Building and Retaining Human Capital as Critical for Insurers as Investing in Innovation Initiatives

Novarica issues two new insurance briefs

Boston, MA (Jan. 22, 2019) – In two new briefs, Innovation in Insurance: Expansion and Key Issues and Next-Generation Talent in Insurance, research and advisory firm Novarica reviews organization and investment, best practices and benefits, and key challenges in technology innovation, as well as discusses some of the major challenges for insurers looking to hire new talent, including examples of companies actively addressing these challenges.

“Measuring the effectiveness of innovation investments is a challenge for many organizations. The use of traditional business cases, with a focus on metrics like Return on Investment, tend to be particularly ineffective when it comes to programs that are driving R&D,” said Nancy Casbarro, Vice President of Research and Consulting, and co-author of Novarica’s new report on innovation in insurance. “R&D instead focuses on creating new insights and operating with a ‘fail fast’ mindset. When companies cannot begin a journey without knowing every detail of what will happen, they are clearly not focused on real innovation.”

“With Millennials well on their way to assuming a large role in the US labor force (50% by 2020), Baby Boomers reaching retirement eligibility at a clip of 10,000 per day, and Gen Z just starting to graduate from college, human capital management challenges start to make technology look like a relatively easy part of an IT organization’s responsibility,” said Rob McIsaac , Executive Vice President of Research and Consulting, and author of Novarica’s new report on talent management in insurance. “While changes in technology are one facet of the role, another critical component for senior leaders is ensuring that they are building and retaining the human capital needed to deal with the demands of maintaining or improving business competitive position.”

Previews of the reports are available online:

Innovation in Insurance: Expansion and Key Issues

Summary:

As insurance carriers execute on their operational plans for the future, they face a variety of challenges and opportunities in the market place. Increased competition, better consumer access to information, changing demographic patterns, and a variety of lifestyle changes, are working together to create a more complex and nuanced business environment that carriers need to consider carefully. While technology for the sake of technology is not a best practice response, a focus on innovation which uses leading capabilities to create competitive advantage can be a very important element in a broader business strategy.

Click here for the table of contents or to access the report.

Next-Generation Talent in Insurance

Summary:

The acquisition, development, and retention of talent is a mission-critical activity for high-performing companies. With Millennials making up almost half of the US workforce and Gen Z starting to graduate from college, understanding the younger members of the talent pool is crucial.

Insurers need to know what the younger generations are looking for and how to reach them effectively. Feeling professionally supported, learning transferrable skills, and having access to innovative technology are all top of mind for young workers. With today’s changing conception of a career path, flexibility and transparent communication are key.

This brief discusses some of the major challenges for insurers looking to hire new talent. It also provides several examples of companies both in and outside of the insurance space that are looking to address these challenges.

Click here for the table of contents or to access the report.

About Novarica

Novarica helps more than 100 insurers make better decisions about technology projects and strategy through retained advisory services, published research, and strategy consulting. Its knowledge base covers trends, benchmarks, best practices, case studies, and vendor solutions. Leveraging the expertise of its senior team and more than 300 CIO Research Council members, Novarica provides clients with the ability to make faster, better, more informed decisions. Its consulting services focus on vendor selection, custom benchmarking, project checkpoints, and IT strategy. For more information, visit www.novarica.com.

Source: Novarica

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