OUR STRATEGY

Within the scope of the Group strategy, we aim to achieve our financial and commercial goals in accordance with our vision, mission and values by pursuing the following guidelines:

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Fast, lean and agile

We will be more efficient in order to maintain a competitive cost position and help fund our transformation.

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Retail leader in Europe

This ambition fits our footprint and our DNA; it is based on our core strengths (for example broad private client base, strong market position in key markets and well-organized, extensive distribution). By pursuing this goal we will also improve our ability to generate and manage cash to finance the investments needed for our transformation.

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Simpler and smarter

We aim at being simpler and smarter with new products for consumers that are easy to understand and use, connected, personalized and modular. We will also pursue this objective through business innovation (for example collaborating with external suppliers) and investing in the acquisition of new capabilities such as advanced data analytics.

A high level of engagement and empowerment to spark success for the company

We are committed to engaging our people, and empowering them by fostering a new mind-set and cultural shift, ensuring good leadership and talent management, encouraging the culture of simplicity. A high level of engagement and empowerment in our people will help us to accomplish our strategy.

Retail leader in Europe

Our strategy of becoming a Retail Leader requires that we:

  • successfully distinguish ourselves from competitors by providing a superior customer experience to increase customers’ loyalty, for example, providing the right products and services at the
    right time and through the most appropriate channels;
  • expand the skills of our distributors moving from the traditional model of distributors as customer “gate keepers” towards a model where distributors are actively involved;
  • enhance our ability to generate cash to fund the investments needed to become retail leaders.

Our geographic focus is still Europe, a region where we generate significant value; however, we are committed to increasing our footprint in other geographical areas and in the Corporate and Commercial business lines.

Two core Group wide initiatives are:

Development of the Transactional Net Promoter Score (T-NPS)

The Transactional Net Promoter Score system is a focused, systematic method to listen to and act on customer and distributor feedback. It allows us to improve customer satisfaction, customer value and our profits (by improving customer loyalty and cross-purchasing and uppurchasing).
It also drives cultural change by creating a customerfocused mind-set throughout the organization.

T-NPS deployment is accelerating: 14 business units are currently live at year end 2015. We aim to cover the whole Group by 2017.

We have already sent over 817 thousands questionnaires to customers, and got a consistently high response rate (19,4%), showing that our customers wanted to be heard.

Two key benefits are emerging in business units where NPS is live:

  • customer feedback plays a more prominent role in all key decisions, and
  • we are learning more about what customers appreciate and what creates problems.

We are working on a number of these areas.

We consequently improved communications with customers to update them on the extra services available at Generali partner garages for claims repairs (e.g., in
France, agents are now trained specifically on the advantages of going to Generali partner garages so they can better advise their customers).

Another initiative involves the business units starting specialized training courses to enable frontline employees to further improve their  relationship with the customers
and therefore to improve our customer experience as a whole (for example, empathy training courses have been given in Poland for its claims handlers, with the staff being evaluated on their empathy skills during the promotional stage of the process, with cash bonuses being given for “most empathetic conversations”).

Enhance online visibility

An effective online presence is a critical component of our new strategy. Research conducted in 21 countries showed that there are opportunities to enhance our online presence to improve customer service.

We recently launched a new corporate website (Generali.com) and we are also extending the new set of Group standards to all our digital platforms (website, social media, etc).

Thanks to the feedback from using the T-NPS, we detected a certain level of dissatisfaction of our customers in Spain regarding claims management and the related documentation.
We therefore created a user-friendly website where customers can follow the process in real time, using a checkmark-based tool which shows the status of their claims.

Other clients were not happy with the level of communication regarding the services provided by third parties, and since they had been organized through Generali, it was difficult to maintain direct contact with the repair staff, even for simple problems such as missed meetings or rescheduling. So, a SMS message can now be sent automatically to the customers’ mobile phone after a claim is opened, so that the technician can be contacted directly, but Generali will still be able to reorganize a meeting.

