InsurTech Magazine - September 2020

Setting out a vision for progressive insurance brokerage insurtechdigital.com

SEPTEMBER 2020

H C E T R U S N I S N R O C I N U of the most 10 to in t h ig s in An executive as technology s n r o ic n u h c te valuable insur rmation shape the future sfo and digital tran ector ce s of the insuran

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FOREWORD

W

elcome to the Septmber edition

can focus on servicing our customers

of InsurTech magazine.

rather than simply on processes,” he says.

As the COVID-19 pandemic continues to

Also, Tod Beardsley, Director of Research

alter the insurance landscape, customers

at Rapid7, walks us through the compa-

and investors are beginning to under-

ny’s recently released NICER (National /

stand the value of companies that priori-

Industry / Cloud Exposure Report) on the

tise a digitally-focused strategy. Capable

state of modern internet security. The

of delivering bespoke policies, cheaper

result of four years’ worth of research, the

premiums and streamlined service expe-

conclusion may surprise and motivate you

rience, these businesses are showing

to reassess your own tech infrastructure.

the way that the industry must progress.

In our Top 10 this month, we explore the leading insurtech unicorns (valued at over US$1bn) and catch a glimpse of the exciting new standard they are setting.

In addition, our editorial pieces this month include: an evaluation of IoT within insurance with Sean Ringsted, CDO at Chubb; insights on the transformative power of cloud from executives at Guidewire

Elsewhere, we speak to Paul Johnson,

Software and Sumo Logic; an investiga-

CIO and COO of PIB Group, on how pro-

tion on the impact of Big Data; and how to

fessionalisation, data and automation has

challenge convention with a digital strat-

allowed the company to drive a significant

egy, featuring comments from Saggezza,

expansion campaign. “I’m always inter-

PwC and McKinsey & Co.

ested in how we can provide a much better service to our customers, and artificial intelligence (AI), robotic process automation (RPA) and bots can provide that. I want the company to ensure that our staff

Enjoy the issue.

Will Girling william.girling@bizclikmedia.com www.insurtechdigital.com

03

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PUBLISHED BY

EDITOR-IN-CHIEF

Will Girling EDITORAL DIRECTOR

Scott Birch

PRODUCTION DIRECTORS

PROJECT DIRECTORS

Georgia Allen Daniela Kianickovรก

Andrew Stubbings Jake Megeary Jordan Hubbard

PRODUCTION MANAGER

Owen Martin DIGITAL VIDEO PRODUCERS

James White

MARKETING DIRECTOR

Jason Westgate

DIGITAL MEDIA DIRECTOR

Leigh Manning

CREATIVE TEAM

Oscar Hathaway Erin Hancox Sophia Forte Sophie-Ann Pinnell Hector Penrose

MEDIA SALES DIRECTOR

Kieran Waite Sam Kemp

CREATIVE DIRECTOR

Billy Kabubi

MANAGING DIRECTOR

Lewis Vaughan

DIGITAL MARKETING MANAGER

Shirin Sadr

CHIEF OPERATIONS OFFICER

Stacy Norman PRESIDENT & CEO

Glen White DIGITAL MARKETING EXECUTIVE

Evelyn Howat www.insurtechdigital.com

CONTENTS

10

26

42

56 70

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110 HOOPP

128

142

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10

Setting out a vision for modern insurance

WRITTEN BY

WILL GIRLING PRODUCED BY

JAKE MEGEARY

SEPTEMBER 2020

11

i nsurt e c hdi gi t a l. com

PIB GROUP

Paul Johnson, PIB Group CIO and COO, explains how professionalisation, data and automation has allowed the company to drive a significant expansion campaign

I

t’s a rare accomplishment when a new company is able to make a bold impression on the market within its first few years,

yet this is exactly what PIB Group (‘PIB’) has done.

Founded in 2015, the organisation’s strategy has been marked by a dynamic and fresh approach to insurance which has already seen it summit the UK 12

market and become a genuine leader. Combining the latest data insights with years of industry experience, it is able to offer customers a superlative and comprehensive service. Receiving financial backing from multinational equity corporation The Carlyle Group, PIB’s campaign for growth, both through acquisition and organically, has so far seen 30 businesses brought under its umbrella from nearly every corner of the UK since 2016.

Prior to beginning his journey with PIB Group in 2018, Paul Johnson, COO and CIO, claims that a conversation with Brendan McManus (PIB Group CEO) convinced him that the company was an exciting prospect he had to get involved with.

“I was consulting for a new startup blockchain bank at the time,” he recalls. “But, after speaking to Brendan and listening to the PIB Group story, I SEPTEMBER 2020

13

“After speaking to the CEO and listening to PIB Group’s story, I became genuinely excited about the company and felt a real ‘click’ with the executive vision” — Paul Johnson, CIO and COO, PIB Group

i nsurt e c hdi gi t a l. com

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COMBINING TECHNOLOGY WITH CUSTOMER-CENTRICITY Andrew Martin, Egnyte’s Managing Director, UK, discusses how the company is assisting PIB Group in its digital transformation journey.

Recognising the value of cutting-edge technology combined with a strong, customercentric work ethic, Egnyte is an intelligent content platform to access, share, and manage content no matter where the work happens. Specifically, working with one of its key clients, PIB Group, Egynte has been helping it define a vital data management strategy to maintain its high-quality services in a shifting insurance landscape. “For enterprises these days, the focus isn’t just on digital transformation,” explains Andrew Martin, Managing Director, UK. “Really it’s about data transformation and helping our customers formulate a strategy regarding their structured and unstructured data.”

Fascinated by both technology and sport at a young age, Martin says that he has been able to incorporate his leadership and team management skills from the latter to drive his coordination of Egynte’s EMEA-focused operations. Priding himself on an ability to see problems from the customer’s point of view, Martin explains that the philosophy of the company’s founders - Vineet Jain (Chief Executive Officer) and Rajesh Ram (Chief Experience Officer) - drew him in and inspired him to join. “Fundamentally, they’re two guys who found a problem that they couldn’t solve at their previous organisations and decided to create a company to address it.”

Claiming that, in a direct comparison with its competitors, Egynte’s cloud-first usually emerges victorious, it is Martin’s opinion that the time is right for further market expansion.

With over 16,000 customers accrued since it was founded in 2007, the company has a solid grasp on its core capabilities and is now assessing the market carefully to anticipate the needs of tomorrow’s clients. “The business started with moving document file servers to the cloud without negatively impacting the user experience or speed

Andrew Martin & Darrell Cook @ EGNYTE

degradation. However, with a client like PIB Group, we have to manage millions of files across thousands of employees while they’re also trying to onboard multiple new acquisitions every year.” To give a more accurate impression of the scale of the onboarding: PIB Group has brought over 40 businesses under its umbrella in less than five years.

Regarding the COVID-19 pandemic, one of the most difficult logistical challenges of modern business, Martin proudly states that Egnyte’s strong relationship with PIB Group has seen the latter through its implementation of remote working processes. “Paul Johnson (COO and CIO at PIB Group) has said that, through PIB Group’s usage of our technology, the company has had no challenges making content and data available to all their employees wherever they want to work.”

What was once a static and relatively limited vendor relationship has developed over the years to become a fully-fledged partnership, one underpinned by mutual recognition of the value of customer-centricity. “Darrell Cook (Customer Success Manager) runs our relationship with PIB Group, not my sales team,” Martin emphasises. Cook himself adds: “That dynamic allows us to really understand its business, goals and problems, therefore making it easier to find solutions.

That’s something that I think Egnyte does very well: we listen to the customer and find out what they want to see in the future.”

PIB GROUP

“I’m always interested in how we can provide a much better service to our customers, and artificial intelligence (AI), robotic process automation (RPA) and bots can provide that” — Paul Johnson, CIO and COO, PIB Group

16

became genuinely excited about the

That teaches you a lot in terms of how

company and felt a real ‘click’ with the

to lead in the most optimal and pro-

executive vision.” Bringing a diverse

fessional way for your employees.”

range of skills accrued in tech firms,

In fact, when asked to describe

financial institutions and even the

the workplace culture at PIB Group,

Royal Navy, Johnson says that know-

Johnson easily summarises it as

ing many aspects of the sector has

‘engaged’ and ‘collaborative’. “One

allowed him to adopt the agile, flexible

of the things I enjoy most about PIB

work ethic required in such a fast-

Group is the culture,” he adds. “The

moving company. “My experience

COVID-19 period has emphasised

has been very varied, including the

even more that our employees are the

acquisition of organisations, inter-

engine of the company.” Maintaining

national growth and then suddenly

a corporate yet entrepreneurial spirit,

having to switch to cost optimisation.

wherein everyone feels that they can

SEPTEMBER 2020

contribute, underpins PIB’s need to

AI-powered analytics will be at the

stay nimble, particularly as technology

forefront of the industry in the near

continues to disrupt the traditional

future is beyond doubt for him: with AI

norms of insurance. The developing

algorithms capable of building highly

application of smart automation is one

accurate customer data profiles and

aspect which particularly interests

sophisticated understanding of the

Johnson: “I’m always interested in how

market, insurers will be able to provide

we can provide a much better service

better advice and suggest the best

to our customers, and artificial intelli-

products for their customers’ needs.

gence (AI), robotic process automation

Customer-centrism is key for PIB

(RPA) and bots can provide that. I want

Group because it is the company’s

the company to ensure that our people

outstanding reputation in the mar-

can focus on servicing our customers

ket which has enabled it to expand

rather than simply on processes.” That

so rapidly, including new locations

E X E C U T I V E P R O FILE :

Paul Johnson Title: CIO/COO

Company: PIB Group

Paul joined PIB Group in October 2018. His career started at the Royal Navy where he was responsible for maintaining Electronic Warfare, Comms and Weapons. He then joined a technology a company that supported a range of systems before moving to NatWest Bank, as well as other roles in financial services, consultancy for IBM and the airline industry. Recent positions have included Executive CIO and COO/CIO at GMAC, Lloyds Bank and Aldermore Bank. Paul has more recently been involved in developing a new BlockChain based bank and is also an Independent NonExecutive Director on the Board of a Maltese Bank and was an Independent Non-Executive Director of a UK Bank. i nsurt e c hdi gi t a l. com

17

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41:50

19 in mainland Europe. It is a respect,

unavoidable. Establishing a strong

Johnson goes on to say, which is only

baseline technology level across PIB

deepening as time goes by: “One

was an important step in levelling-out

of the keys to our success has been

the playing field. This was accomplished

through professionalising the way in

by utilising cloud to provide an easily

which we integrate new acquisitions

scalable tech framework that could

from a business operational perspec-

be deployed from the smallest to the

tive, a technological perspective and

largest new acquisition. “I’m currently

absolutely from a governance compli-

building a new data set that we can

ance perspective. We have to be very

use to provide better customer service,

considerate of how we work for the

propositions and advice to our growing

interests of our customers.” However,

customer base,” Johnson adds.

as more companies are onboarded, the

However, although he has set out

issue of mixed progress on the journey

a clear vision for digital transforma-

towards digital transformation becomes

tion, Johnson says that it hasn’t been i nsurt e c hdi gi t a l. com

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“The insurance world has got together to help and PIB Group was one of the first contributors to the project” — Paul Johnson, CIO and COO, PIB Group

group,” he says. Sharing PIB Group’s customer-centric ethos has been pivotal in creating this cross-party consensus, which, in turn, augments services, overcomes technological barriers and promotes a quality experience regardless of which aspect of PIB Group interacts with.

Although visionary leadership is an important aspect of PIB’s success, Johnson emphasises that partnerships

without difficulty. “One of the biggest

with select companies are also critical

challenges is actually maintaining that

to its everyday operations. Seeking

data and retaining visibility over a very

truly synergistic relationships which

long period of time.” Building a large

will uphold the tenets of engagement

archive of policies for the contingency

and collaboration which PIB Group

that they may need to be accessed

encourages amongst its own people,

in the future, PIB Group holds some

the company values openness, clear

information which is over 40 years old.

communication and transparency

Another obstacle has been achieving

above all else, something which has

cultural unity across the company’s

been accomplished with companies

myriad enterprises in an effort to

such as Websure, Applied, Mimacast

avoid a siloed community, underscor-

and Egnyte to name a few. Regarding

ing the reason why collaboration is

the latter, a software company that

placed at the heart of everything. “A

provides a cloud platform for enter-

lot of those brands have had value in

prise systems, Johnson said, “The

their own right in the past, but what

great thing about Egnyte is that it

they realise now is that, if we can

provides an integrated system that is

bring them all together, the power of

also data-secure. It’s flexible too, so

one entity is greater than a disparate

we can conduct scenario analyses i nsurt e c hdi gi t a l. com

21

and adjust products for customer

which believes in straightforward

optimisation much faster.” Littlefish,

language to explain its services.

a UK-based managed IT solutions

“Littlefish is a relatively new incum-

provider, is another partner in this

bent, but it’s been a valuable conduit

vein. An energetic disruptor in its

between PIB Group and a number of

sphere, Littlefish prides itself in suc-

other partners,” Johnson explains.

ceeding where larger ‘usual suspect’

“Our relationship has been absolutely

alternatives usually fail. Able to tailor

excellent: it isn’t just a supplier; it’s a

solutions to the precise needs of

real collaboration. It’s genuinely been

its customers, it is also a company

a joy to work with Littlefish.”

