An Interview with Outside Directors (Scott Trevor Davis)

Sompo Holdings has made considerable progress in the achievement of its goals over the past year. Many corporations in Japan’s insurance industry have been actively engaged in the implementation of plans to adapt their businesses to market changes. By contrast, Sompo Holdings has invested the past 12 months implementing a range of policies designed to transform its organization, business operations, and the geographical distribution of its assets in order to put itself ahead of these changes. The results of this transformation strategy are evident in several areas.
Organizationally, Sompo Holding’s strong executive team has effectively utilized the newly introduced matrix of CxO and Business Owner roles to implement a decision-making process that combines rigorous debate with a strong sense of strategic direction and action. This process of mission-driven management has been further reinforced by the introduction of a value-driven system of executive remuneration that enhances the corporation’s ability to attract, retain, and motivate talented personnel in critical areas.
The application of digital technology combined with collaboration among business units in different regions and industries has been further accelerated during the past year and has yielded a number of highly promising initiatives with the potential to enhance Sompo Holding’s capacity to promote innovation within both existing and new businesses. This ability to promote innovative new business models while concurrently enhancing its existing business activities has become a defining characteristic of Sompo Holdings and an indication of the quality of its management.
Sompo Holding’s achievements at the global level have been remarkable. In marked contrast to the prevailing practices of most Japanese firms, Sompo Holdings has used its recent successful completion of a major international acquisition as an opportunity to consolidate its entire existing portfolio of global operations and coordinate its overseas business interests under the leadership of a new global management platform that augments Sompo’s existing core of highly experienced international executives with a new group of executive personnel whose entrepreneurial spirit and expertise open up a wide range of new strategic possibilities for further growth.
During the past year, Sompo Holdings has effectively implemented a range of innovations to achieve its goal of strategic transformation. Progress over the next few years will hinge upon the Company’s ability to maintain this momentum by creating synergies between its domestic and global businesses, promote strategic engagement among all its personnel, and further develop its narrative of wellbeing into innovative and attractive services for the Japanese market.