There are two high-level motivators in the case for actuarial transformation. First, there is insurance profitability. Insurance profitability has its roots in actuarial precision and efficiency. Insurers stand to lose profits (and reserves) if they do not properly understand risk and price it accordingly. Actuarial precision (and profitability) can be dramatically improved through better data management and the right technology tools. An insurer’s actuaries may be doing everything “right,” but they are hindered by their inability to tap into a well-organized warehouse of recent data that has been cleaned and structured. Second, there is actuarial expertise. Actuaries are trained to thrive on insurance’s unique mathematical challenges, but they commonly find themselves saddled with the mundane motions of finding the right data, reconciling the data and manually updating reports, spreadsheets and databases. For those actuaries who are wondering, “What is there left to be done that I haven’t done before?”— today’s actuarial responsibilities may give them a higher level of enterprise-wide value. Most insurers aren’t tapping deeply enough into their actuaries’ capabilities and expertise. Expanding their roles can happen once an insurer has reduced their manual processes. So, why do some insurers continue to postpone efforts that will make better use of their actuaries while giving their business increased precision and profitability? It may be that insurers DO know many of the benefits, but they don’t understand them well enough to make them a priority. See also: So What Is the Actuarial Value Of My Health Benefit Plan?   If insurance profitability and better use of actuarial expertise aren’t enough to push insurers into actuarial transformation, there is a relevant third dimension to actuarial need — actuarial speed. Faster actuarial answers are needed to meet the growing demand for quick product development, testing and rollout. But faster answers won’t work if they can’t be based on the best and most recent data available. Data integrity and quality are crucial to any modernization. Striking actuarial gold at the end of data rainbow The answer to accelerating actuarial processes is to begin by acknowledging that the insurer’s data house may not be in order. Starting from there, a program of process discovery, simplification and modern tool implementation will bring insurers into the proper actuarial realm to meet today’s business needs. In July 2016, Majesco released a white paper titled, Accelerating Actuarial Processes, that outlines some of the steps insurers need to take to create real actuarial innovations. Without going into the deep detail given in the paper, we can discuss what some of those steps are and how well they fit within an overall strategy for competitive preparedness. Evaluation An evaluation of the actuarial environment is deep because there are many facets of the current process to consider. Where does actuarial data come from? What tools are used, if any? What manual processes exist? Roles and functions need to be outlined. In some cases, observation or recording may be needed to grasp how long tasks take and where inefficiencies lie. It is important to recognize the value in this step. To create solutions that “fit like a glove,” insurers need to know both what they have now and where they would like to be when the process is over. Evaluation is also where the excitement begins to build for all of the opportunities in actuarial transformation. Data Architecture The core of a technology-based solution to actuarial modernization will be a unified data architecture that will improve reporting, collection and manipulation of data. The data will need to come from varied sources: the policy administration system, claims, reinsurance and other systems. But added to those core insurance systems will be the ability to accept data from all entry points, including external data sources. From various APIs to the Internet of Things and connected people, cars, homes and businesses — actuaries will develop a thirst for using the most up-to-date, relevant data. To meet the need, insurers will need to define standards and formats while building a framework for analysis that is easy to use. It is worth mentioning that the updated data architecture will bring value and relief to the entire organization…not just actuaries. The full range of benefits will start to be uncovered during evaluation, but they will continue to be found long after transformation is complete. Organizational Alignment The speed of actuarial processes is not merely a goal unto itself, but it is a contributor to interdependent strategic goals for the business. Actuarial transformation’s success will be measured against its support for meeting those strategic needs. Throughout all measurement, planning and implementation, it is important to keep business impact at the forefront of conversations and decisions. See also: Data and Analytics in P&C Insurance   Accelerating actuarial processes is really a win-win-win for actuaries, the business and an insurer’s data management program. As the company gains precision in risk and pricing, along with faster decisions that will support the business, actuaries themselves are able to open new doors of opportunity to provide impact and value throughout the enterprise.

