The mission of the Allianz Group

The mission of the Allianz sort outCompanys overviewAllianz Group is one of the worlds leaders providing insurance policy policy and fiscal services. Allianz SE, the holding company is at the top of the international group with its head office in Munich. Allianz was founded in Berlin, Germany in 1980 (Allianz, 2010).With virtually 152,000 employees worldwide, the Allianz Group serves approximately 75 m liveryion customers in about 70 countries. On the insurance side, Allianz is the market leader in the Germany market and has a strong international presence (Allianz, 2010).Allianz has much than than 100 years of lively history. Though Germanys defeat in World War I restrict Allianzs international ancestry, but Allianz slowly gauged outside Germany to other European markets (Allianz, 2010).In the era of National Socialism in space 1933 Nazi Germany, Allianz conformed to the norms of the era. afterwards suffering some worry problems during World War II, Allianz started to rebuild post 1945. Starting from the 1950s finishedout 60s, 70s and 80s Allianz started to get international by spread its diddleivities to many countries in Europe and Americas. Allianz began to venture the Asian markets from the 1990s (Allianz, 2010).Allianz Group also expanded its asset management business. Today, Allianz Group is one of the worlds preeminent financial service providers (Allianz, 2010).The mission of AllianzThe mission of Allianz is to achieve sustainable harvest- kinsperson of our competitive strength and values. In order to achieve this mission, they implemented a series of measures which characterize as 3+one program. They get an full general 3+1 programProtecting and enhancing the capital base.Substantially modify the operating profitability.Reducing complexity.+One Increase sustainable competitiveness and value.The government activity structure of AllianzBoard of ManagementSupervisory BoardInternational decision maker CommitteeInternational Advis ory Board and Joint Advisory CouncilEmployeesThe composition conclusion of AllianzAllianz Group culture combines German characteristic and international flair. In Munich, a lot of language leave alone be using by the state when they talking to each other such as French, German, English, Italian, Chinese and etc. However Allianz values local cultures and markets situation does not regulate a one size all fit solution for the individual(a) location. That why Allianz has defined a st assessgy framework to guiding standards. So that Allianz Group in the worldwide lot adopt the cultural and business requirement to specific expanses (Allianz, 2010)The macro environment synopsisPEST analysis is concerned with the environmental influences on a business. PEST is stand for Political, scotch, Social, and scientific factors of the external macro environment. Political factors include government policies relating to the industry, tax policies, laws and regulations, avocation restric tions and tariffs etc. The economic factors relate to forms in the wider economy such as economic growth, interest rates, ex turn rates and inflation rate etc. social factors often look at the cultural aspects and include health consciousness, people growth rate, age distribution, changes in tastes and buying patterns etc. The technical factors relate to the application of newly inventions and ideas such as RD activity, automation, technology incentives and the rate of technological change. It is an alpha tool to understanding risks associated with market growth or decline, and as such the position, potential and direction for a business or organization (Thompson, 2002). Following argon the different factors affecting the Allianz insurance in UK.PoliticalSome of these factors had a good impact to the travel, machine and home office insurance in the UK. The government travelers aw atomic number 18ness campaign has brought aw arness to the kind-heartedity about the dangers o f traveling un compensated highlighting the expensive costs of medical examination treatments abroad. The travel industry has supported and benefited from this as it increased their sales prospects.The minimum car insurance implemented by the government is third caller privateness. This has a very good impact on the car insurance industry as this guarantees a sale on every car in the UK and because 76% of adult in the UK throw off a full(a) driving license, all of them are potential customers (Birtles, 2002).Legal General entropy revealed that most critical illness cover claims are made by commonwealth under 40. (Speedy, 2004) This has been good news for age dedicated home and health care insurance companies as less cover claims path less liabilities. However, according to the Bank of England, the rising tax is slowing brush up the consumer spending. This has badly affected the whole of the insurance industry as people had less money to spend on higher bounteousnesss or packages.EconomicIn todays world people are more work-orientated, so earning more again translating to larger disposable incomes allowing people to live comfortably see advantage of more expensive schemes in insurance such as taking fully-comprehensive cover rather than third-party (Speedy, 2004).another(prenominal) economical fact is that we are soon at the boom stage of economic cycle and so people are break off off. This means that as stated higher up people are able to live more comfortably and on a general level are better able to feed things analogous food, shelter, clothing and health care. This translates to fewer illnesses which mean that insurance companies deem less payout to make as less people fail ill (Speedy, 2004).Another important factor to notice about the general reality in a boom phase of the economic cycle is that people are more likely to pay for products in the service industry. So things that they may have refrained from due to a lack of money like he alth insurance will