Data is the new oil and Analytics is the combustion engine. Internal data plays a special role in every organization. See how one can become internal data rich and move the value needle. Through what we call thoughtful data engineering, we found good data trumped good models time and again.
2. Technology
(Programming)
Analytics
(Math, Stats)
Business
Advanced
Analytics CoE,
Maturity Model
Customer Analytics
(entire value chain)
Machine Learning
Scoring Engine
Optimization
Simulations
Forecasting & Time
Series
• 16+ Years
• John Hancock Insurance
• Deloitte Consulting (Industries – Insurance,
Retail, Financial, Technology, Telecom,
Healthcare, Data)
• IBM
• Sun Microsystems
Expertise
Experience
Vishwa Kolla
Head of Advanced Analytics
John Hancock Insurance, Boston
MBA Carnegie Mellon University
MS University of Denver
BS BITS Pilani, India
8. Value from Internal Data is … well, HUGE
~$820 B
Value of
Customer Data +
Algorithms
$1.2 T
Market Cap
(11/30/2016)
$120 B
Debt
(11/30/2016)
$178 B
Brand Value
(05/2016)
Source: http://www.forbes.com/powerful-brands/list/2/#tab:rank
9. Embracing Data helps with Top & Bottom lines
2001 – 2013 CAGR Revenue
(Firm | Industry)
Source: 2001 – 2013 Revenue figures from Capital IQ
3%
3%
3%
1%
5%
7%
7%
8%
10%
12%
10. Data is the new oil …
Source: http://www.ibmbigdatahub.com/infographic/four-vs-big-data
11. 11
… and Analytics is the new combustion engine
Descriptive
Predictive
Prescriptive
Nudge
Cognitive
Experimental
What
Happened?
What
Will Happen?
What
Action?
What
Outcome?
How does
a Human do?
What should
I expect?
22. 22
Analytics Stack at Hancock
Systems
Infrastructure
Software
Infrastructure
SQL Server SAS Server R Server RDP Server App Server Hadoop
Data
Infrastructure
Accelerators
Match Merge Profiling Segmentation Exploration Modeling
Productivity
Tools
Innovation
Rules Engine Scoring Engine Visualization Frameworks Presentation
Templates
OCR Engine
Dynamic eApp Web Scraping Middleware
Web Apps
28. 28
Internal data enables customer-centricity
Decision
Acquired
Scheduled
UnderwriterApplicant Part I
Typically
3-6 weeks
Process
Bottle
neck
Traditional Process
End to End Turn Around Time = Hours to 3 - 6 weeks
Consent
Proxy for Cholesterol,
Glucose, Nicotine
Likely to misrepresent
Adjustment for Height
and Weight
Other issues found
after roll out
Encourages healthy
people to apply
30. Earn points for
Vitality Health
Review
46
43
Save 50% on
luxury hotel stay
Earn points for
biometrics from
underwriting
Earn points for
going
to the gym
Earn points and
save $$ buying
HealthyFood
Earn points for
healthy
activities
Bob receives
his free Fitbit
Bob receives
his Welcome
Kit
Bob receives
his policy
Age
Age
Internal data helps nurture the relationship
31. 31
Internal Data Helps Understand the Customer
7. Rewards:
• Most Common Redemptions:
• Nutrisavings
• Amazon Gift cards
• Starbucks
6. Activity:
• Most Common Activities:
• Physical Activity
• Prevention
• Education
1. Sales Force:
• 2016 Campaigns Executed: #
• 2016 New Leads: #
• 2016 Vitality Apps: #
2. Application:
• 2016 Applications: #
(Vitality #)
4. Premiums
• Median Annual Premium: #
(Vitality #)
5. Engagement:
• # Fitbit redemption
• # Linked Fitbit
3. Approval:
• 2016 New Policyholders: #
(Vitality #)