Have you heard of the recent shopping trend, that consumers want experiences, not products or things? That’s been the inclination the last few years, and I bet it can even be translated to the insurance world. So whether your consumers are buying a service or a product, make sure the consumer experience is the one they want. The customer experience is a funnel. Think about the entire experience consumers have with you and the many touch-points along the way. There’s the experience they have visiting or shopping on your website, opening or reading emails and content, as well as any phone calls or in-person communication. All of these points of contact help form the consumer experience. Aim to optimize each stage of the funnel individually and make each touch-point as seamless as possible. Strive for consistency and ease of use. How do you go about doing that? Two main methods are personalization and data analytics. Personalization Is Key Personalization is essential to a quality customer experience. Use the information you already know about your consumers to personalize each stage of the funnel. This will show consumers how attentive you are and improve their overall experience. You may also be able to personalize touch-points based on the context of location or other known aspects of life. See also: Checklist for Improving Consumer Experience   For example, an email may refer to the coming harsh winter season in the consumer’s state and then offer advice on additional home or auto insurance options. A phone call may refer to the last time the consumer called, or the conversation may end with a mention of a coming event largely talked about in the consumer’s city. Your website can be personalized to “welcome back, (consumer’s name)” whenever they log in or visit, or a form can be pre-filled with the type of car the consumer previously entered. Additionally, if you hold local events, your consumers may receive personalized mail or email about the ones located near them. There are endless personalization opportunities to take advantage of that will help improve the overall consumer experience. Leverage the information you already have to make the consumer experience easier. You can also use data analytics to measure the success of the changes. Data and Advanced Analytics Use data and advanced analytics to measure and identify opportunities for improving the customer experience. One optimal method is to use A/B testing. With this method, you can test a change against a control group to measure whether the change had more successful results. This can be used to measure the success of personalization changes or for testing other opportunities. To determine testing ideas, take a step back and consider the consumer’s motives and needs. What are they looking for? What would be better for them—a more seamless online to offline transition, a different colored button, a two-page form instead of three? How can you make the consumer’s life easier? Whether you’re at an agency writing policies, working at an insurtech startup or delivering leads, set improvement priorities. Understand the company’s current consumer experience and then identify opportunities for positive change. Don’t rush to implement these identified opportunities, but do rush to test them. While ideas are great, turning them into assumptions is not. You may be surprised by how one individual’s assumption or way of thinking does not match up when you look at a total set of individuals. Don’t deploy any widespread changes without first testing the ideas on a reasonably small scale, and then on a larger scale. If the results aren’t successful, move onto a new set of ideas to A/B test. As time goes on, and technology and devices evolve, there will be a near infinite amount of improvements to make. You may find that consumers respond better to a different color form that improves their overall experience as they get in touch with an agent. Or they may open emails more often if the headline language is four words instead of eight. Different language in an email may lead to better results. Look at key data points such as the conversion rate onsite and click-through rate for emails to determine if that is the case. Once results are analyzed and changes are implemented, repeat the process and continue to optimize the consumer insurance experience. See also: Want to Enhance Your Customer Experience?   In addition to A/B testing, you can also streamline consumer data so that a customer will never have to answer the same question twice. The information will already be in one place. This will improve ease-of-use for your consumers so that they won’t have to repeat an answer that they’ve filled already filled out online or through the mail. Integrate systems to share data efficiently and securely to improve the customer experience whenever possible. The Key to Success The key to success is not a one-time adjustment to improve the customer experience. You need continuous updates and regular changes. EverQuote receives more than 5 million unique visitors per month. That means, based on the data, touch-points of the consumer experience may change month to month. Optimizing the consumer experience continuously and for the majority benefits us. Improving the consumer experience is a focus everyone in the company should know about, and all of the personalization and data analysis should naturally complement your other business practices. You may be surprised by how the profit follows. Bottom line: The center of success will always be the consumer experience. Everything else revolves around that.

