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INSIGHTS / Case Studies

Managing Risk for Transformation Success

By Planit Testing / 
27 May 2021
INSIGHTS / Case Studies

Managing Risk for Transformation Success

27 May 2021

Using testing to mitigate the risk associated with completely replacing a health fund’s core legacy systems.

Problem

The legacy core systems of this not-for-profit health fund served its needs well for over two decades. However, this setup was now limiting it from being more innovative and providing a better customer experience in the connected age.

Looking towards the future, they wanted a system that could provide a single view of customers to enhance membership, enable them to offer new products rapidly, manage on-demand pricing updates, and deliver better claims processing and customer communication. They also wanted a solution with a simplified architecture for lower cost of enhancements and changes, and offered functionality that can be expanded in the future.

This would not be achievable with a simple upgrade but would instead require a large-scale business transformation. After thoroughly exploring various options, the health fund realised its core private health insurance and CRM systems would need to be replaced, while its claims processing systems and enterprise-wide scanning solutions be re-engineered.

A business transformation like this comes with a high risk. As a not-for-profit organisation that puts the needs of the customer at the centre of its business model, it was imperative that the core systems transformation was delivered on-time and at a high level of quality, making the transition as transparent and trouble-free for the customer as possible.

A transformation of this scale and complexity required a quality assurance delivery team with the experience to ensure a robust risk-based approach, and the flexibility to meet the variable resource demands throughout the lifecycle. The health fund was not scaled to meet these requirements within its own organisation, and therefore looked to a third-party supplier for support.

Solution

The health fund engaged us for our extensive expertise in delivering quality assurance of CRM system transformations, as well as our experience working for similar health fund industry clients, such as Medibank and ahm. They also realised they could benefit from our flexible resource engagement model that ensures cost effective and ‘right-scaled’ delivery.

We understood the health fund’s need to deliver a high-risk transformation at high velocity to seamlessly integrate IT delivery with business milestones. To enable this, we tailored their best-in-class quality assurance methodology to align to the Agile delivery methodology. Our proven risk-based quality assurance methodology is based on the international ISO/IEC/IEEE 29119 standard with an emphasis on business and technical risk to identify and prioritise testing scope.

Our best-in-class risk-based quality assurance approach accurately assessed the health fund’s business and technical risks. This allowed us to define and prioritise testing activities that provide cost efficient risk mitigation, such as:

  • Prioritise testing of high-risk features to identify critical defects early
  • Ensure milestones are met by prioritising test activities according to risk
  • Provide business a clear view of quality risk throughout transformation project

By undertaking a risk driven approach, all stakeholders were fully informed of quality risks and had confidence of the product quality for go-live.

The nature of the risks required a comprehensive strategy that covered system testing, System Integration Testing (SIT), User Acceptance Testing (UAT), and performance testing.  Delivery efficiencies were achieved through functional automation at all levels. Due to the scale of the transformation, we were responsible for coordinating, managing, and delivering testing across multiple business and technology streams.

Our robust delivery methodology was combined with a flexible resourcing model that ensured we had the right resources, at the right scale, at the right time. This meant our headcount on the project went up to 65 people to become more than 20% of the entire delivery team.

A hybrid onshore/offshore resourcing model allowed us to seamlessly scale resources during peak delivery periods whilst also mainlining the collaboration benefits of onshore resourcing. This provided the health fund with the necessary testing expertise at an efficient cost point unachievable with other vendors.

Our offshore delivery team played a significant role in increasing testing capacity at short notice. By extending the test execution window to 15 hours a day, we were able to provide fast turnaround of test results in preparation for the following day’s delivery planning sessions.

Outcome

We were able to help the health fund achieve its business transformation by providing best-in-class quality assurance services through a flexible engagement model. This capability enabled the fund to release its software on-time and with low defect leakage.

Flexible onshore and offshore resourcing enabled us to provide the right resources at the right time. Resources were scaled up during peak times to provide higher delivery capacity and scaled down when capacity requirements were reduced to ensure delivery cost efficiencies.

We utilised our industry leading automation capability to implement a functional automation strategy that delivered ongoing delivery efficiency early in the engagement, as well as established a robust automation framework for ongoing usage.

Our automation expertise was used throughout testing to drive both cost efficiencies and scope coverage. As an example of this, automation was used to reduce effort of manual data migration testing by over 60% and saved $500,000.

Our automated data migration approach, which analysed and pinpointed any differences, ensured millions of customer records were migrated correctly from 192 source system tables to 202 target system tables over 50 Sprints. We also managed and tested 13 full data refreshes for the entire program using test automation.

Over 2,000 automated test cases were created in total, which were then reused to create a comprehensive regression test suite. This suite was executed on a regular cadence to provide fast feedback of build quality, and continues to be used in this capacity to deliver ongoing savings.

Our in-house knowledge management and resource allocation processes ensured expertise was retained and experienced employees were re-engaged. By upskilling the health fund’s resources, we enabled them to take over many of the testing initiatives we had implemented and continue realising the same quality outcomes and savings.

Go-live with speed and confidence

At Planit, we are experts in quality engineering and assurance. We understand the core technologies that drive modern business and help our clients navigate these complex implementations, accelerating quality and assuring success.

Find out how we can help you achieve your implementation goals and go-live with speed and confidence.