Finance Transformation In Financial Services
Source: Deloitte LLP
A large insurance company wanted its finance function to provide strategic analysis and valuable business insights. However, it realized that its finance associates were spending around 75% of their time in transactional activities, which left little or no time for higher-level activities such as risk analysis and statistical modeling. Moreover, the management was not sure that the finance organization had the talent to offer the insights leaders were requesting. This lack of confidence stemmed from the fact that the stakeholders were sending in mixed feedbacks regarding the performance of the finance function. To set things right, the finance function undertook a comprehensive effort to understand what skills it needed to play a more strategic role, identify which of those skills it lacked, and obtain and deploy those skills while effectively managing organizational change. For this, it took assistance from Deloitte, world's leading outsourced business management and consulting services provider. Deloitte helped the company in developing a detailed competency model that described the skills and competencies the finance function needed to meet management's performance expectations. This proved beneficial as finance employees are now evaluated against specific finance competencies, improving the organization's ability to accurately assess finance employee performance. Overall, Deloitte helped the company to bring in a proper match among the finance organization's people, skills, and roles. Consequently, the finance organization now has the ability to deliver strategic business analyses to corporate executives. This transformation has also resulted in improved recruiting, performance management, career development, training, and succession planning processes.