The ACORD Framework

An Insurance Enterprise Architecture

© ACORD 2016

Framework Overview: Agenda •

Introduction - History / Origins / Business Need

The Five Framework Facets

•

Business Glossary

•

Capability Model

•

Information Model

•

Data Model

•

Component Model

•

Conclusion - Getting Involved - Resources & Support

© ACORD 2016

ACORD is building the Framework for the future of the industry • More diverse membership • Global membership • Cross-Domain membership • Geographical differences • More than an exchange format © ACORD 2016

ACORD is building the Framework for greater efficiency • Need for an Enterprise Architecture • Framework streamlines standards creation and development • Framework provides a base for model driven development and maintenance of standards • Framework better serves ACORD members and the entire insurance industry © ACORD 2016

The Framework will save your organization time and resources

• ACORD Framework provides the foundation for Enterprise Architectures • Diverse membership contribution • Members can choose parts that are best suited © ACORD 2016

The Framework has 5 facets

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Questions?

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The ACORD Framework

Business Glossary

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The Business Glossary

The Business Glossary contains common insurance definitions • Non-technical definitions • Single business glossary to bridge communication gaps • Provides context across all programs

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Business Glossary

The Glossary relates to the other four facets

• Glossary terms found in all facets • Changes made in unison

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The Business Glossary

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Business Glossary

The Business Glossary status and delivery

• Originally published in 2008 • v2.6 published (August 2015) • Includes content aligned with: • v2.6 Information Model • More than 4,400 business terms • HTML, CSV and XML formats • Future - will include Capability Model content © ACORD 2016

Questions?

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The ACORD Framework

Process Maps

Capability Model

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The Capability Model

Process Maps

Capability Model

The Capability Model defines what the insurance industry does • Scope begins with insurance companies, but is not limited to insurers • Baseline of a company’s capabilities • Individual companies vary, but all capabilities exist in the industry

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Process Maps

Capability Model

The Capability Model presents a standard perspective

• Does not define an ordered workflow, just reflects the industry’s capabilities and un-sequenced processes performed by them • The Model offers an organizational baseline, a preferred approach

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Process Maps

Capability Model

The Capability Model helps facilitate business innovation

• Capability Model gives insight to areas of similarity and shows differences from other companies • Companies can find innovative ways to exploit those differences

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Claims

Capability Model includes Process Maps • Capability

Claims Lifecycle Management

• Claims • Sub Capability: • Claims Lifecycle Management

Claims Handling

Investigate Claim © ACORD 2016

• Sub-sub Capability • Claims Handling • Activity / Process: • Investigate Claim

Process Maps

Capability Model

The Capability Model Top Level Capabilities

• Business Management

• Claims

• Channel Management

• Finance

• Contract Administration • Marketing

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• Customer Service

• Product

• Enterprise Services

• Sales

Common Capability Model Uses  Business Process Modeling • Capabilities and business activities provide the building blocks for business process automation • Delivered in UML for ease of porting into BPM tooling  Business Activity Reference Model • A common model set of definitions that can be agreed upon across the industry • Celent used the Capability Model as the base for the BPO questionnaire and report for 2011 © ACORD 2016

Process Maps

Capability Model

The Capability Model status and delivery options

• Version 2.1 – released May, 2011 • No major revisions expected • Formats: Spreadsheet and UML Spreadsheet Sample

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UML Sample

v2.1 Release – What’s New? • tele-underwriting • help desk service • document imaging • predictive modeling • several claims items • UML updates to align with Spreadsheet

Process Maps

Capability Model

© ACORD 2016

The Book… • Available Now – URL below

http://www.acord.org/Knowledge/Resources/Library/Documents/ACORDCapabilityModelBook_2010.pdf © ACORD 2016

The Capability Model History & Future

Process Maps

Capability Model

Year

Activity / Donation

2006

IBM (IAA process definitions)

2007

ACORD

2008

Deloitte, LLC (enterprise support)

ACORD Publication v1.0 Draft

ACORD Working Group (harmonization)

© ACORD 2016

2009

ACORD

v2.0

2010

ACORD

Capability Model Book

2011

New Content / Donations

2014

Working Group activities

2015

Working Group activities

v2.1

Questions?

