Financial Performance Management at Mensura. Lessons Learned. Business Meets IT 20/06/2013

Transcription

1 Financial Performance Management at Mensura Lessons Learned Business Meets IT 20/06/2013

2 Mensura = 4 Activities Insurance Occupational accident insurance for employers (legal obligation) Additional cover (above & beyond legal maximum) Guaranteed income insurance Nr 3 in occupational accident insurance in the private sector More than 30,000 customers 5,000 brokers Prevention & Protection at Work Health Supervision Risk Management Absenteeism (Market leader; > 4,500 customers) Medical checks (> 165,000 per year; 300 examining doctors) Work attendance Child Allowance 14,000 affiliated members & 60,000 beneficiaries 2

3 Some history (1/3) 1904 ASSUBEL AT APRA AT 2005 ASSUBEL NV/SA APRA Ongevallen NV/SA ASSUBEL-APRA Mensura GVK/CCA Mensura NV/SA Mensura NV/SA June 2008: Start new CFO 3

4 Some history (2/3) MSR Famedi APRIM Gedilo IK Semisud MSR Famedi Gedilo-IK Mensura EDPB ENCARE Prevent 2008 ENCARE Prevent 2009 Mensura EDPB June 2008: Start new CFO 4

5 Some history (3/3) 2003 APRA Controle Médical ASBL Gecoli 2005 Gecoli - CCM 2006 Mensura Contrôle Médical ASBL 2006 ENCARE Absentéisme ASBL Mensura Absentéisme ASBL June 2008: Start new CFO 5

6 Situation in June 2008 Finance department = collection of small islands due to lack of integration after numerous mergers. Each entity has its own little finance team => fragmentation of resources => lack of talent and professonalism Total lack of uniformity: Different systems Different charts of accounts Different (or no) use of cost centers Everybody does their thing in terms of budgeting and reporting Controlling and Financial Performance Management = weak Controller at GVK/CCA tries to fill the role of Group Controller but is not up to the task Lack of system & processes: Excel is only available tool No instructions regarding reporting budget forecast A lot of work & stress but with little relevant output 6

7 Actions taken Establishment of Mensura Support ESV in order to centralise all support departments (Logistics/Real Estate, IT, HR, Finance, Marketing, etc ) with the objective to maximise synergies. Centralisation of Finance department in Brussels + recruitment of talent to address weak areas: Wave 1: Group Controller Chief Corporate Accountant Asset Manager Wave 2: Financial Analyst (in support for the Group Controller) 3 Accountants 2 Financial Analysts (in support for the Asset Manager) Goodbye for weak elements (early retirement, exit, internal transfer) 7

8 Actions taken Maximum standardisation: One platform for the accounting of the different entities Standard Chart of Accounts 1 for the insurance entities 1 for the other entities Standard Management P&L Standard list of cost types (limited number) Uniform set of cost centres (valid for all entities) Investment in OLAP Software (IBM Cognos TM1) + Implementation of: Interface with accounting system Interface with payroll system Application for standard management reporting Application for budgeting & forecasting With expert help from 8

9 Actions taken Implementation of Performance Management Process: 5-Yr Plan / Budget / Forecast Monthly Variance Analysis Monthly Reporting to Management Team Quarterly Reporting to Board of Directors Roles & Responsibilities Standard Format & Templates Planning & Due Dates Info Sessions Strict Follow-up New Timing vr/het Process v 5-Yr Plan Jun Jul Aug Sep Oct Nov Dec Jan Feb Mrt Apr Mei Jun Jul Aug Sep Oct Nov Dec Jan Feb Mrt Apr Budget Process Budget 2011 Input Technische Lijnen Fin.Resultaat + Reslt. Patrim. OPEX Consolidatie + Discussie Versie 1 Aanpassingen + Input Versie 2 Consolidatie + Discussie Versie 2 Aanpassingen + Input Versie 3 Consolidatie + Discussie Versie 3 Finale Aanpassingen Audit Comité + RvB 5YP Process 5-Yr Plan YP 2012 Budget Process Audit Comité / RVB Budget YP Process 5-Yr Plan W4 W5 W6 W7 W8 W9 W10 W11 W12 W13 W14 W15 W16 W17 2 9

10 Why IBM Cognos TM1? Data resides in internal memory of central server Real-time calculations (very fast) Interactive flow of data in two directions Very good interface with Excel Flexible and user-friendly Ease of implementation Solid security + Audit trails VPN Excel OR TM1 Web Excel LAN Internal memory TM1 Server TM1 Web 10

11 Why Aexis Belgium? 30 Years of experience Consultants with proven expertise Partnership relationship Hands-on and Can Do attitude Single Point Of Contact for software, training, consultancy, and technical support Competitive pricing

12 System Demo 12

13 Lessons Learned The right software/system is important BUT is only one aspect of the solution Start from a comprehensive long term view But advance step by step with short term objectives & limited scope Start with the basics (go for the lowhanging fruit first) Make sure the CEO is on board Don t allow the IT folks to dictate the selection of software Standardise as much as possible Trial & error is often faster than endless analysis Design for flexibility and easy change Trial => Test => Improve => Test again! Communication & training (again & again) Team up with an implementation partner 13