Digital automation to deliver insurance to Zimbabwe IN ASSOCIATION WITH
ZIMNAT
DIGITAL REPORT 2020
02
INSURANCE AGAINST ALL ODDS
03
w w w.z i mna t . co. z w
Z I M N AT
Zimnat is making a virtue out of necessity and creating opportunity from adversity as it takes its digital future into its own control
T
o be in business in Zimbabwe is to face a multiplicity of challenges. High rates of inflation following decades of fiscal
instability make daily life difficult for everyone. For an insurance company to show growth against this background, however, is a sure sign that it is 04
in tune with its market, and growth is just what Zimnat has succeeded in achieving over the last two years. “Survival is no kind of a business strategy,” says CEO Mustafa Sachak. “The opportunities are there: people need to insure their lives and their assets, expand existing business and start new ones.” The market for Zimnat falls into four main categories, general insurance including motor insurance, life cover, microfinance (limited duration loans) and asset management. Sachak is determined that Zimnat customers should not only be as well served as those in any other part of the world, but that each individual experience, each interaction, should be exciting, enabling and energising. In a society where queuing, economising and frustration are only too
05
w w w.z i mna t . co. z w
Z I M N AT
“ The opportunities are there: people need to insure their lives and their assets, expand existing business and start new ones” — Mustafa Sachak, CEO, Masawara PLC (MASA)
familiar, he wants them to take away a more positive impression when they look for cover or seek to borrow money. The global insurance industry is being transformed by technology and Zimbabweans are not going to miss out if he has anything to do with it. It’s not easy for Zimbabwe businesses to get access to foreign currency. Turning this situation into an opportunity has been Mustafa Sachak’s mission. “We needed a core banking system to run the microfi-
06
nance operation, so we created an in-house team to develop that.” The system is in beta testing, he confirms, and with that in place it will be possible to develop other digital capabilities around it. The company is now able to adapt to the changing demographic of its customer base. Whereas in the past it would have focused on Generation X, people born before 1980, it is today typically engaging with Millennials who form the majority of the working population in Zimbabwe. These customers are digital natives with corresponding expectations. Understanding this, Zimnat is looking
Zimnat #makinglifebetter Official Advert CLICK TO WATCH
|
1:00
07 at developing behavioural and predic-
process automation (RPA) is truly
tive analytics that will learn from the
transformative, he enthuses. “As I
customer’s social habits and net-
often say, our aim as a business is
works. “At its simplest, if a policy is
to be number one for customer expe-
due for renewal, behavioural analysis
rience - to really wow the customer
can allow us to personalise their
and create raving fans for Zimnat.
reminder and look at whether other
That is why we developed software
products could be of benefit to them;
bots to perform some of the most
it has been shown to improve our
repetitive tasks that were taking
renewal rate and provide opportuni-
up time in the back office. This way
ties for cross-selling and upselling,”
we have achieved a 92% reduction
says Sachak.
in the time it takes to process a loan
In 2019 Zimnat started implement-
application. Customers needing
ing a powerful new tool that is
a loan typically need a quick turna-
streamlining its business. Robotic
round of their application. “Where w w w.z i mna t . co. z w
1946
it formerly took up to a week from loan application to completion we
Year founded
can now turn it round in hours and pay the customer via mobile money.� Staff are freed from repetitive tasks so they can be allocated to more fulfilling work, work that both adds value to the business and
$92mn
Revenue in US dollars (asset base)
serves the customer better. Having proved it within the microfinance, the teams have created further bots to bring the benefits of RPA to the life
500+
insurance business, again cutting processing times.