I am so excited to participate in the InsureTech Connect 2016 Conference taking place in Las Vegas this week. If you haven't picked up your tickets yet, do so. It's going to be a blast! I am also honored to be speaking at the conference, alongside amazing entrepreneurs like Jacob Brody of Helpful Networks, Isaac Oates Founder of Justworks and Jeff Oberstein, chief customer officer and head of science, Global Consumer Insurance at AIG. I'm actually a little nervous. Our discussion on Wednesday, Oct. 5, is titled "Sharing Economy's Impact on the Insurance Ecosystem." We will attempt to unpack the implications of the rise of the sharing economy for the insurance industry, and how it's changing the nature of work, and workers. In this vein, I want to pave the road slightly with a few key insights that will help frame our discussion. The sharing economy has been termed many things over the years: gig economy, freelance economy, circular economy, collaborative consumption, and most recently "digital matching firms" by the federal government. No matter what you term it, this new industry has changed how we consume, much like insurtech has disrupted the traditional insurance industry. How products and services are delivered is changing before our eyes. And this is a good thing. See also: 8 Exemplars of Insurtech Innovation   To better situate our thinking for InsureTech Connect 2016, here are nine impressive facts about the rise of online marketplaces, something we now term the sharing economy. 1. PricewaterhouseCoopers predicts that the sharing economy will grow to a $335 billion industry by 2025. In 2013, this industry was valued at $15 billion. Why it matters: We are in the midst of a transformation. 2. In 2013 alone, it was estimated that revenue passing through the sharing economy into people’s wallets was more than $3.5 billion. Why it matters: Can you imagine what that number is now? The sharing economy is becoming a new employment marketplace faster than we may think. 3. Airbnb has hosted 60 million guests since its founding and now has two million properties listed. This is almost double the hotel rooms currently owned by the largest hotel chain, Starwood-Marriott, which has 1.1 million rooms. Why it matters: Airbnb was founded in 2008. So, in eight years, Airbnb has more than overtaken the largest hotel chain in the amount of rooms available. This is disruption 2.0. 4. Sharing economy work is overwhelmingly part-time. Consider that the vast majority of Uber drivers work less than 30 hours a week, with 66% saying they have no set hours. Further, the average Airbnb host rents out her property for 33 nights a year. Why it matters: This is hardly full-time employment. It's exactly what we see at WeGoLook; people are leveraging our platform to supplement income through flexible part-time work. It's patchwork employment, and this is good because it gives people options and employment flexibility. 5. According to Time, 44% of U.S. adults have participated in the sharing economy in some fashion. The same study found that 22% of Americans have sold services in the sharing economy. And, the vast majority of those who offered services in the sharing economy described their experience as a positive one. Why it matters: Americans are using and selling in the sharing economy. Simple as that. 6. According to JP Morgan, working in the sharing economy boosts incomes by 15%. For Airbnb hosts, on average, JP Morgan found that sellers earn an extra $314 a month, or $533 for Uber and TaskRabbit. Why it matters: People are actually earning decent supplemental income, and they love it. 7. Although millennials use the sharing economy more than other demographics, we cannot forget about the Baby Boomers. According to research by Emergent, 18% of workers in the sharing economy are 55+. This study concludes that “the number of older Americans seeking this type of work will likely continue to grow.” Why it matters: We all think of innovative technology and equate it with millennials, but Baby Boomers are right in there as well and will require new tools as they retire and age. 8. There are currently 50 million freelancers, or gig workers, in the U.S. By 2020, 50% of the US workforce is expected to be a freelancer. Why it matters: We are moving to a freelancer workforce. People are craving flexibility and are willing to trade the certainty of a 9-to-5 job with benefits and pension, for the freedom of freelance and gig work. At WeGoLook alone, we've seen our gig workforce grow from zero to now more than 27,000 in just seven years. See also: How to Insure the Sharing Economy   9. The sharing economy makes people happy by making their lives affordable. For instance, 86% of respondents from a recent PwC survey agree that the sharing economy makes their lives more affordable. Why it matters: There's a reason people are gravitating toward access over ownership. It makes their lives easier, more affordable, and offers them income generation opportunities with almost zero startup costs. So, how will the insurance industry adapt to the sharing economy and growing disruption of the insurtech revolution? You'll have to meet me in Vegas to find out.

How well do insurers know their customers? Consider Maria, a 30-something woman living in a large city with her fiancé and his two children. Their household income is between $50,000 and $75,000, and they own one vehicle and a three-bedroom townhouse. Historically, this could have been enough information for an insurer to provide adequate customer service. However, digital disruption has changed many customers’ expectations and how they interact with service providers. Maria and her family would likely respond more favorably to an insurer that knows that her route to work is less dangerous than the average commute, that she is a safe driver who rarely speeds and that the family never leaves the house without setting the alarm. See also: The Case for Personalization   Accenture research found that 77% of customers are willing to provide usage and behavior data in exchange for lower premiums, quicker claims settlement or tailored coverage recommendations. Watch this Insurance Insight of the Week video to learn why it is imperative for insurers to offer a personalized experience. Five stages to offering more personalized insurance experiences Leading insurers are beginning to take this approach to deliver more personalized insurance experiences. One major insurer is combining customer profiles, transaction histories and social media data to generate a personalized experience via mobile app. Another is leveraging customer data to create customer microsegments to fine-tune customer retention and cross-selling campaigns. This much is clear: Existing and emerging digital capabilities will only bolster the push to personalization, and insurers cannot afford to ignore the opportunities provided by personalized services. Learn more:

• Download Satisfy the Craving for Insurance Personalization: Delivering highly relevant, omni-channel customer experiences (PDF).
• View other Insurance Insight of the Week videos.
• Email me to discuss how Accenture can help insurers successfully progress through these five stages of personalization and agility.

