Risk
Financial institutions - insurance

 

ASATS Case Study: Financial Institutions - Insurance


Leading insurance provider seeks organization transformation following a business model shift and merger. Client partnered with Aon for assistance with organization design and alignment with new business model and strategy for one of its largest entities (>US$ 9bn).

The client is one of the premier insurance providers globally with operations in over 50 countries. The client has undergone a raft of changes over the past 10 years with a number of changes across the portfolio of businesses. The company is looking to streamline operations in the region and is also undergoing an enterprise wide manpower rationalization. Concurrent work was underway on strategy and operating model redefinition. New leadership team brought in for strategic transformation – large scale team has been deputed or hired recently to align with the new strategic vision for the business. The client released an RFP for assistance on the organization transformation of one of its largest global entities ( > US$ 9bn) and invited 7 strategy and human capital consultants from which Aon was finally selected.

Aon worked closely with the Japan leadership team and the Asia Pacific regional leadership to help articulate the strategy and define the new operating model for the new merged entity. Based on this new strategy and current state assessment Aon then defined the design principles , frameworks and the organization structure down to the lowest level of the hierarchy across all functions including HR. Using this organization structure the team also identified areas of improvement across the regional structure. The next phase of the assignment was to build a manpower plan for the new company for a period of 5 years. As a critical element to facilitate the change – 3000 managers across all levels were also assessed to identify suitable leaders in the new organization. New job descriptions (JDs) were also defined for all the new roles in the org structure.

Due to our involvement in the project Aon was awarded several extensions to extend their work to the larger organization in Japan beyond the two merging entities. The client was able to identify a number of different areas where organization effectiveness could drive significant client value with increased efficiency. The client is on the way to realizing almost a 10% reduction in overall employee cost. Some of the models created by Aon Hewitt for the Japan entity have now been exported to other geographies to drive the same efficiencies in other regions.