Unfortunately, there are companies who aren’t prepared for the changes wrought by disease, by technology or by anything unexpected. Yet, the willingness to adapt and innovate is the key to success. Now is not the time to rest on our laurels or rely upon systems and practices that may have worked well 50 years ago, but haven’t changed since.
As the great physicist Albert Einstein once said, “We cannot solve our problems with the same thinking we used when we created them.”
When it comes to change, there are three types of insurers:
- Fast Followers; and
The industry is shaped like a period with anticipators at the top. They are rarer, but they are the keys to the future, because they are busy creating their own future based on the opportunities provided by technology. Next come fast followers. They recognize sound industry leadership and are nimble enough to adapt. At the bottom of the pyramid sit the survivors. They have no innovation strategy; instead, they focus on addressing the industry hot spots. They are hanging onto survival with their fingernails, hoping they can continue to find enough business without making major changes or creating a vision for the future. Which would you rather be?
So, what does it take to become an anticipator in our industry? There are four key ingredients:
- Digitize. First of all, you need to make digital technology a priority so you can take advantage of the efficiencies it offers, along with the opportunity to bring new ideas to fruition quickly and easily.
- Top-down Support. If management is supportive and fosters a culture of innovation, the rest will follow. If innovation is seen as an add-on, rather than integral to the organization, you’ll fall behind and lose relevance, no matter the size of your company.
- Modern Workspace, Diverse Workforce. Your employees must be able to take advantage of technology and should bring a variety of backgrounds and talents to the table.
- Online Offerings. Products and services must be digital. Customers must be able to access them quickly and easily.
It is easy to turn up your nose at such suggestions because they require an investment. Yet, as Herbert Rogenhofer, the Chief Digital Officer for Talanx in Germany, notes, “The reality is that 95 per cent of our investment goes into the digital transformation of our legacy systems; the rest (5 per cent) is available for innovation.”
That’s where Cookhouse Labs (CHL) comes into play. At CHL, we believe in collaboration among industry players to find solutions to industry challenges. Collaboration and co-creation are the keys to future innovation success. When we work together, we learn from each other with a minimal investment of time, money and personnel. A diverse group of people can come together, devise a solution and test it with the customer within a short period of time. They can each take the results back to their organizations where the decision to enlarge upon it or not can be made.
Why not focus on multiple topics quickly by spreading your resources through collaboration? During our Season of Innovation at CHL, we’re delighted to share with you our thoughts about innovation in the insurance industry. Get in touch with us at cookhouselabs.com to learn more.