Insurance company board members are painfully aware of theimportance of technology to the company's business. They understandthat the issues include having the appropriate hardware, using themost secure software, buying the right number of electronic devicesfor employees, and guarding against cyber attacks among others. Butoften when the company's chief information officer (CIO) gives apresentation, the board members think the CIO is speaking a foreignlanguage.

"One of the differences between more successful and lesssuccessful CIOs is their ability to communicate effectively withtheir boards," explains Frank Petersmark, AVP of Research &Consulting, Novarica. "Being able to communicate effectively withyour board will help make securing organizational support for ITinitiatives, such as funding and resource commitments much easier,as well as achieving the strategic goals of IT, which, if alignedproperly will benefit the entire organization," saysPetersmark.

Novarica, a research, consulting and advisory firm forProperty/Casualty and Life/Annuity insurers, has just published anew CIO checklist report to help insurance CIOseffectively communicate with board members. Developing a commoncommunications approach is a critical part of the CIO function.

The following checklist can be used for board meetings orpresentations and for IT leaders' overall communications with theirboard members.

Speak the insurance company board's language, notIT's.

This should be obvious, but it often is overlooked by subjectmatter experts, not just IT professionals. When you use technologyterms, jargon or acronyms, you risk confusing your audience. If theboard members don't understand what you're saying, they're likelyto tune out and vote against any of your recommendations.

You'll be more successful in your presentation if you usefamiliar business terms, such as investments, returns, risks andrevenue. It may take some practice to feel more confident usinglanguage appropriate to an insurance company's board of directors,but it should yield positive results in the long run.

You'll also be perceived as a more valued business partner whounderstands the organizations goals. You won't be pigeonholed as"another one of those tech guys."

(Photo: Shutterstock/Syda Productions)

Keep the discussion simple.

Don't overwhelm your audience with too many dense charts, graphsor slides. You do need to give the board some details about the ITprojects and programs that you want approved, funded and supported.But they're focused on the larger picture of overall effect on theorganization, not the day-to-day details that you're concernedwith.

Your goal is to help the board understand what will change aswell as how. Gaining the board's understanding is a critical partof the process of managing their expectations.

(Photo: Shutterstock/Franck Boston)

ABC: Always be contextual.

There should always be a reason for your presentation to theboard. Your organization may want regularly scheduled updates oryou may have an important topic to bring to the board's attention.Whatever the reason, you should provide some context so the boardunderstands why this topic is important to discuss at thistime.

When you put information in context, using insurance industrylanguage, you'll show the board that you're a strategic thinker whoviews the information technology function as part of the largerorganization's overall goals and objectives.

(Photo: Shutterstock/Gustavo Frazao)

Talk about the benefits to theorganization.

As dear as technology is to every CIO's heart, the reality isthat most board members are only interested in how technology helpsthe insurance company move forward. They really aren't interestedin whether the latest version of software will make it easier toaggregate and sort data, for example. They want to know whethersuch things as product development and speed to market will beimproved.

(Photo: Shutterstock/alexmillos)

Present options, showing which one is best andwhy.

Insurance company board members face a number of decisions atevery meeting. Their time to spend on any one topic is oftenlimited, and it's important to distill information to the keypoints necessary to help them make those decisions.

The CIOs who are most successful at dealing with the board onlypresent options that are realistic and have been thoroughlyinvestigated. Your presentation should outline each option and itspros and cons along with your strong recommendation for one. Often,your ability to explain your choice and why you think it's the bestone for the organization will help get your choice approved.

(Photo: Shutterstock/kostasg)

Don't hide the risks.

The basic business of an insurance company is risk management,and it affects every department in the organization. At the highestlevel, that's also what the company's board of directors does. Inyour presentation to the board, be sure to communicate the risks ofthe decision you want the board to make—but only after you've laidthe groundwork. You want the board to stay focused on the need forthe action you're recommend and its value to the organizationbefore they consider the risks.

Remember that risks can be economic, such as the effect oncompany revenue or profits. In other situations, the risks may bemore intangible but still real—for example, the impact on employeemorale or customer perception. The board needs to weigh all thesefactors before making a decision.

(Photo: Shutterstock/jijomathaidesigners)

Paint a picture of the organization after theeffort.

The old saying, "A picture is worth a thousand words," is nevertruer than when a CIO is making a presentation to a board ofdirectors. Show the board a video if you can, or photos of beforeand after, demonstrating the impact of the project.

The board won't remember pages of charts and graphs, and theymay not do more than skim the detailed written materials you handedout as background. They will remember the vision you showedthem.

(Photo: Shutterstock/Rawpixel)

Recap and ask for support.

The best communicators spend as much time crafting theconclusion of their presentations as they do the introduction. Usethe conclusion to bring together all the pieces of the puzzle. Thisis also your opportunity to gauge the level of support from theboard for your proposal.

Ask for some feedback from the board members, even if you do itindirectly. If you know that one of the board members generallysupports IT efforts, is the chair of the IT committee or has an ITbackground, that person might be the best one to start with.

When your project is a major one that requires boardsponsorship, don't leave the room without identifying the boardmember who will be the sponsor. Plan to communicate with thatperson regularly, providing updates on the project outside of boardmeetings.

(Photo: Shutterstock/wavebreakmedia)

Return with progress reports—good, bad andugly.

Your progress reports to the board should be high level, buthonest. Give them an overview of how the project is moving along,letting them know of delays, if any, and how the delays are beinghandled. Bring only the two or three problems that the board canhelp resolve to their attention. Use their experience, perspectivesand suggestions as appropriate to move the project along.

Editor's Note: On Thursday, September 24 at 2 p.m.(ET) Frank Petersmark will discuss best practices in boardcommunication. This webinar is open to all insurance professionals.Registration and additional information is available here.For more information about this report, download a free previewhere or contact [email protected].