Perceptions about conflicts of interest in the insurance industry frequently damage reputations. Profiling clients’ risks before recommending insurance reduces conflict-of-interest perceptions surrounding issues like sales commissions, over-/under-insurance and inappropriate/inadequate insurance. Risk profiling can improve the insurance industry’s reputation, letting insurance professionals:

• Engage with clients as trusted risk advisers rather than insurance product sellers.
• Demonstrate more intelligent matching of risks and insurance.
• Tailor the insurance product to specifically identified risks.
• Provide greater clarity on both uninsured and insured risks.
• Reduce under- (and non-) insurance through greater focus on higher risks.
• Ensure that insurance products are offered for the highest risks and that premiums are spent on areas of highest risk accordingly.
• Eliminate perceptions of over-insurance by using risk matching.
• Identify client risk management controls, thereby assisting insurance underwriting.

The inclusion in risk profiles of independent risk benchmarking for specific industries and multiple risk areas also assists in ameliorating perceptions of conflict of interest. Independent benchmarking provides quantifiable and empirical guidance that is not aligned to an insurance adviser’s commercial self-interest. See also: Digital Risk Profiling Transforms Insurance Until now, in the absence of conveniently accessible  benchmarking, hundreds of thousands of advisers have typically found risk profiling to be a time-consuming manual process. For this reason primarily, the use of risk profiling for commercial insurance buyers globally has been very limited and sporadic. The Risk Advisor digital risk library of 160,000 exposures and controls and 6,000 benchmarks, for 600 industries and 60 risk areas has been built to make risk profiling easy for insurance advisers and their clients. Risk profiling can improve insurance adviser reputations, and it can reduce compliance breaches and negligence. All of the outcomes from risk profiling contribute to enhanced reputations and help achieve regulatory compliance. An Economist survey highlighted that these are the greatest areas of concern across many industries, not just the insurance industry. LRN  (lrn.com ), which has E&C (reputation risk) training for more than 25 million employees of organizations globally, does annual surveys that suggest that conflicts of interest are a major area of reputation risk concern across a  wide range of predominantly U.S. companies, industries and business sectors, as shown below. The digital technology era presents a wonderful opportunity for the insurance industry to elevate its reputation, which has heretofore been hurt, often unfairly. The insurance industry pays billions of claims every year, and insurance advisers play an invaluable role in the sustainability of business through risk protection. See also: Customers’ Digital Expectations As longtime practitioners in the international risk and insurance sector, the Risk Advisor team members are excited about the opportunity for digital risk profiling to support the insurance industry and its dedicated professionals in getting the great reputations they deserve.

The recent vote for Brexit will by no means destroy the U.K. insurance industry – if managed properly, the industry can emerge more resilient and competitive than ever. While insurers in the U.K. proceed with caution as they prepare for the country’s exit from the European Union, we at EY see this “Brexit moment” as an opportunity to foster innovation and transformations in the industry. See also: Thoughts on Insurance After Brexit   Insurers agree that Brexit does present a number of challenges, including instability and legal uncertainty that may arise from a delayed exit. However, we believe that with diligence and imagination, the U.K. insurance industry can use Brexit to secure its future and maintain preeminence as a leader by:

• Investing in developing expertise in emerging areas such as big data and the Internet of Things
• Creating attractive product lines that stand out from potential rivals in Europe
• Developing services and products that will be attractive to growing regions beyond the EU

The industry should use the opportunities created by the Brexit vote to help London remain the best place in the world to conduct business and take steps to make London insurers the most innovative and customer-focused. For more information, read EY’s new report.

