Insurers are constantly looking to evolve and improve their business. Insider Engage caught up with Liam McHugh principal consultant at Emergn to discuss the mechanics of digital transformation.
McHugh said: “What we mean by mechanics in terms of transformation are the practices that we see in play, the things that people do, how they do them is what we work on for the mechanics, and they sit within that wider mindset that drives how we measure things.
“We then use a certain type of mechanic to deliver against the things that we want to measure and how we think about the world through our mindset.”
As organisations adopt new ways of working, the mechanics of how that work is handled needs to change.
“In transformation, we are moving from a more traditional approach to work which could be described in terms of projects and programmes to move into products and services,” explained McHugh.
“Therefore that work changes but also the mechanics have to change in order to deal with that work.
“It's no longer about project management. It's more about things like agile ways of working or product management. These are crucial to be able to handle the types of work that you're now involved in within a transformation.”
The insurance industry in recent years has accelerated its digital transformation efforts.
“A number of areas are taking a digital approach such as consumer access; finding policies, buying policies, using the policy and claiming against the policy,” said McHugh.
Organisations that are working within the insurance industry have to adapt their business models, according to McHugh.
“Crucial mechanics that enable you to do that include understanding where your consumers are experiencing the things that you offer, or want to offer, how you provide products and services to them, the solutions and therefore the underlying capabilities that drives that,” he said.
“Due to the cost to serve agenda and the finite margins within the insurance industry it’s really important that the mechanics that are used more efficient than they've ever been before,” said McHugh.
Learn how Emergn help clients own their transformation and create high-performing teams at emergn.com.
