How to best invest in intelligent technology to drive the growth of insurance
I started the series by stating that while investments in intelligent technology are rising, many insurance companies are trying to unlock the captured value found in their organizations. I then proceeded to show the value of AI and automation, as well as cloud and DevOps, for the insurance industry.
In this last post I will explore the issue in my first post: How can insurance companies increase their return on investment in advanced technology?
What is the secret of high-growth companies?
Our survey of 840 managers in the world's largest multinational companies revealed something very interesting. There were some companies represented by 1
- Change Oriented
- Outcome Management
- Destruction Goods
What does it mean for insurers? Becoming change oriented you must have the courage to apply innovation with greater intensity to reinvent existing practices. By becoming change-oriented, a company can achieve a deep organizational change.
A performance-driven strategy promotes innovation efforts throughout the business and has discipline to bind them carefully to economic performance.  Finally, a disorder organization is one who undertakes to invest more aggressively over time in truly disruptive innovation initiatives that have the potential to create completely new markets.
In our research on what enabled high growth companies to achieve success, we discovered seven characteristics that they have in common. They are all:
Case study: How SoftBank invests in intelligent technology
SoftBank Vision Fund, the Japanese Internet group's technology fund, is active in a range of "border" technologies, including robotics, AI and computational biology . The goal is to focus on "meaningful, long-term investments in companies and basic platform companies that aim to enable the next age of innovation".
The Vision Fund invested $ 500 million in Improbable, a gaming company based in London, offering large-scale special simulation techniques to help solve obviously impossible problems. The company's SpatialOS platform is used to run large-scale simulated worlds and enables organizations to build massive agent-based cloud simulations to inform and improve decision making.
How to maximize the value of technology spending
In an article for Accenture Strategy, Steve Poniatowski writes that value creation from technology is essential for growth and competitiveness. He recommends that companies do three things to maximize the value of technical expenditure:
- Companies must reduce debilitating technical debt.
Industry breakers, like the fintechstarter I marked in my previous post, ran to prominence and steal market shares from traditional industry leaders because they are technically flexible and flexible. In order to continue, traditional insurance companies must invest in technology that is up-to-date, capable and flexible, such as cloud platforms and SaaS applications.
- They should cooperate for quick and economic leverage.
For traditional companies to start
- They must relentlessly handle technology cost costs
To eliminate waste associated with perceived compared to actual demand, it may be useful for companies to adopt a zero-based mindset . This can help them identify areas where money can be released and reinvested in strategic growth opportunities. For more information, read Poniatowski's article here.
The proven ability of intelligent solutions to deliver fast, measurable bottom-line results makes investments in intelligent solutions a smart choice. The key question is: Can you invest in them intelligently?
To continue the conversation, contact me here. To learn more about how industry leaders unlock their true potential by using intelligent technology, read the following research material: