Download PwC Insurance EyeOpener Leadership through transformation June 23, 2015

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PwC Insurance EyeOpener
Leadership through transformation
June 23, 2015
Agenda

Introduction

Panel Session
• Disruption and transformation
• The changing need of talent
• A Framework for response

PwC
Q&A
June 23, 2015
2
Panel members
 Moderator
• Claire Cornwall, Partner – Insurance
 Panel members
• Kim Vander Aerschot, Director – Wealth Consulting
• Keegan Iles, Director – Insurance Consulting
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June 23, 2015
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Change isn’t what it used to be
The environment in which executives
have spent most, if not all, of their
careers is changing
40% of people around the world that traditional employment
won’t be around. People will define their own “brands” and skills.
The future of work – A journey to 2022 , PwC
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June 23, 2015
4
We have identified 32 distinct sub-drivers of
change driving transformation
Economic
Social
Customer behaviors
Urbanization
Demographic shifts
– Social networking
– Changing middle class
– Customer expectations
– New family structure
– Risk awareness
– Dependency ratio
– Health
– Aging
Talent drain
New growth opportunities
Fiscal pressure
Inflation/deflation
Risk sharing & transfer
Social security & benefits
Distributor shift
Partnerships
Stakeholder trust
Corporate social responsibility
Political
Technology
Information & analytics
Devices & sensors
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Regulatory reform
Environmental
Geo-political risk
Rise of state-directed
capitalism
Software & applications
Climate change & catastrophes
Medical advances
Terrorism
Sustainability
Tax treatment
Pollution
Sharia compliance (Takaful)
The insurance industry is being affected by four
global mega trends
1. ‘Two-Speed’ Global Growth
Disparate growth potential between the
developed and developing worlds:
• Niche markets & new products in
developed markets
• Growth of new businesses and
traditional opportunities in
developing markets
2
1
• Sophisticated ‘unstructured’ data
capture for real-time insights
• Business affinity groups pool and retain
greater predictable layers of risk
• Decreasing margins and need for greater
distribution efficiencies and effectiveness
• Advanced use of mobile and sensor
devices in more environments
‘Two-Speed’
Global
Growth
Distribution
Disruption
and
Customer
Revolution
2. Distribution Disruption
and Customer Revolution
3. Information Advantage
through ‘Big Data’
• Underwriting talent drain leads to
sophisticated predictive modeling
Information
Advantage
through
‘Big Data’
Evolving
Business
Models
‘Big and
Fast’
• Aligning UW capacity with
complexity
3
4. ‘Big and Fast’ Business
Models
• Customer needs transparency and
speed of fulfillment
• Insurers are responding by developing
speedier, mobile-enabled platforms
4
• Preventative business models
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6
PwC
Transformation Framework
Mega Trends
1
2
DEMOGRAPHIC &
SOCIAL CHANGE
Customer
behaviour
TECHNOLOGICAL
BREAKTHROUGHS
Competition
RAPID
URBANIZATION
Production,
service model
CLIMATE CHANGE &
RESOURCE SCARCITY
Distribution
SHIFT IN GLOBAL
ECONOMIC POWER
Government,
regulations
Disruption Profile
3
MARKET
SCENARIO 1
Purpose
4
PwC
MARKET
SCENARIO 2
Business
model
Operating
model/
capabilities
MARKET
SCENARIO X
HR model
Financial
performance
Transformation Profile
June 23, 2015
8
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Questions?
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Thank you.
Keegan Iles
Director, Consulting & Deals
416 815 5052
[email protected]
Kim Vander Aerschot
Director, Consulting & Deals
416 814 5893
[email protected]
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