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The ACORD Framework

Information Model

© ACORD 2016

The Information Model

The Information Model organizes and relates insurance concepts

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Vision: The Information Model • Single business model • Consistency across all standards development • Provides a big picture view of the insurance industry

Information Model

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The Information Model helps organize and explain insurance concepts • Supports consistency across all ACORD Standards • Provides the mechanism for mapping all Standards to each other • Model currently contains: – More than 1000 classes – More than 2700 attributes – More than 490 associations – More than 510 enumerations (code lists) Information Model – More than 6650 codes © ACORD 2016

Information Model is the central facet for mapping which facilitates ease of implementation • ACORD will map the Information Model to: – XML Standards (all versions) – Forms (eLabels) – EDI / AL3 – Other standards and models • Members who map internal models to the Information Model then have a semantic link to all Standards © ACORD 2016

Information Model

The Information Model is about concepts, not literal implementations • Can express ideas independently of how they are used • Not intended to describe how to use the concepts • Designed for extensibility to accommodate future standards and industry requirements • View is context-neutral or context-agnostic (e.g. “data at rest“) © ACORD 2016

Information Model

Common Information Model Uses  Enterprise Reference Model • Logical organization of like concepts • Standard baseline for how concepts inter-relate • Business focused • Bridge between business and technical  Canonical Model • A common model for data interoperability, two systems that refer to the concept of an Agreement but name them differently (Contract versus Policy) • Single source of data organization • Needed for semantic integration © ACORD 2016

Vision: The Semantic Hub Connects Messages and Technology • Information Model is the common bridge • Enables any-to-any integration • Single source of meaning – Information Model

ACORD Property & Casualty Standards

Information Model Claims System

Operational Data Store

Data Warehouse © ACORD 2016

ACORD Global Reinsurance & Large Commercial Standards

ACORD Life & Annuity Standards

Policy Admin. System Data Model

Information Model v2.x: Scope

Delivered in: HTML, XMI, and MagicDraw native formats © ACORD 2016

Information Model

Party

© ACORD 2016

Worked Examples

© ACORD 2016

The Information Model History & Future

Information Model

Year

Activity / Donation

2008

Prima Solutions (ICBS model)

ACORD Publication

ACORD Working Group 2009

ACORD

v1.0, v1.x

ACORD

Information Model Book

IBM (IAA – BOM)

© ACORD 2016

2010

ACORD (harmonization)

v2.0 Beta (1-4)

2011

ACORD

v2.0 & v2.1

2012

ACORD

v2.2 & v2.3

2013

ACORD TXLife + P&C XML, Working Group Review

v2.4

2014

ACORD

v2.5

2015

ACORD

v2.6

Questions?

© ACORD 2016

The ACORD Framework

Data Model

© ACORD 2016

The Data Model

The Data Model makes the abstract more tangible • Turns concepts from Information Model into format that can be used for persistence design • Logical level persistence model • Can be used in any database implementation • Doesn’t consider data optimization techniques Data Model

© ACORD 2016

• Persistence = Storage

The Data Model has many uses • Help create a physical data model for databases • Provide a baseline for data warehouses • Validate your data model

Data Model

© ACORD 2016

Guiding Principles • Use Information Model as source for Data Model – Provides content alignment and traceability – Information and Data Models are always synchronized

• No design or optimization decisions on behalf of users • Use a data modeling tool instead of just UML • Not designed for specific relational database software applications

Data Model

© ACORD 2016

Data and Information Model Differences • Same content, different formats: – Information Model – Unified Modeling Language (UML) – Data Model – IBM InfoSphere Data Architect, Computer Associates ERwin • Different naming conventions

Data Model

© ACORD 2016

• Added keys (big) to Data Model • Discriminators added to resolve inheritance structures

Same Content, Different Format

Data Model

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Same Content, Different Format

Data Model

© ACORD 2016

Same Content, Different Format Primary Key

Naming Conventions

Foreign Key

Discriminator

Data Model

© ACORD 2016

A “Key” Issue… • UML is more free form than a data model • Keys are a big reason why • The model had several “key collisions” between inherited primary keys and related foreign keys with the same name • We needed a way to handle this

