Saturday, April 4, 2015

A520.2.3.RB_MedleyKim_NCR vs. Word Processor


          In the video presentations, “Conflict Resolution – Part 1” and “Conflict Resolution – Part 2”, presented by How to Relate to People in Business (2008); herein referred to as How To, expected conflicts and how to reach a negotiated agreement are presented. Conflict, according to Whetten and Cameron (2011) “sparks creativity, stimulates innovation, and encourages personal improvement” (p. 376). One of the primary keys, outlined in the videos, is to turn from being an autocratic boss to one who persuades his or her subordinates and other parties (How To, 2008, Part 1). Rather than giving orders, which foster resentment, needs of followers need to be identified and met through empathy, “listening to someone until you understand their point of view and what motivates them”, asking subordinates for solutions, having bosses submit recommendations, and implementing a final agreement (How To, 2008, Part 1). It was in this context I was able to face and navigate negotiations as an underwriter for American Pioneer Life Insurance.
          I worked for American Pioneer for a period of twelve years, which spanned the late 80s and early 90s. Our primary method for communicating underwriting requirements to our agents in the field was to complete a pre-printed, five-part NCR form. It listed the underwriting requirements most often requested by underwriting. The idea was simple. An underwriter checked off the items needed to assess the risk presented by an insurance applicant, provided additional comments to the writing agent, and then sent copies to the writing agent, overriding agents, and regional managers. The problem that occurred was in order to use the NCR form, without making copies for the file or additional hierarchies, the underwriter literally had to exert enough pressure on the pen so that a clear carbon copy appeared through all five parts. This problem trickled down to the underwriting assistants as they were tasked with making copies for not only the files; they had to secure sufficient copies to mail to the managing agents. Often times, assistants stood at the Xerox machine for long stints of time. This caused workers from other departments to have to delay their own copy needs. Bottle necks were the norm in the Xerox room. Another problem presented by the NCR forms was that of legibility. Not every underwriter demonstrated excellent penmanship. As such, field agents often called the office to have instructions and/or comments interpreted by the assistants. Translating files pulled assistants away from other duties. I had been an underwriting assistant before climbing the organizational ladder to become an underwriter. I remember having to interpret various handwritings. The conflict was quite clear. How do we develop a process that alleviates the Xerox line, provides clear communication to the field, and still provides a streamlined method for underwriters to list underwriting requirements in each file? It was the answer that required information gathering, negotiation, implementation, and feedback (How To, 2008, Part 1).
          My role was simple. As an underwriter, I knew each underwriter had a unique handwriting. Although the NCR form had most of the requirements pre-printed; it was often necessary to write out additional requirements. Underwriters did not have typewriters; but, the assistance did. More importantly, they had computers that could be linked to the new word processing capabilities offered by data processing. Expecting assistants to roll each NCR form into the typewriter and type each note individually would cause substantial work-flow delays. We needed a uniform and expeditious manner that would provide a simple method for the underwriters and a typed method for the assistants. During the early 90s, word processors were in their infancy; yet, our data processing department had begun to experiment with an extended word processing capability. I brought this development to the attention of my boss, the vice-president of underwriting. He was old-school, in that he preferred hand-writing requirements to agents; however, I was able to persuade him to listen to my idea.
I took one of our NCR forms and sat down with the director of data processing. I explained to him the bulk of the wording for each requirement did not change. His word processing expansion looked to incorporate the use of five variable codes that when entered would print a pre-defined message. Our NCR form always included a paramedical examination along with the reason for it request. A code, such as PMD01, would indicate a paramedical examination was required based on the amount of insurance requested. By assigning specific codes to each requirement and allowing for the input of additional comments, underwriters were able to enter a code on the file worksheet, list additional comments on the file worksheet, send the file to the assistant, and have the assistant print a five part word processor form. When tested, there were technical difficulties at first; but, minor adjustments solved the problems. The real test was presenting this to the underwriters, assistants, and the regional managers for our agency force.
          As demonstrated in the second video (How To, 2008, Part 2), plans often times require revisions; and, my plan was not any different. When the boss called for a discussion and allowed me to present to proposed solution, empathy was required so that I could understand the concerns of all parties (How To, 2008, Part 1). A main concern was that of the existing worksheet, a part of the permanent file. It did not mirror either the codes or word processing product; thus, confusion was born. Managing agents observed the new forms did not list copy addresses as verification that managers had been copied on outstanding underwriting requirements. Those who preferred to write out requirements struggled with the new codes; but, were willing to make their own cheat sheets in order to provide better communication to the field agents. As I recall, we had only three meetings in total, with all parties, before reaching our final product. It was a welcomed change that decreased delays caused by Xerox lines, reduced our budget, as NCR forms were quite costly, and it promoted the use of new word processor technologies. The decision was not forced and neither was the conflict avoided (Whetten & Cameron, 2011). Underwriters, assistants, data processing directors, and managing field agents came together to address a problem in a rational and methodical manner. With negotiations that fostered listening to all sides of the story, subordinates submitting suggestions, bosses making recommendations, approving final agreements, and implementing changes, we were able to change forms to coincide with the codes, include addresses, keep codes simply for those who needed a cheat sheet, and develop a communication product that did not require translation or additional copies (How To, 2008, Part 1). In the words of Jeffrey Berman, we were able to “put the business’s interest” first and develop “a willingness to get the job done in the most efficient way possible” through negotiations that sparked and stimulated creativity and innovation and helped to make American Pioneer more of a healthy organization for its workforce and its field agents (How To, 2008, Part 1). 

References
How to relate to people in business. (2008, Feb. 10). Conflict Resolution - Part 1. [Video file].
How to relate to people in business. (2008, Feb. 10). Conflict Resolution – Part 2. [Video file].
Whetten, D.A., & Cameron, K.S. (2011). Developing Management Skills. (8th ed.). Upper Saddle
          River, NJ: Pearson Education, Inc. 

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