C O V I D - 19 SU PP O RT FU N D

PIB Group is part of a COVID-19 Support Fund - a charity established to help address the social disruption caused by the coronavirus pandemic. Johnson had this to say: “The insurance world has got together to help and PIB Group was one of the first contributors to the project. The idea is to provide financial assistance and advice to charities, the NHS and other parties that need support as a result of the COVID-19 lockdown and the significant impact it’s had on so many lives.

“I think, overall, PIB Group is very aware of the impact that not only the virus has had but also the resulting complications of other diseases such as cancer. We are always looking to get involved with worthwhile causes in order to make a difference.”

i nsurt e c hdi gi t a l. com

23

PIB GROUP

24

“A lot of those brands have had value in their own right in the past, but what they realise now is that, if we can bring them all together, the power of one entity is greater than a disparate group” — Paul Johnson, CIO and COO, PIB Group

SEPTEMBER 2020

2015

Year founded

£128mn+ Revenue in pounds

1,400 Number of employees

Reflecting on the company’s progress

Group continues to be successful: if

throughout 2020, Johnson remarks

customers are kept satisfied, growth will

that, despite the incredibly challenging

naturally occur. Even more excitingly,

economic climate, expansion for PIB

Johnson says that the 2021 strategy

Group has carried on unabated. In fact,

intends to maintain this remarkable

in certain areas, it has even acceler-

pace, with plenty more acquisitions

ated. “Our focus at the beginning of the

in the pipeline. With a solid customer

year was centred on growth. Obviously

base, unified corporate culture and new

protecting our employees has become

data-based tech taking the company to

an even greater priority, but we’re still in

even greater heights, it appears that PIB

a position to keep serving our custom-

Group has developed a winning formula.

ers in the very best way possible.” This hints at the reason why, perhaps, PIB i nsurt e c hdi gi t a l. com

25

D I G I TA L S T R AT E G Y

26

SEPTEMBER 2020

27

CHALLENGING CONVENTION IN INSURANCE WITH A DIGITAL STRATEGY WRITTEN BY

WILL GIRLING

i nsur te c hdi gi t a l. com

D I G I TA L S T R AT E G Y

Using insights from Saggezza, PwC and McKinsey, we investigate how new digital strategies are enabling InsurTechs to transform the insurance sector

E

ver since it emerged circa 2010 as an independent aspect of the burgeoning FinTech sector, InsurTech has come to encapsulate the morphing

expectations of customers in the digital era. Although still rooted in the principles

28

of an industry that was founded centuries ago, innovative companies have recognised that aspects of its operations, delivery and experience are very much in need of a 21st-century update. As such, developing and executing a visionary digital strategy is amongst the most important steps for contemporary InsurTechs to take. To elucidate this topic, we combined a first-hand interview with Keith Rutman, Senior VP at consultancy Saggezza, with industry insights from PwC and McKinsey.

THE MATURATION OF INSURTECH InsurTech has experienced a steady buildup of momentum over the last 10 years, diversifying away from the rudimentary SEPTEMBER 2020

29

“ As consumer shopping and purchasing habits have shifted more toward digital or online means, it’s signalled an acceptance and an interest in that type of digital experience” — Keith Rutman, Senior Vice President, Saggezza i nsur te c hdi gi t a l. com

From Inspiration

to Innovation

To know more, visit us at www.capgemini.com.au/insurance or email us at capgemini.marketing.au@capgemini.com

31

SAGGEZZ A

Keith Rutman joined Saggezza in September 2019. Currently Senior Vice President and a member of the company’s global leadership team, his primary responsibility is leading US Business Development and Saggezza’s Strategy and Innovation practice.

Educated at Washington University in St Louis (1989

to 1993) and the University of Pennsylvania (1998 to 2000), where he received his MBA, Rutman gathered career experience in marketing and finance before a series of roles within insurance company Allstate made him an expert in the sector. It is by utilising this rich knowledge that he helped us explore InsurTech’s digital future.

i nsur te c hdi gi t a l. com

D I G I TA L S T R AT E G Y

subject matter of ‘legacy insurance’

and there’s been a noticeable uptick

such as P&C (property and casu-

in client interest in front-end, user-

alty) and towards more exploratory

experience and user-interface work

aspects of the value chain. Keith

to improve engagement, self-service

Rutman believes that the shift in lev-

and customer experience with our

eraging data and digital technologies

clients’ brands.”

from back-end processes (underwritdetection) to front-end use cases like

CUSTOMER HABITS: SHAPING THE MARKET

customer service, quotations, claims

As customers become acclimatised

and overall customer engagement is

to the digital experience throughout

indicative of the sector’s most obvi-

their daily lives, whether for shopping,

ous maturation. “I’ve noticed that

finance, lifestyle management, etc,

[Saggezza’s] work with clients in the

the importance of a refined strategy

area of data and advanced analytics

to reflect changing preferences

has remained consistent over time

becomes indispensable. This is no less

ing, policy administration and fraud

32

true for insurance, which, although a centuries-old industry, cannot escape the call for better, faster and more convenient service. “As consumer shopping and purchasing habits have shifted more toward digital or online means, it’s signalled an acceptance and an interest in that type of digital experience across categories, including those that were once thought of as complex transactions requiring the assistance or hand-holding of an expert,” says Rutman. “Now, digital technologies can take on a portion SEPTEMBER 2020

The future of the insurance industry: A capabilities perspective CLICK TO WATCH

|

4:11

33 of the more routine or mundane parts of

customer data and increased trans-

the process, which frees up humans to

parency all serve to optimise customer

participate in the parts of the process in

outcomes and should be investigated

which they can add the most value.”

and utilised fully. PwC says: “While

Indeed, technology has the power

InsurTechs are naturally keen to be

to fundamentally alter the principle

understood for the commercial value

operations of insurance. PwC notes in

they could drive rather than the intrica-

‘Emerging Technologies in Insurance’

cies of their primary technology, the

that modern InsurTech is being pro-

large numbers of startups making

pelled by four key innovations: artificial

compelling use cases for emerg-

intelligence (AI), robotics (specifically

ing technologies means the broader

RPA or robotic process automation),

industry must get to grips with such

the internet of things (IoT) and block-

tools.” Moreover, in ‘Insurance 2020’,

chain. Automation of process-driven

the company highlights the value-add-

business, richer streams of analysable

ing power of social media to engage i nsur te c hdi gi t a l. com

D I G I TA L S T R AT E G Y

34

directly with customers in a previously unavailable way which not only amplifies brand awareness but also creates trust and transparency. Essentially, the gauntlet has been thrown down to the wider industry and it is up to more established companies to intelligently augment their business with new tech.

Ultimately, this will become the key differentiator with smarter innovation the ‘ante’ upon which standards will rise.

SEPTEMBER 2020

“ InsurTechs aren’t only challenging established industry incumbents; they are challenging decades-old laws and regulations” — Keith Rutman, Senior Vice President, Saggezza to him, the more pertinent question should consider the following: should InsurTech deliver the same products and services simply in a better way, or is it better to let technology chart a course for realising new potential.

“Part of any strategic considerations have to be ‘implementability’,” he clarifies. “Insurtechs aren’t only challeng-

DEVISING AN OVERALL STRATEGY: TO COLLABORATE OR DISRUPT?

they are challenging decades-old laws

Although the best examples of

and regulations that never contem-

InsurTech are often at the frontier

plated things like digital signatures,

of the sector, Rutman believes that

fractional insurance and the use of

an optimal digital strategy within

non-traditional data sources in under-

insurance is not necessarily different

writing and pricing risk.”

than anywhere else. Namely, it should

ing established industry incumbents;

This brings us to another strategic

revolve around quality content, have

consideration: collaboration versus

cutting-edge analytical facilities and

disruption. While disruption certainly

be highly data-focused. According

has its place in any tech-related i nsur te c hdi gi t a l. com

35

D I G I TA L S T R AT E G Y

36

“ I’ve seen a lot of time, money and resources wasted when technology companies attempt to become insurance disruptors" — Keith Rutman, Senior Vice President, Saggezza

SEPTEMBER 2020

sphere as the catalyst for progression

solid regulatory knowledge and effec-

and challenging conventional norms,

tive administration. This is an opinion

its importance can often be overem-

which McKinsey broadly agrees with

phasised by incumbents which choose

in its article: ‘A new industry model for

to prioritise it above all else: “I’ve seen

insurtech’. Due to the complementary

a lot of time, money and resources

nature of incumbents, InsurTechs and

wasted when technology companies

traditional insurer business models,

attempt to become insurance disrup-

the biggest challenge is not finding

tors. Oftentimes, they move quickly but

common ground but rather locating

face penalties and have to rework due

the optimal way to engage with each

to regulatory hurdles,” Rutman says. As

other. “It’s a shift in thinking, but there

an alternative, he emphasises the impor-

are ways to make collaboration easier.

tance of multi-party collaboration in order

Traditional insurers working with open

to cohesively and successfully unite tech

platforms, for example, are facilitating

with experienced insurance acumen,

the integration of new digital solutions

The future of insurance claims CLICK TO WATCH

|

4:59

i nsur te c hdi gi t a l. com

37

D I G I TA L S T R AT E G Y

ming interfaces (APIs), which many

CONSIDERING THE NEXT GENERATION OF INSURTECH

insurtechs offer.” The insurance

As more companies embark on their

landscape, therefore, could become

digital transformation journey, the

a highly synergistic environment

evolution of insurance and InsurTech

wherein “incumbents retain ownership

will be an ongoing and exciting process.

of the end customer while insurtechs

Over time, consensus within the indus-

act as digital enablers that drive the

try will accumulate and the sector will

adoption of digital technologies along

become more confident in the tech-

the value chain”; longevity, efficiency

nology it uses: what is already being

and successful long-term effect could

explored regarding the utilisation of big

depend on this interaction.

data and the use of machine learning

via standardised application program-

38

SEPTEMBER 2020

39

(ML) algorithms for pattern recogni-

that creates the next wave of innova-

tion and improved modelling will com-

tion in insurtech; it may instead be

bine with new aspects of IoT, such as

changes to privacy laws, consumer

using drones for remote inspections,

comfort with sharing personal data, or

as well as virtual reality (VR) and

new leading indicators used to quantify

augmented reality (AR) for improved

and value risk that lead to the next

training, claims assessment and risk

breakthrough in insurance innovation.”

mitigation. “However,” Rutman inter-

One possible effect of the COVID-

jects, “it may or may not be technology

19 pandemic is the acceleration of i nsur te c hdi gi t a l. com

D I G I TA L S T R AT E G Y

40

burgeoning changes within insur-

“In this regard, InsurTechs may have

ance generally. In terms of strategy,

a unique opportunity to gain share by

this presents insurers with a golden

being nimble and adaptive to change,”

opportunity to remodel themselves in

Rutman continues. “On the other

the ‘new normal’ – the precarious world

hand, lower demand due to remote

in which their services are likely to be

working (for instance, less cumulative

in demand – by addressing important

usage of cars), loss of income from

challenges surrounding legacy oper-

furloughs or lay-offs and supply chain

ating methods, i.e. social distancing,

disruptions may hinder the company’s

remote working, expenses, etc.

ability to meet growth and customer

SEPTEMBER 2020

41

“ It may or may not be technology that creates the next wave of innovation in InsurTech"

service goals.” This underscores that an insurance company’s digital strategy, particularly during such turbulent economic straits, must be thoughtfully developed, technologically robust and conscientiously collaborative in order to yield lasting success.

— Keith Rutman, Senior Vice President, Saggezza i nsur te c hdi gi t a l. com

TECHNOLOGY

42

SEPTEMBER 2020

IoT: THE TECH FOUNDATION OF A REVOLUTION IN INSURANCE WRITTEN BY

WILL GIRLING

in s ur t e c h digi t a l . c o m

43

TECHNOLOGY

Sean Ringsted, Chief Digital Officer at Chubb, provides us with an insider perspective on how IoT is fundamentally improving insurance

F

rom a technological perspective, IoT (internet of things) could be amongst the most significant developments in an

increasingly digital insurance industry. Ushering in a more transparent, accurate and accountable way of doing business, the ability for insurers to measure the activities of its policyholders to grant 44

cheaper premiums, anticipate operational problems before they become costly and improve the overall level of service received by customers is bringing a truly 21st-century touch to centuries-old processes. To help us understand the transformative effect that IoT has had on the modern insurance industry and where it might lead the future of insurtech, Sean Ringsted, Chief Digital Officer at global insurance provider Chubb, spoke with InsurTech Digital on the topic.

