Most enterprises have inherited a multitude of legacy core systems making it hard to digitally transform.
HBR highlights three options that parallel urban planning:-
- Invest in Landmark Digital Projects
- Remove roadblocks
- Starting from Scratch
Today let's look at investing in landmark digital projects. You might choose:-
- Self-service claims
- Accessing & analysing unstructured data
- "Uberizing" the insurance supply chain.
Most claimants would rather be able to click on a web page, download a customised (web) claims form that collects only relevant information and be able to add photo, video evidence to speed up claims
Accessing unstructured data
Much of the data in a claims notification form is not analysed automatically yet there are gold nuggets of information to support fraud teams. Add to this data in photos, videos, emails, word documents, audio files and joining it with structured data- bingo! Better and faster decisions.
Uberizing the supply chain
30% of costs are incurred in waste materials and time. Sharing (securely of course) a single digital record between the insurer, inspectors, brokers and contractors can strip out cost and speed up claims
One word of caution- whilst it makes sense to start with a landmark project make sure it fits into a complete digital strategy. Wrap digital processes around legacy systems that do what they can do very well eg payments.
That gives you time to replace ageing systems in a practical and cost-effective time period.
For example, by designing a new cloud-based customer service platform, within nine months a power company could go head-to-head with an internet service provider that had started to sell electricity alongside Wi-Fi services and cheaply financed cars. Now the utility will be able to provide not just power but also phone, internet, smart meter, smart home, and security services. To customers, the company feels as nimble and innovative as its digital competition, even though its back-end systems remain problematic.