Agile Transformation in Insurance
Horn & Company supports you in your agile transformation - from strategic objectives to operationalization and implementation.
Implementing agile transformation effectively - pragmatic solutions instead of dogmatic castles in the air
In order to remain fit for the future, insurers are embarking on an agile transformation of their business model and organization. In various consulting projects, we support our clients in finding and implementing the right target vision for them. The market and competitive environment is forcing insurers to transform their business model. The aim is to evolve from a singular product and service provider to a relevant “enabler” of customer experiences. However, traditional procedures and structures can no longer meet the requirements of customer focus, speed and flexibility. The definition of agile transformation offers an attractive value proposition. Insurers have therefore launched various agilization initiatives in recent years. But why have they often not yet had the desired effect? Development into an agile organization is typically an evolutionary process. Many insurers start by establishing the first elements of agile leadership and collaboration. The focus here is particularly on changing management roles and tools as well as modern working methods and management. In the next step, individual projects are carried out in (partially) agile form and then scaled up. In this way, more and more project employees work in an agile context. By establishing an agile change and delivery organization, agilization is also manifested in the organizational structure. In some cases, other areas of the insurer are also looking for ways to set up agile teams - whether virtual or structurally anchored. In our experience, it is important in all these steps that agility is neither seen as an end in itself nor as acting in a planning-free space. A clear vision provides orientation and a framework for the roadmap of implementation steps. Skilful agile change management takes the organization along with it and cuts the change into digestible stages. An end-to-end perspective breaks down functional silos and consistently places the customer at the center of action. Suitable performance indicators and KPIs create quantitative transparency regarding the achievement of objectives and the specific value contribution. In this way, agile transformation not only improves the results of IT departments and projects, but can also deliver tangible added value in operations, sales and staff units. It is important that the change is not imposed from above, but is shaped by the employees themselves. In this way, the new mindset can be sustainably anchored in the organization. At the same time, it is important to create demonstrable success stories at an early stage and to use these to communicate them. As a modern top management consultancy, we support insurers on their path to transformation. Together, we create groundbreaking and realistic target images. In doing so, we consciously take into account the respective starting situation and individual specifics of the company. In our experience, it is not very effective to impose a “standard 0815 model” on an organization. At the same time, it is in our DNA to involve the organization and its employees in the change process. Broad, early involvement creates acceptance and commitment. Project employees become targeted multipliers for the organization. This also makes it possible to scale the agile transformation across the entire company. Horn & Company framework for determining the position of agilization in insurance companies
Our experts for successful agile transformation
Selected references of agile transformation Projects
Agile Sales and Marketing
Challenge
Our client's initial situation was characterized by a pronounced hierarchy and a strong silo mentality in the various sales and marketing departments. Everyone involved was suffering from time-consuming coordination loops, the slow speed and disproportionately long time-to-market of new sales and marketing ideas. Customer, agent and employee satisfaction were suffering noticeably as a result. The Management Board decided to tackle the agile transformation of sales and marketing with external support.
Solution approach
Based on a comprehensive analysis of internal and external factors, we developed a (medium-term) target vision together with a team of managers and employees. We formed agile teams to operationalize the specific fields of action. This allowed employees to practice the desired agilization using sprint logic, team backlogs, stand-ups, etc. while working on the project. For future work, we established two ways of working depending on the complexity of the topic: the agile way of working for complex, project-related topics and the procedural way of working for line tasks in day-to-day business. With the right set of methods and tools at hand, the first pilots were set up immediately. At the same time, we developed a new management and collaboration model together with the client team. In addition to the “cultural change”, the focus was on adapted management roles and tools, new formats for exchange and knowledge management as well as a further developed target agreement logic. Following successful implementation, the sales and marketing units are now considered a prototype for agile transformation and a blueprint for other units in the company.
Agile Transformation Customer Service / Operations
Challenge
| Our client's customer service/operations units were organized in the traditional way: strictly hierarchical management structures, organized according to rigid contract number assignment with hard interfaces and little flexible load balancing. At the same time, employee motivation and satisfaction were low following various optimization and cost-cutting projects. This, together with the sometimes unsatisfactory adherence to agreed service levels, was also reflected in the satisfaction of customers and brokers. |
Solution approach
| The project brief was the agile transformation of operations. It quickly became apparent that the “squads and tribes” approach would not lead to success in this context. Nevertheless, core elements of the “agile world” could also be transferred here: a clear focus on customer concerns and benefits, more decentralized responsibility and stronger networking between those involved. Together with the client's employees, we developed agile design principles for the future set-up in agile teams. These formed the basis for the design of “customer experience teams” with the aim of providing the best possible, cross-channel end-to-end support for customers at the “moment of truth”. At the same time, there was close integration with the company's already established delivery organization. New employee roles, management tools and processes were rolled out as part of an extensive change and communication program. After a certain settling-in phase, it became clear that the efforts had paid off - for customers, brokers and employees. |