A TRANSFORMATION FOR INSURANCE Having worked for Chubb for nearly 25 years, Ringsted is well-placed to comment on how IoT is affecting contemporary insurance operations: “This technology will be truly revolutionary for how

SEPTEMBER 2020

45

in s ur t e c h digi t a l . c o m

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CHU BB

Sean Ringsted has been part of Chubb for almost 25 years.

Currently CDO, he is proud to be part of the world’s largest publicly traded property and casualty insurance company, as well as the largest commercial insurer in the US. Holding a BSc from the University of Bristol (1981 to 1984) and a PhD from the University of Oxford (1984 to 1988), both in Biochemistry, Ringsted brings an exceptional level of expertise to his work at Chubb.

Leading the company’s digital efforts, he summarises his team’s focus in three core capacities: 1) “ The customer and how we can digitise our products

and services to provide a modern experience for buying products, service policies and make claims. An important part of this effort is evolving from the traditional ‘repair and replace’ model to a ‘predict and prevent’ one, which repositions insurance as a service, not just a product you think about at policy inception or after you’ve had a traumatic loss.

2) D ata and analytic insights to help our decision-makers in areas such as underwriting and claims.

3) I nternal operations, doing simple things smarter.”

in s ur t e c h digi t a l . c o m

47

TECHNOLOGY

“ [IoT] will be truly revolutionary for how the industry assesses and prices risk” — Sean Ringsted, Chief Digital Officer, Chubb

48

of sensors set up around an insured space capable of measuring quantifiable environmental data, insurers can

the industry assesses and prices

gain real-time updates on changes

risk,” he says. “It’s early stages in the

in temperature, humidity, water pres-

industry, but Chubb is leading the way

sure and more. Therefore, small faults

with using IoT technology as part of

which have the potential to develop

its underwriting and risk mitigation

into larger issues can be quickly dealt

toolbox.” Perhaps the most noticeable

with in a timely and cost-effective man-

shift, he indicates, will be a more sus-

ner. Ringsted provides this example:

tainable approach based on an ethos

“While a homeowner is away on

of ‘predict and prevent’ as opposed

vacation, a smart device in their home

to ‘repair and replace’. With a network

alerts Chubb to a water valve leak.

Even before the homeowner knows there has been a flood, Chubb is already responding. In the commercial world, we have also seen the value of averting loss and early detection in properties such as a hospital or an unattended college campus.” This subsequently has the knock-on effect of raising the qualitative value of insurance itself, as the service becomes less focused on paying out claims and more engaged in preventing loss in the first instance.

Despite stating that insurance is only beginning to embark in this direction,

SEPTEMBER 2020

49

Ringsted’s vision of an industry revolu-

billion.” As IoT continues to shape

tionised by IoT may be closer at hand

how practically every sector gener-

than we think: McKinsey notes in its

ates data, it is safe to imagine that

article ‘Digital ecosystems for insurers:

insurance will naturally evolve swiftly

Opportunities through the Internet of

with it.

Things’ that IoT devices in every facet of modern life are accelerating expo-

SPECIFIC USE CASES FOR IOT

nentially in number, “In 2010, people

The customisable nature of IoT makes

owned 12.5bn networked devices; it is

it a technology well-suited for tailor-

estimated that by 2025 that number

ing to specific needs and challenges,

will have climbed to more than 50

a core asset in the insurance sector, in s ur t e c h digi t a l . c o m

TECHNOLOGY

“ Life insurers, including Chubb, are starting to use wearables to track fitness and encourage or even incentivise healthy lifestyles”

50

services, education, real estate, transportation, life-science, hospitals, construction and manufacturing,” says Ringsted. Water damage prevention, in particular, has been of particular interest to the company, which estimates a small crack in a 1/8“ pipe

— Sean Ringsted, Chief Digital Officer, Chubb

single day. With the number of home-

which needs to address different pri-

excess of USD$1mn annually tripling

orities depending on the client. “Chubb

over the last five years (average

is working with a broad set of IoT

settlement costs are approximately

solutions to meet the needs of several

$89,000), Ringsted highlights this

industry segments, including financial

as an example where IoT technology

#ITC2018: Sean Ringsted, Chief Digital Officer, Chubb CLICK TO WATCH

SEPTEMBER 2020

|

4:54

could leak 250 gallons of water in a owners claiming for water damage in

comes into its own. “We believe that water is a significant peril and, much in the same way that smoke alarms and sprinklers in buildings are used to detect and manage smoke or fire, sensors should be used to manage the water peril in buildings – water is the new fire!”

In addition to providing better protection for property, IoT can be used to help shore-up employee safety monitoring, fraud prevention and even to promote a healthier lifestyle 51

via wearables. Of the latter, Ringsted adds, “I think this is an area rich with potential for customers and insurers

from unicorn insurtechs like Metromile,

to develop a win-win proposition to

wherein customers pay cheap monthly

help manage the risk posed to indi-

premiums in exchange for adding a

viduals, whether health, fitness

small charge (several cents) for each

or safety. Life insurers, including Chubb,

mile travelled, thereby allowing infre-

are starting to use wearables to track

quent travellers to save money easily

fitness and encourage or even incen-

whilst still providing more peripatetic

tivise healthy lifestyles.” As society

policyholders with competitive rates.

continues to mould itself around col-

Deloitte encapsulates this in ‘Opting

lected data, which provides us with a

in: Using IoT connectivity to drive dif-

more accurate picture of risk and cus-

ferentiation’ by saying “IoT is

tomer behaviour, insurance companies

fundamentally a technology archi-

will be able to offer improved products

tecture stitching together existing

and services as a result. Additional

technologies in a specific way so that

examples of this can be observed

new benefits can be achieved.” in s ur t e c h digi t a l . c o m

TECHNOLOGY

MEETING CUSTOMER EXPECTATIONS “Rising customer expectations in an increasingly digital world are challenging the insurance industry to up its game,” Ringsted says. “As Chubb develops these solutions for our customers, we will also need to be mindful of the operational factors that are required to be successful, such as IT security, data privacy, easy installation and no false alarms.”

On this latter point, Deloitte adds that “while most stakeholders might 52

see attractive possibilities in the opportunity for behaviour monitoring across the insurance ecosystem, inevitable hurdles stand in the way of wholesale adoption.”

In other words: how enthusiastically customers react to the new

demonstrating the utility of IoT with

products, services and capabilities

timely examples will be important for

offered by IoT-augmented insur-

conversion. “On a college campus,

ance will be determined by how the

our sensors detected a water leak in

traditionally conservative industry

a third-floor laundry room in an on-

chooses to implement changes.

campus apartment. Campus staff and

Whilst the benefits of wearables or

Chubb risk engineers were alerted

environmentally-integrated sensors

to problems before they occurred.

are obvious, their general acceptance

These are especially important now

is far from a foregone conclusion.

while the campus remains unoccu-

As such, Ringsted highlights that

pied [because of COVID-19].”

SEPTEMBER 2020

“ Rising customer expectations in an increasingly digital world are challenging the insurance industry to up its game”

53

— Sean Ringsted, Chief Digital Officer, Chubb

Indeed, the pandemic has provided insurtech in general with a

have suddenly become the first line of defence,” he adds.

golden opportunity to prove itself, both as a technologically advanced

IOT’S PLACE IN AN ONGOING STRATEGY

and very necessary solution to

Although it’s a cliche to call data ‘the

modern problems. “In recent months,

new oil’ at the very least it is highly

we have seen that the use of IoT in

transformative. This is especially

buildings has proven to be a valuable

true for insurance, an industry built

virtual watchdog. While they were

on the availability of information. “IoT

originally intended to serve as back-

sensors provide a new dataset that

up to onsite facility staff, sensors

underwriters didn’t have before,” in s ur t e c h digi t a l . c o m

TECHNOLOGY

S AS ’ F I V E C H A L L E N G ES FO R I O T WI T HI N I N SU R AN CE

Norman Black, Principal Industry Consultant at SAS, has explored and refined the contemporary challenges of integrating IoT with insurance into five categories:

54

1) D isruption to existing business models: Although the potential of significant savings for low-risk insurance prospects is amplified

by IoT-augmented insurance, so too are the negatives for highrisk prospects, which may face greater penalisations than under new data-centric rules. Falling revenues from cheaper policies will also need to be addressed with new IoT-focused streams for profit.

2) D ata management: Using IoT to generate large data streams might be advantageous, but it is only useful if insurers have sufficient analytical and processing software to gain insights from it quickly.

SEPTEMBER 2020

3) D ata ownership: Legislative efforts such as GDPR have attempted to remedy this problem, but it is far from solved on a global level. With a large amount of sensitive customer information on-hand, companies will need to tread carefully.

4) Regulation: Certain IoT devices, such as wearables for healthcare purposes, can provide invaluable information on the user’s condition. However, insurers must be cautious not to overstep privacy or become invasive to privacy.

5) S ecurity and fraud prevention: Although insurance may become more accurate generally, Black warns that IoT could also present new opportunities for fraudulent applications and claims.

Ringsted says. “As opposed to looking back and aggregating 10 to 20 years of loss history, IoT provides underwriters with real-time exposure information and insights into risks.” Finding ways to mitigate risk is the insurer’s stock-in-trade and IoT enables them to do it more

“ IoT sensors provide a new dataset that underwriters didn’t have before” — Sean Ringsted, Chief Digital Officer, Chubb

creatively and effectively. One such example Ringsted offers is Chubb’s

provide transparency so that, should

fraud prevention measures in Latin

the cargo be stolen or illicitly sub-

America: cargo transported across

stituted, it can be recovered with

the continent is equipped with RFID

greater ease. “Another example

(radio-frequency identification)

is the underwriting of commercial

tags upon arrival at a distribution

property,” he continues. “Today,

centre and then accurately tracked

Chubb does not explicitly price for

throughout its journey. These tags

meaningful risks like interior water damage, partially due to the lack of available risk data. IoT is changing that.” Ultimately, however, for Ringsted, IoT’s place in insurance will be determined by its effect on the customer journey. If the quantitative benefits brought to companies

by IoT can be effectively applied to achieve qualitatively better outcomes, the importance of the technology for the next generation of insurtech seems beyond question.

in s ur t e c h digi t a l . c o m

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CLOUD & CYBER

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SEPTEMBER 2020

CLOUD: AGILITY, FLEXIBILITY & CUSTOMISATION IN INSURANCE

WRITTEN BY

WILL GIRLING

i nsur te c hdi gi t a l. com

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CLOUD & CYBER

Using insights from tech leaders Guidewire Software and Sumo Logic, we investigate how cloud has transformed the way insurance companies operate

I

t can be easy to underestimate the importance of cloud technology when considering the modern insurance indus-

try. Making it easier for startups and new

InsurTechs to compete on a level playing

ground with incumbents and traditional 58

financial institutions, cloud mitigates the need for cumbersome legacy infrastructure and allows a company to remain agile, adaptable to contemporary challenges and offer customers a more intuitive experience.

To find out more about how cloud platforms are enabling genuinely transformative results for insurers, we spoke with executives from two leading California-based tech companies: Keith Stonell, Managing Director EMEA at Guidewire Software and Colin Fernandes, Product Marketing Director EMEA at Sumo Logic.

MEETING INDUSTRY CHALLENGES For both Stonell and Fernandes one thing is very apparent: COVID-19 has been an SEPTEMBER 2020

59

i nsur te c hdi gi t a l. com

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accelerator or catalyst for technologi-

eliminates the need to ‘reinvent

cal change that had been nascent in

the wheel’ and instead provide

the insurance industry beforehand.

a readymade framework upon which

“The pandemic has certainly exacer-

the company’s main focus (i.e. cus-

bated issues relating to cybersecurity,

tomer experience) can take centre

business continuity, cost manage-

stage. “Nowadays, IT still has to spend

ment, capacity optimisation and re-

50%+ of its budget and resources

prioritising to competitiveness,” says

on maintenance for existing systems

Fernandes. More than ever, insurers

rather than digital innovation and is

need dynamic control in order to scale

often limited to providing only the nec-

appropriately in relation to modern

essary level of IT agility,” adds Stonell.

challenges. The flexibility and preci-

“Increased IT agility which goes above

sion of cloud to facilitate this makes

and beyond basic requirements will

it an obvious choice over legacy sys-

allow IT to act more as an innovation

tems; investing in a proven platform

partner for the business.”

