Intelligent content capture the art of saving a million keystrokes and millions in annual costs

Paragon Solutions, Inc. Proprietary and Confidential

April 12, 2011

Intelligent Content Capture:

The Art of Saving a Million Keystrokes

and Millions in Annual Costs

Paragon Solutions & EMC


- 2 -

Agenda

Martha Coacher, Vice President Corporate Marketing & Alliances,

Paragon Solutions

• Review of Agenda and Introductions

Mike Hurley, Solutions Director, Paragon Solutions

• What is Content Capture and Why is it Important?

• What a Typical Project Looks Like

• Case Studies

• How to Implement a Content Capture Solution

• Benefits

Bill Galusha, Principal Product Marketing Manager, EMC Captiva

• Overview of Intelligent Enterprise Capture

• Use Case Demonstration

Q&A


- 3 -

Paragon Solutions’ Introduction

Corporate Facts • National Coverage

• Global Clients

• NJ Headquarters

• Dual-shore Development

• CAGR 20+%

• Privately owned, 29-year history

Paragon is an enterprise information management

solutions company that helps firms leverage information

assets to achieve better business results.


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A Preferred Partner of EMC

INSURANCE & HEALTHCARE LIFE SCIENCES FINANCIAL

Paragon Solutions, Inc. Proprietary

- 5 -

Mike Hurley

Solutions Director, Paragon Solutions


- 6 -

Intelligent Content Capture

The transforming of paper documents, faxes and other content into digital data used by enterprise applications. • Classification and extraction using

OCR, ICR, OMR and barcode. • Semi-automated, templates,

semi-structured. The capture market continues to

grow at a rate of about 7% annually and should exceed $2 billion in 2011.


- 7 -

The Rationale for Intelligent Content Capture

• ROI in 12 months • Low-risk

Investment • Better

Information Access

• Compliance • Green Initiatives

Source: EMC/AIIM Survey

Despite the compelling benefits, most organizations are only scanning 50% of all possible

documents.


- 8 -

Uses for Intelligent Content Capture

• Policy Claims • Accounts Payable • Invoice Automation • Mortgage Documents • Human Resources

Insurance Carriers’ adoption of capture soared last year – up 30% -- moving closer to the initial point

of capture.


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Digital Office Reducing Paper Costs and Compliance Risks

Capture for Business Processes Addressing Line of Business

Paper Challenges

Transactional Solutions Solving Case-based

Applications and Solutions

Digital Mailroom Leveraging Automation to

Increase Productivity

Degrees of Capture Solutions

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Incoming

Paper

Approval

Fax

E-mail

Office

Docs

DOC

Today’s Mailroom Process

C:/../../../../../Application Data/eRoom/eRoom Client/V7/Application Data/eRoom/Input Accel EMC Captiva/Modules/Capture/Modules/Import Modules.ppt

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DELIVER PROCESS CAPTURE

Incoming

Paper

Fax

E-mail

Office

Docs

DOC

10010 Acme Products 30 January 2008 $ 6,014.81 $ 6,025.88 Net 30 Days

ACCOUNTS PAYABLE

CUSTOMER SERVICE

NEW ACCT OPENING

CASE MGMT

Approval

Digital Mailroom Process

C:/../../../../../Application Data/eRoom/eRoom Client/V7/Application Data/eRoom/Input Accel EMC Captiva/Modules/Capture/Modules/Import Modules.ppt


- 12 -

Case Study #1

Business Overview

• $1 billion in annual revenue

• 1,650 bills/ 35,000 claim docs

• 43 sorts

• 35 Branch Offices

The Solution

• Analysis, Design and

implementation

• 1,400 forms automated

• Automated, rules-based WF

• Single ECM repository

• Consistent RM policies

Business Benefits

• Productivity : 45% increase

• TAT: 2 Days

• Savings: 35%+ reduction in cost/claim, $1.5 million savings/year

• Single Point of the Truth: Claims central ECM and RM


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Case Study #2

Business Overview

• Health Insurance Payer

• 550,000 members; 850 FTE

• 9000 paper claims/day

• Complex prep, multi-sort process pre-data entry

• Manual entry into multiple systems

The Solution

• Automated capture of all claims data with IBMLs

• Auto-validation of key fields

• Business rules direct processes

• Auto-generation of letters

• Single repository for all docs

• Enforceable RM policies

Business Benefits •Productivity: 60% increase •TAT: 3 days of receipt •Savings: 30% reduction in cost/claim •Errors: 75% reduction in rates •Single Repository: Central access for all docs (Find documents logically)


