CRM Implementation Failure at Cigna Corporation

In 1999, Cigna HealthCare was operating with IT systems that were nearly two decades old and were clearly outdated. It had separate units for membership (enrollment), processing the medical claims and verifying customer eligibility...

Anania felt that the migration process for more than 13 million customers would take too long if she went by her plan of migrating customers to the new platforms in small groups...

The migration program was expected to continue throughout 2005. Anania said that she and her team had learnt a number of lessons from the project (Refer Exhibit IV for Steps for effective migration to new systems). According to analysts, the company was now processing medical claims quickly and had, to a certain extent, achieved its goal to reduce human intervention. However, the Cigna management did admit that the project had exceeded the original budget of US$1 billion and that it had already done a certain amount of financial damage to the company...