Our Next Chapter CLICK TO WATCH

|

1:13

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CLOUD & CYBER

“ More than ever, insurers need dynamic control in order to scale appropriately in relation to modern challenges” projects’ and startups, Stonell notes that cloud has become part of insurStonell claims that the benefits of

62

ance companies’ core systems over

cloud overall extend past streamlin-

the last few years. Whilst gaps in IT

ing current operations, which are likely

have previously hampered achieving

to be tested thoroughly by COVID-

optimal levels of service “the migration

19-related insurance activity, but

to a cloud platform offers a meaning-

also include empowering insurers

ful and sustainable solution.” This is

to meet the ever-changing needs of

rooted in the cloud’s ability to consoli-

policyholders in the future. Fernandes

date multiple data streams into one

concurs, saying, “Companies that

easily navigable framework, one which

adopted cloud technologies early

eliminates the complexities, restric-

on are now better positioned to ask

tions and logistical difficulties caused

themselves, ‘how can we rejuvenate

by prior methods. Fernandes adds:

and transform our business?’ or ‘what

“The ability to securely collect, index,

products, services and use cases can

search, analyse, enrich, correlate and

we leverage for a greater customer

visualise across complex workloads

experience safely in a highly regulated

requires centralisation of trusted,

world?’” Indeed, it would appear that

accurate and actionable intelligence

the pandemic has signalled to those

to respond quickly and remain compli-

getting left behind in terms of digital

ant within a highly regulated industry

transformation to reset their priorities.

like insurance.”

However, just because cloud plat-

CLOUD: DRIVING VALUE, COMPETITION AND TECH UTILISATION

forms provide distinct advantages in

Far from being a tech novelty or

tech utilisation, this isn’t to say that

something reserved for ‘greenfield

intelligent planning and analysis isn’t

SEPTEMBER 2020

terms of driving value, competition and

63

required prior to adoption. “An awful

digital transformation within the correct

lot of their business processes still run

company framework. Stonell advises

on traditional or legacy hardware, with

all insurers to weigh their options

complex integrations and out-of-date

quickly as the industry adopts the

(“cloud washed”) software,” states

technology en masse; IoT (internet

Fernandes. “Replacing those systems

of things - remote equipment useful

with cloud is not an overnight process;

for providing insurers with real-time

it requires a progressive, modern appe-

streams of data manageable by cloud)

tite combined with a mindset and cul-

project expenditure, by his estimate,

ture centred on innovation.” Exploring

will reach USD$1.1trn by 2023. “The

the available options of public cloud,

‘cloud now’ hype is on much the same

private cloud, hybrid cloud and multi-

trajectory as before the pandemic,

cloud will reveal unique benefits, with

but the need for acceleration is greater

each capable of driving significant

than ever.” i nsur te c hdi gi t a l. com

CLOUD & CYBER

AUGMENTING CLOUD FOR INSURANCE PROCESSES

(AI), machine learning (ML) and other

As a data-rich and data-drive industry,

“not only the chance to modernise but

insurance has the potential to be signifi-

to accelerate innovation and offer new

cantly improved by technology which

products and services that satisfy, or

unlocks the value of its voluminous data

even exceed, customer expectation.”

streams. This is why combining cloud

For instance, wearable IoT sensors

with IoT and analytical software can be

could help health insurers to get more

positively revolutionary in an insurer’s

accurate information on their customers

digital transformation journey. Also a

and therefore enable them to offer bet-

key component of the ‘race to innovate’,

ter products, customise their packages

Stonell considers artificial intelligence

more easily and lower premiums. Cloud

64

SEPTEMBER 2020

analytical capabilities to offer companies

is the underlying tech resource which makes this kind of data utilisation possible and unlocks value that was simply inaccessible before: “Not all data is equal, but all data is valuable,” comments Fernandes. “For instance, you can monitor application changes and manage customer satisfaction in real-time. That direct link between IT, modern applications and customer personalisation and can be correlated and applied to a company’s advantage.”

“ Increased IT agility which goes above and beyond basic requirements will allow IT to act more as an innovation partner for the business” — Keith Stonell, Managing Director EMEA, Guidewire Software

K EI T H ST O N ELL

Keith Stonell is the Managing Director EMEA at Guidewire Software.

Joining the company in 2013, Stonell has enjoyed a long career in the IT and software sectors, with executive leadership roles in both Europe and Asia-Pacific.

Holding a BSc in Economics from the University of Southampton (1981 to 1984), he is an expert in the ongoing transformation of the tech industry.

Guidewire Software, based in San Mateo, California, is a leading platform for P&C (property and casualty) insurance providers in the US and elsewhere. The company has been cited as both one of most desirable Bay Area companies to work and ranked in Glassdoor’s ‘Top 50 Large Companies’ to work at list.

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CLOUD & CYBER

66

C O L I N FERN AN DES

Colin Fernandes has been Director of Product Marketing at Sumo Logic since 2018.

Gaining career experience at prestigious companies such as KPMG, IBM and Hewlett Packard, Fernandes possesses an innate understanding of current trends in the modern tech industry.

Headquartered in Redwood City, California, Sumo Logic is a cloudbased data analytics company specialising in the utilisation of big data to deliver machine-generated,

SEPTEMBER 2020

real-time insights. Regarding the company, he had this to say: “For 10 years, Sumo Logic has pioneered and helped companies harness their expanding varieties of data and enable innovation by identifying transformational trends and embracing new innovations within modern cost intelligence and tiered cost optimisation analytics for the insurance market. This, in turn, has impacted how companies consume and manage their data.�

FUTURE DEVELOPMENT OF CLOUD Even though COVID-19 has already instigated some rapid changes in the insurance sector, Fernandes is of the opinion that momentum for further development will carry on unabated in the ‘new normal’. “I think the insurance sector, as a whole, will face the same economic and financial disruption and pressures across the world. At the same time, I expect to see more insurance firms making use of offerings like serverless, microservices, APIs (applica-

“ An awful lot of their business processes still run on traditional or legacy hardware, with complex integrations and out-of-date (“cloud washed”) software” — Colin Fernandes, Director of Product Marketing, Sumo Logic

tion programming interfaces) and

Sumo Logic: The Machine Data Analytics Platform for Modern Applications CLICK TO WATCH

|

2:55

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CLOUD & CYBER

" The future of insurance [...] could be far more open and customisable than previously thought possible, ushering in a far more 21st century experience"

68

SEPTEMBER 2020

containers to run their infrastructure over time.” It could be concluded, then, that cloud will be a crucial part of the cultural transformation that is likely to mould the industry’s mindset for the foreseeable future. Stonell has a similar vision for cloud’s future development: “Open APIs will empower the wider ecosystem to grow, innovate, add further value, develop the potential for carrier-led coinsurance and peer-to-peer settlement.” The future of insurance, therefore, could be far more open and customisable than previously thought possible, ushering in a far more 21st-century experience.

“Cloud-hosted, modern software platforms can enable greater customisation and flexibility and can be adapted to encompass unique processes, such as those used in the London Market,” Stonell concludes. “This creates an accessible marketplace that’s comparable to an app store, which could be the next step for optimising value.”

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A I & D ATA

70

WRITTEN BY

WILL GIRLING

SEPTEMBER 2020

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in s ur t e c h digi t a l . c o m

A I & D ATA

IT COULD BE ARGUED THAT MODERN INSURTECH IS BUILT ON BIG DATA. IN THIS ARTICLE, WE EXPLORE HOW INDUSTRY LEADERS ARE UTILISING IT IN EXCITING NEW WAYS

F

oundational to a distinctly informationrich industry, Big Data has become one of the most important factors in the

disruptive and innovative potential of InsurTech over the last 10 years. Whereas before data was abundant and yet inaccessible in terms of deriving insights (‘dark data’), an elegant combination of 72

cloud, IoT (internet of things) and algorithm-driven analytics software has meant that vast volumes of valuable data can now be unlocked, granting insurers the scope to elevate products and services beyond their prior incarnations and into something truly modern. Using insights from Boston Consulting Group (BCG) and KPMG, as well as exploring use cases from leading InsurTechs, we investigate how Big Data has laid the foundations for the next-gen insurance.

EXPLORING THE USES OF BIG DATA In the digital age, insurance is a sector which needs to be agile, responsive, efficient and optimised in order to deliver optimal outcomes for its customers. High-quality information is the cornerstone

SEPTEMBER 2020

73

“ [REGARDING BIG DATA] THE CHALLENGE IS TO MINE IT THOROUGHLY AND MAKE IT USEFUL. IN MOST CASES, INDIVIDUAL STRATEGIES MUST BE DEVELOPED TO ACHIEVE THIS” — Boston Consulting Group

in s ur t e c h digi t a l . c o m

A I & D ATA

“ Big Data has become one of the most important factors in the disruptive and innovative potential of InsurTech over the last 10 years”

data that insurers do have is typically

74

to enabling this improved service,

low consistency, the result of siloed-

yet Big Data is often more difficult to

information capture and management.”

acquire for insurance companies than

Furthermore, KPMG also points out

others. “Because their interaction

in ‘Data is the new oil – and the price is

with customers is relatively infrequent,

going up’ that “although there is strong

insurers do not have rich transac-

growth in the adoption of wearable

tional data to work from—as banks

tech that is influencing the healthcare

do, for example, through credit card

sector, consumers are generally split

and account transactions,” said BCG

on the issue of sharing personal and

in its article ‘Big Data: The Next Big

behavioural data. Insurers must tackle

Thing for Insurers?’. “In addition, the

the ethical questions that arise about how they will use this data if they want to avoid a potential backlash now – or in the future – against big data from the consumer prompted or reinforced by regulators.”

As such, InsurTechs must be innovative in the methods they use for unlocking value in the data available to them. Sometimes, this value is derived not strictly from ‘insights’ but rather in its use as the engine for driving operational optimisation, personalisation and smart analytics

(i.e. robotic process automation and

and movement information—and even

artificial intelligence (AI)). These aug-

weather data—to calculate a highly

ment the customer experience by

accurate risk profile for each skier.”

automating process-driven aspects of

This is why a core tech trinity (cloud

business and allowing staff to focus on

+ IoT + advanced analytics) is crucial

their qualitative input instead, such as

for exploiting Big Data to its fullest:

new services and products. AI-driven

information gathered in real-time via

analytics software, for example, can

IoT can be integrated into a single

help create more accurate forecasting,

source using cloud and then analysed

open up cross-selling opportunities

either centrally or at the edge, creating

and generate better pricing models

an agile and adaptable framework. It is

using real-time data. For instance,

this capacity for customisation and

says BCG, “Not only can the company

a shift away from generalised cover-

deliver an insurance offer to [a] skier

age which positions InsurTech beyond

in real-time, it can also use location

the confines of the traditional industry.

Big Data & Advanced Analytics CLICK TO WATCH

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3:09

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A I & D ATA

BCG’s four keys to successfully implementing Big Data

76

1. I nstigate the right company culture and mindset: “Insurers need to create an innovative, risk-friendly big-data ambience that is separate from the traditional business organisation and its governance. This will help foster a much-needed ‘greenfield’ approach for developing, testing, and implementing solutions.”

2. D on’t be afraid to reshape the organisation: Far from being a simple IT augmentation, Big Data can be is a pervasive and time-consuming aspect of business. Do not, therefore, be hesitant in amending processes to accommodate it or creating dedicated teams of people to handle analysis.

SEPTEMBER 2020

3. C reate partner ecosystems: Whilst some insurers may not have adequate resources to utilise Big Data at its full potential, they should refrain from settling for surface-level achievement. Instead, creating partnerships to help develop mutual understanding can be cost-saving and edifying.

4. L everage internal data: Although it could be supposed that external data is more valuable, BCG highlights that a company’s internal data can be just as insightful and more readily available. “The challenge is to mine it thoroughly and make it useful. In most cases, individual strategies must be developed to achieve this.”

“ Insurers must tackle the ethical questions that arise about how they will use this data if they want to avoid a potential backlash now – or in the future – against Big Data” — KPMG

style of insurance and towards a much more preventative paradigm, Hippo works with its customers to provide optimal coverage that reflects their individual circumstances. “Think of it as the equivalent of a safe driver discount for auto insurance,” said the company.

“Since these devices help detect issues, minimise damages and make homes run more efficiently, they also minimise the number of claims you’ll file.”

TOP THREE INSURTECH-LEADER USE CASES

Hippo 77

CEO – Assaf Wand

CIO – Richard McCathron

CTO – Ran Harpaz

Hippo One of InsurTech’s ‘unicorn’ companies (valued at more than USD$1bn), Hippo owes much of its success to its highly innovative use of Big Data gathered from complimentary smart/

Root Insurance

IoT devices provided to its custom-

Currently the most valuable InsurTech

ers (over 400,000 units have been

on the market, it is no exaggeration to

deployed so far). In conjunction with

say that Root Insurance has revolution-

this, the company also uses myriad

ised car insurance. Powered entirely by

data streams like property records,

smartphone technology, the company

aerial photography and permit docu-

uses data gathered from users’ smart-

mentation to create a more accurate

phones to gain incomparably accurate

impression of policyholders. Shifting

insights into driving habits and overall

the focus from the ‘repair and replace’

safety. Using this information, Root in s ur t e c h digi t a l . c o m

A I & D ATA

78

offers insurance premiums exclusively

reinvent insurance from the ground up to

to those who meet their standards,

make the whole experience easier and

thereby lowering overall rates for

fairer for our customers.”

other policyholders and motivating more responsible behaviour on the

Root Insurance

CEO – Alex Timm

CTO – Dan Manges

CFO – Dan Rosenthal

road. “The car insurance industry is woefully out of date, which is why you pretty much only see flashy marketing campaigns and pricing gimmicks,” said Dan Manges, CTO, in a press release.

“At Root, we’re using technology to SEPTEMBER 2020

“ Insurance is a data game. The question is whether you use this data to really generate tailor-made solutions for your new customers” insurance products. This ecosystem, — Bill Song, COO, Zhong An

in turn, creates further sales opportunities that would not have been possible previously. In an article by Accenture, company COO Bill Song outlined how Big Data in modern insurance was transforming the industry landscape: “Insurance is a data game.

The question is whether you use this data to really generate tailor-made solutions for your new customers. The second time your customer buys the same policy, maybe you could consider different scenarios for pricing. To understand and use your customer’s

Zhong An

latest data for recent purchases; that

Founded in 2013 and currently hold-

would be the preferred direction.”

ing a market value of $2bn, Zhong An is a Chinese digital-only insurance

Zhong An

CEO – Jin Chen

CTO – Xing Jiang

COO – Bill Song

provider which has made waves worldwide through a heavily tech-driven philosophy and its recognition of the value of data. Utilising an advanced network of more than 300 partners, the company is able to collate data on when customers can use specific in s ur t e c h digi t a l . c o m

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InsurTech Unicorns With global unicorns (companies valued at $1bn+) now valued at $1.28trn collectively, InsurTech Digital explores the top 10 examples within insurance WRITTEN BY

WILL GIRLING i nsur te c hdi gi t a l. com

T O P 10

10

Bright Health Valuation: $1bn

As with many entities in the startup world, Bright Health was founded in order to address the fundamental issues at the heart of a big industry, in this case, health insurance. Thus, the company endeavours to offer users a simplified, streamlined and less complicated experience.Taking the effort away from policyholders so that they can focus on their health instead of their insurance, Bright Health closely liaises with its carefully sourced selection of care partners (doctors, clinics, hospitals, etc) in order to deliver a tailored, efficient and easy point of access for its clients.

Currently operating in 22 markets within 12 US states, the company 82

attained unicorn status in December 2019 when it secured $635mn in a single financing round, thus pushing it past the $1bn mark.

2016 YEAR FOUNDED

Mike Mikan CEO

USA COUNTRY

SEPTEMBER 2020

2015

USA

YEAR FOUNDED

COUNTRY

Guy Goldstein CEO

09

83

Next Insurance Valuation: $1bn

An insurtech dedicated to helping entrepreneurs, startups and other SMEs in fulfilling their ambitions by providing comprehensive insurance cover, Next Insurance’s raison d’être is enabling others in the business community to focus on their products and services and succeed.

Offering customers free, unlimited access to its insurance portal, the company states that a policy can be bought from them 24/7 in just a few minutes via a simple and 100% online process. Using its own technology to filter the best prices for potential policyholders, the company goes one step further by removing all additional costs and extras which it considers unnecessary or not in the customer’s interest.

i nsur te c hdi gi t a l. com

THE WORLD’S LEADING SOFTWARE FOR THE WORLD’S LEADING BANKS Over 3000 banks in 150 countries run Temenos

LEARN MORE

WATCH VIDEO

T O P 10

2015 YEAR FOUNDED

Assaf Wand CEO

USA COUNTRY

08

85

Hippo

Valuation: $1bn

Although only in its fifth year, Hippo has established itself as a champion on homeowners searching for competitive insurance packages. A true insurtech offering, the company’s ethos revolves around technology and automation to increase efficiency, both for Hippo itself and its customers. Choosing to only work with the best collaborators available, Hippo’s partners possess approximately $200bn in assets. All have an ‘A’ rating according to the AM Best gold standard and hold 300 years of cumulative experience in the industry. In summary, policyholders can be assured that the products and services offered by Hippo are secure and best-inclass quality.

i nsur te c hdi gi t a l. com

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2011

USA

YEAR FOUNDED

COUNTRY

Dan Preston CEO

86

07

Metromile

Valuation: $1.13bn

The leading ‘pay-per-mile’ automotive insurance company currently operating in the US, Metromile combines cutting-edge machine learning software with a customer-centric design to produce an innovative and disruptive result. The company manages to offer customers extremely competitive monthly premiums which are supplemented by paying a few cents for every mile travelled. Therefore, for customers who don’t clock up many miles, car insurance will be significantly cheaper, whilst more peripatetic drivers will still pay comparatively low costs even if their mileage is several hundred each month.

SEPTEMBER 2020

06

Clover Health Valuation: $1.2bn

Striving to improve quality of life for both physicians and patients, Clover Health’s team of software engineers, data scientists and designers come together to produce a frictionless and transparent environment that focuses on people instead of processes. With plans including dental, vision, hearing and 24/7 access to doctors, free gym memberships, in-home visitations, mail order pharmacies and a portal for online access, policyholders will be guaranteed a superior level of coverage. A company which is still accelerating in terms of membership, Clover reported at the beginning of the year that its uptake had outstripped the five-year indus87

try average by 30%.

2014 YEAR FOUNDED

Vivek Garipalli CEO

USA COUNTRY

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T O P 10

05

PolicyBazaar Valuation: $1.5bn

One of India’s most prominent life and general insurance enterprises, PolicyBazaar utilises a specially optimised network of public and private insurance providers across the country to help customers find the best options available in an aggregated list. Guaranteeing users the lowest price, unbiased advice and claims support, PolicyBazaar’s platform is underpinned by a friendly customer support team and is currently the single-largest insurance distributor in the country (excl. banks). With year-on-year growth maintained at 100% since the company was established twelve years ago, 400,000 policies sold each month and 25% of India’s life insurance accounted for by PolicyBazaar, the business is a model for all those who want to revolutionise insurtech.

2008 YEAR FOUNDED

Yashish Dahiya CEO

India COUNTRY

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T O P 10

2017 YEAR FOUNDED

Julian Teicke CEO

Germany COUNTRY

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04

Wefox Group Valuation: $1.76bn

Dubbing itself a “dynamic force determined to drive the digital and big data revolution,” Wefox Group is one of Europe’s leading insurtechs.

Prioritising the value and security of the data which enables the insurance sector, the company places the ownership of information squarely with customers themselves, even calling data “a basic human right”.

Founded three years ago by CEO Julian Teicke, the Group consists of two companies: wefox and ONE. Wefox is a simplified digital marketplace for insurance, whilst ONE is a tech disruptor that utilises artificial intelligence (AI) and internet of things (IoT) to integrate with wefox in order to deliver faster, cheaper and better insurance to users. Regarding ONE, actor Ashton Kutcher commented: “The way people are buying insurance is changing and ONE is at the forefront of that change.”

SEPTEMBER 2020

03

Lemonade Valuation: $2bn

Lemonade positions itself as insurtech which offers an incomparable level of service; measuring success by the satisfaction of its customers and the speed of its payouts - it claims 30% are paid within seconds. The company is currently trialling the world’s first open-source collaborative insurance policy in Germany and the Netherlands: Policy 2.0. An innovative product which makes use of cutting-edge technology, Policy 2.0 combines an anti-theft package, house contents cover, natural disaster and personal liability coverage with a highly transparent layout to streamline the entire experience. Lemonade’s AI bots can also help customers buy a policy in seconds through a straightforward series of questions.

Furthermore, the company’s ‘Giveback’ model allows customers to donate unclaimed money towards causes they personally care about.

2015 YEAR FOUNDED

Daniel Schreiber CEO

USA COUNTRY

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E M E A | A P A C | | APAC N O R T H | A EMEA MERICA AMERICAS FIND OUT MORE

FIND OUT MORE

T O P 10

1992 YEAR FOUNDED

Dominic Platt CEO

UK

COUNTRY 94

Introducing BGL Tech CLICK TO WATCH

SEPTEMBER 2020

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2:21

02

BGL Group Valuation: $3bn

Started in 1992, the evolution of BGL Group has been marked by substantial growth, from a business with 30 employees to one with over 3,000 and serving 10 million customers. One of the foremost digital distributors of insurance in the world, the company holds its core values of ambition, authenticity, creativity and unity close as it strives to provide the very best service possible. Recently, BGL announced that it was expanding into insurer outsourcing (DaaS or Distribution as a Service), enabling agents to push past the hindrances of legacy technology and drive better outcomes. “Our partnership model can quickly help insurers to diversify and expand, allowing them to continue focusing on other key business priorities. It also allows insurers to deploy the very latest digital journeys and customer interfaces without significant investment,” commented Peter Thompson, CEO of BGL Group’s Insurance, Distribution and Outsourcing (IDO) division.

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01

Root Insurance Valuation: $3.5bn

Using smartphone technology, Root Insurance is able to measure driver behaviour in situ to develop a more accurate picture of overall safety on the road. Able to narrow down those who drive the best in everyday scenarios, the company offers insurance premiums to them exclusively, thereby also making the rates much more affordable. Through the Root Insurance app, customers can purchase or customise their policy, make changes, files claims, cancel policies and more.Believing that the best route for an insurtech is one paved with data, technology and an innovative mindset, Root Insurance is a revolutionary platform for customers to buy car insurance. Valued at $3.5bn, it is the largest insurance-based unicorn in the market and takes the number one spot on our list.

SEPTEMBER 2020

Alex Timm

2015 YEAR FOUNDED

USA COUNTRY

CEO

This is Root CLICK TO WATCH

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0:53

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Rapid7 NICER – starting a conversation on internet security WRITTEN BY

WILL GIRLING PRODUCED BY

GLEN WHITE

i nsur te c hdi gi t a l. com

RAPID7 – NICER

Tod Beardsley, Director of Research at Rapid7, outlines the company’s recently released NICER report and why everyone can do better on online security

T

here has never been a more opportune moment than now to discuss internet security: the COVID-19 pandemic has

forced many companies and individuals to reconsider their basic operations, reimagine manual processes and also vindicated the effectiveness 100

of remote working. A consequence of the modern world’s reliance on digital technology is the nearconstant vigilance required to ensure its integrity; far from being a static issue which can be addressed satisfactorily with yesterday’s tech, a spirit of innovation and honest critical evaluation is required to understand and remedy the underlying problems which threaten to disrupt us. To spur on a debate and engage developers, regulatory authorities and the wider community, security specialist Rapid7 has released NICER 2020 (National / Industry / Cloud Exposure Report), the most comprehensive census of the modern internet risk landscape ever completed.

Speaking to us on Zoom with a background representing a visualised ‘map’ of the internet,

SEPTEMBER 2020

101

i nsur te c hdi gi t a l. com

RAPID7 – NICER

Confessions of a Former CISO: Shaming People for Bad Security CLICK TO WATCH

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5:40

102 Tod Beardsley, Director of Research

the effect of the global pandemic on

at Rapid7, emphasises that NICER is an

internet security, which, Beardsley

attempt to spur the world into affirmative

states, was surprising. “We were plan-

action, “We’re hoping that this report

ning things out in January and February

helps people make informed decisions

and then the world came crashing

about what they should be putting on

down. I thought, ‘Hang on, let’s redo

the internet, what they shouldn’t and

all our scans; surely has fundamentally

what their local ‘neighbourhoods’ might

changed’. However, we found no effect

look like. NICER is being released for

at all.” In fact, the results showed a

free; Rapid7 wants everybody to pick

reduction in dangerous services, most

this up and peruse it.” A comprehensive

notably Windows SMB (service mes-

document split into 16 sections and three

sage block) network protocols.

appendices, NICER is the result of four

However, this unexpected good

years’ worth of research, although it

news shouldn’t lull people into a false

starts with a relatively modern focus:

sense of security – the “myth of

SEPTEMBER 2020

the silver city”, to quote the report –

In terms of cyberattacks themselves,

Beardsley is adamant that vigilance

Beardsley states that they continue to

and proactivity are the keys to success.

include conventional ‘phishing’ scams

“The problem [with the perception that

as well as more advanced methods,

progress is being made] is that we’re

such as “exploiting known vulner-

not going in that direction fast enough,”

abilities and old software that’s on

which is re-emphasised in NICER: “...

the edge.” The report includes a sum-

the security of the internet still trails

mary of the ‘most exposed’ countries

the desire to just get things working,

by total attack surface, exposure to

and working quickly.” This sentiment

selected services, vulnerability rate

roughly encapsulates the challenge

and other metrics. While countries

faced by those endeavouring to bolster

such as the US and China might bring

internet security: to construct an effi-

no surprises for their high-risk factor,

cient operating model which doesn’t

NICER also includes some surprises

sacrifice integrity, with necessary

such as Canada (9) ranking higher than

updates and patches implemented in a timely and consistent manner. The report can help facilitate the achievement of this goal by providing hard data that developers can reference as they seek out solutions.

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RAPID7 – NICER

104

Iran (10), despite the former having

own ‘neighbourhood’ and measure

a population density almost 50% lower

its progress relative to others, but

than the latter. This is a perfect exam-

what about specific industries? The

ple of the report’s ability to correct

report also includes a graph measur-

potentially damaging preconceptions.

ing each sector’s vulnerable assets,

“Iran is very technically savvy but it is

revealing that highly essential services

more reliant on client-oriented internet

– telecoms, financial services, retail

(mobile phone networks, etc), whereas

and pharma – are amongst the most

Canada has a lot more in the way of

exposed, including some of the larg-

wired infrastructure and servers.”

est organisations on the FTSE 100,

NICER’s information about entire countries enables each to identify its SEPTEMBER 2020

Fortune 500 and Nikkei Index. “These companies have the resources to be

great at security, but, ultimately, it’snot

NICER will be developed further into

their job,” says Beardsley. “And a

a forthcoming report at the end

lot of these companies are over 10

of 2020.

years old and haven’t gotten around

Policymakers, too, have a crucial

to upgrading, particularly if everything

role to play – as stated in NICER:

still appears to be working fine.” The

“The pen Is mightier than the firewall.”

blight of legacy network protocols

Rapid7’s report aims to supply regula-

is also problematic, with some like

tors and legislators of all kinds with

FTP (file transfer protocol) dating

the necessary information needed

back to the 1970s and possessing no

to focus their attentions. “Legislators

inherent cryptographic assurances.

and even cyber insurers want to look

Maintaining patch and version man-

at this stuff to understand what’s

agement, therefore, is essential. With

acceptable and what’s not. I think

cloud also continuing to be adopted

policymakers have a pretty critical

more widely, Beardsley states that the

role, both in terms of understanding

information on this topic explored in

risk management and understanding

E X E C U T I V E P R O FILE :

Tod Beardsley Title: Director of Research

Location: Austin, Texas

Industry: IT & Network Security I’m an individual contributor on software engineering projects, a technical security researcher, a no good dirty hacker, an open source maintainer and advocate, a conference organizer, a podcaster, blogger, and all-around new media gadfly, and an often-quoted primary spokesperson — often several to all of these roles at the same time! i nsur te c hdi gi t a l. com

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RAPID7 – NICER

like how the internet itself works.”

Citing their ability to find effective solutions to problems which are still economically viable, Beardsley also believes that policymakers ability to bring pressing issues to the forefront of people’s attention makes them an invaluable ally. “They can sound the national security alarm and people will listen,” he adds.

NICER explores in great detail two protocols still in widespread use: Telnet and SMB. Under analysis, 106

Rapid7 found that both were outdated and neither was particularly suited to modern internet usage; in fact, Telnet was originally specced out as a temporary solution in the 1960s.

“It is obvious from this RFC (request for commands) that [Telnet] was intended to be a temporary solution and that ‘more sophisticated subsystems will be developed in time’, but to borrow from Milton Friedman, ‘there

attackers did not exist, thus rendering

is nothing quite so permanent as a

its practical use limited. Alternatives

temporary solution’,” says the report.

such as SSH (Secure Shell) make for

This is not to say that old systems or

a compelling alternative, albeit with its

protocols cannot have value. However,

own drawbacks related to exposing

the antiquated nature of Telnet comes

console access to the internet. “With

from a time when active and passive

SSH, I can tell with certainty that the

SEPTEMBER 2020

107

computer I’m talking to is the one I

internet worms in history” using SMB

thought I was talking to because they

in some way, NICER advocates for

have cryptographic fingerprints that

HTTPS as an alternative. “SMB is very

are easily verified,” clarifies Beardsley.

opaque,” Beardsley summarises. “It

SMB, on the other hand, was found to

makes cryptographic guarantees that

be too complex, almost to the point of

it can’t keep. I’m not advocating for

obscurant. With “the most destructive

the end of SMB, but having it directly i nsur te c hdi gi t a l. com

RAPID7 – NICER

exposed to the internet is a pretty bad

great impact on the stability, safety

idea and it’s almost always accidental.”

and security of the internet as a whole.”

The conclusion of NICER provides

This is a sentiment that Beardsley

a mixed but ultimately encouraging

echoes: “At the moment, I feel like a cli-

takeaway, “Things aren’t great, but not

mate scientist saying global warming

disastrously bad and relatively small

is happening but everyone is respond-

changes in how we design, develop

ing, ‘But it’s fine right now’.” Indeed,

and deploy services will still have a

the problem with underlying issues

108

SEPTEMBER 2020

relating to internet security is how eve-

art and even society,” he continues. “I

ryday interactions with it (using social

don’t see a world where we’re licens-

media, watching videos, research, etc)

ing people to programme on the

appear unaffected, yet the potential

internet, but I would like us to reach a

for all these things to be disrupted

point where it’s normal for software

exists on a fundamental level. “Internet

developers or electrical engineers to

security is not a goal in and of itself:

learn new aspects of security in their

security enables culture, commerce,

professional development.” Rapid7’s NICER could play a crucial role in expanding global consciousness on the importance of internet security.

In fact, Beardsley hopes that it is the start of an ongoing and fruitful debate.

“If someone else out there has different stats or conclusions, we’re more than happy to have that conversation.

NICER is not a ‘one and done’ report; this is an entry point into what will hopefully be several conversations on what we want the future of the internet to be.”

Read Rapid7’s full NICER report here and watch Tod share the key takeaways in this webcast

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HOOPP: delivering a world-class digital IT strategy WRITTEN BY

MATT HIGH PRODUCED BY

JAKE MEGEARY in s ur t e c h digi t a l . c o m

H E A LT H C A R E O F O N TA R I O P E N S I O N P L A N ( H O O P P )

HOOPP’s Reno Bugiardini discusses how an innovative IT digital transformation strategy has seen the business thrive against COVID-19 disruption

W

hen Reno Bugiardini and his colleagues reached the culmination of a sweeping, innovative three-year IT strategy at the

end of 2019, the disruption and impact to countless industries worldwide as a result of the COVID-19 pandemic was still a way off. That plan, which 112

aligned with the broader five-year strategic plan at Healthcare of Ontario Pension Plan (HOOPP), has driven vast change within the organisation.

It was, says Bugiardini, based around three fundamental areas of focus: a cloud-first approach, adopting Agile working methods, and ‘flattening’, through the creation of teams aligned to business groups, a previously hierarchical structure. “Our goal has always been to ensure that we are the single point of contact for the business, and that all departments feel they can come to us with any of their priorities. This is helped by the fact that I report directly to the CEO and am part of the senior executive team, which is not always the case for IT heads in organisations. By giving IT a seat at the executive table, HOOPP ensures that our digital strategy is aligned to the organisation’s strategy.”

SEPTEMBER 2020

113

in s ur t e c h digi t a l . c o m

H E A LT H C A R E O F O N TA R I O P E N S I O N P L A N ( H O O P P )

“ From an IT perspective, it’s a new adventure” — Reno Bugiardini, Senior Vice President, Information Technology & Facilities Services, HOOPP

Bugiardini is a driven and highly experienced innovator and leader.

He holds the position of Senior Vice President, Information Technology & Facilities Services at HOOPP, a role that sees him responsible for providing strategic vision and direction for IT and facilities services at the organisation.

HOOPP is a defined benefit pension

That the strategy was a success,

114

plan that is tailored to the healthcare

and positioned the organisation well

sector and provides financial security

for years to come, is something of

for industry workers in retirement.

which Bugiardini, who has been with

The organisation’s purpose, says

the business since 2002, is rightly

Bugiardini, is to “deliver on the

proud. That it also placed HOOPP in

pension promise”. To facilitate this,

an enviably strong position to seam-

the IT division has to serve the entire

lessly navigate any potential disruption

organisation and, most significantly

from COVID-19 is remarkable.

two core functions: investment management and pension administration.

The latter two are directly responsible for the investing and pension admin respectively, with IT empowering them to do so in the most effective

SEPTEMBER 2020

Thank you from all of us CLICK TO WATCH

|

1:27

115 way. “We’re a world-class IT organisa-

innovative IT organisation that’s

tion that exists to provide and enable

impossible,” he continues. “Each of

innovative solutions and strategies

those three areas – cloud-first, Agile

to the entire business,” he explains,

and the restructuring – gives us the

expanding on the core aspects of the

ability to innovate, to be a flexible

three-year strategy he was tasked

strategic partner and to develop quick

with leading. “The way in which we

proof of concepts for the business

deliver those IT services over the last

when it’s exploring new opportuni-

three years has absolutely evolved –

ties. Take being cloud-first as an

it has to, so as to ensure we maintain

example. Moving over 95% of our

the competitive advantage that differ-

compute infrastructure to the cloud

entiates us in the sector.

gives us a scalability and flexibility

“We exist to deliver the very best

that just wouldn’t be feasible with a

solutions to our business partners,

self-managed data centre, and it means

but if we don’t have a progressive,

we can explore and scale at minimal in s ur t e c h digi t a l . c o m

Diane Dale, Senior ObjectSharp Consultant @HOOPP

Product Ideation & UX Design

Cloud-Native Architecture

Serverless Software Development

Embedded Agile & Coaching

DevOps & Orchestration

Automated QA Testing

Security, Data Governance & AI

End-to-End, the Sharpest Minds in Cloud-First Digital Transformation.

At ObjectSharp, we have one very speciďŹ c mission: to help you deliver innovative business solutions faster, and with higher quality. True Agile experts, we partner with leading organizations like the Healthcare of Ontario Pension Plan (HOOPP) to imagine, design, build and deploy scalable software solutions that improve their competitive edge.

objectsharp.com

1-877-767-4277

@ObjectSharp

Driving Digital Transformation With True Agile Delivery at HOOPP HOOPP works every day to build the foundation for a financially secure retirement for Ontario’s healthcare workers. The mission of its IT team is to deliver highvalue, right-sized and timely solutions that enable the plan to deliver its pension promise to its more than 350,000 members.

Since 2014, ObjectSharp’s team of senior consultants have worked embedded with HOOPP’s IT teams, helping them navigate change and foster innovation with the right combination of people, processes and products.

HOOPP chose ObjectSharp for its unique embedded partnership approach. A true partner, ObjectSharp is not just another consultancy that advises and walks away. ObjectSharp is different. Our culture is one of results-driven partnership; we work embedded with you to identify and provide value where you need it most, coaching your teams in the Agile delivery model as we go.

Initially embedded with HOOPP’s Investment Services Group, and then later its Corporate Services and Pension Services groups, ObjectSharp’s team of senior consultants have leveraged their deep knowledge of Agile and expertise in DevOps and the Microsoft Azure Cloud to drive digital transformation by: implementing CI/CD and establishing a true DevOps culture that drives rapid development and faster release cycles; increasing software delivery velocity and quality with sophisticated automated regression testing and reporting solutions; building HOOPP’s first reusable React UI component library, used by HOOPP’s in-house team of investment professionals in their daily management of the plan; using infrastructure as code to reduce help desk ticket response times by 80%; improving data governance and risk management by operationalizing security and privacy policies as code and configuration in the Cloud; and coaching executive leadership and management to lead and succeed with Agile.

“ObjectSharp has been a key partner in our digital transformation over the last 6 years, working embedded within HOOPP to identify and unlock value, solve complex problems, and coach our teams in the Agile delivery model.”

- Reno Bugiardini Senior Vice President, Information Technology

End-to-End Capabilities, Full Stack Results As HOOPP’s needs and priorities have changed on its digital transformation journey, ObjectSharp has met them at every step of the way.

A full service consultancy, ObjectSharp provides expertise across the entire spectrum of the software development lifecycle. Our capabilities include: embedded Agile and CI/CD automation cloud-native development and architecture DevOps & automated testing AI strategy and machine learning data security and governance

Embedded Expertise, Where It Matters Most Whether it’s building a product, improving a user experience, adopting Agile delivery backed by automation, or transforming your business to realize the promise of the Cloud, ObjectSharp works embedded with you to navigate change and foster innovation.

