NTT DATA, key technology partner in the transformation process of insurance companies, has analyzed the main challenges and opportunities faced by these organizations when operating in the cloud as a fundamental part of their digitization process in its whitepaper "Insurers In The Cloud Journey". This a depth-in analysis puts the Cloud as one of the principal tools in the insurers' business transformation process, further than the purely technological impact.
The era of the connected enterprise
The company has defined this moment as the era of the connected enterprise, in which the insurance industry must be able to actively collaborate with other industries, modernizing its IT system and thus delivering compelling customer experiences. On the other hand, while leaving itself the opportunity to develop all the proven capabilities and possibilities that cloud transformation can offer to advance towards a more efficient business.
In addition, the insurance industry must be one of the drivers and leaders in the application of technology, not only because of its economic relevance, but also because of its capacity to drive other interrelated sectors that will improve the ecosystem so that citizens have more personalized and updated services.
In this sense, the report says that consumers have a greater affinity for those companies that can communicate in an agile and transparent way. The differentiation in the insurance industry cannot be left behind and must evolve toward hyper-personalization and improving customer engagement, as operating in Cloud technology helps companies to increase their agility and reduce time to market, as well as enhancing the Fintech ecosystem.
Also, in the regulatory compliance and data security areas, insurers can rely on the cloud for agile access to information and thus, through regulatory oversight (such as Sandboxes, a tool that mitigates regulatory uncertainty in a controlled environment) accelerate the time to market of their products and services.
Journey to the cloud
NTT DATA therefore lays out a roadmap to achieve the transformation of insurers so that they have the capacity to undertake a comfort journey to the cloud:
- Train members of the insurance company to get them involved in the cloud journey.
- Develop a detailed action plan to carry out the necessary activities to achieve the objective.
- Refine the strategy for using the cloud to achieve business objectives, ensuring business-technology alignment.
- In the case of data-driven insurance, define strategies, policies and procedures in areas such as the CDO (Data Governance Office) or the DataHub structure.
- Analyze organizations' business processes to identify automation transformation levers and KPIs.
Knowing the context and environment, the capabilities of the insurance sector to innovate technologically and the industry's influence on other sectors, the application of the cloud can be a necessary boost for the entire ecosystem, which increasingly demands greater interconnection and customization for each step of the value chain, evolving the business with a technological base, but going much further.