A global business process outsourcing firm hired to administer pension and benefit plans for an American automobile manufacturer was experiencing service delivery problems. Ongoing bargaining and acquisitions were complicating the manufacturer’s already complex plan provisions, resulting in some miscalculations by the outsourcing firm. The manufacturer was losing confidence in the quality of the outsourcing firm’s work. SBA was engaged by the outsourcing firm to perform a review of its client’s pension and benefit plans.
SBA delivered the following scope of services:
- Reviewed the plan requirements and tested specific scenarios selected from actuarial calculations from the past few years
- Reviewed the general retirement process for the pension plans
- Tested validation of benefits eligibility and coverage amounts for key benefit programs offered by the company
- Performed a conceptual review of the outsourcing firm’s data integrity tool
- Maintained active dialogue via weekly progress updates that answered questions and reviewed findings, ultimately avoiding “surprises” at the end of the project
- Developed a report summarizing findings and suggesting areas of focus and enhancement
SBA, in dialogue with the outsourcing firm, determined areas of improvement that needed correction or enhancement. The comprehensive calculation and process review gave the manufacturer confidence that its administrator’s service delivery issues were limited in scope and correctable and that the overall quality of the outsourcing firm’s administrative services was high.
