Case Study: Use Outsourcing to Get Rid of the Things That Cause You Pain

Chip Johanni was an accounts payable manager at a large insurance company for close to 15 years before becoming a full-time continuous improvement consultant. His AP team had 40 AP associates, processed a million transactions a year, and sent out $79 million a day in disbursements. “In a department with that kind of activity, we had to look at outsourcing to get rid of the things that were causing AP the most pain,” he says. Pinpointing the Problem Areas In determining what to outsource,…