All material subject to strictly enforced copyright laws. © 2021 Insurance Insider is part of Euromoney Institutional Investor PLC.
Accessibility | Terms & Conditions | Privacy Policy | Modern Slavery Act | Cookies | Subscription Terms & Conditions

Aon ‘learned a lot’ from Willis integration planning: Andersen

Aon logo new London with Andersen.jpg

Following the demise of its $30bn mega-merger deal with Willis Towers Watson, Aon has moved to double-down on its "Aon United" strategy, with company’s president Eric Andersen saying the broking giant has used recent weeks to execute on the business plan it developed for if had the firms been combined.

“We spent a good 16 months working on an integration that was essentially on the Aon track of where we have been going as a firm,” Andersen said Tuesday, speaking at the Inside P&C North America virtual conference.

"We learned a lot about ourselves [and] we learned a lot about our strategy," he continued.

“And so we came out very quickly after the deal withdrawal, with the new Aon executive committee that was built on where we have been planning to go as a firm,” the executive said, noting that the company had also announced a new operating model.

The company has put renewed energy into its Aon United strategy recently, integrating the concept into a partnership with the Ryder Cup, along with the launch of new branding and reshuffling personnel on its executive committee.

Andersen said at the event that the giant broker’s “United” approach centers on a client-centric model and brings together units that had previously been separate business lines with own their own structures and P&Ls.

“We effectively create a firm built around the client in which your client executive has to be very intimate and knowledgeable about the client itself and what the client needs,” Andersen noted.

“Not just property, not just casualty, not just reinsurance, not just health. If you're the client lead, you have to understand the client across the dynamics of retirement, human capital investment consulting, reinsurance property-casualty broking and all that goes with that.”

Aon has been using the approach with clients in various industries to tackle emerging risks.

For instance, cyber and intellectual property have been two areas where Aon has been working to bring together expertise from its consulting and (re)insurance broking operations.

“We feel like the areas where the company is competing are the areas you want to be in for the next 10 years,” Andersen said, also pointing to climate change and pandemic risk as opportunities for growth,

The executive went on to say that the company is not spending much time thinking about margins, but more about investment for top-line growth, scale and efficiency.

“It's all part of the Aon United strategy – of how do we bring our health capability?” Andersen explained.

“How do we bring retirement, investment, consulting, human capital– all the different things to a client in a way that they want to be served through a client leader that actually understands their business?”

The only way to do that “is through investment in capabilities and tools, and that's not cheap,” Andersen concluded.

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree