The recent Best Practice Study indicated that CEOs at 282 of the Best Practices agencies believe that a strategic human capital structure is the most crucial factor in remaining privately held. This insight may prompt you to imagine things like HR, payroll, benefits, or regulations. But “strategic human capital structure” actually means one simple thing. People.
It’s not surprising to assume that the most valuable resource for any agency or broker is its people. Without people, the firm would not exist. But the amount of effort it takes to retain, hire, and develop talent proves challenging in any industry. Especially, within insurance.
To implement a strategic human capital structure, firms must make HR central to hiring, training, developing, and keeping the individuals needed to make the business not only function but thrive. Even if a full-time resource is not available to assist each of these efforts, agencies that wish to grow and remain privately held should integrate these components into operations in some capacity.
So how can the insurance industry accomplish this from a practical perspective? By becoming people focused.
Here are five ways your firm can strengthen its focus on people:
1.) Make people your ultimate strategic objective.
Simply said, all other projects should come second to finding, developing, and keeping the finest employees.
2.) Include an HR Leader in your Leadership Team.
This is a vital person responsible for leading and being held accountable for implementing your people strategy. Not someone who handles payroll and benefits.
3.) Include HR in daily activities.
Have them engage with operational and sales leaders regularly to address issues and expand the company. Don’t burden them with operations, regulations, and procedures
4.) Hire a full-time recruiter or talent acquisition officer.
Given the significance of talent acquisition and development, many businesses (especially bigger ones) may want to hire specialized individuals rather than outsource this work.
5.) Launch learning and development initiatives.
These initiatives are required to ensure that new hires receive the necessary training and, more crucially, to give current team members the chance to develop their skill sets and assume additional responsibility.