American adults working full time spend an average of 47 hours per week at their workplace (Gallup 2013). For those dealing with a mental health issue or thoughts of suicide, employers have an important opportunity to create safeguards to protect those who may be at risk. There are many reasons why an employee may keep concerns about his or her mental health private. Stigma, fear of losing one’s job, and lack of awareness can prevent an individual from seeking help. It can also prevent someone who is concerned about a co-worker from reaching out when they may be needed most. Research shows that 70% of those who die by suicide tell someone or give warning signs before taking their own life. Coworkers see each other every day and are more apt to notice changes in mood and behavior. For this reason, they play a key role in identifying potential suicide risk and mental health crises in their peers. See also: Blueprint for Suicide Prevention   Mental health education and awareness programs can help to create an environment where employees feel comfortable reaching out for help and should be a primary component of workplace wellness initiatives. Employers can implement the following strategies that not only connect their employees with help but also promote a culture of mental health awareness: Health Promotion Health promotion programs enable employees to take action to better their health. While employers often use health promotion to encourage physical health changes, employers can use health promotion to discuss mental health issues and encourage a culture of employee engagement and connection, as well. National Depression Screening Day, held on Oct. 6 this year, raises awareness for depression and related mood and anxiety disorders. The annual campaign provides employers with an opportunity to start the conversation with employees about mental health. Online Screenings Anonymous online screenings are a proven way to reach those in need and help direct them to appropriate assistance. Employees can take a screening to determine if the symptoms they are experiencing are consistent with a mental health disorder (i.e., depression, generalized anxiety disorder, bipolar disorder, post-traumatic stress disorder, an eating disorder or a substance use disorder). Upon completion of a screening, employees are provided with immediate results and linked back to employee assistance program or local community resources. If your organization does not currently have an online screening program, a more general anonymous screening can be taken here. Suicide Prevention Awareness The Centers for Disease Control and Prevention recently released data showing a 24% increase on average of suicide rates from 1999 to 2014. It is critical that employees learn how to talk with someone about mental health, understand how to recognize warning signs of suicide and know the actions to take to get themselves or a coworker the help they need. The National Action Alliance for Suicide Prevention’s Workplace Task Force champions suicide prevention as a national priority and cultivates effective programming and resources within the workplace. The task force provides support for employers and motivates them to implement a comprehensive, public health approach to suicide prevention, intervention and "postvention" in the workplace. Programs like the Workplace Task Force are important sources of knowledge and assistance for employers. See also: 6 Things to Do to Prevent Suicides   Employers can provide resources such as Stop a Suicide Today, which educates individuals about the warning signs of suicide and steps to take if they are concerned about a coworker or loved one. There are also other lifesaving resources, like the National Suicide Prevention Lifeline (1-800-273-TALK (8255)). The World Health Organization estimates that depression will be the second leading cause of disability by 2020. Employers have the option to act as catalysts for early detection and prevention when it comes to mental health disorders and suicide, which can lead to improved quality of life for individuals, as well as for the organization itself.

I hope the Wells Fargo scam is causing boards, executives and practitioners everywhere to pause and reflect: Could something like this happen to us? If it can happen at a great institution like Wells Fargo, it can probably happen anywhere. In a couple of posts, I have shared questions that should have been asked and that should drive similar questions at other companies. For instance, why did management set incentive goals that didn't appear to be aligned with driving revenue or earnings? What led to the failure of the controls that were designed to ensure that customers approved the opening of accounts in their name? Why didn't customer complaints lead to identification of the problem? Why was the problem allowed to continue for at least five years? Did management have any idea that the culture of the organization would permit such a pervasive scheme? What was the role of internal audit, of the compliance officer, of whistleblower provisions and of risk management? In a podcast with MIS Training Institute (which I recommend), I made another point. I think this is critical for everybody to understand. I said that when people feel they are able to get away with a minor fraud, they will do something else. The level of fraud may start small, but it almost always increases. I asked what else has been happening at Wells Fargo. ********** The public reaction by the Wells Fargo CEO, John Stumpf, included an observation that the scam only involved at any time about 1,000 people of the 100,000 in the branch network. Let's set aside the fact that 5,300 people were fired over a period of five years and that this number does not count anybody who was less severely disciplined or not caught. Let's set aside the fact that 1,000 people fired in each of the last five years reflects a continuing failure and, to me, indicates a breakdown rather than a one-time failure in controls. The point is that he seems to believe that this is a small level of incidence, almost (in my words) an acceptable level of risk. See also: Bridezilla and Workers’ Comp Fraud   I am drawn to agree that this is a low level of failure. I'm not sure it is so low that it would be acceptable. Let's talk reality. While it looks and sounds good to say that an organization has zero tolerance for fraud, corruption and a failure to comply with laws and regulations, that zero level is just about impossible to achieve. You would need somebody looking over everybody's shoulder all the time to ensure that no inappropriate activity was happening, and somebody looking over that person's shoulder to make sure they were watching properly. All you can do is have what a prudent person would believe is a reasonable level of control, given the risk of fraud. According to studies by the Association of Certified Fraud Examiners, the typical company loses about 6% of its annual revenue to fraud. That number includes theft of time, personal use of the company's laptop and so on. Is that an acceptable level? Maybe it is; maybe it isn't. You decide for your company — and consider the cost of reducing the fraud risk. Is the cost greater than any reduction in fraud risk? The same goes for compliance issues or the activity reported at Wells Fargo. Was a reasonable level of control in place? Could controls have been improved to reduce the risk without incurring substantial cost? I suspect the answer is yes, but we don't know enough of the facts yet. ********** Let's also consider other forms of fraud, abuse and corruption. Are these acceptable practices, or are they another form of fraud?

