IASA 2011: Super Session Sheds Light on Technology Decision-Making in Corporate Settings

"What's so valuable about this session is you do get a real sense of how people in different positions and with different perspectives tackle the same problems," says Boyd, who brings his experience as both a technology and business executive to the session.

Hot Topics

Because technology touches every aspect of insurance company operations and plays a critical role in the success of the overall insurance enterprise, virtually any topic is on the table.

"In determining what topics would be important to the executives participating, we identified a broad spectrum—evolving technology delivery models, changing distribution channels, shifting customer preferences and demographics, social media, business intelligence as an executive tool, strategies for effective technology budgeting, selling technology projects upstairs, building a true business case for technology, and issues surrounding managing a mobile/virtual workforce," says Overhulse-King. "There is literally something in this session for everyone."

Topping the list is how change is impacting the decisions insurers make on a daily basis. On the technology front, carriers have seen a revolutionary transformation in delivery models for systems and platforms, including cloud, software-as-a-service, social media, and more. Do any of these technologies have the potential to level the playing field—and do any have security risks that outweigh the potential benefits?

Changes to the insurance marketplace are also impacting IT shops. "I am especially looking forward to the discussion about shifts in consumer attitudes and preferences," says Overhulse-King. "It opens up a whole world of related topics, including how insurance distribution channels need to adapt, what agents and brokers really want from carriers, the importance of electronic upload/download, debate about the future role of the agent, and an overarching question of how technology can be used to achieve strategic objectives and goals."

"Our top technology priority is meeting the changing needs of our distribution channel," says Clements. "They want increased and enhanced electronic capability, and we need to respond to that demand quickly, effectively, and economically."

At the same time, volatility of the marketplace continues to present obstacles to long-term planning . "As much as we'd like to put two- or three-year plans into place, our tactical initiatives keep moving during that time," says Boyd. "It's easy to fall in the trap of staying on the same course, but you have to remain nimble and flexible. Our ability to do that has been a key to our success."

Budget Battles

Budgets remain a constant pressure for IT shops as well. "Selling projects 'upstairs,' particularly in this period where we are just beginning to emerge from the recession, is a hot topic," Boyd says. "Having been on the CIO side and now on the business side paying the bills, I understand the difficult situation IT organizations are in."

Technology execs should strive to move the dialog from cost-based to capability-based budgeting, Clements maintains. "Insurers need to look at what they need, then find a way to budget to fill that need, not the other way around," he says.

Naturally, the business continues to demand more capability and is looking to IT to support new technologies, including social media.

"Even though many may feel this is an over-exposed topic, during this session we are going to touch on social media and what it means for and to the insurance industry. There is still a significant amount of confusion in the industry around what is possible, what is warranted, what is regulated, and what is dangerous when it comes to social media," Overhulse-King says.

"In our business, we use social media primarily for our distribution channel as a way to keep the younger brokers engaged with the company. It definitely has brought additional value to our broker base," says Boyd.

The challenge with social media is that the benefits are often indirect and difficult to measure. Even though the price to enter social media may be low, in a cost-conscious environment, every technology expense must be justified.

"The ROI component of any technology, not just social media, is a huge issue companies struggle with," Boyd says. "First off, it can be difficult to establish the metrics in some projects to determine if they are worth the investment. Second, very few companies go back after the fact and be sure they developed the results—revenue, improved service, or other benefits—that they were looking for. "

"This discussion will move beyond asking the hypothetical 'what ifs' to talk about the impact social media can have on your business and what role technology plays in making certain social media goes in your 'win' column," Overhulse-King adds.

Geared toward insurance company decision-makers, the technology super session is focused on the fact that every member of the executive team must be informed about technology issues and prepared to make decisions about initiatives that will work toward achieving a company's strategic objectives.

"No doubt there will be differing opinions and priorities competing for budget dollars, time and attention," says Overhulse-King. "By attending this session, you will be part of an open and honest debate about the technologies that should be on the top of the list as ways to improve your organization." K