Whether you’re just beginning your digital transformation journey, or face new questions along the path, ObjectSharp’s team of embedded experts are ready to help you lead and succeed with digital and the Cloud. objectsharp.com 1-877-767-4277 @ObjectSharp

H E A LT H C A R E O F O N TA R I O P E N S I O N P L A N ( H O O P P )

118

cost and meet business needs when

sprints whereas, previously, that just

required. Similarly, now that we’re an

wouldn’t have been attainable for us.”

Agile development shop, we’re much

Naturally, achieving such a tech-

closer to our business partners –

nological transformation relies on

aligned in teams so we can deliver

close collaboration with best-in-

solutions significantly faster and

class partners. Bugiardini is keen to

more accurately. The result is that

highlight two in particular: Thinkwise

our business is leveraging solutions

has been instrumental in our migration

sooner to meet their business needs

to the cloud and the decommission-

and demands. We can leverage

ing of our self-managed data centre,”

the advantages and opportunities

he explains. “They provided consul-

of cloud to very quickly procure-

tation, leadership, and programme

compute and explore new ideas

planning, which made for an overall

and complete tasks in two-week

far more seamless transition. Similarly,

SEPTEMBER 2020

ObjectSharp has been a key partner in

concerns and allow HOOPP to

our digital transformation over the last

continue to deliver on its pension

six years, working embedded within

promise. This ability to continue pro-

HOOPP to identify and unlock value,

viding the highest levels of service

solve complex problems, and coach

was greatly helped by the tireless

our teams in the Agile delivery model.�

work of Bugiardini and his team

Of course, global events this year have created a landscape in which

to deliver that digital strategy.

From the challenging transition

traditional approaches to business

to a significant remote working

count for little. As an organisation

programme, through to continuing

HOOPP has responded rapidly, rec-

to serve the needs of the organisa-

ognising the unprecedented change

tion, the scalable, flexible and newly

facing its members and launching

restructured HOOPP business has

a series of measures that address

allowed COVID-19 disruption to be

E X E C U T I V E P R OF IL E :

Reno Bugiardini Title: SVP, Information Technology & Facilities Services Industry: Financial Services Location: Toronto, Canada Reno brings with him more than 25 years of IT leadership experience from various industries. He is an innovative leader focusing on providing his business clients with agile technical solutions that are driven by business requirements, challenges and opportunities. Having a great passion for IT and its dyanmic nature drives Reno, accompanied with his strong client service attitude. This ensures that his team delivers technical solutions aligned with HOOPP’s strategy that are enablers and differentiators to our business. in s ur t e c h digi t a l . c o m

119

CONGRATULATIONS HOOPP ON YOUR TRANSFORMATIONAL SUCCESS!!

Thought provoking leadership with sensible governance

Unleash the potential of cloud for your organization!

dealt with in a remarkably seamless

successfully with few challenges in a

fashion, he recounts. “We’d been

72-hour period borders on the heroic.

closely monitoring the crisis through

The team did a great job that weekend

our Business Continuity Management

and really demonstrated the impor-

programme since early January,

tance of the work we have done.”

considering the impact on our organi-

Indeed, the most noticeable chal-

sation, and modifying operations

lenge – a VPN performance issue

accordingly. It was on 12 March that

– was rapidly dealt with. “We were

we took the biggest step yet – to move

able to procure additional hardware,

to work-from-home for the whole

we spun up another VPN, mobilised

organisation. With more than 700 peo-

our IT team to test it and ensure func-

ple, that’s not a small transition. The

tionality with minimal disruption to the

IT team had practiced before and,

business,” Bugiardini says. “In a tradi-

of course, we had contingency plans,

tional data centre or workspace that

but that they managed to do it

capability simply wouldn’t be possible.

SEPTEMBER 2020

“ We’re a world-class IT organisation that exists to provide the very best services to the entire business” — Reno Bugiardini, Senior Vice President, Information Technology & Facilities Services, HOOPP

noted that the transition to the cloud in particular was fortuitous, affording Bugiardini and HOOPP a level of security that, instead of disruption, saw the company effectively in a ‘situation normal’ mode.

Technology aside, Bugiardini is a keen proponent of the benefit of flattening the structure within an IT team, a process he describes as critical to the way in which the organisation

Similarly, if we didn’t have that Agile

operates. “You don’t have red tape,”

way of working and our teams organ-

he says, “and that makes everything

ised the way we do, I don’t think we’d

more simple. People and teams are

have been able to achieve what we

empowered to make their own deci-

did to accommodate the business

sions and to take ownership of the

in 72 hours.”

results.” He refers back to the per-

That success is testament to the

formance challenges experienced

effectiveness of Bugiardini’s digital

during that hectic first 72-hour period

vision for HOOPP. Indeed, so water-

as a good example of this. “We had

tight were the deliverables of the

speed and the agility to do whatever

strategy that he somewhat casually

we needed to. There were several

describes the process as “really just moving folks from the physical office to their homes. Because of the infrastructure in place many of the concerns being discussed about such a transition – cybersecurity, for example – just haven’t really been a concern for us”. On that point, it should be in s ur t e c h digi t a l . c o m

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H E A LT H C A R E O F O N TA R I O P E N S I O N P L A N ( H O O P P )

122

1960

Year founded

$94.1bn Assets in CAD

725

Number of employees

SEPTEMBER 2020

“ We can leverage the advantage of cloud to very quickly procure compute and explore new ideas and complete tasks in two-week sprints” — Reno Bugiardini, Senior Vice President, Information Technology & Facilities Services, HOOPP 123 automation and process tasks in that initial period that just happened; no one needed approval to carry out a task, or to ensure they were in sync with the broader thinking of the business. If we weren’t built that way we’d probably still be here debating whether we should deploy another VPN in the cloud or not.”

Of course, it would be foolish to state there has been no challenges.

However, rather than being technology-related, these have been based around the sheer change management and shifting of workplace culture that every organisation has undoubtedly in s ur t e c h digi t a l . c o m

H E A LT H C A R E O F O N TA R I O P E N S I O N P L A N ( H O O P P )

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experienced. “Collaboration has

capabilities of certain technologies

always been a big part of how we work

like video conferencing tools, for

at HOOPP, particularly as a result of

example, but there’s positives to that

the teams we have created and the

shift too. It’s refreshing to ‘open up’

technologies that we can now lever-

your personal life to your colleagues –

age. Sure, moving to a working from

whether that’s kids in the background

home environment has meant a ramp

or your dog barking during a meeting

up in terms of understanding the full

– and it’s refocused our perspective

SEPTEMBER 2020

on working from home when we consider future IT and business strategies, for example.”

Having reached the culmination of the three-year plan at the end of last year, Bugiardini is naturally already focused on the next step of his digital vision. The changes brought about by COVID-19 have, he says, reorganised the prioritisation of some of the digital initiatives being considered, particularly around the greater automation

refinement rather than anything dras-

of some processes, for example. But,

tic. “Our ability to do business hasn’t

it would seem the success afforded

really changed, we’re just not doing it

by the existing strategy calls for

in the office. There are so many businesses that have had to rethink their

“ If we didn’t have that agile way of working and our teams organised the way we do, I don’t think we’d have been able to achieve what we did to accommodate the business in 72 hours” — Reno Bugiardini, Senior Vice President, Information Technology & Facilities Services, HOOPP

entire processes because they’ve previously failed to leverage technology to its fullest.

“On the contrary, we’ve been able to scale and to meet demand while delivering services to our members and pensioners – productivity hasn’t dropped at all,” he continues. “The market has been impacted by the volatility, but on our plan operations side, our service delivery levels to members actually improved. And, on that investment management aspect of the business, we were able to give in s ur t e c h digi t a l . c o m

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H E A LT H C A R E O F O N TA R I O P E N S I O N P L A N ( H O O P P )

126

“ We’ve been able to scale and to meet demand while delivering services to our members and pensioners – productivity hasn’t dropped at all” — Reno Bugiardini, Senior Vice President, Information Technology & Facilities Services, HOOPP

our investment management staff full

stand still. Accordingly, Bugiardini is

computing capability at home right

in the process of forming the next IT

away, and scalability when they need it

blueprint for HOOPP, which will be

through the cloud, to ensure they were

developed in collaboration with busi-

able to adapt to the volatile markets

ness partners. It will, he says, align with

and not miss out on any opportunities.”

the organisation’s broader strategy

Any digital transformation, even

and be built around delivering the high

when it is facing unprecedented

performance culture that is instilled

disruption and uncertainty, doesn’t

in every part of HOOPP.

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127

“This has certainly changed everything,” he explains. “It’s opened up the

strategy in place to continue to absolutely succeed at that.”

opportunity to hire the very best talent from around the world – there are fewer barriers to business now. From an IT perspective, it’s a new adventure that is now about us serving and supporting 700 internal clients remotely and we have the infrastructure and in s ur t e c h digi t a l . c o m

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Bupa: the company’s journey and the challenges of COVID-19 WRITTEN BY

GEORGIA WILSON PRODUCED BY

STUART IRVING

SEPTEMBER 2020

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B U PA A U S T R A L I A A N D N E W Z E A L A N D

Nick Wong, Director of Technology Delivery, Bupa Australia & New Zealand, discusses the company’s journey and the impact COVID-19 has had the industry

“ E

verything within the business strategy at Bupa is organised around its purpose to help people live longer, healthier, happier

lives, and to ensure people can fund their health through insurance-and good quality, trusted healthcare services,” comments Nick Wong, Director of Technology Delivery, Bupa Australia & New Zealand.

130

“Bupa as an organisation operates within interesting market contexts. In the last five to seven years, a lot of the focus has been on developing as an organisation – not just commercially in terms of proposition – but realising the role that technology plays in our journey.

Bupa didn’t exist as a heritage brand in the same way that it does within the UK, so I would say over the last decade – particularly in the Australian market – Bupa has been building up our brand.

We have been expanding to provide a variety of services to our customers, and with that growth, digital transformation has provided a lot of opportunities for us. Across the Technology team, we manage various digital estates such as data platforms, and have worked with companies along the way including Cloudera to explore our options for continued development.”

SEPTEMBER 2020

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B U PA A U S T R A L I A A N D N E W Z E A L A N D

“ Like many organisations at the moment, we are trying to hold true to our purpose: to help customers live longer, healthier, happier lives” — Nick Wong, Director of Technology Delivery, Bupa Australia & New Zealand

When it comes to the future of Bupa, Wong explains that like many other organisations it is in an extraordinary time in history. “There’s a lot of uncertainty for many organisations which could potentially create a completely new normal going forward. We are holding true to our purpose as best we can to help customers live longer, healthier, happier lives whilst also managing within our current conditions - both in the near term but also potentially for conditions that may

132

last longer.

“It is important for us to ensure that we can continue to provide value to our customers and potentially introduce new services that may help them through this period, even if it’s a diversification from some of the stuff we’ve done classically.”

Wong reflects on the challenges that Bupa has faced, and highlights its key to success.

“I think the major challenges have been around adapting to market conditions which are influenced by the broader financial and economic environment. I believe Bupa has also faced challenges in terms of how it SEPTEMBER 2020

Welcome to Bupa Australia CLICK TO WATCH

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0:38

133 continues to show meaningful value

respects that it has one of the largest

to customers.

customer bases and it doesn’t take it

“But I think Bupa’s key success is that

for granted. It really does pay atten-

the organisation is very robust and it is

tion to those things amidst all the

looking at ways it can continue to help

challenges that it faces, working hard

customers get the best out of their

to maintain its position as a premier

healthcare. I think that’s going to be

brand in the health insurance space

one of the most important things going

and continuing to support customers

forward, as well as the value that it has

via its propositions and services to

to hold in terms of the relationships it

add value to their lives.”

has with customers,” says Wong, who is very proud of the organisation’s

THE IMPACT OF COVID-19 FOR BUPA

respect for its large customer base.

From a technological standpoint,

“I believe that this is one of Bupa’s

Wong explains that when it comes

biggest strengths, the fact that Bupa

to the impact of COVID-19, Bupa is in s ur t e c h digi t a l . c o m

B U PA A U S T R A L I A A N D N E W Z E A L A N D

134

having to react to the conditions that

Zealand but as a global organisation.

people are facing such as “not being

Across our operations we are sharing

able to go to retail stores and having to

insights and learning from different

move our workforce to work remotely

healthcare markets across Europe,

to support people’s health insurance

Latin America, the UK, Australia and

needs. This is alongside the restric-

New Zealand.”

tions around elective surgery, the

Amidst the outbreak, now more

opportunity for treatments and some

than ever Bupa is needed by its cus-

ancillary treatments being reduced.

tomers to provide health advice and

“One of the challenges we are look-

reassurance. Wong reiterates that it

ing at is how we support the needs of

is Bupa’s purpose to help customers

customers, while meeting the govern-

live longer, healthier and happier lives,

ment guidelines regarding COVID-19

and with the outbreak of COVID-19

- and not just in Australia and New

“it is Bupa’s responsibility - like many

SEPTEMBER 2020

1947

other organisations - to look at what we can do to help people continue to get the services they need, even

Year founded

during financial hardship. So far Bupa

4mn+

mium increase for all health insurance

Bupa Health Insurance members

has delayed the annual 1 April precustomers for six months, effectively returning $134mn to these customers. Bupa is also providing more than $50mn in assistance for customers suffering financial hardship due to

135

E X E C U T I V E P R OF IL E :

Nick Wong Title: Director of Technology Delivery Industry: Healthcare

Location: Melbourne, Australia

Nick Wong, Director of Technology Delivery, Bupa Australia & New Zealand, started his career in the UK working in the media and telecom industry. He spent over eight years working at British Telecom (BT), and prior to that, worked at Accenture. Wong joined Bupa in 2014, leading the Digital team for a number of years, before moving into his current role in the Technology team.