• The CEO of a multibillion-dollar company approves the funding of a charity of which his wife is the chair. There is no clear benefit to the company, no link to its operations.
• In response to falling revenue and profits, the CEO of another company lays off about 10% of the workforce. The board awards him a $1 million bonus for completing the reduction in force. At the same time, the CEO spends $1 million to renovate the executive suite of offices.
• A senior manager in IT refuses to provide support for the implementation of a disaster recovery plan because it is not included in his personal objectives.
• The vice president of procurement for Malaysia refuses to follow instructions from the executive vice president (EVP) of procurement (to whom she does not report) and adhere to global contracts with major vendors negotiated by that EVP. Instead, she negotiates successfully with the local subsidiaries of those vendors. While she obtains better prices for Malaysia (for which she and her boss, the president of that region, are rewarded) she puts the corporate contract in serious jeopardy.
• A senior executive decides to hire a friend.
• The chairman puts pressure on the company to select as a director an individual whom he knows will vote his way rather than searching for a director who will add critical expertise.

All of these are situations where, in my view, individuals put their personal interests ahead of those of the enterprise as a whole. They act in a way that brings them rewards but that hurts the company as a whole. See also: How Bad Is Insurance Fraud Really? While technically they have not stolen and have not broken any laws, they have acted inappropriately. I will let you decide what to call their behavior. But let's be honest: Self-dealing is ripe around the world. Very few are selfless, putting the interests of others ahead of their own. ********** So what does this all mean? Where am I going?

1. What we have seen at Wells Fargo (based on the few facts we know) is, in some ways, normal human behavior. When people believe that the behavior is encouraged or at least not discouraged and that they will not be caught, they will "game" the system.
2. While we focus on fraud, we might be better off focusing on behavior and actions. There are many forms of behavior that will harm the organization.
3. We cannot prevent or even detect all actions that result in a loss to the organization. We need to understand all of its forms, the impact and likelihood of each, and ensure that we have the controls in place that provide a reasonable level of assurance that risk is at acceptable levels.
4. Management must take ownership of the design and operation of those controls.
5. Internal audit should provide assurance on the management of the more significant risks.
6. When the level of risk that the controls are failing rises, the root causes must be investigated.
7. A low level of fraud, if left alone, will normally grow until it is unacceptable.

I welcome your views.

It’s time to share the results of our coaches and mentors poll. You may remember that, back in August, we launched a short survey. Thanks to those who participated. We now have stable enough results to give an interesting, at least initial, picture. As someone who works as an external coach and mentor, I was surprised  by some of these results. See if they accord with your experience. See also: How to Choose a Great Coach   Having given advice on understanding the difference between coaches and mentors, together with when you might need each, I was keen to see take-up. So, questions in this poll centered on three topics: use of coaches; use of mentors; personal development progress. Here is what you shared… Use of coaches In answer to the question, “Do you have a coach?“:

• 57% No
• 43% Yes

The following questions were only completed by the 43%, who answered "yes" to having a coach. In answer to the question, “What type of coach are they?“:

• 33% Executive Coach
• 33% Leadership Coach
• 33% Professional Coach

Given the preponderance of "life coaches" and neuro-linguistic programming (NLP) coaches I have met at coaching events, it’s interesting to see those did not make the list. The focus on the most senior leadership roles still appears to hold true. But it was interesting to see professional coach selected as a title as well. In answer to the question, “Are they external to your employer?“:

