Life insurance company Demerara Mutual is expected to save approximately $4.7 million this year after launching an initiative late last year to reduce the use of paper via new technological features, the company’s Mar-keting Manager Clarence Perry has said.
In October last year, Perry had explained that the launch of a revamped website, client portal and a document management system had resulted in the company embarking on a path to going green by applying ecofriendly business principles and significantly reducing their use of paper on a daily basis.
Giving an update on the progress of the initiative, Perry told Sunday Stabroek that since the launch, the company has noted a reduction in its printing and stationery costs, as well as the amount of money it spends to courier documents to its other branches in Grenada, St. Lucia and St. Vincent.
“Last year we would’ve spent $11.8 million approximately on printing and stationery and we project to spend about $8.4 million this year, which is a 28.5% reduction. For courier, it’s even more significant and that is because of the new system now that you can have various people working on a document without having to print it. For that, in 2018 we spent $3.2 million and we are now projecting only to spend $1.9 million, which is a 41% reduction in cost for that,” Perry explained.
He said that while there are other areas they have noticed revenues being saved, the printing and stationery and courier costs account for the majority of the savings for the company. He added that they have also recognised that there is a reduction in the need for human processing as they are moving towards a more digital-type operation.
“So I would say in terms of immediate impact, these two items are clearly visible. The other thing too that we may not be able to quantify, but hopefully will lead to increased revenues, would be the satisfaction the customers get from being able to have a self-service option rather than having to come to the company and interact with someone. They can go on the website and get information for themselves and they don’t need to pick up the phone to find out things like their balance or history,” Perry stated, while adding that they are hoping to provide more services on their website, including the option of being able to purchase insurance online.
Given that the initiative was only launched approximately six months ago, Perry pointed out that their work is not 100% complete; as it relates to the document management system, they are still to roll it out in every department of the company.
When questioned on whether it is possible and feasible for the company to go 100% paperless, Perry explained that as the current laws stand, it is not and would require major changes around the entire country and the private sector.
“For example, if the government ensures that the entire payment system moves to digital and away from having the need for people carrying cash, then maybe. If they move away from the use of revenue stamps and that you must have a paper receipt to make sure it’s a legal transaction. Those changes will have to be made to ensure that there is a less reliance on paper and Guyana is a long way from achieving that type of society,” Perry added, while noting that currently persons do not feel comfortable without receiving paper receipts, which is catered for in the laws of Guyana.
He explained that he thinks the move is one that should be emulated by all companies in the country and he believes that if companies and people can become more conscious about the way to do business and act in accordance with intentions of preserving the environment, there will be an improved life for not just the people but communities in a whole, especially given that climate change is affecting the entire world.
“A lot of these things have been caused by the way we have abused these resources on the earth and if any one of us can do something to improve our environment then the whole question of sustainable quality of life becomes a reality in a sense. We don’t have to be too worried with what will happen with the planet in the next 20-30 years and we will certainly be proceeding in a direction that can enhance the longevity of the planet,” Perry added.
