Project Organization Structure

for the Acquisition & Implementation of

Core Insurance Solution

Bunna Insurance S.C

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 Introduction

 The Bunna insurance S.Co. Is intending to fully computerize its

core functions (Non-life insurance) through implementing the
core insurance solution
 The implementation of the project passes through different

phases
 Responsibilities of the Bunna Insurance S.Co. and Software

vendor.
 The document specifies different parties/stakeholders that

shall be involved in the implementation of the project and their

respective responsibilities

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 Project activities

 Pre Project activities before Selecting Core Insurance Software

Vendor

 Project activities after Selecting Core Insurance Software

Vendor

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 Pre Project activities

1. Information Technology Project structure formation (two

Weeks )
◦ IT Steering Committee formation
◦ IT Project Office formation
◦ User Group Formation
2. Requirement Specification Document (RFP)
Preparation( Two months)
◦ Establishing RFP Preparation Team
◦ Bid document preparation for Core Insurance Application project
◦ Bid document preparation for Hardware and network infrastructure
project
3. Bid Document Floating ( Two months )
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 Pre Project activities
4. Technical Evaluation ( One month )
◦ Forming Technical Evaluation Team
◦ Prepare bid evaluation Matrix
◦ Technical Evaluation on Document Level
◦ Demonstration guild line and test case or scenario preparation
◦ Technical Evaluation on Demonstration Level
5. Financial Evaluation ( One Week )
◦ Forming Financial Evaluation Team
◦ Finalizing Technical and Financial Evaluation
6. Conducting Site Visit on the selected vendor ( One Week )
◦ Prepare site visit interview Questioners
◦ Head office, Development site and Implementation site (both local
and international)
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 Pre Project activities
7. Inviting the selected Vendor for negotiation ( One week)

8. Contract document Preparation (Three Weeks )

9. Conducting Negotiation ( One Month )
◦ Technical Negotiation
◦ Financial Negotiation
◦ Contractual Negotiation
10. Awarding the contract ( One day )
11. Contract signing ( One day )

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 Project Activities(Major Milestones)

Phase 1 - Project kick-off Meeting

 is the first meeting between the project team of the vendor and

the client
 The meeting would define the major phases of the project and

introduces members of the project team of the client and the

vendor
 It provides the opportunity to discuss the role of each team

member
 the detailed project plan, project charter, risk plan, change

management procedure, status reporting format, quality

assurance procedure, responsibility matrix, etc., will be presented
and discussed.

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Phase 2 - Hardware and software acquisition and implementation

 Refers to procurement, installation and configuration of the

required hardware, software, storage, tape library, etc., for the
implementation of core insurance system.

 This phase of the project need to be completed and ready

prior to the installation and deployment of the UAT ready
version of the Core insurance Application.

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Phase 3 Requirement Specification Document
(RSD) Preparation
 Gathering and documenting the requirement specifications/
business process and rules of the functional, non-functional,
reporting, and data migration requirements through document
analysis and interview/discussion with each users group
 Conducting user workshop/discussion forum/ which helps to get
comments from business experts of the company on the
gathered requirement specifications (if required).
 Signoff the RSD
◦ including functional, non-functional, reporting and data migration
requirements
 Preparation of the GAP analysis

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Phase 4 - System setup, configuration,
customization and internal testing
 This task will be performed by the vendor based on the RSD
 Internal testing by the vendor (unit testing, integration
testing, system testing, alpha and beta testing,)
 Quality assurance

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Phase 5 - Preparation of acceptance test case / criteria and test data
 Test case shall be prepared for functional, non-functional,
reporting and data migration requirements stated in the
Requirement Specification Document.
 For each test case, the required test data shall be prepared

which either extracted from the actual file or using the

hypothetical data.
 The preparation of test case and test data is entirely the

responsibility of the BIC

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Phase 6 – Arranging Training and Testing Venue

 refers to arranging and making ready the training and testing

environment/testing venue/ at BIC site

 including availing the required number of computers,

printers, servers, o/s, DBMS, etc., and network connectivity

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Phase 7 Installation and Deployment of Core
insurance Application and ERP

 This refers to the installation and deployment UAT ready

version of Core insurance Application and ERP on training and
test servers.

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Phase 8– Technical (IT) Staff and Super Users
Training

 refers to training of the IT staffs and Super users/users

group/ on UAT ready version of Core insurance Application
prior commencement of UAT testing.

