Swiss Insurance Geneva Office Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

Swiss Insurance Geneva Office Case Solution

Performance Analysis of Branch Geneva:

The financial summary of Geneva indicates that the company’s net profitability is in declining trend and in addition the company made loss in first two quarters of 2013. Although the new polices underwritten by the company is increasing but the higher commission and operational expenses reduces the return for the shareholders.

The main reason for the less profitability is that there is less growth in renewal of policies. In addition the Branch Geneva faces the depressed growth in new endorsement which leads to fewer turnovers. The case indicates that the competitors of the company in the same territory increased their revenue, this proof that the company fails in its core objective which in the enhancement of revenue.

The strategy following by the company is not generating the reasonable return for its shareholders. The delays in renewals of insurance policies lead to reduced potential revenue which can be generated by the company. This determines that the company is weak operations as the renewal of policies should be at the time when the old polices are near to end.

The appropriate reminder system should be implemented by the company in order to address this problem. The delays in renewal of policies create the volatility in cash flows of the company which in turn raise working capital issues. Due to sudden decrease in the cash flows, the company unable to meets its short term financial commitments therefore the company has to enhance its external financing for better financial performance.

The turnaround time determines that how much time the company will take to fulfill the single request by the intended user. The turnaround time of the company is increased from three days to five days which indicates that the operations of the company not running effectively. The inefficient operation leads to inadequacy such as backlog, delay etc.

The operational inefficiency in the branch of Geneva results in reduction in financial performance. In addition operational inefficiency reduces the morale and motivation of the employees and agents which leads to less economic benefit for the company. Although the industry of insurance became more competitive but the branch Geneva should follow the standard operating procedure and provide the best services to its customers.

The branch unable to motivates the new agents and in addition fails to retain the existing agents. The agents advise their clients for better insurance policy on the basis of better services and rapid issuance of final policy. The poor services and late issuance of the policy undermines the performance of the company as compare to its competitors.

The lean Insurance which is the main competitor of the Swiss Insurance is offering new policy in a single working day which indicates that there operations are quite good. On the same time the Branch Geneva is offering new service in around 8 days. The longer and difficult request of policy for the customers de-motivates them and in addition the customer will switch its issuer from one to another that reduces the prospective revenue to the firm.

Causes of the Problems:

The Branch of Geneva is facing serious operational issues which lead to weak financial performance of the company. In order to compete efficiently with its competitors the company has to manage its problems through formulation of appropriate policies and strategies. Various problems are faced by the company.

Numerous complaints are received by the company which mainly includes the late renewal percentage of the branch. The late renewal reduces the potential revenue of the company. And this is caused due to the inefficient operations. There is in no system in place which provides the signal that the policy term is near to maturity and the company has to renew the policy.

In addition the customer satisfaction level of the company is very low due to the delays and late in policy providence. As the services provided by the company is not fulfills the customers’ demands. The branch has in appropriate policies to execute the operations in favor for the customers.

Swiss Insurance Geneva Office Harvard Case Solution & Analysis

The senior management of the Branch Geneva indicating the ineffective role as the management fails to create and maintain better standard operating procedure and in addition the regular review of the operational effectiveness of the company. The company has higher turnaround time which increases the policy processing time that in turn decreases the customer satisfaction.............

This is just a sample partial case solution. Please place the order on the website to order your own originally done case solution