The blossoming FinTech movement is a result of several meshing trends and circumstances: (+) availability of information and 24-7 connectivity allows an individual to reach entire world within seconds, (+) growing desire for individuality and self-determination pull high-potentials away from large and settled institutions and (+) gridlocked organisation and micro-step management of established companies that doesn’t allow innovation and (r)evolution. Here come five things that life insurance business in Europe could learn from FinTech movement:
(No. 1) evolution as part of DNA: The need for change and continuous improvement (cp. Japanese «kaizen» concept) should be the impulse for daily business – unless you are crocodiles which live since hundred thousands of years unchanged in their niche. But be careful, regulation, capital markets and customer may destroy your niche and living space within a blink of the eye. It is important to keep in mind, that «it is not the strongest (…) that survive, nor the most intelligent, but the ones most responsive to change» (Charles Darwin). So, don’ be afraid of change!
(No. 2) don’t be afraid of leaving beaten paths: Evolution works because of trial & error. Business works because of trial & error plus instinct plus brain plus venture. Unfortunately, today it is said to be dangerous to leave well-known paths and to fail is a capital sin. Well, but nothing ventured means nothing gained. So, don’t get discouraged by naysayers and bozos!
(No. 3) use technology and cooperate: Opportunities in insurance business are unlimited. Modern technology will help to use these business chances in a smarter and more efficient way – in relation with customers, in relation with (even new) sales channels and in relation to all internal and external processes. Product development could be more interactive and more customer centric than ever. And by the way, you need not to do everything on your own! There are a lot of start-ups with almost unlimited know how, motivation and enthusiasm. So, go for cooperation!
(No. 4) size doesn’t matter: It is neither necessary nor sufficient to be a large company in order to innovate or to be disruptive. There are numerous examples in the past where small companies or individuals have revolutionized entire industry branches. On the other side, a gridlocked organisation is a real innovation killer. So, liberate your organisation and your staff!
(No. 5) make decisions: Change starts with awareness and it is reached via transformation. Transformation is reached by doing. Doing and implementation starts with clear decisions. So, start the change! Decide!