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Phase 9– UAT (functional) testing-
 focus on the functionalities of the system thereby validating
the fitness-for-use of the system by the business users.
 Conducting user acceptance and data migration testing by

each respective users group

 Modification of the system based on UAT test result
 Signing off the user acceptance testing after all the reported

defects are cleared

 Issuance of UAT certificate

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Phase 10 - Installation and deployment
 After completion of UAT testing, UAT certified/production/
version of the application shall be installed and deployed on
the production environment

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Phase 11 – Operational and performance testing
( Non- functional testing)

 validates whether the system is ready for operation and this type
of test is usually performed by the IT team / system
administrators
 it includes testing of
 security vulnerability testing,
 performance/response time/ testing,
 flexibility testing including flexibility of the reporting tools and completeness of
published meta data, etc.,
 inter-operability testing,
 maintainability testing,
 reliability/correctness/testing,
 usability testing /ease of use
 recoverability testing,
 remote processing capability testing,
 completeness of query tools, etc., 17
Phase 12 - End users and Managers training
 Conducting end users and managers training on UAT certified
version of Core insurance Application and ERP

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Phase 13 – Data migration
 refers to conducting of the actual data migration including
◦ Customer data
◦ Active policy
◦ Clam history
◦ Ledger balance
◦ Etc.

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Phase 14 – Go live

 At this stage all branches or selected branches will be using

this application

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Phase 15 – Handover

 User and technical manuals

 Application/object code of Core insurance Application written

on DVD

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Phase 16 – Operational support –
 Refers to providing operational support for three months after
go live. During the three months operational period, the old
system shall run in parallel with the new system.

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Phase 17– Issuance of Operational Acceptance
Certificate (OAC)
 OAC shall be issued after successful completion of all the
above stated phases.

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Project Organization Structure

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Automation Steering Committee (ASC)
 The Steering Committee, next to the Board of Directors, is
the highest approval body in the project organization and it
is composed of the following members

◦ Chef Executive Officer - Chairperson

◦ Deputy Chef Executive Officer - Member
◦ Manager, Business Development and planning - Member
◦ Manager, Finance Department - Member
◦ Manager, HRM and Property Administration - Member
◦ Manager, IT Department ` - Member
◦ Secretary

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Project Management Office (PMO)
 The Project Management Office is composed of the following
member (working on full time bases) and led by the Project
Manager.
 The PMO is accountable to the steering committee.
 The PMO shall comprises of the followings

◦ IT Manager - Project Manager– Leader

◦ System Administration Member
◦ H/W and Network administrator Member
◦ Database administrator Member
◦ General Insurance Business Analyst Member

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Users Groups
 The Users Groups are formed for each of the major units or
functionalities of the company.
 It shall constitute capable and experienced business experts

drawn from different work units.

 It is estimated that the project tasks may require the

participation of each users at least on half day basis.

 The users group that shall be formed, and members and

leaders assigned to each user groups are as listed hereunder.

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Experts assigned to the pool
 The experts assigned to the pool are those experts that are
knowledgeable but cannot be assigned to the project due to
their work load.
 However they are instead assigned to the pool and shall be

involved in the project as required to get their comment and

advice from their product knowledge and experience
 The followings are those that are assigned to the pool
(1) Leader
(2) Member
(3) Member

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Duties and Responsibilities of the Project Stakeholders

◦ Board of Directors
◦ The Steering Committee
◦ The Project Management Office (PMO)
 The Project Coordinator
 The General Insurance Business Analyst
 The System Analyst
◦ The Users Group
 Functional Users Groups
 Non-functional Users Group
◦ The User Group Leader
◦ The Logistics Team

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Duties and Responsibilities( Cont. )_

(1) Board of Directors

 Get monthly project progress report from the Steering Committee
(2) Steering Committee
◦ Consists of seven members ( from top mang. Group)Responsible of
 Reviewing and approving the following project mang. Documents
 Detailed project plan
 Risk plan
 Communication protocol and format
 Change management procedure
 Project governance structure
 Quality assurance procedure
 Responsibility matrix
 Staff schedule
 Project progress reporting format 31
Duties and Responsibilities( Cont. )_

Steering Committee (Cont.)

 Review and approve completion of the milestones including
RSD(BSM) Preparation
Users Acceptance test plan and test data preparation
Users Acceptance Testing (UAT)
Operational and performance testing
Data migration
End users training
Go live and parallel run

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Duties and Responsibilities( Cont. )_

 Steering Committee ( Cont)

◦ Responsible for
Review the progress of the project
Allocation of the required resource
Review and approve change request issues( if
any )
Resolve project conflicts, disputes, and
reconciling of differences of opinion

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Duties and Responsibilities( Cont. )_

Steering Committee ( Cont. )

Steering Committee meeting shall be conducted on every two
weeks on ______________
Receive project status report every week on Monday from PMO
For the Steering Committee meeting, the following documents
shall be circulated at least two days before the meeting
 Agenda for the meeting
 Minutes of the last meeting
 Project progress report
 Activity plan and any other relevant documents

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Duties and Responsibilities( Cont. )_

Steering Committee ( Cont.)

