of each of the task-ranks corresponding to the tasks associated with the selected transaction type, further multiplied by a predetermined number of time units;

accessing salary data related to employees performing said underwriting activities for said company from a memory;

calculating a cost associated with each of the tasks that are associated with the selected transaction type based on said salary data and said time spent;

aggregating the cost associated with each of the tasks for a plurality of employees; and

generating a report based upon said time spent and said aggregated costs.

9. A system to evaluate underwriting activities of a company providing insurance coverage, the system comprising:

a memory to store cost data related to employees performing said underwriting activities for said company;

an input device to receive input as to a transaction type, the transaction type selected from a plurality of transaction types of underwriting activities; and

a computer processor in communication with the memory and the input device, the computer processor configured to;

determine tasks associated with the selected transaction type,

receive from each of a plurality of employees a task-rank for each of the tasks associated with the selected transaction type, including a first task-rank from at least one of each of the plurality of employees corresponding to a first task, wherein each of the task-ranks falls within a numerical range,

calculate the time spent on a task based upon the corresponding task-rank received from the at least one of each of the plurality of employees, such that the time spent on the first task is a function of a square of the first task-rank divided by a sum of the squares of each of the task-ranks corresponding to the tasks associated with the selected transaction type, further multiplied by a predetermined number of time units,

determine a cost associated with each of the tasks that are associated with the selected transaction type based on said cost data and said time spent; and

generate a report comprising the determined cost associated with each of the tasks.

10. The system of claim 9 wherein the computer processor is configured to calculate the time spent by calculating a number of hours per week on a task.

11. The system of claim 9 wherein the computer processor is further configured to calculate a cost associated with a task.

12. The system of claim 11 wherein the computer processor is configured to calculate cost associated with a task by aggregating the cost associated with the task for the plurality of employees.

13. The system of claim 9 wherein the plurality of transaction types comprises new business, renewals and endorsements.

14. The system of claim 9 wherein the tasks associated with the selected transaction type are designated as a core task or a non-core task, the core task comprising directly affecting the underwriting activity, the non-core task leading to the underwriting activity;

and

wherein the report further indicates whether each of the tasks associated with the selected transaction type is a core task or a non-core task.