To improve as an insurance brokerage, it’s important to look at the marginal gains
Marginal Gains: The theory that small yet significant improvements can lead to monumental results.
When we speak to insurance brokers about compliance and professional standards, we remind them that most of what the regulator asks firms to do is simply good business practice. A lot of it will be replicated in some form by regulated and non-regulated firms the world over, particularly those with a growth mindset.
Nobody starts the perfect company. It takes time to grow and as you grow you will develop more resources, cash reserves and the skills and knowledge to put in place the necessary framework that will first protect your business, and then help you to grow and become more sustainable.
- Do you have a business plan? Tick
- Do you have regular board meetings? Tick
- Do you train your staff? Tick
- Do you treat your customers fairly and sell them products of value? Tick
- Do you understand and manage data properly? Tick
- Do your staff have the right contracts of employment? Tick
- Do you understand your distribution chain? Tick
- Can you explain your products to your customers so that they understand what they are buying? Tick
- Do you have good finance processes, manage your debtors and creditors properly and maintain adequate cash reserves? Tick
The full list is long, and no-one expects you to be able to do it all.
As your business grows you will be able to tick more boxes, but it will take time. This is why it is so important as a leader to take a step back and identify where you can continue to make marginal gains each year and make the necessary improvements to your business.
Look for the quick wins and the gains that will produce the greatest impact.
The most important thing is that you identify and make the right marginal gains. It is far easier and far more effective than trying to make wholesale changes that will overwhelm you and stop you from doing what you do best.
This is why the Gilchrist Standard is such an effective solution for the senior managers of insurance brokers. The online assessment covers 18 key areas of running your business. Your answers are rated and benchmarked against other brokers to identify what good practice looks like.
Your report will provide you with a list of the key documents and processes that you already have in place and, more importantly, a list of what is missing which you might want to consider implementing into your business to improve your professional standards.
Use this as a guide. Identify the quick wins and plan the marginal gains that you can make to improve your insurance brokerage and mitigate the risks that might lie ahead.
Complete this process annually, and you will be able to evidence the improvements made year on year and show the correlation with business performance and rising standards.
For further information or to sign-up for your self-assessment, please click the button below and complete the contact form.