Roundtable: No room for zombies as digital transformation gathers pace

Insurance Post, in association with Sollers Consulting, brought together senior transformation and technology leaders to discuss how insurers can unlock the value of digital change.

Attendees:

• Ben Edis, Transformation Director (Commercial), Allianz
• Ketan Motwani, COO, Arch Insurance International
• Ashief Danga, Transformation Director, AXA Health
• Andy Burton, CTO, esure Group
• Chris Loake, CIO, Hiscox
• Robert Proudfoot, Senior Director, IT Wholesale, Markel International
• Andrew Beal, Group Chief Architect, Markerstudy Group
• Wojciech Korobacz, London Market Lead, Sollers Consulting
• Michal Litwinski, UK GI Relationship and Project Manager, Sollers Consulting
• Scott McGee, news editor, Insurance Post 

Participants shared their views on how firms can set the right strategy, win over boards, tackle legacy issues, avoid the trap of “zombie projects”, and ensure people and culture remain at the heart of transformation.

Strategy and culture as the bedrock

Digital transformation without strategy is little more than activity for its own sake. A recurring theme from participants was that a clear strategic ‘North Star’ is essential, giving direction and enabling organisations to prioritise.

For Markel International, strategy is directly linked to long-term ambition.

“Driving operational excellence is one of the five key pillars of our strategy to put Markel on the map and make us a $5bn business by 2030,” said Robert Proudfoot, senior director, IT wholesale. In his view, transformation is inseparable from growth.

At the same time, culture was described as a vital counterpart in enabling change. Even the best-designed strategies will falter if the organisation lacks the mindset and behaviours to support change. Several leaders emphasised that culture does not evolve automatically – it must be nurtured and, in some cases, deliberately engineered.

“We didn’t really have the luxury of waiting for culture to evolve organically,” explained esure’s Andy Burton. “Because of the size of the challenge, we had to drive it top-down while hiring people who would embed agile practices.”

Attendees also stressed the importance of governance in shaping culture.

Wojciech Korobacz, London market lead at Sollers Consulting noted that delays in decision-making often undermine progress.

“Empowered product owners and strong sponsorship are critical to sustaining momentum,” he said.

Getting the board on board

If culture is what sustains transformation day to day, board sponsorship is what makes it possible in the first place. The group agreed that executives must be skilled at framing transformation in terms directors understand – not only in terms of technology, but in terms of business outcomes and shareholder value.

The key is having a strong strategy and involving business leaders, so you don’t just automate old processes.

Andrew Beal, Markerstudy

Chris Loake, CIO at Hiscox, recalled the encouraging mandate he received on joining the firm.

“Our CEO told me he wanted technology to be a source of competitive advantage… The ambition was there – and that’s vital.”

That ambition provided the spark, but Loake stressed the equal need to win hearts and minds with some quick wins and create teams focused on outcomes.

It also helps to make the case in financial terms and return on investment (ROI).

“Our aspiration isn’t to be the best adopter of AI – it’s to improve our combined ratio and deliver returns for investors,” said Arch Insurance COO Ketan Motwani.

By linking digital initiatives directly to profitability, conversations with the board remain focused and relevant.

Several participants observed that boards themselves are evolving. Ash Danga, transformation director of Axa Health has noticed a greater willingness for executives to be in “listening mode” and who understand operational and competitive risks.

“There’s a recognition that you’re going to have to make a decision on something which might not have the perfect IRR or 10-year payback,” he said.

Skillsets are changing too, with more directors bringing digital expertise, technology or data credentials to the table. This helps creates mutual understanding and a recognition that transformation programmes should be treated as strategic levers rather than back-office projects.

Wrestling with legacy

The discussion turned to legacy technology – a challenge every insurer continues to grapple with. Participants recognised that few organisations could escape it entirely. Instead, the goal is to strike a balance between stability and innovation, deciding what must be modernised and what can remain.

For an acquisitive firm such as Markerstudy, it’s a common challenge, but the solution is rarely the same.

Andrew Beal explained: “Each acquisition is different. With one acquisition we took none of their systems – we brought everything into our ecosystem instead. But with another we merged systems and effectively created a mesh of the best applications. The key is having a strong strategy and involving business leaders, so you don’t just automate old processes.”

