Recently, I overheard someone say "Yes, I'd love to try that... but my hands are tied... Honestly, we're just running to stand still at the moment."
That person wasn't imagining trying to run into a headwind. She was talking about a system development backlog. A better image might be someone trying to make their way up the down escalator when it's moving.
Over the years, working for many organisations, I've noticed how there are two apparently universal constants in Financial Services:
We seem to accept these "constants" as necessary evils, almost without questioning them. We just get on with what has to be done. But how often have you experienced endless reprioritisation of outstanding work? Do you have valid requests for improvement that never reach the top of the list because they always have to make room for more pressing tasks? Have you reached the point where some people don't even bother requesting improvements anymore?
In many organisations that rely on older technology, as much as 90% of the development queue can be filled with tasks that ensure business-as-usual. In other words, they have to spend roughly 90% of their development effort just to stand still.
Not surprisingly, this can result in an inability to drive through business improvements as quickly as they'd like. It means an organisation can find itself slow to react to new market opportunities. Even important changes such as improvements to customer engagement can prove hard to implement. At worst, all creativity within the business becomes stifled.
Well, to be honest, we don't think so, not entirely. But the good news is that, with the right technology, these barriers to a more efficient and profitable business can be substantially reduced. Indeed, cost reduction and improved differentiation are both highlighted by insurers as the most significant potential gains to be had from the best technologies.
This is because modern insurance solutions are built on flexible component-based platforms that you can configure quickly with little or no development. The business users of such systems find themselves empowered to make changes across the value-chain. From point-of-sale product design, pricing and underwriting rules, through to end-to-end process design and workflow implementation, a business user with the right training can take ownership of it all.
With a modern insurance solution, the traditional dependence on scarce, highly-skilled and expensive IT development staff has been reduced.
Insurance winners will emerge from the companies that can embrace a creative culture. We believe that the same modern insurance solutions can help foster creativity.
For example, it's widely accepted that the ability to test ideas quickly, before full-scale implementation, can reduce both cost and risk. But we have found that it also encourages innovation and creativity where it's needed - in the business.
The best insurance platforms enable you to build pilot solutions easily. The members of staff who use such platforms creatively to test-and-learn tend to become more engaged and productive as they see their new ideas tried and tested, not just debated and dismissed as too risky.
Development backlogs and the inability to innovate ultimately stifle a business.
Those organisations that are savvy enough to embrace the new opportunities offered by technology can attract the best people, deliver the best solutions to their customers, and emerge as market leaders.
November
Emerging technologies – risk and opportunity
October
What does the future hold for commercial insurance?
September
Insurance is changing – time to adapt and survive
August
Does AI deserve the headlines?
May
Seeing through the eyes of the customer
April
Insurance technology – simplify the complex
March
December
It’s Crystal-Ball Gazing Time Again
November
How ready are you to combat fraud?
October
Actions speak louder than words
September
Efficiency, agility, and profitability
How can you be more customer-centric?
August
Old Technologies - It is OK to plug the gaps
New Technologies - Same Old Systems
June
May
Is your business ready to adapt?
March
No, seriously, what can you claim about your claim systems?
What can you claim about your claim systems?
February
It's people that have the ideas
January
November
The challenge to be different – it’s all about the people
September
Security, Simplicity and Speed - the future of Financial Services
July
The New Breed of Quote and Rating Modules
June
INSURANCE INNOVATION SUMMIT 2015 - Hosted by Ingenin Ltd
April
Speed and Personalisation – aspiration or reality?
March
Team spirit is an illusion glimpsed in the aftermath of victory... or is it?
January
December
What's your New Year resolution? Here are three of ours
November
2014 Insurance Technology Event - Championing Innovation - Hosted by Post Events
The maverick in the ranks - how do we deal with the talented non-conformist?
September
Are you Responsible, Chilled, Sociable, or Happy?
August
July
June
Cloud computing – a huge opportunity for the Insurance Industry
May
Past failure is a threat to future success
April
It isn’t broken yet - is change too risky?
March
February
How to make vision a reality – it’s not that difficult
The Challenge IS the Opportunity
January
December
What customers want from the Life Insurance industry
Themes from Insurance Strategy Insights event
November
What is disruptive technology?
October
Closing the insurance delivery gap
September
Reliability much more important than price
August
Where has all the creativity and innovation gone?
Is there too much fear in business?
July
"Simplicity" is not as simple as it looks
June
Insurers need to innovate and excite - or die
May
The danger of business inertia
April
March
Trust and loyalty go hand in hand
February
January
December
The year ahead in Financial Services
Love it or hate it, you can't ignore the influence of Twitter
When is it better to 'start again'?
November
October
Solvency ll - may be delayed but certainly won't go away!
September
August
Stand still and get left behind!
July