The Right Concoction of Science and Data
Robert Regis Hyle | March 31, 2014
It hasn’t been too long ago that a number of people were discussing the issue of CIOs having a seat at the table. With the size of today’s IT staffs and the budgets that CIOs oversee, it seems a ridiculous issue from those aspects alone, not to mention the important tasks being conducted by today’s technologists.
Yet there are still companies trying to come to grips with how their business is being conducted in 2014 and a good number of employees that are going through their own version of post-traumatic stress disorder in the form of culture changes within their departments.
This is not to downplay PTSD in any way. The culture changes within a business may not be life threatening, but anyone who has done a job in a certain way for five years or more can be thrown for a loop by the prospect of a new technology platform. It is not just resistance to change that they are showing; they are clinging to the past that they desperately want to keep.
This is never more evident than in the use of data. Insurance companies have done a good job of collecting data for decades, but only within the last 10 years have some carriers come up with meaningful ways of using it.
This is what leads to the challenge for business users and IT departments. Mistakes made with old data often were never discovered. Today, though, bad data is a sin of massive proportions and failure to recognize its value can be costly for businesses and the employees.
The consultants at PwC, in their outlook for 2014, recommend that insurance carriers consider adding a data science office. As the company writes: “A data science office’s purpose is not to collect and analyze data for its own sake, but to help the company achieve its specific market goals and objectives.”
Normally, adding another layer to a company’s infrastructure should be met with hisses and boos, but the important part of the PwC recommendation is that the data science office should be staffed not with technologists, but with business analysts that can ask the right strategic questions.
Sharp companies will follow this advice because, as we’ve mentioned more than once, insurers are competing with more than just fellow insurers today. They are competing with anyone that does business in a smart manner and showing consumers there are better ways of doing business in 2014.
- Race to the Finish Line
- New Tools, New Opportunities in Claims
- ITA LIVE: Reaching Insurance Industry Crossroads
- Advice to Insurance IT Leaders: Keep Your Eye on the Ball
- New Date, Venue for ITA LIVE 2017
- Guidewire Makes Major Push to Small and Midtier Market by Acquiring ISCS
- Insurance Disruption is Happening Right Now
- Insurity Adds Strategic Investment Partner, General Atlantic
- Beyond Transformation: The Convergence of Finance, Risk, and Actuarial Functions
- The Rapid Evolution of Consumer Protection Regulation
- Talent Hunt: Finding, Attracting, Retaining Top People
- Insurers Flexing Their Distribution Models
- Technology Driving Disruption in Insurance
- Fear of ‘Next Bubble’ Challenges Life, Annuity Carriers
- Technology Allows Commercial Lines Insurers to Stand Out
- Single Sign-on Viewed as Biggest Tech Challenge for Agencies
- ISCS Observes 20th Anniversary; Scurto Predicts Major Changes Ahead
- Policyholders and Their First Impressions
- Progressive Making Progress on the UBI Front
- High and Dry: Insurers Search for Disaster Recovery Plans
- Insurers Sign The (Un)Dotted Line
- Reflections of a Retired Insurance CIO
- Mobile Device Management Just One Answer to BYOD Issue
- Lessons from GEICO and Progressive on Winning the Critical Buying Stage
- You Are a Target for a Cyber Attack
- Web-based Systems are the Next Evolution in Claims Technology
- Gaining a “Wow” Experience from Web Users
- Time to Shift from Business/IT Alignment to Business/IT Alliance
- Healthcare Insurers Changing to Consumer Model
- Organization is the Key for Selecting Software Vendors
- Analysts Expound on the Needs of the Mid-tier Insurance Market
- Finding the Cure for Obamacare’s Website
- New Software Solutions Benefit Insurers on the Inside and Outside
- Products, Market Impede Investment in Systems for Life Insurers
- Combatting Cyber Threats: Predict, Prevent, Persist
- The Future of Telematics Heads Beyond Insurance
- The Shame in Cyber Security Lapses
- Building Policy Administration Systems for the Future
- Insurers Look Into The Eyes of Their Policyholders
- It’s a New Dawn for the ITA
INSURANCE IT NEWS
- Temple Joins BOLT to Drive Partnerships toward Digital Transformation
- Verisk Analytics to Acquire Sequel
- Guidewire Announces Alliance Partnership with ITS
- Marias adds Microsoft Azure to its Hosting Services
- Insurity Collaborates with Allstate Business Insurance on New Quoting App
- Spinnaker Selects TigerEye to Support Underwriting Strategy
- Bold Penguin Expands Partnership with INGUARD
- Genpact Acquires OnSource; Brings Digital Inspection to Claims Management
The Email Chat is a regular feature of the ITA Pro magazine and website. We send a series of questions to an insurance IT leader in search of thought-provoking responses on important issues facing the insurance industry.
ITA is pleased to present the 2014 Webinar Series. We have many topics for you to choose from and attendance is open to all ITA members. The webinar topics are current and exciting — ranging from predictive analytics to telematics and will focus on the direction insurance carriers need to follow for the future. All webinars are presented by insurance IT professionals along with some of the leading analysts and consultants in the field. There is no cost to attend an ITA webinar. For more information and to register for the webinar, click the “title” of the webinar below.
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