Create an engine for continuous innovation
Companies, like humans, are unique. Each relies on a code that helps determine how it will grow. Similar to human DNA, which stacks chemical building blocks, a company’s innovation DNA is made up of three building blocks:
- maturing digital technology that is more commoditized and accessible;
- scientific advancements that push the boundaries of industries and inspire change; and
- emerging DARQ (distributed ledgers, artificial intelligence, extended reality and quantum computing) technologies that are steadily growing in maturity.
Today, insurance leaders are weaving these technological building blocks together to set a course for their company’s future. While not every insurance business will have each of these three areas fully developed, it’s important that they remain open to each of them as they build their own innovation DNA.
For businesses, the path forward begins with a renewed focus on technology transformation as they find their unique combination of building blocks and develop their innovation DNA.
It all starts by understanding the innovative business solutions that each building block provides. Maturing digital technology is no longer just an advantage — it’s a requirement. Many companies are finding new value by putting a price tag on their capabilities while also making them more accessible to those within their ecosystem.
Allianz and Microsoft, for example, are working together not only to move Allianz’s global insurance platform Allianz Business System to the Azure cloud, but also to develop Insurance-as-a-Service offerings for other insurance carriers.
Meanwhile, advancements in science are helping companies expand beyond the digital world. From material sciences to genomic editing, companies are turning these disruptions into competitive advantages faster than ever before.
Reinsurers Swiss Re and Munich Re have studied changing climate patterns for decades, for example, with a view to developing innovative risk transfer solutions.
Finally, organizations like Ping An Insurance are finding new ways to inject DARQ technologies into mature markets. Ping An is using AI, blockchain, cloud, big data, and security to drive its “finance + technology'” and 'finance + ecosystem' strategies.