• 100% Yes

This was the first result to not have an element of surprise. It accords with my experience that most leaders (who do hire) only hire coaches externally, or view any such internal work as "mentoring." In answer to the question, “Do you believe you need a coach, to develop your leadership or to sustain high performance?“:

• 60% Don’t know
• 20% Yes
• 20% No

This is perhaps the most concerning answer so far. There has been quite some debate within the coaching community about the need to improve methods of measuring effectiveness, to be able to demonstrate genuine progress or ROI for clients. This answer underlies the importance of that quest. If coaching clients themselves aren’t convinced they need a coach, there is probably more work to do on demonstrating what coaching delivers for them. We all need to see robust, understood metrics become commonplace. Use of mentors The next three questions in our survey focused on the use of mentors, with similar structure (to allow comparison with feedback on coaches). In answer to the question, “Do you have a mentor?“:

• 67% Yes
• 33% No

Those results bear out my own experience, of selling coaching or mentoring services into U.K. and European businesses. Many companies appear to value technical or professional mentoring, while remaining skeptical about coaching. Despite that, my experience in mentoring engagements almost always involved elements of coaching, and it may become apparent that is the client’s primary need. But, as mentors are more widely taken-up, let’s see how mentors are being used. The following questions were only completed by the 67%, who answered "yes" to having a mentor. In answer to the question, “Do they also work for your employer?“:

• 60% No
• 40% Yes

Given the common situation of mentoring being provided by senior leaders within a business, this answer also surprised me. It seems, perhaps in line with the experience I shared above, that the take-up of external mentors has increased. It may just be the language used, or perhaps reflects the time-poor nature of many business leaders. Are companies struggling to free their own senior leaders for mentoring and opting to buy-in mentoring expertise instead? Either way, the answer confirms the greater popularity of mentoring rather than coaching services. In answer to the question, “Do you believe you need a mentor, to develop in your career or succeed within your current organization?“:

• 40% Yes
• 40% No
• 20% Don’t know

A more positive answer than the equivalent one for coaching, but still the majority answering “don’t know” or “no.” Perhaps the most interesting comparison is the lower number of undecided. It seems experiencing mentoring either clarifies that it is optional or identifies a clear need for this support. Once more, mentoring seems to be better understood than coaching. Personal Development Our final three questions focused on respondents' progress in their personal development and time commitment to any form of such investment. In answer to the question, “Do you have clear goals for your leadership development this year?“:

• 50% No
• 50% Yes

A concerning lack of clarity among responders to this question. If leaders really only have a 50:50 chance of having clear goals to develop their leadership capability, a need for goal-oriented coaching or mentoring is clear. It’s perhaps not surprising from increasingly time-poor leaders, working in business that too often focus on short-term targets. However, it is still concerning and perhaps something for prospective coaches or mentors to emphasize more – the benefits of such goal setting and how they can help clients use them. In answer to the question, “Are you on track to achieve your goals?“:

• 60% Yes
• 40% No

Given the lack of clear goals identified in the previous answer, this positive view of progress risks looking overly optimistic. But, with hindsight, perhaps the wording here encouraged leaders to think about their wider goals. Another interpretation is that without clear goals it is easier to persuade yourself that you are doing fine. Certainly, believing you are on track, while potentially lacking clear goals or any accountability mechanism, could be a recipe for complacency. Does that also drive a lower uptake of coaches? In answer to our final question, “How much time (per week) do you give to your personal development?“:

• 67% 1-2 hours
• 17% 3-4 hours
• 17% >1 day

In the full version of this question, participants were asked to consider all development activities (coaching, mentoring, reading, training, events, etc). In that context, spending one to two hours a week (<5% of a 40-hour working week) seems far too little. Perhaps that is another sign that “short-termism” can rob leaders of investing what they need to grow and develop in their leadership. I’ve found that if you are not protecting sufficient time to develop your leadership skills, you not only fail to grow but also burn out quicker. What are you going to do about it? I hope those results were interesting. Feel free to share whether the scores aligned to your experience. If you have been challenged by this post, to reconsider investing more time in your personal development and perhaps seeking a coach or mentor, then stop right now. If that thought is going to become more than just wishful thinking, the best thing you can do is commit to an action you are going to take as a result. See also: Best Insurance? A Leadership Pipeline   What will you do differently, within the next two weeks? Write it down, preferably with an app that will remind you. I wish you well with your development as a leader. Today’s customer insight teams need the best leaders possible.

