The 5 Essential Ingredients to Innovating Your Insurance Business
Innovation is the single most essential element to aggressive top-line growth and bottom-line results. Organic growth, profitability, and agency value are dependent upon innovation.
Research indicates that there are five essential ingredients to the recipe for innovation – leadership, acceptance of failure, openness, patience, and motivation.
The innovative leader is a fearless visionary committed to backing bold ideas. He or she is keenly aware of the benefits of an environment where people feel comfortable and confident in voicing opinions about the firm’s business model.
Innovation cannot flourish unless the barriers to creativity are removed in order to foster a culture of collaboration and free flow of ideas.
Acceptance of Failure
The acceptance of failure is a necessary step in the process of innovation. The willingness of a senior management team to be open and tolerant of failure encourages people to explore new ideas, take risks, and be up-front about problems.
It goes without saying that failure can impact the bottom line of an organization. It is for this reason that a “check and balance” system is required to spot potential problems so necessary alterations can be made.
While innovative breakthroughs sometimes come from a single source, the vast majority of innovations draw on many contributors. Open source innovation – the ability for a person to tap into the ingenuity of others – offers enormous potential for creative output.
Creativity flourishes in a vibrant culture that encourages people to imagine, think about possibilities and have the freedom to innovate.
The age-old adage, “patience is a virtue,” applies to the process of creative innovations. Patience is required if innovation is to thrive.
In some cases, innovations take time because corporate infrastructure must be tweaked. The telephone system didn’t work until millions of miles of wires were strung. Innovative leaders demonstrate patience to let creative ideas ripen.
Creative ideas come in spades when people are motivated. An uninspired employee is not likely to wrap his or her arms around a problem. On the other hand, a motivated person can’t wait to find a solution to a challenging issue.
The keys to motivation include intellectual challenge, independence, and proper matching with a challenge.
The 5 essential ingredients to innovating your insurance business are leadership, acceptance of failure, openness, patience, and motivation. This combination will create the one-two punch to knock out your competition.