Discussion carried out on
Accomplishment against last meeting plans
Completed
Delayed
Not yet started
Upcoming weekly activity plan
New issues
Milestones review
Outstanding issues, open points, and project conflicts
Any other business

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Duties and Responsibilities( Cont. )_

 Steering Committee
The minutes of the meeting shall circulate in less than 3
days
Summary of the decision and action plan shall be
circulated in less than 2 days
Submit project progress report to Board of Directors
within five days after end of every month
Obtain company experts opinion on each milestones

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Duties and Responsibilities( Cont. )_

(3) Project Management Office (PMO)

Accountable to the Steering Committee
Consists of five members of both IT, and business experts
Members are full time assigned to the project
Responsible of
 Act as single point of contact for communication with the vendor
 Coordinate the preparation of project management documents
 Coordinate and assist the users group in the preparation of the
RSD and confirm its completeness

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 Project Organization (Cont.)
PMO ( Cont.)
◦ Assist the users group in the preparation of the test case
and review its completeness
◦ Follow up the acquisition, installation and readiness of the
network, servers and storage infrastructure before UAT
◦ Coordinate the business users and IT staffs training
◦ Coordinate the user acceptance testing
◦ Coordinate the data migration activities

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 Project Organization (Cont.)
PMO ( Cont. )
Undertake operational and performance testing on the
basis of the non-functional requirements
Coordinate the parallel run
Propose the policy, procedure and job descriptions that
need to be modified due to the IT implementations
Follow-up the project progress and report weekly to the
Steering Committee
Request the required resources

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Project Organization (Cont.)
PMO ( Cont. )

 Provide orientation to the users groups on each milestones

 Compile the up coming week activity plan of each users group

on every Friday and discuss on it on every Saturday

 Communicate the up coming weekly activity plan to each users

group on every Monday

 Compile weekly project progress report of each users group on

every Friday

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Project Organization (Cont. )
PMO ( Cont. )
 Conduct weekly project meeting with the vendor representative on every Saturday
 In the project meeting, discuss on the status of each project tasks
 Completed tasks
 On schedule tasks
 Behind schedule tasks
 Cancelled tasks
 In the meeting the following document shall be discussed
 Minutes of the last meeting
 Previous week activity plan
 Progress report
 Upcoming week activity plan, and any other documents

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Project Organization (Cont. )

PMO (Cont. )

Leader of each users group shall attend the weekly PMO project
meeting

Submit the weekly progress report along with the PMO minutes to
the Steering Committee on every Monday

Sign a protocol with the vendor for the delayed activity

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Project Organization (Cont. )
 Functional Users Group
 Functional and non-functional users groups
 Each users groups are accountable to the PMO
 Each users group shall have a group leader
 Each members of the users group shall have a job
assigned from the group leader
 Assigned on half day basis
 The following user groups will be formed
 Underwriting and intermediary users groups (8 )
 Claim and Engineering Users Groups (4)
 Reinsurance users groups (2)
 Finance and shareholder account users groups (4)
 MIS users group (3)
 ERP users group (3)
 Non-functional/software quality /users group(4)

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 Project Organization
Users Groups ( Cont. )
 Audit Users Group (5)
 Logistics Team ( 3)
◦ Duties and responsibilities
 Explain the business rules of each product and functionalities
 Compiling the requested documents
 Capturing the functional requirements as per given template
 Reviewing the completeness of the requirement specification by the peer and
the group leader before forwarded to the PMO
 Each members of the users group shall be assigned to prepare the test case and
test data for the specific product or functionalities
 The test case and test data prepared by each members shall be review by its
peers and also by the group leader

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 Project Organization
Duties and responsibilities ( Cont. )
Each members of the users group shall conduct UAT
( validation 1, and validation 2) on the specific product or
functionalities
The PMO office shall assist each users groups during the
UAT
Submitting the user acceptance test result and follow-up
clearing of any defects if any
Signing a protocol at completion of each milestone
( including RSD, Acceptance test plan and test data, UAT,
Data migration, etc. )
Providing training to end users
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Project Challenges
 Forgetting major requirements during RFP & RSD preparation
 Foreign Currency
 Delay of Hardware
 Staff turnover
 Delay in decision
 Office building
 Lack of Motivation
 Vendor may liquidate

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Thank You

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