By: Nick Jackson, Head of Business Development & Strategy, Western Europe, Oracle and Ondrej Holub, Partner Marketing Director EMEA, Oracle
The insurance industry is going through a period of drastic change. With external shocks from inflation, geo-political tensions and the pandemic causing financial disruption, it has never been more important to remain agile and flexible.
As insurers look for ways to modernize and achieve these goals, they must ensure that IFRS17 regulations are upheld and lay the groundwork for new environment, social, and governance (ESG) directives. These new demands require immediate action, with IFRS17 demanding double the data, processes, and workload as its predecessor. Insurers must focus on their data, tech infrastructure, and automation tools to achieve the transformation they seek.
Insurance and finance leaders have long been frustrated with getting the wrong information. Reliance on spreadsheets, disparate datasets, and mismatched materials make it almost impossible to make effective decisions and informed actions. For ESG, the picture becomes even more complex, with a wider dataset including supply chain and HR metrics.
In an environment of rapid global changes, increased regulations and accelerated mergers and acquisitions, the ability to manage capital at speed is vital. Leaders need to make the right choices, faster - without affecting UX. It’s the perfect storm to launch finance teams into the role of strategic partner, enabled by technology.
Cloud-based platforms give insurers the opportunity to bring all data and metrics together in one place. Not only is this part of the migration from legacy to new platforms, but also a move towards considering data as a function and creating a database with more integrity and security. Creating a controlled data environment means that all solutions, such as enterprise resource planning (ERP) software, are informed by consistent and reliable data.
This data transformation forms the base of the modern finance agenda. From simplifying and standardizing processes, to upskilling a tech-savvy new wave of workers, leaders must incorporate processes, performance, and people into their transformation strategy. With the addition of artificial intelligence (AI) and natural language processing (NLP), insurers can seek out further insights and act faster.
Although tech underpins digital transformation, it will only be successful with an equal focus on people. Recognition that each new implementation is only as good as the people that use it is vital to create an empowered and engaged workforce. For instance, looking beyond transactions, predictive tools and AI allow people to rid themselves of tedious, repetitive processing and focus on more value-add analysis – able to use an integrated platform to seek and use the data they need. Creating teams that are more interconnected, providing upskilling opportunities and giving them the tech they need to thrive are essential to attract and retain talent.
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