Solutions Agency Culture Issues – Small Agencies In Small Towns

In my previous post “Insights Into Agency Cultures – Small Agencies in Small Town” I discussed some of the cultural challenges these firms face. Some owners of these firms recognize that they have issues. Some choose to ignore the issues and just forge ahead as best they can. Some have no idea they have issues.

Those owners that do recognize that they have issues are often stymied as to what to do to solve their issues. The face:

• I’m busy selling (they are almost always the #1 production source for the agency)
• I’m busy managing the staff
• I’m busy managing carrier relations
• I’m busy managing technology
• I’m busy managing the finances of the agency
• and, much much more.

The owners of these agencies seemingly have little time to plan and work “ON” their business. They are always working in their business. Additionally, they normally don’t have the time or tools to address and resolve these cultural issues. So how does an agency get these issues identified and resolved?

Let’s go back to the agency I discussed in my previous post where the Dad suddenly passed away and the sons were now in charge. These men were great producers, but knew little about managing the day-to-day operations of the agency. These men realized pretty quickly that they needed help. They were willling to admit they needed help, listen with an open mind and take action. During my assement visit we identified the following as their main issues:

• The most experienced service staff member is close to wanting to retire and has that knows more than everyone else in the office attitude.
• Young staff members seemingly eager to learn, but no one to teach them.
• All staff not on board with using the technology in place.
• Staff members that wondered why they should to things correctly when those that didn’t weren’t held accountable.
• The owners and producers could not count on timely quotes and proposals for new business or renewals.

During the next several months there were many tough conversations and even tougher decisions to be made. As their consultant it was my job to be as open and frank as possible about each situation. I have seen some consultants that won’t get involved at this level. In those cases, the whole process fails to be successful. Each month there was an owners meeting when I arrived and another just before I left so that we knew exactly what was going on and where we were going. I feel that these meetings and conversations are the most important part of my job.

The key factor to the success of this agency to move forward and implement new processes was the committment of the owners. In each situation they stepped up to the plate and took responsiblity. The best example was the day we were planning how they were going to get their renewal timeline on trace. When an agency is behind in the renewal process, they have to double up on renewals for at least one month. In this agency’s case they needed to do this for two months in a row. During the discussion there was the usual hesistation to commit by the staff along with moaning about too much work. The oldest brother (the managing partner) said “You know, looking at the renewal lists, I have the most accounts for all four months. I will arrange my schedule to do whatever is necessary to get all of my account done in this time.”

The other two producers had no choice but to make the same committment. With that the moaning and complaining stopped and a plan was designed. As a team, the agency got themselves on their agreed timeline in the two months using the designed plan.

I can help you design the best plan in the world, but if owners and managers are not part of that plan and commit to the plan, it will be a failure.

In my next post I will discuss functional solutions. Let me know what works for you or questions you have on specific issues.

Topics Agencies Leadership Human Resources