1. business and industrial

How to
drive value
through
your target
operating
model
INSURANCE
kpmg.com/cn/insurance
Does your
target operating
model support
your strategic
objectives? Is it
aligned to your business
model, distribution model
and product lines? Are
your costs increasing faster
than you planned? Does
it take too long to put your
products on the market?
TARGET OPERATING MODEL
VALUE DRIVERS
Strategic realignment of your target operating model (TOM) will
help your business to achieve its objectives and will:
• Ensure a high-level of co-ordination across functions to deliver
your growth strategy
• Identify critical gaps that will enable you to adapt more quickly
to market changes
• Create a step change in the quality of customer service with
an optimal cost structure
• Increase efficiency with process optimisation and automation
• Reduce operational costs, risks and complexity through standardisation
• Enhance ability to drive decisions with a strategic alignment
of reporting and use of analytics
• Retain key skill sets and reduce costs with the creation
of centres of excellence
UNLOCK
VALUE
Based on proven methodology and tools, KPMG’s analysis covers all aspects of
your strategy and its alignment to your operating model:
Business strategy
Operating model design principles
• Specific business objectives
• Services, functions and process
• Distribution strategy
• Organisation structure and governance
• Product strategy
• Technology
• IT strategy
• Sourcing and location
• Operational strategy
• Performance management
• Risk appetite and framework
• People and skills
© 2013 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. © 2013 KPMG Advisory (China) Limited, a wholly foreign owned enterprise in China and a
member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. The KPMG name, logo and “cutting through complexity” are registered trademarks or trademarks of KPMG International.
UNLOCKING VALUE:
KPMG HAS THE KEY
KPMG can review your current business strategy and operating model
alignment, compare it to local and global best practice, identify key
issues and gaps that need to be addressed and help implement the
optimal target operating model (TOM) to support your strategy and
drive the maximum value for your business.
A
B
C
D
Our approach starts with capturing your current strategic
vision and strategic objectives. Using our proprietary tool
built from our global and regional industry experience, we will
assess your current operating environment, and identify issues,
opportunities and dependencies, and review your current and
planned initiatives.
We will then document and analyse your current state
operating model using our templates and tools that will
be adapted to your specific needs. We will compare your
current capabilities and operating model against global
best practice and main industry trends, develop a matrix
of key findings and identify preliminary opportunities.
We will then formulate and document the target
operating model requirements and components
and identify gaps in the current operational model
and infrastructure that need to be addressed.
Finally, KPMG will help you prioritise
improvement opportunities based on the
potential value to your organisation. We will
develop a phased implementation roadmap,
identify quick wins, support you in formulating
business cases, assess your resource and
skill gaps and determine what assistance
you may require to implement the new TOM.
www.kpmg.com/cn/insurance
© 2013 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. © 2013 KPMG Advisory (China) Limited, a wholly foreign owned enterprise in China and a
1
member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. The KPMG name, logo and “cutting through complexity” are registered trademarks or trademarks of KPMG International.
KPMG has extensive
experience in the insurance
industry locally and globally and
has helped many insurers drive
value from their TOM.
Leverage our knowledge of
global best practice and our
tools to identify and implement
value-added initiatives
which support your strategic
objectives.
More from this series
www.kpmg.com/cn/insurance
Optimise
your
distribution
channels
INSURANCE
Leveraging
your
customer
data
kpmg.com/cn/insurance
INSURANCE
kpmg.com/cn/insurance
Optimising
distribution channels
is one of the most
effective ways
to improve the
profitability of any
insurance company.
If you require further
information, or you would like
to arrange a discussion with
KPMG’s Insurance Consulting
leaders, please contact:
Are you extracting
the maximum
value from your
customer data?
What is your share of
your customer’s spend
on insurance?
Have you got the right
strategy, infrastructure,
tools and incentives in
place to drive maximum
value from your distribution
channels and improve top-line
growth and profitability?
Generate
value
from
Finance
It’s time to build the
right customer data
strategy that will drive
optimum value from
your customers.
Making
IT work
to your
advantage
Hong Kong
INSURANCE
kpmg.com/cn/insurance
INSURANCE
kpmg.com/cn/insurance
Many insurers today
are encountering
issues with legacy
systems, spreadsheet
workarounds, complex
system integrations,
long project lead
times, stretched project
management resources
and rising IT costs.
Determining how to leverage
new technology is also a
challenge. Make sure you
The Finance
function plays a
pivotal role in any
insurance organisation
and is subject to
constant pressure
and challenges.
Investment in the right
areas of Finance can allow
you to realise immediate
benefits and generate
significant long-term value
for the organisation.
get the most from your IT.
mark.bain@kpmg.com
+852 2826 7269
Does your
business
need a
check-up?
Mainland China
INSURANCE
antony.compton@kpmg.com
+86 (10) 8508 7026
kpmg.com/cn/insurance
Regulatory changes,
inflexible systems,
manual workarounds,
time to market pressure
for new products and
tight expense budgets
can place great strain on
your business – can your
organisation cope?
The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although
we endeavour to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that
it will continue to be accurate in the future. No one should act upon such information without appropriate professional advice after a thorough examination
of the particular situation.
© 2013 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International
Cooperative (“KPMG International”), a Swiss entity. © 2013 KPMG Advisory (China) Limited, a wholly foreign owned enterprise in China and a member firm
of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.
The KPMG name, logo and “cutting through complexity” are registered trademarks or trademarks of KPMG International. Printed in Hong Kong. February, 2013.