Technical Excellence constitutes a flawless execution as the “Generali way” of delivering on the promise
Valter Trevisani
Head of Group Insurance and Reinsurance

Simpler and smarter 

An excellent customer experience can only be obtained by being simpler and smarter. It means offering new proposals that meet customer needs, reflect their habits and go beyond providing a simple guarantee.
We identified four components over the past few months to deliver simpler and smarter solutions for Products and Services:

  • Connectivity: delivering a high level of service to clients taking advantage of the huge amount of information available.
    The Generali Group is one of the leading operators in the use of telematics and profiling of driving styles, with the aim of providing innovative and tailormade products for customers and profitable rates for the more virtuous policyholders.
    The Group telematics portfolio continued to increase in 2015, and reached the milestone of approximately 920,000 policies mainly thanks to the contribution of Generali Italia and Genertel for Italy, Generali  España for Spain and Generali Poistovna a.s. for Slovakia.

In this context, the acquisition and integration of MyDrive solutions has played a crucial role in enhancing our skills. MyDrive Solutions is an excellent data analysis company, based in London, and uses its skills in data science and software engineering in addition to algorithms to analyze behaviour for pricing purposes and to
provide solutions that currently include:

  • usage based insurance (risk profiling, pricing, analysis of claims and fraud).
  • analysis of driver behaviour for: customer loyalty proposals, ad-hoc car insurance offers, knowledge of wear and tear of the car and of its use, predictive maintenance.
  • Simplicity: making our customers’ life easier, offering clear, simple solutions

A concrete example of this growth process was the launch in Slovakia of the innovative product called SOS Partner, the first product of this type in Central Eastern Europe.
The product - which uses telematics with a panic button installed professionally onto the windshield of the client’s car - allows advanced assistance to be provided to the driver and his/her entire family in
case of need. This example of connected insurance allows the more serious road accidents to be detected automatically: a service request is automatically sent to the operations centre of Europ Assistance and the customer can speak directly to an operator to check the type of assistance required or get immediate access to the emergency services. At the same time the product is used to determine the driving style of the customer and uses a "Pay How You Drive" algorithm to reward virtuous drivers through discounts when purchasing and renewing the policies.

  • Flexibility: solutions tailored to customer needs, that are built around the client, allowing a tailored approach to shaping the offer, modifying it as time passes, and choosing the type
    of channel and payment.
  • Proactive protection: rewards for healthy lifestyles and integration of preventive elements in the insurance solutions, creating real value for customers and providing peace of mind.

These 4 components clearly set Generali solutions apart in the insurance market, and this should help it develop its cross selling activities and the acquisition of new customers.

For further information please refer
to Generali for innovation in the Sustainability Report 2015









Fast, lean and agile

Becoming fast, lean and agile is an essential requirement in delivering a competitive and sustainable Group expense ratio and providing the investment resources to become leader in the retail market.
With an initial focus on cost efficiency (our Opex Program) we have kept the Group cost base at the same level as 2012, for equivalent savings over € 800 million in 2015.

Key achievements so far include:

  • Within the scope of the IT systems, we have established the Generali Software Factory through an agreement with 2 major IT providers. This helps all major business units through the application selection, rationalization and sharing and the management of needs and licenses, helping to develop IT applications faster and at lower cost. It also enhances performance and provides the basis to support our digital transformation.
  • IT Infrastructure: Generali Infrastructure Solutions, Generali’s first shared service company went live in July 2014. We are now midway through the data centre consolidation process.
    In addition to reducing costs, the program delivers improved services such as disaster recovery capabilities and state-of-the-art data security.
    Major milestones have already been reached with regard to data centre consolidation and the main major migrations have been completed (e.g.
    migration of the French and Czech Republic mainframe to Aachen); the migration plans for the other countries have already been planned and are currently being implemented. With regard to workplace harmonization, we have also selected a new single provider of help desk services for users and a global basket of standard hardware models.
  • In the Premises & Facility Management changes are tangible. The Paris Campus was completed in 2015 with the consolidation of 26 sites and significant, consolidations involved buildings in Prague and Milan. Common space planning standards were also defined, in order to improve the workplace quality and control costs.
  • Procurement is a major contributor to cost savings and helping to harmonize/improve service levels and the quality of purchased goods across the Group. We have worked to full capacity and developed more than 525 projects involving all operating units.
  • With reference to operations, there were 2 cross-discipline initiatives launched in 2015 involving unit-linked and payments where we aim to provide cross-business unit services to develop and share capabilities within the Group companies. 2015 was also an intense year with respect to improving the lean processes, with more than 200 projects planned at national level, and approximately180 internal experts trained to various levels (green and black belts).

