The insurance industry is one that has been slow to adapt to 21^st century approaches especially in the areas of organizational structure and talent management. This is because here unlike in other industries growth is measured on decadal not yearly or quarterly basis. So, a lot of textbook moves when applied are not working out leading to the need for a different strategic response. They must bear in mind that corporate strategy equals company structure. Rapid response is now needed to the external pressures exerted built up over the years. According to a study by PwC’s strategy analysis wing, there exist three kinds of responses to such changes around. One is anticipating them beforehand as MetLife did. Another is those who know the structural changes needed but are yet to execute this. The third is those who have only made minor changes and have compromised on the rest. Effective partnerships or acquisitions could be one of the methods to effect real change. One could even expand into newer product lines or geographical areas. Of course, many resort to simply cost-cutting measures to effect this change.

Source:https://www.strategy-business.com/article/The-Insurance-Industry-Needs-an-Intervention?gko=edb5b&sf192099572=1

Uploaded Date:28 July 2018