RMIS-Web Risk & Insurance RMIS Article

"The Specialist Solution"

by David P. Duden

December 1997

One of the key trends discovered in a recent on-line survey of risk management information systems (RMIS) users is that their general satisfaction level is less than in other software market areas. Only 11 percent rated their satisfaction as very good or excellent; 48 percent said their satisfaction was fair or poor.

Several explanations are possible for these responses. First is the large number of organizations making changes at this time in their RMIS approach. With change comes a higher level of anxiety and, therefore, more concern over the performance of the RMIS system. Often during these transition periods, we find out once again how dependent we are on RMIS systems.

Certainly, the year 2000 problem is forcing many into a change that, at this point in time, might be a hurried process. Many vendors are being forced, for economic reasons, to abandon support of older technology. RMIS vendors simply cannot continue to support older technology, in part because finding staffers willing to work on older technology while the rest of the company is working on the newer technology can be a great challenge. In many cases, the new technology does not allow the same functionality as the outdated system.

The benefit of using a system that has been in the marketplace for more than five years is often lost among the magic of a graphical interface. And for many RMIS users, the promise of new graphical systems has fallen short. For some, the idea of having to use a mouse and a keyboard to operate a system is a time-consuming learning curve that does not always contain the expected benefits.

One of the potential answers to this low satisfaction level is matching the needs of an organization with the solutions provided by the RMIS. Many organizations assume the solution that was provided in the older technology world of text-based systems will be matched in the new graphical, Web-based client/server world of today.

Many of the system engineers I have spoken with say the skills of a programmer in the older technology do not always translate well to the newer technology, just as some "graphical" types cannot envision using the tools of the past. More than half of the RMIS vendors recently surveyed indicated that they will be using outside assistance for some of their development projects. Nearly all said they wished they did not have to go outside for assistance, but most felt it was a necessity.

Now we see the emergence of the potential answer to this dilemma; the need for specialists. Indeed, we will continue to see the development of specialists in the RMIS field. As we move toward a more common operating platform, the prospect of integrating multiple systems into a common solution is less intimidating. This year, we have already seen a trend toward using specialists, even among the vendors themselves.

The growth of specialists is upon us, and will continue, especially with the low cost of entering the marketplace with Web-based applications. Report writers, EDI software, medical management, and certificates of insurance are but a few examples of the ever-growing list of specialty RMIS products. More are sure to follow.

David P. Duden is the National RMIS Practice Leader and head of the RMIS-Lab at Deloitte & Touche LLP in Hartford, Conn. He can be reached electronically at dduden@dttus.com.