Capacity Planning Model for Information-Intensive Services: Example of Insurance Claims Operation

Provided by: Southern Methodist University
Format: PDF
This paper proposes a model-based approach for capacity planning in information-intensive services, one of the largest and rapidly growing segments of the economy. Using example of insurance claims, the paper notes that for most types of claims, their closing age is driven by delays in collecting information and not by the claims rep's inability to work when needed. The ability to work simultaneously on new and pending claims, and the flexibility to schedule work allows claims reps to smooth the fluctuations in daily workload caused by random arrival of new claims.

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