Insurance companies today are all targeting profitable growth. There’s a buzz in the marketplace that one can shoot in any direction and hit their target. It’s not that easy, however, because real growth opportunities are not everywhere.Executive SummaryStrategic growth calls for deliberate movements rather than rushed reactions in pursuit of shiny objects, write consultants for The Nolan Company. Here, they review organizational personalities that determine growth motives, review pitfalls to avoid—like ignoring internal and external barriers—and offer recommendations to limit the downsides of growth strategies.
If hitting a target only involved aim, every company would be hitting the mark. The fact is, most aren’t. Why? Insurers that want to achieve profitable growth must factor multiple variables into their strategy.
For insurers, several key levers control growth. These include products, analytics, distribution, new markets and resources. As a member of a consulting firm that has long advised insurance organizations, our experience suggests growth goals also require balance, alignment, integration and accurate interpretation of both internal and external conditions. It’s a bit like lining up the shot, getting into a stable position and knowing which direction the wind is blowing. Strategic growth calls for deliberate movements, not rushed reactions.