If empathy is the ability to experience some of the feelings of pain that another person is feeling, then compassion is the ability to translate that feeling into action. Empathy and compassion are two qualities that can fundamentally transform the growth trajectory of your sales organization. Dear Sales Leader, For the sake of your people: Read. Digest. Apply. 1. Get to know your people. They are human beings. They have lives outside the office. Respect that. If they have small kids, perhaps they'd appreciate a little flexibility on that Monday 9am or Friday 3pm sales meeting. Particularly during the summer months. Assume the best at all times. Everyone is fighting a battle you know nothing about. Provide some breathing room, and you'll receive their support 10x in return. A salesperson is not a number. Don't treat her like that. Get to know each individually and as a group. What gets each of them out of bed every morning? What role does each of them play on the team? Trust me, they all play a role. 2. Be vulnerable. Especially if you have just started a leadership role at a new company. Sure, you've worked in many great companies and been super successful at those companies. But you haven't done beans at this company yet. Sure, you have years and years of experience. You'll have the opportunity to apply what's relevant down the road. Right now, accept and publicly share that you need their help getting up to speed. You need their help understanding the business, the market, the product, the challenges, what's been tried before and what has not. Be super-inquisitive. Don't be afraid to ask why things are done a certain way if something doesn't make sense at first glance. But remember, maybe there is a valid reason for it. Once you have absorbed it all, only then can you add real value. While you are doing this, continue getting to know your people. See also: 6 Tips to Augment Sales and Prospecting 3. Walk in their shoes. Don't just say: "I wouldn't make you do anything that I wouldn't do myself." Actually go do it. You might learn a few things. Assign yourself a few accounts. Do some prospecting. Book some meetings. Take the call from that frustrated client. Take the feedback to the cross-functional partners. Close a deal. More importantly, close it out in Salesforce (or whatever CRM you use). Is it an easy process for your pepole? Experience a typical day walking in their shoes. Only then can you be truly emphatic. Titles don't make leaders. Actions do. 4. Be there for them. Listen. This is important. Genuinely be there for them. If you have done 1), 2) and 3), then they will come to you as their leader. They will look for your guidance, help and support. If you have done 1), 2) and 3) well, you may find that your role as a sales leader morphs into somewhat of a counselor. That's okay. Our role as sales leaders is to spend 90% of our time watching and listening. It is in these moments that you can apply your years of experience. Apply it. Share it. Leverage it. There will be times when your people are frustrated, and they just need to talk. Be there for them. There will be times when things are happening outside of work, things that they are dealing with. Apply empathy, give them some space, some flexibility, some breathing room. Nine times out of 10 they will thank you for it. Nine times out of 10 they will share with you what's happening in their lives. You may even be given the priceless opportunity to provide advice that will genuinely affect that person's life. That's what gets me out of bed every morning. Too often we underestimate the power of a smile, a kind word, a listening ear, an honest compliment or the smallest act of caring, all of which have the potential to turn a life around. 5. Earn the right to coach. If you have done 1), 2), 3) and 4) well, then you'll earn the right. Your role as a sales leader is to make your people more productive and successful (in my opinion, both personally and professionally). Get out in the field with them. How else can you provide in-the-moment coaching? Newsflash: It's often the tiny tweaks that you suggest after a client call or meeting that can translate into game-changing performance. Let people leverage your professional network. You've been in business for many years and worked for all those amazing companies, remember. Why have them struggle to find a way into the decision makers at their target companies, if someone in your network could provide a warm introduction? Be compassionate. 6. Celebrate success. Whether big, or small, celebrate it. And remember, it's not just about the numbers. What are the biggest challenges facing each of your people? Celebrate their success. Recognize them. Salespeople are human beings. Sure, they get paid commission on those big deals but what if that's not what motivates them? Maybe they are motivated by other things. A person who feels appreciated will always do more than what was expected. 7. Let them fly. There is no greater feeling than seeing your people embrace everything you have given them, all the time you have invested and watching them fly. Hearing them use some of your suggestions, seeing them get the expected reaction from the client, seeing them grow in confidence and seeing them pay it forward to those around them. This is why you chose a career in sales leadership, right? Back off slowly and let them fly. See also: Agencies: Grow Sales AND Develop Staff Empathy and compassion are two qualities that can fundamentally transform the growth trajectory of any sales organization. For the sake of your people, if it doesn't come naturally, please keep trying. They will respect you for it. Thanks for reading.