There are big differences between up and coming startup companies and established insurance firms. The organizational cultures are starkly different, for one thing. But startups have some great qualities that can give even large insurance companies a competitive edge over their rivals. Here are three things that insurance companies can learn from startups.
More and more startups leverage the latest technology. They use cloud computing to link their entire organization together and empower employees with mobile devices. They equip their workforce with collaborative tools that allow them to collaborate anywhere, and anytime. Insurance companies, especially smaller ones, should embrace technology in the same way.
Startups have to make every penny count, so they operate in austerity. Every single person and department in a startup have to provide value-added. In contrast, established insurance companies often pay considerably less attention to organizational design and the value each person adds. If your company approaches business like a lean startup, it could save you money and provide a greater return on your investment. Here at VerifiaBill, we definitely take this approach. With our transparent, simple bills and easy-to-use customized web portal, VerifiaBill removes bureaucratic headaches. This saves you both money and time.
Willing to Fail
One of the most critical things insurance companies can learn from startups is not to fear failure. More often than not, established companies engender a “success at all costs” culture. Employees will not try something new unless the outcome is all but guaranteed. As a result, companies are less willing to take risks that can lead to success and growth. Insurance companies should encourage their employees to be bolder and provide positive reinforcement whenever someone puts forth a proposal to try something new.
Even if you’re an established insurance company, it’s never too late to learn new things. So take a page from the startups, and get your company in the fast lane to innovation today!