Automation, machine learning and AI are transforming the insurance landscape and are essential for the evolution of the actuarial function. These tools and other elements of actuarial modernization contribute to innovation, increased productivity, enhanced data analysis and more, while also freeing up teams for more complex tasks. However, while these advancements have a wealth of benefits, if new tools and processes are not effectively adopted and consistently used, they won’t meet their anticipated potential.
As you move forward with implementing AI or any other type of change or advancement, bringing your people along is key. Here are six ways to ensure you’re taking a people-focused approach that promotes a smooth transition and supports retention and engagement.
1. Be realistic.
If your company does not have continual growth and evolution woven into its culture, there may be a number of initial hurdles and concerns to overcome. Actuaries who have been with your company for several years have likely become accustomed to a certain way of operating, and there’s typically a general fear of the unknown. While some individuals may be excited and recognize the need and benefit of a change, anticipate that others will push back. Be empathetic and give individuals the time and information they need to work through their initial discomfort.
2. Have a clear vision.
Be able to answer why you are implementing a change, as well as how it will benefit your business and its people. Ensure you can articulate the problem a new tool or technology is solving for your company or department, as well as how you are defining and measuring success. Ultimately, employees want to know what is in it for them and how it will impact their day-to-day work.
3. Provide a roadmap. 
For most major modernization initiatives, there will be long-term timelines and multiple phases of rollout. Share this information with your team and ensure everyone is aligned on expectations and timing. For instance, you may be gradually phasing an existing tool out while providing training and support for your team as they ramp up on a new tool. Whether the change will occur all at once or gradually over time, clear expectations are essential for keeping everyone on the same page.
4. Alleviate hesitations.
Regardless of the change, individuals will have concerns. Help alleviate negative or anxious feelings by inviting conversation and questions. Some may be reluctant to overhaul a system they feel works adequately. Others may be concerned for the security of their jobs or the amount of training they’ll receive to be successful. Address these areas and encourage ongoing open dialogue.
5. Invest in training.
No matter the scale or scope, err on the side of too much training rather than not enough. Create detailed reference documents, provide time for Q&A, offer shadowing opportunities, and schedule live and/or recorded training sessions to make sure everyone feels comfortable and capable. This may also include planning for how you will reskill individuals to step into new areas.
6. Check in.
Ask for feedback at all stages of the change. Are they using the tool consistently and correctly? How do they feel their productivity has been impacted? Where can you provide additional support or training? What questions do they feel are still unanswered? Use this information to guide your next steps and gain a better understanding of what still needs to be addressed or adjusted to be most successful.
Change is necessary as actuarial capabilities evolve and progress. Having your team’s support and buy-in around these transformations is essential to be most effective and remain competitive. With clear communication and an empathetic approach, you’ll be positioned to help your team embrace change and realize its full potential.