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Best Practices Implementation Strategy

Prioritization Business

Case

Blueprint Assessment

How to Implement a Digital Mailroom


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Efficiency Maturity Model

Maturity Scale

High

Low

OPTIMIZED

MANAGED

DEFINED

REACTIVE

INITIAL

Awareness of risk issues but no

action is being taken

Org

aniz

atio

nal

Eff

icie

ncy

Low Efficiency

Moderate Efficiency

High Efficiency

Action occurs in response to issues. Actions are either

system or department

specific

Information developed is part of the IT charter and enterprise management

processes

Information managed as

enterprise asset and well-

developed engineering

processes and organization

structure exists

High Low

Information is developed is a

strategic initiative, issues are either

prevented or corrected at the

source, and best-in-class solution

architecture implemented.


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Assessment and Business Case

• Define cost estimates for selected initiatives

• Define estimated cost savings / revenue growth

• Develop business case

− B/E

− ROI

• Define improvement

opportunities.

• Define prioritization

criteria and weight

appropriately

− Risk

− Client impact

− Unit Cost / cycle time

− Cost

• Develop the Future State

process vision including

process flows and

functional capabilities.

• Identify external systems,

application integration

requirements.

• Interview business and

technical stakeholders.

• Document / validate

existing processes.

• Conduct technical

assessment of existing

technology assets.

• Determine integration

requirements.

• Conduct functional

requirements analysis.

• Summarize key functional

and non-functional

requirements.

Assess Requirements Define Overall Future State

Establish Prioritization

Develop Business Case

Define Roadmap

STAGE 1 STAGE 2 STAGE 3 STAGE 4

• Define roadmap for key process / organization / change management and technology initiative

• Develop the implementation strategy

− Milestones / dependencies

− Identify transition plan

STAGE 5


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Benefits Estimates

Current State Processing Analysis

Process Title Transaction Volumes (Yearly)

Current State Process Time Per Task

Current State Process Time Total

Current State Process Cost per Task

Current State Process Cost Total

Current State Elapsed Time Estimate

Email/Mail Intake 37,200 8 4,960 $2.67 $95,200.00 1-2 Days

First Notice 8,649 180 18,362 $175.53 $1,036,245.06 10-15 Days

Payment 31,969 87 28,817 $85.00 $1,537,063.61 5-10 Days

Reserve 53,472 48 40,137 $40.98 $1,973,921.96 10-15 Days

Update 8,500 113 16,008 $143.13 $1,216,633.33 N/A

Close 16,032 22 5,880 $16.17 $259,232.50 N/A

114,163 $6,118,296.47


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Benefits Estimates

Future State Processing Analysis

Process Title Future State Process Time Per Task

Future State Process Time Total

Future State Process Cost per Task

Future State Process Cost Total

Future State Elapsed Time

Email/Mail Intake 3 1,820 $1.10 $40,040.00 .5 Days

First Notice 154 14,904 $166.39 $946,969.77 2 Days

Payment 64 16,126 $66.29 $868,949.01 2-5 Days

Reserve 26 20,397 $26.40 $1,199,075.46 2-5 Days

Update 97 13,742 $122.87 $1,044,366.67 N/A

Close 13 3,474 $10.75 $172,347.80 N/A

70,462 $4,271,748.70

Annual Variance 1,846,548

Paragon Solutions, Inc. Proprietary

- 19 -

Bill Galusha

Principal Product Marketing Manager, EMC Captiva

20 © Copyright 2011 EMC Corporation. All rights reserved.

