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Case analysis

Plethora.com is the second largest online retail company in the world and employs approximately 400,000 people, of which 100,000 work in fulfillment centers. The company self-insures, and has hired InsuraCare to manage the back office health insurance functions. One of these functions includes the analysis of high-cost claims in an attempt to get them under control.

Dr. Erin Franklin (InsuraCare’s new Medical Director) and Brenda Doyle (InsuraCare’s Director of Quality) conduct a gemba walk at one of Plethora’s fulfillment centers. After a curt confrontation between Brenda and two Plethora.com executives, Franklin and Doyle conduct a closer investigation of the facility. The problem soon becomes clear, at least to Brenda Doyle.

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