We know that innovation needs an organized, strategic,
and directed structure and approach in order to succeed across
organizations. So it is promising that the research shows that
specific segments are taking ownership of innovation. Our
research also shows that 67 percent of insurers are accepting
the need for innovation, which marks a significant increase, up
from 40 percent last year.
When we examined IT response further by looking at P&C
and L&A individually, we found that for P&C, nearly 38 percent
of innovation was being led by IT. The risk with IT leading
single-handedly is that sometimes business leaders assume that
innovation involves only technology advances and this couldn’t
be further from the truth.
As IT continues to increase its share of innovation leadership across organizations, business can’t allow IT alone to drive
change. IT needs business to be involved with the innovation
process so that business can weigh in on specific investments,
their potential impact, and their relevance. Innovation needs to
come from the redesign, reimagining, and rethinking of a variety of areas: customer engagement, new products and services,
and changes in business models.
In 2016 we hope to see a continued increase in the percentage of insurers allowing innovation areas to lead. And it would
also be great to see business and IT combine—to lead together—versus having business and IT lead separately. ITA
Deb Smallwood is the founder of Strategy Meets Action
and is recognized for her expertise in how insurers can
deploy technology to innovate and differentiate in the
insurance industry. She can be reached at dsmallwood@
strategymeetsaction.com or 603-770-9090.
Who is Leading Innovation?
Source: SMA Research, Innovation Surveys 2014 and 2015
In 2016 we hope to see a
continued increase in the
percentage of insurers
allowing innovation areas to
lead. It would also be great to
see business and IT combine
to lead together.
No single area
No single area