Carrier Management: Cognizant’s P/C Transformation Leader Says Moving P/C Carriers’ Systems to the Cloud Takes Careful Planning

“For carriers, moving core systems to the cloud is a change in culture and processes as well as technology,” writes Dan Pitcher. “That reality surprises some carriers and intimidates others. Exactly what will your company get from cloud technology? And how do you ensure that the benefits are operationally transformative and not just technically oriented? Careful planning provides the answers. If done properly, it will result in managed costs and fulfilled expectations.” Excerpts:

“The following guidelines can help carriers begin to build a solid foundation for adopting cloud technology and creating a digital experience:

Align executive management. Unity around a strategic vision with a clear business case is the first step to breaking into the cloud. It’s essential that the entire leadership team analyze the strategic operating model that is driving them toward a cloud platform. Crafting a distinctive view of the competitive advantage gained by the cloud—such as the ability to defer capital investment or the accelerated implementation of solutions and infrastructure—is key to attaining the commitment that makes the difference between talk vs. action and between project success vs. failure.

Identify the digital capabilities and benefits you want to gain. Cloud technology is a means to an end, rather than an end in itself. That is, while your company’s digital strategy is likely to be a driving force in your cloud adoption, moving to the cloud is not in itself a digital strategy. To define the capabilities that the cloud proposition should deliver for your organization, consider taking a digital view of all operations.

Own your configuration of cloud applications and services. Cloud’s flexibility is one of its strengths. Against the backdrop of the technology’s scalable infrastructure are a variety of services that your organization can choose—à la carte style—to support the business plan and sequencing of operational objectives.

Ensure your organization is ready for change. Adopting cloud-based core systems is likely to be one of the largest and most transformative projects your company will undertake. After management has aligned around a clearly defined digital operating model, your company needs to ensure the larger organization is ready for the changes. One way is by conducting a Readiness Assessment.

Plan to execute the first key deliverable quickly. Your cloud plan needs to underscore cloud’s quality of speed. Cloud projects should take months compared to years required for traditional projects. It’s important to deliver on one of the key work streams within a short window of time. A fast launch can demonstrate cloud success and build commitment to the initiative. Failure to identify a “quick win” can diminish commitment and result in inaction.

Understand pricing. Another of cloud’s major advantages is the ability to scale up and down depending on organizational needs. Be sure the cloud contract pricing reflects this flexibility as it relates to your corporate requirements.

Cloud adoption can reduce infrastructure costs, drive more efficient business processes and provide a better digital customer experience. With careful planning, any carrier can break into the cloud and gain its benefits.”

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