be more welcome during a period of boom so increasing revenue for insurers (Birtles, 2002).SocialIn todays auberge there has been an increase in young drivers. They choose to insure on parents cars along with saving the money to buy their own cars. teenaged drivers aged between 17 and 25 also have a higher chance of macrocosm in an accident so they are more costly for an insurer to cover so insurers charge more. For this creator the increase in young drivers translates into larges revenues for insurance companies due to the larger premiums. (Birtles, 2002)Another change in todays society is the increase in the racing culture with large emphasis placed on driving faster and better looking cars. Modified cars are a cheaper alternative to buying a sports car also increasing insurance costs (Speedy, 2004) .In relation with 30 years ago the average person earns much more today translating to larger disposable incomes. This has leading to more people being able to afford second cars and so being insured on them giving more business to insurance companies (Speedy, 2004).TechnologyThe success of cyberspace and an integrated information and communications technology system has allowed any business to increase sales and reduce transaction costs. The internet has completely changed the tar service process. Today, internet is used to even sell insurance policies. meshing proving to be one of the widely used distribution networks for selling insurance policies. Also internet is used for sending premium notices to policy holders through e-mails (Shinde, et al., 2008)Besides that, internet has a premium calculator which accurately displays the gist of premium month wise and the remaining balance. One just has to destroy the age, name of the insurance policy, the sum assured and whether there is an accident cover or not. By keying in this information, the entire premium amounts are shown in spite of appearance no time. This has helped the custom er in a way so that they dont have to travel all the way to the branch to ascertain the amount of premium to be paid (Shinde, et al., 2008)The international take aimationAllianz wreak almost in every continent. The regions are easternern Europe, Central Eastern Europe, Asia Pacific, Americas and Middle East Africa. Allianz is deeply rooted in their domestic market which is Western, Northern southerly Europe. Western Europe is the home of Allianz. (Allianz, 2010)When Allianz wants doing an international business, Allianz will divvy up the human resource, financial and legal requirement into particular clownish. Allianz start a new venture in China, financial will incurred in that China will get down than having a new venture in Europe. Furthermore Allianz can get a large human resource in China. This is because the population in China is very large. Allianz also can save cost. The pay pay to the labor is lower and produced the production in a lower cost (Allianz, 2010).When a company intend to going international, they will consider the macroeconomic that will affect in their business. Before enter to a new country or new venture. They will do a research about the external environment of that country or region first and then only decide whether to start the new venture into that country or not. While Allianz also does the something. The macro environment that consider to the company are political or legal condition, economic condition, social issue environment and technology. Those are significant to evaluate a country before doing an international business (Allianz, 2010).There are several systems of going international when a company intends to go international. The company can go international based on export based, non-equity based and equity based. For Allianz which a company just provide services, it use equity based method to going international which include joint ventures and foreign direct enthronisation (FDI). The first company or office that Allianz venture in is in London with open a subsidiary company (Allianz, 2010).Allianz officially ventured into Malaysia in 2001when it became the controlling shareholder of Allianz General Insurance Malaysia Berhad (AGIM). In 2007, the general insurance business of AGIM was transferred to its wholly owned subsidiary, AGIC. Following the completion of the transfer of general insurance business, AGIM changed its name to AMB and became an investment holding company (Allianz, 2010).There are several issues that faced Allianz in Malaysia. One of the issues that face in Allianz currently is the managing climate change risk. Managing climate change risk is one of the biggest challenges the financial services industry is facing today with several impact on the insurance industry. In the past 30 years, claims payments to the victims of large(p) natural catastrophes have increased 15 fold to approx. 30 billion Euros (approximately RM120 billion). Allianz settles 40% of industrial insu rance claims are due to natural catastrophes (Allianz, 2010)To manage climate change risks, Loeffler (2010) recognize climate change as a matter of great strategic consequence for Allianz. Allianz need to assess together with their clients on how to apologise the risks. At the same time the challenges for Allianz is to adapt to the impact of climate change and to safeguard insurability of risk in future. In 2007, Allianz established Allianz Climate Solutions as a subsidiary with the explicit aim to develop new products and get a line investment trends related to climate change.The insurance business needs to act as an early warning system and help business and society understand the new risks. There are several ways to secure for the effects of climate change. Providing risk coverage for emerging technologies for example plays an important role in their future development. Securing the insurability of risks is essential for economies to be able to operate (Loeffler, 2010)The grow th of businessNew ventureConclusion