The number one benefit and driving force behind the use of risk technology is accurate and reliable data, according to the survey of more than 400 risk professionals from 57 countries representing a broad range of industries. The result, which was similar to the last survey conducted in 2009, indicates that organizations use risk management information systems, commonly known as RMIS, to manage business operations and generate accurate financial information.
Aon Global Risk Technology Survey Top 10 Benefits of Technology
Accuracy and reliability of data
Automation of processes
Data consolidation and management
Management reporting improvements
Risk management process improvement
Ease of access to data from one location
Total cost of risk reduction/management
The survey also revealed compliance as an emerging benefit of using risk management tools.
"Compliance is a relatively new topic in the risk management industry, and as more companies explore cloud offerings to store and report on their organizational data, compliance may well make an appearance in the top ten in our next survey," says Kathy Burns, CEO of Aon eSolutions.
The report also reveals a key trend: More organizations are now closely tracking return on investment for risk technology tools. For example, more than 25 percent of respondents said they expect to save up to $50,000 per year from using risk/insurance and claims technology.
"Companies are actively tracking the ROI for risk technology investments. This indicates the technology is becoming critical in the way organizations do business and is seen as an added value in reducing TCOR," says Burns.
Notably absent from the top 10 this year were claims management and control and transparency. Historically, claims management has been the primary rationale for implementing risk technology; however, today RMIS are used to manage much more than workers' compensation claims reporting. Meanwhile, control and transparency may have dropped off the 2012 survey as risk management departments have become more visible to boards of directors and CFOs, who look to these departments to inform and guide the organization in all aspects of risk.
This web-based survey addressed both qualitative and quantitative elements about how companies utilized technology to manage risk. Responding risk managers, CROs, CFOs and others provided feedback and insight on how they utilize risk technology for their insurance and risk management choices, interests and concerns. Aon Analytics conducted this survey with the support of Aon's survey research specialists, who collected and tabulated the responses. Additional Aon insurance and industry specialists provided supporting analysis and helped with the interpretation of findings. All responses for individual organizations are held confidential, with only the consolidated data incorporated in this report. Percentages for some of the responses may not add up to 100 percent due to rounding or respondents being able to select more than one answer. All revenue amounts are shown in U.S. dollars.
About Aon eSolutions
Aon eSolutions is the technology solutions business of Aon Corporation (NYSE: AON) and the leading provider of cloud-based and on-premises business solutions designed and built for the specific security, performance and compliance needs of the risk, insurance and safety management community. Aon eSolutions' best-in-class risk management, claims administration, auditing and safety management systems are delivered on RIScloud and provide measurable value by aggregating data, streamlining business processes and optimizing resources.