When it comes to using data and analytics strategically across the enterprise, the Accenture Analytics in Action study found that insurers are lagging behind other industries. Based on our experience and research, we identified seven steps to success with analytics.
Seven steps for analytics success
The keys to achieving analytics success are to:
- Transform the operating model. This is easier said than done, but silos and enterprise-wide analytics don’t mix.
- Integrate analytics into the business processes. Data, technology and business must work as one team, and from the beginning of any effort.
- Build a solid business case. Analytics should be used to solve defined business problems and answer specific questions.
- Implement an aggressive R&D and innovation program. The availability of new tools means analytics-based projects can proceed faster—and succeed or fail faster.
- Face up to the technology challenge. Insurers need to keep up the pressure, focusing on upgrading systems, digitizing processes and capturing data.
- Leverage big data. Insurers deal with large amounts of unstructured data, but tools are getting better at dealing with this. And don’t forget about external data that is now available, including social media, telematics and data from external providers.
- Initiate pilot projects to test concepts. Data and analytics lends itself to a test-and-learn environment, which can minimize sunk costs and enable faster innovation.
And the final takeaway? In the pursuit of using data and analytics across the enterprise, insurers must break down internal silos—to make data available to those who need it.
- See Part 1 of Insurance Chart of the Week: Achieving Payback in Insurance Analytics.
- See Part 2 of Insurance Chart of the Week: Achieving Payback in Insurance Analytics.
- See Part 3 of Insurance Chart of the Week: Achieving Payback in Insurance Analytics.
- See Part 4 of Insurance Chart of the Week: Achieving Payback in Insurance Analytics.
- View other Insurance Chart of the Week videos.
- Find out more about The Digital Insurer: Achieving Payback in Insurance Analytics (pdf).
How can you apply these steps to your business? Send me an email and let’s discuss your data and analytics strategy.