Analytics and innovation. Both are absolutely essential to the fastest growing organizations worldwide. Analytics and innovation tend to follow each other in succession, and sometimes, they tend to work cohesively and feed off each other when implemented correctly. Both analytics and an organization’s ability to innovate ensure its long-term survival in the marketplace.
Since analytics help measure results, they inform the strategic approaches and leadership styles of business leaders like Eric Herbelin. Herbelin is a seasoned insurance executive with a background spanning three decades.
Analytics serve to form how organizations innovate. When organizations innovate, much of that innovation tends to be around customer service and experience, which culminates into positive long-term growth and sustainable business.
“I would argue that, unless you have something very special and unique that others can’t replicate, the only way to differentiate and sustain a business is through service,” says Herbelin, who goes on to say that innovating around service tends to have a positive impact on organizations regardless of sector.
A key aspect of this service these days, according to Herbelin, involves a keen focus on analytics and innovation.
The truth is that great service transcends industries, and according to Eric Herbelin, analytics and innovation are intrinsically linked and ultimately help drive better service.
Herbelin says it’s about understanding key variables that affect business growth and sustainability: “What are the gaps, the frustrations and the opportunities for business? You need to understand the needs and the expectations of your customers, including those that customers may not be aware of and be ahead of your competition.”
While analytics measure performance metrics, innovation is focused on improving services, processes and technologies. Innovation is change, and it’s driven by a solid grasp of business analytics. Without analytics, innovation becomes nearly impossible if all you have to work from is qualitative data and hearsay.
Eric Herbelin was quick to adopt a quantitative approach and rigorous analytical strategy early on in his career. It was in 2001 when he was working for Zurich Insurance Group and supporting executive leadership when he decided to build his own data analytics tool out of a necessity of leveraging information and simulating business outcomes. At the time there was a lot of data but it wasn’t being leveraged to its full potential, according to Herbelin.
Another factor was that Herbelin’s role at Zurich Insurance Group called for him to help make big decisions. In charge of strategic and operational planning, he was required to build systems and processes to help the organization do whatever it takes to ensure success.
“I thought one important aspect is understanding the numbers and the financials of the industry and how we can make best use of that information to grow our business in a profitable way within specific market segments,” says Herbelin.
That was when he decided to build his tool based on Excel, taking a minimum viable product approach and iterative process.
“It started off simple, but eventually it evolved and became a new standard,” says Herbelin.
Eric Herbelin’s newly-built tool simulated strategic scenarios and opportunities based on internal data, as well as external information and assumptions. The same tool was eventually leveraged to issue key financial and operational metrics, as well as business and financial plans.
“It was relatively early in the days of analytics and quite simple, but it did serve its purpose at the time,” says Herbelin, who eventually went on to serve in various roles in the insurance industry across various markets, including building new business ventures and leading more established businesses as CEO.
Analytics, according to Herbelin, helped his management over time. It allowed him to make informed decisions based on insights and processes.
Exponential growth in data, through digitized processes and from Internet of Things devices, coupled with advances in artificial intelligence, machine learning and cloud computing are creating new opportunities. They also create the need for leaders to adapt and adjust to those new realities who offer both opportunities as well as challenges but will certainly transform industries forever.
“The pace of change is continually increasing and it is exciting to be able to leverage new sources of data and new technology. It is, however, no small feat to keep pace with it and I would urge every leader to keep abreast of developments. I invest each and every year a good portion of my free time in continually educating myself and the focus in recent years has mainly been on technology and innovation..
In addition to reading books and listening to various podcasts, Eric Herbelin recently attended continuous education programs offered by the Massachusetts Institute for Technology (MIT) as well as the Saïd Business School from Oxford University. These included programs such as “Technology and Innovation Acceleration”, “Data Leadership”, “Digital Platforms”, “No Code AI” as well as “Blockchain Strategy”, and “Fintech Program”.
For Eric Herbelin, when he’s not delving deep into the analytical framework of an organization or creating a new innovative strategy, he’s clearing his mind in nature or riding his bike.
“It’s a way for me to get back to the big picture, checking my ideas and seeing what resonates.”