Other organisations take an equally selective approach. Ben Edis at Allianz stressed that modernisation must be value-driven: “Our goal is to be the easiest insurer to do business with. That means working closely with colleagues to identify where legacy is holding us back and prioritising accordingly.”

Michal Litwinski of Sollers Consulting added that the challenge is often “less about the technology itself and more about alignment”.

When IT and business pull in different directions, legacy becomes harder to overcome. Shared ownership of outcomes, he asserted, is the only way to make progress.

I found 120 initiatives running, many with no clear ownership. I called them ‘zombie projects’... We’re now down to 15 focused programmes delivering real ROI.

Ketan Motwani, Arch Insurance

Zombie projects: the hidden drain

One of the most animated parts of the debate focused on “zombie projects” – initiatives that continue to consume time and budget without delivering clear value.

For Arch Insurance, addressing the issue was liberating.

Motwani recalled: “I found 120 initiatives running, many with no clear ownership. I called them ‘zombie projects’… We’re now down to 15 focused programmes delivering real ROI.”

Others agreed that courage is essential. Once an organisation sets its strategic direction, it must have the discipline to cull everything outside that scope. Allianz’s Edis added that simply going live is not the benchmark of success – if new technology is not adopted by customers or colleagues, it is effectively another zombie.

By freeing resources and focus, organisations can invest more heavily in initiatives that truly matter.

“If there is something that is really important, that gives ROI over the next two or three years or has a regulatory impact, we’ll find a way to do it,” says Motwani.

“Otherwise, we follow that North Star journey and avoid being distracted by ‘sticking plaster tactical solutions’.”

Small wins versus ‘big bang’

From here, the conversation moved to delivery models. All agreed with Loake’s assertion that traditional “big bang” programmes – multi-year initiatives culminating in a single go-live – no longer make sense in today’s environment. Instead, insurers are shifting towards iterative delivery that builds confidence along the way.

By demonstrating value early, transformation leaders secure permission to pursue more ambitious objectives.

Beal highlighted the importance of building credibility: “Quick wins give confidence, then you can tackle bigger challenges. If you ask stakeholders to wait three years for results, you’ll lose support.”

The participants agreed that incremental delivery reduces risk and ensures transformation remains tied to the realities of business performance rather than distant promises.

People, skills and operating models

Beyond technology, the roundtable emphasised the human side of transformation. Recruiting, upskilling, and empowering people was described as just as important as systems and platforms.

Operating models are evolving to embed digital ways of working permanently, rather than treating transformation as a temporary project.

Danga explained how moving product ownership into the business had been a game-changer.

He said: “Former salespeople run distribution products, marketers own broker journeys. They understand what customers need in practice, which makes the technology relevant.”

Giving business experts responsibility for digital products created accountability and ensured solutions stayed grounded in reality.

Cultural perception also matters. Beal described how at Markerstudy, a series of transformation initiatives have been rebranded under an “M-Powered” banner to reinforce IT’s role as a driver of business value rather than a back-office support function.

The next wave: AI and digital capability

Looking forward, the attendees discussed what comes after the current wave of transformation. While new technologies like generative AI are commanding attention, participants warned against hype and stressed the importance of building capability rather than chasing trends.

“Every problem isn’t a GenAI problem,” said Beal. “The danger is throwing money at trends while neglecting basics.”

He argued that insurers must be disciplined, focusing on where technology can deliver real business impact.

Motwani agreed but was enthusiastic about AI’s role as a driver of the wider transformation agenda.

“We are fortunate there are a number of catalysts for change in our market, so the tech capability and maturity are evolving significantly,” he said. “There are lots of good stories emerging on how to use AI and tech to fundamentally do things in a different way.”

Pragmatism and courage

In conclusion, the roundtable revealed an industry that has grown more pragmatic about digital transformation. Technology leaders are clear that success requires both strategy and culture, that legacy must be managed carefully, and that zombie projects must be confronted head-on.

Equally, the conversation highlighted the importance of people. Without new skills, new roles, and empowered product ownership, transformation risks stalling.

Above all, participants agreed that transformation demands pragmatism – a relentless focus on outcomes – and courage – the willingness to stop what is not working.

As Burton asserted: “Transformation isn’t about being the first to try something new – it’s about being the one who gets it right.”

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