These initiatives form an integral part of the transformation plans of our operating units, with specific programs delivering large benefits for each unit.
Notable achievements in 2015 include the Generali Italia Integration Program, where the major steps in terms of roll-out systems and portfolio migration are completed, the operational transformation initiatives in the Central Eastern European countries, with major programs running in the Czech Republic,
Hungary and Poland, and the branch network reorganization in Spain.

We intend to invest and prioritize the resources generated by these programs to become a leader in the retail market, simpler and smarter.
We will support the digital transformation process (e.g., through IT support for data analytics, mobile strategy implementation, and ensuring renewal of technological support for our distributors with, interalia, presence on social media, new CRMs and sales enablers), and new initiatives aimed at increasing both cost efficiency and access for all business units to the best skills, always with a customer driven philosophy.

Going forward we will expand the scope of these Group programs to all areas of the operating platform. This will allow us to reach total savings of € 1.5 billion for the 2012-2018 period, and to finance investments of € 1.25 billion over the next three years.

A high level of engagement and empowerment as the key enabler of business success

76,191 Our people across the world



People are our most valuable resource, our most strategic asset. We believe that a modern and competitive multinational must first and foremost develop and motivate the first ambassadors of our brand with regards to our customers and stakeholders.

Our People Strategy is founded on four priorities:

  • promoting engagement and empowerment
  • strengthening the skills of our leaders and talents
  • constructing an agile organisation and developing new expertise
  • promoting a culture focused on the customer

Promoting engagement and empowerment

At Generali it is fundamental to promote the engagement and empowerment of people so they can make informed decisions, demonstrate their leadership and better fulfil the needs of our
customers.

In 2015 we launched the first Global Engagement Survey, in association with an independent external consultant, involving leaders and managers with the aim of assessing internal levels of
engagement and awareness with regard to the Group’s goals and people’s roles in contributing to their achievement.

+ 1.000

Workshop
arranged by the countries to
support local peoples

+ 300

Local initiatives
presented and launched from
Jaunuary 2016




The results enabled us to identify a series of global and local priorities to implement through concrete and simple initiatives, managed by each country and integrated in a structured action

plan. At global level the following priorities emerged:

  • develop a performance culture that is focused on the customer and meritocratic
  • be simpler and smarter: promote the empowerment and independence of our people through various levers (e.g. training, communication, systems of acknowledgment)
  • promote diversity & inclusion to facilitate innovation.

The Global Engagement Survey therefore defines the foundations for the changes that will be important for us and for the Group’s future. It will take place every two years and will
allow us to measure the level of engagement and empowerment with the aim of promoting a process of ongoing improvement.

Generali Global Engagement Survey: Have Your Say

* Global benchmark: average based on the response rates obtained in all surveys carried out in the last two years at global level by the independent external consultant with whom we collaborated
** Sector benchmark: standard for the independent external consultant with whom we collaborated for finance companies headquartered in Europe

Empowerment is a system of actions that creates a new everyday working style discipline, based on trust and autonomy, strong ownership, personal accountability
and the willingness to go the extra mile.
It is the greatest strategy enabler
Monica Possa, 
Group HR & Organization Director

Our journey towards diversity & inclusion

Constructing and supporting a diversified and inclusive organisation is becoming increasingly important for developing innovative products and services, interpreting and understanding the decisions and behaviour of customers.
Taking our inspiration from international best practices, our ambition is to develop a culture that celebrates different ways of thinking, particularly as a result of generational, gender and geographical differences.

