richard lee icbc ibm industry models forum 20110314 final
DESCRIPTION
IBM Industry Models Forum Presentation - IAA & Business TransformationTRANSCRIPT
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ICBC’s IAA Journey (Take 2)Using IAA to Drive Real Business Transformation in P&C Insurance
Richard LeeDirector
Business Information Program (INFO) & Data Governance Office
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• Enabling better decision making• Faster time to value• Reduced risk• Best total cost of ownership
IntegrityDedication to CustomersAccountabilityCaring
Trust and personal responsibility in all relationshipsDedication to every client's successInnovation that matters, for our company and for the world
Common ValuesThe Underpinnings of Success
The ICBC & IBM IAA Partnership
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Presentation Topics• Overview of Insurance Corp of British Columbia (ICBC)
• Our Early IAA Journey (Version 3 – circa 1997)
• Our New IAA Journey (Take 2 – 2010 onward) Transforming our proprietary business model to a standards-based one
Driving Cultural Change across the Enterprise
Embracing “Information as an Asset”
Achieving our Analytics Vision e.g. Predictive Claims
• Lessons Learned and Progress so far
• Concluding Remarks
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Overview of ICBC• The Insurance Corporation of British Columbia (ICBC) is a Canadian provincial
Crown corporation established in 1973 to provide universal auto insurance to B.C. motorists Mandatory and optional (Competitive) insurance products (Uniline P&C Provider) Revenue >$3.6B >3 million policies written ~ 1 million claims/year processed Major investments in Road Safety Initiatives
• Also responsible for driver licensing, vehicle licensing & registration and toll/fee collection > 2.75 million vehicles registered > 3.1 million licensed drivers Tickets (contraventions), bridge tolls & other fees collection
• We collect vast amounts of information and need to manage it as an asset. Information Management from an end-to-end view Information as a service offering to all consumers Data Governance as a core discipline
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Our early IAA Journey
• NGIS Program – circa 1997 Next Gen Insurance focus Object-oriented vision Joint development approach IAA Version 3 licensed
• Ended in Disaster and Recrimination IAA went dormant IBM banished to the woodshed ICBC “internalized” its focus until 2009
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Our new IAA Journey (Take 2)Large Scale Business Transformation Program• Fundamentally change the business model to support long-range
strategy Straight-through Claims processing (Customer) Predictive Claims (Finance & Customer) Skills-based Claims Routing (Employee Engagement) Information as a service across the enterprise Services-driven application & information infrastructures
• Re-invested in IAA/IIW to “accelerate transformation” Information Architecture Claims & Policy Systems Deployment (COTS) Services Architecture Cultural change across the organization
ICBC Information Vision
Moments of Truth
I buy/renew
I license
I claim
I amend
I cancel
ICBC
Analytically-Optimized Business Processes
Customer Insights*
Predictive Claims*
Underwriting
Sales Pricing*
Financial Oversight
Licensing
Analytics- Driven Foresight
CustomerLTV
Attractive Products
Retention (Optional
Insurance)Fraud
MitigationBest Offers
(Claims)
ERM/Solvency II
Customer Experience
EmployeeEngagement
Risk Assessment
BIC
C
Reporting. & Ad Hoc Business Analytics Performance Measurement
Enterprise Information Subject Areas
The Customer
Future
Data Governance
Enterprise Information Management
Rich/Robust/Reliable Information Sources
Business Information Project (INFO)*
Broker 2014
StrategicGoals
Improve Customer Perception
Improve Employee
Experience
Maintain Financial Security
* Transformation Program Specific
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Information Transformation at ICBC
Future State
Legacy
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Business Information Transformation Goals
• Replace legacy infrastructure & business practices with industry leading solutions & standards-driven activities
• Move from siloed data by application/business division to a centralized-information environment to service the entire enterprise
• Leverage a common business terms glossary and enterprise information model to align all behavior & assets
• Use data governance to drive cultural & behavioral change
• Drive BI (self-serve) and Business Analytics across all areas of the business and at all levels of decision making
• Catalyze a services-driven capability for Application and Data Integration
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Current State of Information Assets
• No common vocabulary of business terms.
