Standard Life places IT at heart of business transformation

Standard Life will place a sharp focus on IT to move forward with its transformation programme, the company said in its results today.

The makeover will be helped by the use of technology, which is expected to support its customer and distributor relationships and drive efficiency.

According to the insurer, advanced use of new IT tools will enable the introduction of rapid innovation while generating cost savings and compliance with upcoming regulatory changes.

Standard Life achieved £50m of cost savings during 2009 thanks to initiatives that included the outsourcing of IT development to Indian supplier L&T Infotech under a deal that was signed in October 2008. The firm intends to drive a further £100m of efficiencies within the next two years.

Operating profit at the insurance company decreased 1.5 per cent to £919m, but still surpassed analysts’ expectations.

In January, Standard Life announced the creation of a consolidated IT and operations role as well as a transformation director to drive the process.

Former chief operations officer at RSA, Christian Torkington, took over this month as group information and operations director, with responsibility for devising and implementing the company’s IT strategy and processes underpinning its operations.

According to a Standard Life spokesman, many products and services offered by the firm are technology-dependent, so that area is ‘a big part of driving the business forward’.