50.4% Men

49.6% Women




Our diversity & inclusion programmes seek to raise awareness and sensitivity around issues that will increasingly become the subject of debate and new expertise, in

a context aided by digitalisation.
For this reason we are reviewing our internal personnel management processes and launching systems and pilot projects that can make our working environment flexible in
the face of different needs, for example with the introduction of smart working.

Performance management

Feedback is crucial for the development process and a useful tool for improving people’s understanding of their abilities and strengths, and their interaction with their group.
We are working to create a “culture of feedback” through a performance management system that promotes constructive dialogue between managers and their people with the goal of having a regular performance feedback system for 100% of employees by 2018.

Developing our leaders and talents skills

Training has always been a priority and involved all of the Group’s employees.

36.2 (+5,1%) Average hours of training per capita

€ 61.5 mln Training costs




We are particularly keen on developing our leaders and allowing our most talented employees to emerge in a meritocratic environment in which enterprise and growth are encouraged. More specifically, the Group Academy, responsible for designing career paths and training programmes at Group level, is focused on the growth of our leaders and investing in improving their skills and expertise through a training package based on international programmes at corporate level.

In order to develop our talents we have established succession plans for key roles in the Group, guaranteeing that future leaders take all of the necessary steps to reach a senior position. We
believe it is possible to identify and develop talent at every level of the company, to guarantee a sustainable line of succession, through correct development and career progression. To
this end we offer various programmes:

  • Global Leadership Programs, global training programmes aimed at promoting strategic thought and leadership skills, providing participants with different managerial tools and
    accelerating the transition from manager to leader;
  • Global Graduate Program,a Group initiative to promote cultural change, to develop Generali’s international reputation as a top employer, and to guarantee the leadership continuity line
    with 20 young international talents. Graduates take part in an 18-month training course composed of 3 international/ departmental job rotations and a Master’s in Insurance Management;
  • technical and managerial education, which includes programmes designed to support managers, middlemanagers and professionals, providing short practical training programmes aimed at developing and practicing managerial and across-theboard skills. We strive to promote a common culture with regard to the insurance business, facilitating the alignment of approaches, metrics and languages, providing the necessary fundamental technical skills to make a difference in the global market.

International mobility

To further support the development of our people, we have provided more opportunities for global mobility: employees can transfer their skills to the other Group companies and enjoy new experiences. Asia, Brazil, the countries of Central and Eastern Europe, Germany, France and the Global Business Lines are particularly active in encouraging mobility

~ 300

people involved so far in
international mobility programmes
in 35 different countries





Constructing an agile organisation and developing new expertise

We believe that to face up to modern-day challenges we must be agile and develop new skills and expertise. For this reason we have invested in departments and projects like Customer Relationship Management (CRM), data analytics and digital.
In the area of human resources we are already innovating, reviewing and simplifying our processes to promote a true performance management culture, attract and retain talent, and encourage mobility at international level. We have developed a global IT platform that makes it possible to simplify processes. Currently 1,500 people are online and the platform will later be extended to the entire company population in line with international best practices.

Promoting a culture focused on the customer

Meeting the needs of our customers means listening to their feedback and using it to create an organisation that works in the most simple and smart way possible to maintain its promises. This means building a team that is ready, willing and able to work in this way. In 2015 we introduced this customer-centric focus to our main human resources processes, beginning with global initiatives ranging from the definition of management goals to onboarding for new hires, the strengthening of the customer focus among leaders, and the development of talent.
The projects aimed at redefining expertise, increasing awareness of the customer and aligning the recognition of performances will continue in 2016.
In 2015 we began telling the stories of the Client Heroes on the Group portal to give perfect visibility to those that have done something special for customers, going beyond their regular role to really make a difference.