Data Model

© ACORD 2016

An Example

Children Foreign Keys

Data Model

© ACORD 2016

Inherited Primary Key

Inherited Primary Key

The Data Model - Status Available formats: • ERwin • HTML • Infosphere • MagicDraw

Data Model

© ACORD 2016

Year

Activity / Donation

ACORD Publication

2009

Publication

v1.0

2010

Publication

v1.2

2010

Publication

v1.3

2010

Begin construction v2.0 based on v2.0 of Information Model

v2.0

20112012

Continue construction v2.x based on v2.x of Information Model

2012

Publication including ERwin and MagicDraw support

v2.3 Draft

2013

Add support for IBM InfoSphere Data Architect

v2.3

2014

Publication

v2.4

2015

Publication

v2.5

Questions?

© ACORD 2016

The ACORD Framework

Service Maps

Component Model

© ACORD 2016

The Component Model

Component Model Vision • • • • • •

Design Framework Technology Neutral Independent Interoperable Reusable Interchangeable Service Maps

Component Model

© ACORD 2016

The Component Model defines a DESIGN FRAMEWORK that allows for the INDEPENDENT development of components that INTEROPERATE to form applications. It uses TECHNOLOGY NEUTRAL interfaces allowing for implementation across development platforms. With this design a single component is REUSABLE across multiple applications and INTERCHANGEABLE with other components.

Component Model as a Framework Facet What a business Wh b i does. Decomposes to Processes & Activities.

Activities deployed as Operations in Services.

What a business uses / generates. Information for/from Activities.

Information f elements are Operation inputs & outputs. Service provides Component Interface.

© ACORD 2016

Components Start with the Capability Model

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Capabilities become Process Components

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Processes Align to Services

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Processes Logically Decompose into Activities

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Activities Become Service Operations ACORD Standard Transactions

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Inputs and Outputs Expressed in Information Model Classes

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Categories of Components Process Components align directly to the business process models (processes and activities)

Information Components provide direct manipulation of the underlying Information Model classes.

Infrastructure Components are bound to a specific environment and provide technical services that every application needs. Phase I– 1Q2013

Phase III

© ACORD 2016

Phase II – 1Q2014

Questions?

© ACORD 2016

The ACORD Framework

An Insurance Enterprise Architecture

conclusion © ACORD 2016

Facets of the ACORD Framework Glossary of terms used by all other facets of the Framework

What insurance companies do

Common interfaces and services definitions for insurance systems © ACORD 2016

The relationships among insurance concepts

Logical persistence model based on the Information Model

UML(ish) View of Framework Facets

© ACORD 2016

Using Framework facets depends on what you are trying to achieve • Framework is not “all or nothing” • Facets can be used individually or not at all • ACORD will use the Framework to better serve members and industry © ACORD 2016

ACORD Framework: Status Overview Year-Month Framework Facet

Release

2008

Business Glossary

v1.0

2012

Business Glossary

v2.3

2007

Capability Model

v1.0

2009-11

Capability Model

v2.0

Capability Model (new content donation)

v2.1

2011 2009-2010

Information Model

v1.0, v1.1, v1.3

2011

Information Model (working group review)

v2.0, v2.1

2012

Information Model (working group review)

v2.2, v2.3

2009-11

Data Model

v1.0

2010

Data Model

v1.2, v1.3

2011-2012

Data Model - initial development

v2.0

2011-2012

Component Model - initial development

v1.0

2013-2015

Information & Data Model / Business Glossary

© ACORD 2016

v2.4, v2.5, v2.6

Join The Effort  Working Groups Participation (member benefit)  Capability Model Working Group  Data Model Working Group  Information Model Working Group  Product Diagramming Working Group  Access to Pre-Release Service Definitions  Influence Initial Release  Impact Priorities  Define the Deliverables  What will aid your development? © ACORD 2016

Questions?

© ACORD 2016

Framework Resources Support: [email protected]

© ACORD 2016

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