CAS Innovation Council - Fostering Actuarial Innovation and Growth

1. 2014 CAS Leadership Summit Innovation Council - Aaron Halpert & Kevin Bingham, Council Co-Chairs Philadelphia, Pennsylvania October 24, 2014

2. Agenda Introduction to Innovation and the CAS Innovation Council Actuarial Innovator Profile Series – SerhatGuven Guest Speaker Erik Kaier on Innovation Strategy and Innovation Breakout Sessions

3. Introduction to Innovation and the CAS Innovation Council

4. CAS Innovation Council – Mission • Innovation Council (IC) • The CAS IC works closely with the CAS Executive Committee and the Board to focus on generating and developing innovative ideas, practices, products and services that support the CAS strategic goals. • CAS Core Value focused on Innovation • The belief that the continuing vitality of the CAS is best served when creative thinking and research are fostered, open discussion is encouraged, new ideas are openly entertained, and the diversity of opinion of its Members is respected.

5. Quote to Consider “One doesn’t get to the future first by letting someone else blaze the trail.” • Competing for the Future Gary Hamel and C.K. Prahalad The CAS can blaze a trail into the future by helping our members innovate.

6. CAS Innovation Council – Structure • Advisory Panel • The IC Advisory Panel sets the strategic direction for the Council, strives to assure that innovation best practices are used to develop new ideas, and provides innovation perspectives from outside the actuarial profession. • Project Leaders • The IC Project Leaders lead a variety of Council projects dealing with short, intermediate and long term projects such as vetting new ideas, collaborating with CAS leaders and committees to implement new ideas, and marketing innovation concepts to CAS Members and other CAS stakeholders. • Ambassadors • The IC Ambassadors are actuarial innovators who have demonstrated the ability to apply actuarial skills and experiences to creatively address complex business issues. Innovation Council Ambassadors participate in the Council Innovation Profile Series to educate our members on how innovation is used to expand the actuarial footprint in traditional and emerging practice areas.

7. Quote to Consider “Successful innovators analyze the patterns of innovation in their industry. Then they make conscious, considered choices to innovate in different ways.” • Ten Types of Innovation • Larry Keeley The CAS can analyze patterns of innovation in multiple industries to help make conscious decisions about our professions future.

8. CAS Innovation Council • Develop Innovation Practices that are aligned with and supportive of the CAS Strategic Plan • Review New Idea Prototypes and allocate financial resources to expand and develop new ideas as appropriate • Provide Innovation Perspectives from outside the insurance industry

9. CAS Innovation Council – Strategic Plan Envisioned Future Vivid Descriptions (Examples) CAS members will be sought out and valued by insurers and other enterprises worldwide for their advice and insight in solving complex business problems and risk-oriented challenges. CAS members will enjoy professionally satisfying employment opportunities. Actuaries will be seen worldwide as business leaders and as trusted advisors to business leaders. Innovation Enablers: -New solutions to business problems -Simplifying solutions developed by others The application of property & casualty practices and principles will be expanded to embrace new practice areas enabled by emerging technology. Innovation Enablers: -Scan and define new emerging technology -Define new practice areas enabled by emerging technology -See “Fast Forward – Emerging Technology and Actuarial Practice” article in July/August Contingencies

10. CAS Innovation Council – Project Leaders • Master Class on Innovation • Scan of available material • Review of literature • Attend innovation training(s) • Interview thought leaders • Develop course material • Choose delivery format • Facilitate classes • CAS Ambassador Program • Review of practice areas • Identification of eminent members • Recruitment • Development of webinars • Develop cadence • Deliver webinars • Mentorship • Innovation Deep Dive • Review of CAS • What are we doing right? • What are we doing wrong? • Application of “big data” • What is the next frontier • CAS Leadership Summit • Innovation content • Guest speaker • Breakout session

11. Quote to Consider “Value innovation is the cornerstone of blue ocean strategy. We call it value innovation because instead of focusing on beating the competition, you focus on making the competition irrelevant by creating a leap in value for buyers and your company, thereby opening up new and uncontested market space.” • Blue Ocean Strategy • Kim and Mauborgne The CAS can analyze patterns of innovation in multiple industries to help make conscious decisions about our professions future.