2017 Risk All Star: Gillian-Cummings Beck

This Risk Manager Cut Her Weakest Links

Popular retailer Chico’s was undergoing a reduction-in-force across the board, including in the risk management department.

That meant the departure of the company’s VP of risk and global compliance. Gillian Cummings-Beck stepped in and took the lead.

A month and a half later, another team member announced her retirement. That left a team of two running a risk management department responsible for 1,500 stores, 2.5 billion dollars in revenue and 23,000 associates.

More determined than daunted, Cummings-Beck and her teammate evaluated their own strengths as well as the potential resources already within the company.

Gillian Cummings-Beck, Director of Insurance and Risk Management, Chico’s

They found not one, but two people with complementary strengths — a finance expert who would have been affected by the reduction in force, and a safety director working in global compliance.

From there, the reformulated team hit the ground running.

With such a small team tasked with enormous responsibility, Cummings-Beck kept a sharp focus on putting the right external partners in place.

The team’s first major undertaking was to cut ties with a persistently underperforming TPA.

“If you have any kind of a weak link, you need to see if it can be fixed, and if not, change it out,” said Cummings-Beck.

The team is also actively eliminating weak links among the attorneys who represent Chico’s, particularly in historically challenging states such as California, Texas, Louisiana and Florida.

“We give them the first claim and they hit it out of the ballpark or they strike out — there’s really no middle ground,” she said.

Cummings-Beck takes the same decisive approach to all of Chico’s partnerships, including brokers and carriers.

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“If the connection’s not there, you know it right away,” she said. “[You have to] listen to that connection, home in on it and see if it’s going to work.”

Other initiatives designed to minimize waste included an overhaul of the company’s certificate of insurance program.

Borrowing an idea she gleaned from GameStop’s Dave Lynch at an industry event, Cummings-Beck worked with Chico’s real estate and legal departments to change COI procedures without alienating landlords. The result? A drop in COIs issued annually from 4,000 to 50, saving both money and man-hours.

“We give them the first claim and they hit it out of the ballpark or they strike out — there’s really no middle ground.” — Gillian Cummings-Beck, Director, Insurance and Risk Management, Chico’s FAS Inc.

Chico’s also secured a premium reduction of 20 percent. That goes back to having the right partners, said Cummings-Beck. It’s about having a broker that fully grasps the value of the company, and having a carrier that is willing and able to see the full picture of the company’s risk management diligence.

“It’s really listening to the team — internal and external,” said Cummings-Beck. “Nobody does it alone.”

For as much as all of this sounds like hard work, Cummings-Beck sounds like she’s having a blast.

“It is just a fantastic, phenomenal field,” she said.  “When you get to put together the things you love most — taking care of people, taking care of the company from a business perspective, finance and legal all rolled up into one — what more could you ask for?”

Cummings-Beck relates the story of helping an employee who called in to the company’s crisis management hotline after losing her home to a tornado.

“It’s knowing that what you do matters to somebody … I love what we do.” &

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Risk All Stars stand out from their peers by overcoming challenges through exceptional problem solving, creativity, perseverance and passion.

See the complete list of 2017 Risk All Stars.

More from Risk & Insurance

More from Risk & Insurance

4 Companies That Rocked It by Treating Injured Workers as Equals; Not Adversaries

The 2018 Teddy Award winners built their programs around people, not claims, and offer proof that a worker-centric approach is a smarter way to operate.
By: | October 30, 2018 • 3 min read

Across the workers’ compensation industry, the concept of a worker advocacy model has been around for a while, but has only seen notable adoption in recent years.

Even among those not adopting a formal advocacy approach, mindsets are shifting. Formerly claims-centric programs are becoming worker-centric and it’s a win all around: better outcomes; greater productivity; safer, healthier employees and a stronger bottom line.

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That’s what you’ll see in this month’s issue of Risk & Insurance® when you read the profiles of the four recipients of the 2018 Theodore Roosevelt Workers’ Compensation and Disability Management Award, sponsored by PMA Companies. These four programs put workers front and center in everything they do.

“We were focused on building up a program with an eye on our partner experience. Cost was at the bottom of the list. Doing a better job by our partners was at the top,” said Steve Legg, director of risk management for Starbucks.

Starbucks put claims reporting in the hands of its partners, an exemplary act of trust. The coffee company also put itself in workers’ shoes to identify and remove points of friction.

That led to a call center run by Starbucks’ TPA and a dedicated telephonic case management team so that partners can speak to a live person without the frustration of ‘phone tag’ and unanswered questions.

“We were focused on building up a program with an eye on our partner experience. Cost was at the bottom of the list. Doing a better job by our partners was at the top.” — Steve Legg, director of risk management, Starbucks

Starbucks also implemented direct deposit for lost-time pay, eliminating stressful wait times for injured partners, and allowing them to focus on healing.

For Starbucks, as for all of the 2018 Teddy Award winners, the approach is netting measurable results. With higher partner satisfaction, it has seen a 50 percent decrease in litigation.

Teddy winner Main Line Health (MLH) adopted worker advocacy in a way that goes far beyond claims.

Employees who identify and report safety hazards can take credit for their actions by sending out a formal “Employee Safety Message” to nearly 11,000 mailboxes across the organization.

“The recognition is pretty cool,” said Steve Besack, system director, claims management and workers’ compensation for the health system.

MLH also takes a non-adversarial approach to workers with repeat injuries, seeing them as a resource for identifying areas of improvement.

“When you look at ‘repeat offenders’ in an unconventional way, they’re a great asset to the program, not a liability,” said Mike Miller, manager, workers’ compensation and employee safety for MLH.

Teddy winner Monmouth County, N.J. utilizes high-tech motion capture technology to reduce the chance of placing new hires in jobs that are likely to hurt them.

Monmouth County also adopted numerous wellness initiatives that help workers manage their weight and improve their wellbeing overall.

“You should see the looks on their faces when their cholesterol is down, they’ve lost weight and their blood sugar is better. We’ve had people lose 30 and 40 pounds,” said William McGuane, the county’s manager of benefits and workers’ compensation.

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Do these sound like minor program elements? The math says otherwise: Claims severity has plunged from $5.5 million in 2009 to $1.3 million in 2017.

At the University of Pennsylvania, putting workers first means getting out from behind the desk and finding out what each one of them is tasked with, day in, day out — and looking for ways to make each of those tasks safer.

Regular observations across the sprawling campus have resulted in a phenomenal number of process and equipment changes that seem simple on their own, but in combination have created a substantially safer, healthier campus and improved employee morale.

UPenn’s workers’ comp costs, in the seven-digit figures in 2009, have been virtually cut in half.

Risk & Insurance® is proud to honor the work of these four organizations. We hope their stories inspire other organizations to be true partners with the employees they depend on. &

Michelle Kerr is associate editor of Risk & Insurance. She can be reached at [email protected]