• Early stages of formalized information governance.
• Limited classification of information assets.
• Silos of data and information.
• Minimal leverage of deep information sources.
• Elusive single version of the truth.
• Culture lacks information management and exploitation disciplines.
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Business Information Program (INFO)The INFO Project is responsible for the development of the Enterprise Information Strategy (EIS), which outlines the vision for Enterprise Information Management at ICBC.Enterprise – across all divisionsInformation – raw data and data with context (structured & unstructured)Strategy – common plan for achieving information management goals
Key Objectives
• Allow use of rich information sources to create deeper insights into Customer needs and sensitivities
• Empower employees with deep information and analysis capabilities to make timely, fact-based decisions
• Further optimize financial performance by having deeper insights into the business from both a real-time and forward-looking basis
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INFO Project at a Glance
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OUR FOCUS ON IAA
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High Level Business Requirements
BusinessRequirements
High-LevelDesign
BusinessAnalysis
Low-LevelDesign
ProgramDevelopment
Testing Architecture
Process Modeling
Business Rules
Impact Analysis
Business Terms & Definitions
Use Cases
Business Components
Data Models
Services
Detailed Program Design
Functional Specifications
Test Case Development
Testing
Debugging
Systems Infrastructure
ODS
Business Measures & KPIs
Data Warehouse
Code Generation
Code Maintenance
Traceability
IAA Catalyzes Change & Benefits at Many Levels
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Business Services
Agent / Broker
Underwriter
Customer
Analyst
EmployeeWorkplace
EmployeeWorkplace
Electronic BusinessGateway
Electronic BusinessGateway
Claims
BusinessParticipants Channels Service
Providers
Regulators & Government
BrokerWorkplace
BrokerWorkplace
Supplier / BrokerSystems
Integration (ESB)
Infrastructure /TechnologyServices
Forms
Browser
Services
ProcessServices
Update Party
Bind & Issue
Create Quote
Update Policy
Admin Claim
Security & Access
MDMSystems Mgmt
ServicesInformation
Services
ODSODS
PLMPolicy
Under-writing Claims
CO
TS
Lega
cy
Cus
tom
Exte
rnal
Underwrite
PLM
PartyExternal
Collabora-tion Rules
Content GIS
CustomerWorkplace
CustomerWorkplace
IAA Accelerates Our Services-lead Approach
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Lessons Learned
• IAA is a journey, one that must be lead by the Business in order to deliver on its full capabilities.
• In spite of being highly abstract, IAA provides extreme focus for business transformation planning and execution.
• We are early in our “Take 2 Journey” but accelerating our activities through a close working relationship with the Labs and its Practitioners.
• IAA is not for the faint of heart!
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BACKUP SLIDES
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Insurance Framework Accelerators & Assets
Accelerate SOA solution delivery with integrated process, service & data models
Reduce manual intervention to provide efficient XML data management using ACORD standards
DB2 pureXML for ACORD templates
Integrate ACORD electronic forms to reduce manual processing
WebSphere Transformation Extender ACORD Pack
Reduce manual intervention and transform data to ACORD standards
Build components on legacy systems faster by using IAA models in an integrated and agile delivery platform
InsuranceTransformation Workbench
IAA/IIW
ACORD eForms(ACORD product)
MDM – IIW Asset
Integrate standard data services with customer data warehousing capabilities
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IBM’s SOA Reference Architecture applied to ICBC
Process ServicesOrchestrates and automates business processes
Information ServicesManages diverse data and content in a unified manner
Interaction ServicesEnables collaboration between people, processes & information
Business App ServicesBuilds on a robust, scalable, and secure services environment
Access ServicesFacilitates interactions with existing information and application assets
Partner ServicesConnects with trading partners
Enterprise Service BusFacilitates communication between services
Infrastructure ServicesOptimizes throughput, availability and performance
Business Innovation and Optimization ServicesFacilitates better decision-making with real time business information
Integrated environment for design and creation of solution assets
Manages and secure services, applications, and resources
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