Friends Provident: Reengineering Customer Services

Customer services within Friends Provident, the 6th largest life insurance company in the U.K., was traditionally organised along function lines with deep mistrust between the back office and the front office (branches). However, since 1989, under the leadership of Roger Hallet, Friends Provident has made significant innovations in its structures and processes for servicing customers. The case describes these innovations, which include the creation of service centres to service all needs of a fixed set of customers, a shift towards multi-functional teams, increased focus on process management and the adoption of new technologies.

This case provides a useful basis for discussing innovations in organisational processes, structures and systems. In particular, it highlights issues related to: Process improvement and reengineering Process management Organisational implications of innovations in structures and processes Customer-focused organisations Organisational leadership and change management