Why has Applied Systems's Epic policy management system seen a 15% drop in new user activations over the past quarter?

Introduction

The 15% drop in new user activations for Applied Systems's Epic policy management system over the past quarter is a concerning trend that requires immediate attention. To address this issue, I'll employ a systematic approach to identify, validate, and resolve the root cause while considering both short-term fixes and long-term strategic implications.

Step 1

Clarifying Questions (3 minutes)

• Looking at the timing, I'm thinking there might be seasonal factors at play. Has this 15% drop been compared to the same quarter last year?

Why it matters: Seasonal trends could explain the fluctuation and impact our approach. Expected answer: Yes, it's been compared and the drop is still significant. Impact on approach: If seasonal, we'd focus on year-over-year comparisons rather than quarter-over-quarter.

• Considering user segments, I'm curious about the activation rates across different customer types. Has the drop been consistent across all user segments, or is it more pronounced in specific groups?

Why it matters: Identifying affected segments helps pinpoint potential causes and tailor solutions. Expected answer: The drop is more significant in small to medium-sized insurance agencies. Impact on approach: We'd focus our investigation on factors specifically affecting smaller agencies.

• Thinking about recent changes, have there been any significant updates to the Epic system or onboarding process in the past quarter?

Why it matters: Recent changes could directly impact new user activations. Expected answer: A new user interface was rolled out two months ago. Impact on approach: We'd investigate the impact of the UI change on user experience and activation rates.

• Considering market dynamics, has there been any notable shift in competitor offerings or marketing strategies recently?

Why it matters: External market forces could be drawing potential users away. Expected answer: A major competitor launched an aggressive marketing campaign last month. Impact on approach: We'd analyze our competitive positioning and marketing effectiveness.