The Management Board adopted an updated business strategy - the PZU 2.0 Strategy - in December 2011. At the same time, the main objective of the PZU Group’s development for successive years has been maintained.
Because of its strong customer orientation and high operational efficiency, the PZU Group will be the largest and the most profitable insurance company in Central and Eastern Europe.
PZU Group’s updated business strategy is driven by the slogan We are changing for good. This primarily means:
- focusing on customer needs.
Based on an analysis of the needs of the individual segments, PZU is tightening relations with its customers, providing them with products and services tailored to their expectations via a multi-channel, integrated system of sales and service. The new business philosophy emphasizes the organizational unity of the PZU Group, which operates by customer segment and actively manages its relations with customers to retain them for the long term;
- improving operational efficiency.
A modern and integrated model of customer service, together with automated back office processes leading to the elimination of paper operations, will create favorable conditions for better customer service and efficient resource management;
- employee professionalism and commitment.
By maintaining the position of the preferred employer, the PZU Group is building a results-oriented organizational culture;
- making use of the high level of recognition of PZU’s strong, refreshed brand.
The new PZU is a vision of a strong brand that uses modern technologies to communicate with customers. The new PZU is also an institution that successfully manages its customers’ funds using the competencies of the largest asset management company in Poland and the new opportunities which appear on the market.
In striving to maintain its position of the largest insurance company in Central and Eastern Europe, the PZU Group:
- will maintain its present position on the market of both non-life and life insurance in Poland, simultaneously maintaining the profitability of these businesses;
- will continue international expansion in the new form and possibly in cooperation with a financial investor;
- will develop activities on the savings / regular saving market;
- will seek new opportunities to introduce new activities - the PZU Group has the ambition to become the pioneer and creator of the health insurance market in Poland.
In addition to market expansion, investing activities will ensure a high level of efficiency of the PZU Group’s operations. A new investment policy and investment portfolio re-modeling are being implemented. The PZU Group intends to finance large projects, as well as the purchase and restructuring of real property. These activities will be undertaken, inter alia, in order to reduce volatility of results on investing activities.
The PZU Group’s main financial objective is to maintain a high return on equity (ROE).
An important event which affected the implementation of the PZU Group’s business strategy in 2013 was the pilot implementation of the IT system for non-life products. The completion of this project (which was given the characteristic name of Everest) will enable the business and technological transformation of PZU and create conditions for the appropriate management of its customer relations.
In 2014, the PZU Group will focus on:
- the mass market, as well as small and medium sized enterprises: actions will be taken to maintain PZU’s current position on the market of motor and non-life insurance. A new policy system for handling motor, home and some non-life insurance products will be implemented in the non-life insurance company by the end of 2014. As a result, it should be able to actively manage customer relations in the future and better adjust its product offering to customer needs. Moreover, special attention will be paid to offering attractive savings and investment products to mass-market customers, in particular in the area of long-term saving;
- group customers: PZU will maintain its leadership position on the group life insurance market. The sales of health and drug insurance, including riders, will play an important role in achieving this objective. At the same time, the development of this market will depend, to a large extent, on changes in legislation (i.e. the introduction of an act on voluntary health insurance and the admittance of competitors to manage public health insurance contributions). Actions will also be taken to strengthen relations with the insured through the offering of the Klub PZU Pomoc w Życiu [PZU Help in Life Club];
- corporate customers: professionalism and quality of service are the primary factors determining the choice of insurer by corporate customers. Therefore, PZU will support its customers in the development of their businesses, inter alia, by developing consulting services on risk engineering. Activities to maintain PZU’s position on the market will take into account the need to maintain adequate profitability of non-life insurance, especially motor insurance;
- IT and operations: PZU will primarily concentrate on the implementation of its new product system for non-life products - the Everest project. PZU will introduce motor, home and some property products into the system (for 11.5 thousand end users) by the end of 2014;
- Human resources: In building a results-oriented organizational culture, special attention will be devoted to the development of employee competencies. The implementation of the knowledge and skills development program for all PZU employees, known as Program Plus, was initiated after the annual appraisal had been conducted for the first time in 2013. The PZU MBA program dedicated to managers and directors with the highest development potential, which is a unique initiative on the Polish market, will be continued. The process of the Group’s best managers sharing their experience will also play an important role in the process of enhancing employee competencies and commitment.