The convergence of unprecedented insurance claims, economic uncertainty, growth through acquisitions, and increased competition has created a highly volatile and complex environment in the insurance industry. This volatility and complexity can be mitigated by leveraging Analytics and having a sound performance management framework. In fact, organizations that leverage Analytics not only are well prepared to weather the storm; they create a significant competitive advantage by becoming a more agile organization.
Unfortunately, many insurance organizations embark on their Analytics journey through point solutions, focused on solving important tactical business problems with the hopes of delivering immediate value to the organization. While these solutions are often mildly successful, reducing the effort to analyze the risk profile of a portfolio for example, they may not provide a robust, extensible platform to support future needs and growth. As the desire for additional solutions grows and the number of point solutions proliferates, organizations tend to hit a “tipping point”. Telltale signs of an organization that has reached this tipping point are:
- Significant investments in process and technology improvements have been made, resulting in modest gains in efficiency and automation, but lacking large-scale business change
- A large number of point solutions are being managed – each solving an individual problem, but not addressing the larger and more burning business issues
- Business executives are looking for better and faster solutions, yet IT is struggling to manage the applications it currently supports
If you recognize these signs, it is time to take a step back and take a full inventory of what you have and what you’re trying to accomplish in a holistic fashion, using a sound performance management framework. This framework incorporates the key business processes ranging from Strategic Planning, to Risk Management and ongoing Operations, supported by Analytic applications, and made scalable through a sound underlying architecture as depicted here.
Most organizations we work with wanted to realize the benefits of Analytics but struggle with how to get started. Some knew it was a priority but didn’t know where to begin their efforts. Others purchased tools but didn’t have people with the right skills sets. Still others had people and tools but were not aligning their efforts to their overall corporate strategy – in effect; they were getting the right answers to the wrong questions.
Let us help you get started – with just a small investment of your time we can begin your journey with an Analytics Maturity Assessment. This proven framework will help determine where to start, and what a roadmap could look like for your organization. Contact us at email@example.com.