Insurance has been around for centuries and for a thousand years, this sector has been transforming rapidly.
The first written insurance policy, called â€˜bottomry,â€™ was used by Chinese and Babylonian traders in ancient times to protect from financial losses. Weâ€™ve come a long way since then, and are starting to This shows leverage digital effectively to cope with an emerging technological landscape.
In this race of disruption, the insurance industryâ€™s major concern is fraud. Billions of dollars of fraud are recorded across insurance lines every year. This doesnâ€™t mean insurance companies are not doing anything to stop fraudulent claims. Insurance companies have started making use of smart analytics and other methodologies to deal with false claims. Despite this, fraudsters continue to come up with more sophisticated ways to dupe insurance companies
Staying relevant in a market that is continuously growing and changing, is the single most difficult task for most new companies out there. And in an age where a majority of the companies are getting digitized, sticking to traditional approaches might just become the reason why your company doesnâ€™t make it too far. Digital transformation is your answer to problems related to your companyâ€™s speed of service, maintaining a good relationship with your clients and your overhead costs. And these are but a fraction of the issues that can be taken care of. Thereâ€™s a lot more that can be done, much to explore and learn.
So now, you read this and decide to jump on the bandwagon immediately. Great!
Hold on though, whatâ€™s going on here? Your employees donâ€™t seem to share the same enthusiasm and excitement at the prospect of bringing in all these new changes!
The problem is, choosing to go through a digital transformation alone is not going to cut it. Your company needs to change its entire outlook, and this is where inculcating a completely new digital culture comes into play. It is by no means an easy task. When a company has been running a certain way for quite a while, people get used to the values and the work environment. Having reached a level of comfort, most people start adopting the â€œIf it ainâ€™t broke, donâ€™t fix itâ€ motto. Making them understand the future implications of such an attitude is important, and should be first on the list of things to do when trying to change your office culture.
Implementing digital transformation is not just obtaining new or fancy technologies. Itâ€™s about experimenting virtually, studying, enhancing and continue adopting the change in an agile manner. This is what a digital enterprise needs to succeed with the digital transformation.
Most of the time we donâ€™t know what idea might do the crossword, so we have to keep polishing our concepts and shape the most well-to-do ones. Executing digital transformation in an organization isnâ€™t easy. It is even more challenging than traditional transformation. The survey conducted by Bain & Company says, â€œonly 5% of companies who adopted digital transformation acquired their set objectives vs. a success rate of 12% for conventional transformations. A full 71% of these companies settled for dilution of value and mediocre performance.â€
Most of the time digitally empowered enterprises fail to invest in the large businesses and their culture that allows agility. They focus more on the outcome without reaching inwards. Therefore innovation requires an expert who can rapidly position digital technologies to decode problems and enhance performance across the organization.