There are tremendous opportunities for obtaining greater possibilities for insurance agencies that help themselves implement the best practices in their organization. In fact, it is reported that the top 25% of agencies with a revenue earning of $5mn to $10mn have created smart operational features in their agencies and have become 30-50 percent more productive than any average agency with an employee spread of $85,940 Vs $64,752. As such if an agency has 50 employees that would roughly translate $1mn more in profits per annum
Following are the steps an agency is required to abide in order avoid a high rate of failure.
- Firstly, aligning operations to the strategy would comprise of the agency mission and defining what the organization is best at. This would also give a clear indication of being the popular choice for clients. It would also determine the critical factors such as requirements for accomplishing the mission, core capabilities and the future plans of the agency.
- Secondly, aligning the process to the strategy for determining the best ways to achieve the goals. This would imply engaging those who do work to assess where changes have to be incorporated and how to implement standards that line up with the organizational strategy.
- Finally making the strategy happen, finding whether the employees possess the right skills and training to fulfill the roles. It is also essential to know if the metrics are in place so that each of the employee is understanding the contribution they are providing and whether they are exactly hitting the goals or not.
The above metrics are such are very essential for the proper application and execution of smart operations in the insurance organization and to ensure that the agency has the right people doing the right job.