THE HIDDEN SECRETS OF

OCR: ART OF SAVING A

MILLION KEYSTROKES

Bill Galusha

Principal Product Marketing Manager


TAKING ENTERPRISE

CAPTURE TO THE NEXT LEVEL

Unlock the Value of Capture and

Achieve a Greater ROI


Intelligent Enterprise Capture

EMC Captiva transforms paper from a liability

into immediate business advantage

• Capture Anything, from Anywhere

• Intelligently Connect Document Information to

Business Systems

• Mission-critical Enterprise Scalability & Availability


Intelligent Enterprise Capture Considerations

Capture Anything, from Anywhere 1


AD HOC

CAPTURE • knowledge workers

• desktop scanners

CENTRALIZ

ED

CAPTURE • mailroom

• dedicated scanning

DISTRIBUTED

CAPTURE • branch or regional offices

• field offices, customers

• web-based scanning

• scanners and mfp

Capture Anything, from Anywhere


centralized batch capture

fax server integration

ad-hoc desktop capture ad-hoc browser-based capture

networked mfp capture

e-mail integration





Intelligently Connect Document Information to Business Systems

1

2


Intelligent Document Recognition Eliminating manual document preparation

AUTOMATE

D SORTING

FULL-PAGE

IMAGE

TEXT-

BASED

ANALYSIS

PRECISION

ANCHORS

HAND-

WRITING

FULL-PAGE

IMAGE

TEXT-

BASED

ANALYSIS

PRECISION

ANCHORS

HAND-

WRITING


Doc Set 4

Doc Set 1 Claim folder: 0045128

Doc Set 2 Doc Set 3 Claim Folder: 0045670

Addressing Complex Document Sets

• Automatically organize

documents into multiple

levels

• Single and multi-page

docs plus attachments


Intelligent Data Recognition Dramatically reduces operational costs through automation

• Highly accurate,

automated machine-

printed and hand-

printed recognition

• Automated data

extraction from both

zonal regions and

intelligent freeform

rules


Intelligent Data Extraction

SSN

ID #

Date

555-44-3333

369-6123

04/08/08

SSN

ID #

Date

555-44-3333

369-6123

04/08/08

Extracts data from all

document types using zonal

or freeform data extraction

Identifies regular patterns

and data formats to

increase accuracy


Intelligent Data Extraction and Automated Data Validation

SSN

ID #

Date

555-44-3333

369-6123

04/08/10

Compares extracted data

against data sources,

business rules, or inspect

manually


Intelligently Connect Information

Intelligent Capture

Other Systems

Electronic Images

Document Metadata

Extracted Data

Trigger Processes

Electronic Images

Document Metadata

Extracted Data

Trigger Processes


Configuring Capture Projects Automated versus manual

Learn documents in production

• Learns based on operator input, data

captured, free-form rules

• In production on day one, rather than

days or weeks later

Manual setup of projects

• Collect documents, set up document

templates, create extraction zones

• Test and retest projects

• Days or weeks before entering

production

Document Capture Project Administrator

Operators

NE

W




Intelligently Connect Document Information to Business Systems

Mission-critical Enterprise Scalability and Availability

1

2

3


mailroom

Accounts Payable

Claims

Enterprise Capture Availability Leverage single platform throughout enterprise

• Very High Document Volumes

• Central and Distributed Capture

• Automatic Document Sorting

• Ad Hoc and Distributed Capture

• Intelligent Data Extraction

• Integration with Business Systems

• Branch Office Distributed Capture

• Automated Forms Processing

• Integration with Business Systems


The Value of EMC Captiva Intelligent Enterprise Capture

• Reduce operating costs

• Reduce paper costs

• Accelerate business processes

• Improve information quality

• Fast and measurable ROI


Demonstration


Question and Answers

To type a question via WebEx, click on the Q&A tab


Additional Information and Contacts

Paragon Solutions Contact Mike Hurley, Solutions Director

Email: [email protected]

Phone: 773.445.0084

EMC Captiva Contact Andy Strandmark, Captiva Sales Specialist

Email: [email protected]

Phone: 312.208.2524

mailto:[email protected]

mailto:[email protected]


THANK YOU THANK YOU