Wong describes a pivotal moment in his career back in his early days when he worked on the introduction of broadband internet, something which was transformational at the time.

in s ur t e c h digi t a l . c o m

“ Bupa’s key to success is that the organisation is very robust and is looking at ways in which it can continue to help customers get the best out of their healthcare” — Nick Wong, Director of Technology Delivery, Bupa Australia & New Zealand

and villages, we sent devices out to our homes so residents could connect face to face with their families.

“These urgent technological interventions have led me to believe that

COVID-19. To date we have received

technology has a big role to play in

more than 27,000 applications, and

helping to address the emerging chal-

we also confirmed that customers with

lenges of COVID-19. We are seeing

any hospital policy will be covered for

that the industry is facing a lot of pres-

COVID-19 related claims, irrespective of

sure around efficient remote activities

policy terms.”

and the need to be able to run things

To continue to provide its services, Wong details that “the industry has

quicker for rapid responses.”

“Technology such as intelligent

had to move to a new way of operating

automation are areas where I think we

quickly. However, this abrupt change

can combat some of these challenges.

has forced problem solving to move at

Then, when it comes down to supporting

a more focused and faster pace.

the broader societal intervention around

“In order to efficiently implement a

managing the impact of COVID-19,

working from home strategy we have

technology will play its role in that too,

had to implement new capabilities to

for example in the form of COVID-19

support areas especially impacted

tracking apps that are directly related

by social distancing measures. For

to our ability as a society to relax

example, when there were restric-

or manage some of the controls and

tions to visitors in our aged care home

restrictions that are in place.” in s ur t e c h digi t a l . c o m

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“ Across our operations we are sharing insights and learning from different healthcare markets across Europe, Latin America, the UK, Australia and New Zealand” — Nick Wong, Director of Technology Delivery, Bupa Australia & New Zealand SEPTEMBER 2020

139

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“ Bupa respects that it has one of the largest customer bases and it doesn’t take it for granted” — Nick Wong, Director of Technology Delivery, Bupa Australia & New Zealand SEPTEMBER 2020

When it comes to the future of the industry, Wong highlights that there is still a lot of uncertainty around the virus. However, he comments that “obviously there are initial shock impacts around the availability of certain service provision now and a strain could be put on to our health infrastructure if the conditions were to worsen. But I think the most important

141

thing is the way we manage to ensure

experts and societal experts to be

people’s health, quality of life and men-

able to provide that assurance.�

tal health so it is balanced. “The future will be around physical and mental health and ensuring that people will be operating safely at work or at home, or in a community with other people. The healthcare industry has a key role to play in this because people are looking towards healthcare in s ur t e c h digi t a l . c o m

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STATE STREET GLOBAL ADVISORS: DIGITALLY TRANSFORMING LEGACY OPERATIONS WRITTEN BY

GEORGIA WILSON

SEPTEMBER 2020

PRODUCED BY

JAMES PEPPER

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S TAT E S T R E E T G L O B A L A D V I S O R S

JETINDER LALI, CHIEF DIGITAL OFFICER AT STATE STREET, DISCUSSES THE COMPANY’S DIGITAL TRANSFORMATION OF ITS LEGACY SYSTEMS AND ADOPTION OF INNOVATIVE TECHNOLOGY

T

hroughout his 25-year career, Jetinder Lali has been in the asset management industry, working for some of the largest

asset managers in the world, including JP Morgan, BlackRock and UBS. “After becoming somewhat 144

of a veteran within the industry I joined State Street Global Advisors as the Chief Digital Officer.”

Lali describes State Street Global Advisors as the third largest asset manager in the world and a part of the world’s largest custodian. In 1993 State Street Global Advisors invented the world’s first exchange-traded fund (ETF), which has since grown to US$6trn organically. “We are innovators, we are leaders and we are collaborators.”

Currently in the world of asset management, Lali has seen a shift within the sector that has seen technology taken more seriously. “It has become standard practice that digitalisation is either at the top, or is one of the top priorities of large asset firms.

This is a direct result of our customers seeking more digital ways to engage with businesses. Data is also critically important and a challenge for the industry.”

SEPTEMBER 2020

‘Fearless Girl’ by Kristen Visbal, commissioned by State Street Global Advisors (SSGA), was installed on 7 March 2017 outside the New York Stock Exchange

145

1978

Year founded

2,500+ Number of employees

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S TAT E S T R E E T G L O B A L A D V I S O R S

Since joining the company three years ago, Lali has led the company through its digital transformation program to unify its customer experience for the first time. “Due to the size of State Street Global Advisors, we have lots of different divisions and brands.

As part of our transformation we have unified our divisions representing ourselves to our customers as one global firm, which took us 18 months to achieve. Now we are working on improving our back-end systems by 146

updating roughly 12 years of legacy systems and redundant websites.”

SEPTEMBER 2020

“ WE RELY HEAVILY ON HAVING A CORE DATA INFRASTRUCTURE TO PROVIDE OUR SERVICES AS RECORD KEEPERS OF OVER 10% OF THE WORLD’S ASSETS” — Jetinder Lali, Chief Digital Officer, State Street Global Advisors

State Street Global Advisors: Who We Are CLICK TO WATCH

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As Lali explains State Street Global Advisors’ digital transformation strategy, he breaks it down into three simple words: “Simplify, unify and amplify.

In order to achieve this it is important for us to build the right foundations and decide what our architectural roadmap will look like in order to get us to where we want to be in the future. Over the last 18 months we have certainly taken care of unifying our web experience, data platforms and analytic systems, providing our customers with a 360 degree view. We are also making great in s ur t e c h digi t a l . c o m

IBM iX business designers envision brand experiences of the future and make them real.

Explore more at www.ibmix.com

SSGA Develops Next-Generation Digital Experience to Drive ETF Sales and Growth State Street Global Advisors (SSGA) is no stranger to shifting winds in the asset management sector. The organization’s parent company, State Street Corporation, is one of the world’s largest financial institutions.

With increasing competition and demand for personalized content across each of its global practices, the investment management arm saw the opportunity to reimagine its digital experience to unify its global presence and more efficiently deliver localized content.

Creating a Customer-Centric Digital Experience Platform—and an Operating Model to Support It In collaboration with long-time partner IBM iX, SSGA sought to more deeply understand their users’ needs across all points of digital engagement and build a world-class, frictionless experience to delight their customers. Anchored by several key guiding principles—such as moving from reactive engagement to proactive, enabling self-service, and leveraging data to better understand and refine the journey—SSGA and IBM iX set out to build not only an integrated digital platform to support their needs, but also establish and grow the right content capabilities and digital centers of excellence to support it in order to really drive measurable business value and ROI for the firm.

Taking a design-led and human-centered approach, the team built a unified global digital experience platform (DXP) that would be customizable by region, language and investor types, complemented by a marketing data platform (MDP) to surface personalized content with a 360° customer view.

IBM iX built the multi-site system on Adobe Experience Manager, replacing multiple custom legacy systems that were costly to

manage and led to disparate experiences.

The new platform on AEM 6.3 Content Management System has a simplified and standardized design that leverages a responsive grid, seamless integration, with minimum customizations. To facilitate internal adoption of AEM, IBM iX also created a dynamic set of templates for SSGA’s marketing managers grounded in user-centric design principles to streamline the content delivery process.

IBM iX also built a digital asset library and designed a governance model to reinforce brand consistency and efficiency across State Street’s digital ecosystem.

Accelerated Adoption Delivers Accelerated Impact Since launching the platform, transitioning operations and training core teams with the support of IBM iX, SSGA has realized significant savings. Enabled by the Adobe Experience Cloud suite of applications, SSGA is now making more data-driven decisions, and can easily view how customers are interacting with their content, unveiling what information is most valuable to clients.

Nearly 150 websites have been launched since the transformation, delivering a more consistent global experience in 22+ countries in more than ten languages, serving the needs of institutional users (wealth managers), intermediaries (brokers), ETF retailers and individuals. SSGA has also seen a 3.6X improvement in content accessibility with integration services through Akamai, as well as improved customer satisfaction.

Explore more at ibmix.com

S TAT E S T R E E T G L O B A L A D V I S O R S

State Street Global Advisors: High Tech Automation vs. Old School Relationships CLICK TO WATCH

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progress in this area across our sales,

Lali. “We are also working with several

marketing and digital touch points. Our

automation solutions at both a deep

next steps are to look at our legacy

infrastructure level as well as at the

systems and understand which we

user level. Additionally, we are using

need for our operations and which we

automation technology to automate

need to build out.”

workflows, as well as harnessing cloud

To further its digitalisation journey,

technology to streamline our opera-

State Street Global Advisors is cur-

tions allowing us to move faster within

rently harnessing artificial intelligence

the industry.”

(AI), advanced analytics, automation

When it comes to data management,

and cloud. “Within our broader cor-

Lali says the company relies “ heavily

poration we have a data science team

on having a core data infrastructure

where we are currently working on a

to provide our services as custodians

joint advanced analytics project,” says

of over 10% of the world’s assets.

SEPTEMBER 2020

E X E C U T I V E P R OF IL E :

“ WE ARE INNOVATORS, WE ARE LEADERS AND WE ARE COLLABORATORS” — Jetinder Lali, Chief Digital Officer, State Street Global Advisors

Understandably, cybersecurity is incredibly important to us. We have a very robust infrastructure in place and a dedicated team to manage any threats.

We are also continuously looking at technology from new providers such as Adobe, where we are starting to look at their cybersecurity services. In addition to Adobe, we currently use Akamai across the organisation.”

With digital transformation comes disruption for any organisation,

Jetinder Lali Title: Chief Digital Officer Location: London, UK Jet Lali is the first Chief Digital Officer at State Street Global Advisors, which is one of the world’s leading Asset Management firms, with $2.7 trillion in assets under management. Jet has previously held similar leadership roles in both management consulting and industry including companies such as JPMorgan, Barclays Global Investors, BlackRock and UBS. He has over 20 years of experience in building and advising on market leading digital strategies and capabilities within financial services across all major financial markets, with experience of both B2B and B2C business models.

Lali highlights that, at State Street Global Advisors, the company splits in s ur t e c h digi t a l . c o m

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“ ACROSS OUR ORGANISATION WE DEFINED OUR OPERATIONS AND OUR DIGITAL STRATEGY VERY EARLY ON WITH A FOUR-YEAR ROAD MAP IN MIND” — Jetinder Lali, Chief Digital Officer, State Street Global Advisors

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S TAT E S T R E E T G L O B A L A D V I S O R S

its change management strategy into three key areas: people, process and technology. “Across our organisation, we defined our operations and our digital strategy very early on with a four-year road map in mind. We defined what capabilities we wanted to retain and where we had gaps, as well as the solutions to fill the gaps and potential partners such as IBM, which was very helpful in the simplification and rebuild of our web stack. When it comes to the processes, over the years they have 154

organically grown across our regions resulting in inconsistencies. So, like our technology, we looked to standardise our governance around data, processes and how we build solutions. Finally, in terms of people, we have several hundred working across the digital aspect of the organisation, but a lot of the technology we decided to use was new. As a result we spent a lot of time training our people across the world. Last year alone we did 4,000 hours of training as part of our partnership with Adobe, which we are looking to exceed this year.�

Lali also highlights the importance of maintaining communication as part of a change management strategy.

SEPTEMBER 2020

“Everybody wants change, but everyone hates having to change. Therefore, we spend a lot of time communicating and training people on the technology we are using to give people a better understanding of what is possible.”

Reflecting on State Street Global Advisors, Lali believes that the company’s biggest strengths are its ability to provide great partnerships for its customers, not just for its products but for its relationships it has across the industry, as well as its collaborative and innovative mindset, to drive the industry forward. “We’ve had many successes over the years, I would say that our biggest successes are our years of operation – over 120 years – as well as being the third largest asset manager in the world, inventing the first US listed ETF, building the first frontto-back platform for the industry and our leadership within environmental and social governance (ESG).”

in s ur t e c h digi t a l . c o m

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