Topics: Insurance / Pages: 3 (520 words) / Published: May 23rd, 2012

JIT in Mutual Insurance Company of Iowa:

Mutual Insurance Company of Iowa has an insurance facility located in Des Moines. This office is responsible for the processing of the claims. This office receive daily2500 forms for processing of claim, but unfortunately few of them are processing ina day and claim processing time has increase from 10 days to 10 weeks…

Benefits after the JIT: * Both claim processing managers and employees are to be trained for the JIT principle. According to the principle responsibilities for quality control activities are moved to each employee, means each employee will responsible for the quality. * Data entry skills also taught to both managers and employees for the accuracy of the data that will reduce clerical errors. * Office facilities should be changed for the implementation of the JIT at MICI. In old processing system of claim, claim process was so long, but in the JIT system claims process will move only 3 processes that are1. 1. customer claim entry 2. accounting 3. Customer claims approval. * By using the JIT approach, no of worker for each claim is two-four, and all the180 worker are just working claim processing.

Mutual Insurance
The Mutual Insurance Company of Iowa (MICI) has an office facility in Des Moines, Iowa that processes MICI’s insurance claims for the whole nation (Heizer & Render, 2008, p. 662). Due to the company’s rapid growth, MICI is experiencing insurance claims processing problems to the point where there is an increasing backlog of claims and claimants threatening to pursue legal action (Heizer & Render, 2008, p. 662 - 663). The claims processing manager, Sally Cook, is going to launch a JIT approach in response to the lingering problems. Moreover, Sally is going to implement more standardization in claim forms, in the new claims processing department layouts, and will also develop extensive cross-training

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