Number of employees
E XE CU T I VE PRO FI LE
Mustafa Sachak Mustafa Sachak is a results-oriented leader with over 25 years of multidisciplinary and international business experience ranging from process engineering, manufacturing operations management, general management to corporate multibusiness unit management. He has a proven track record in dealing with turnaround, reorganisation and growth challenges with companies operating under very difficult macro-economic conditions. Sachak possesses a collaborative and hands-on management style, with a demonstrated talent for managing a diverse set of businesses and dealing with different cultures and operating environments. w w w.z i mna t . co. z w
09
Z I M N AT
10
Data is the key to this transforma-
repetition. Simply, with the data avail-
tion, and Zimnat recently added two
able at their fingertips and a much
members of staff to its team dedi-
better and broader picture of the
cated to data capture and analytics.
customer, staff can concentrate on
There’s a mountain of data available
adding value and understanding their
within the four business units, and
current and future needs. A refined
refining the data lake is simplifying
data lake is essential to RPA, deliver-
decision making, and freeing staff
ing the further major advantage of
and customers from the burden of
minimising processing errors, lower-
form-filling, manual processes and
ing business risk and ultimately
APRIL 2020
delivering a fast and reliable digital service to all those raving fans. The technology is being extended across all business units, and having control of it in-house circumvents the problems associated with using third-party platforms. Apart from the currency issue, maintenance, customisation and further development are in the control of the company, and an opportunity is created by being able to generate hard currency by selling or licensing the software abroad for hard currency. “A key advantage for us here has been our partnership with Sanlam, one of the biggest internationally active insurance groups in the world and the largest non-banking financial services company in Africa,” explains
“ Our aim as a business is to be number 1 for customer experience. To really WOW the customer. To create raving fans for Zimnat!” — Mustafa Sachak, CEO, Masawara PLC (MASA)
Sachak. “Sanlam acquired a 40% interest in Zimnat in 2015, and through this partnership we gained many advantages, from training and secondment opportunities that have helped attract top talent to the digital teams, to the access it gives us to wider African markets. Our in-house fintech capacity has been boosted through Sanlam’s considerable w w w.z i mna t . co. z w
11
Z I M N AT
12
“ Where it formerly took up to a week from loan application to completion we can now turn it round in hours and pay the customer via mobile money” — Mustafa Sachak, CEO, Masawara PLC (MASA)
reservoir of technical expertise and product knowledge.” Within Zimbabwe itself, the backing of Sanlam increases client confidence in the long-term stability of the business, an important asset in the prevailing economic environment. For its part, Sanlam has gained valuable access to a company that has proved it can thrive and grow in a difficult economic environment, and to a valuable source of talent to support its own growth. It’s worth mentioning here that as well as the data and services that exist within Zimnat and Sanlam, Zimnat’s majority shareholder the Mauritius-based w w w.z i mna t . co. z w
13
SECURING SECURING YOUR YOUR TOMORROW, TOMORROW, TOGETHER TOGETHER We provide We provide sound sound reinsurance reinsurance and financial and financial services services to Zimbabwe to Zimbabwe and entire and entire AfricanAfrican Insurance Insurance market. market. Over the Overyears the years we have we have shownshown excellent excellent serviceservice in the inmarkets the markets we we serve. serve. Our reassurance Our reassurance to our to clients our clients is thatis that we have wethe have same the commitment same commitment to excellence to excellence as theyasdothey anddo theand resources the resources to backtoitback up. it up. LEARN MORE LEARN MORE
“ If a policy is due for renewal, behavioural analysis can allow us to personalise their reminder and look at whether other products could be of benefit to them” — Mustafa Sachak, CEO, Masawara PLC (MASA)
to use is behavioural analytics. “Behavioural and predictive analytics gathers data from a person’s preferences, social media interactions, travel habits, apps and more to personalise our product offering for them, and predict their wider needs whether in real time or in the future. When customers’ policy renewal date comes along, for example, we can do more than simply remind them: behavioural analytics allow us to customise the most cost effec-
pan-African Masawara group has
tive package for them, and suggest
interests including health, hospitality,
other products and services availa-
real estate and ICT. Partnerships
ble within the group.”
like these confirm Zimnat’s position as a key asset in the national economy. Zimnat’s digital transformation
It’s a vision for the company that he is keen to deliver, while accepting it won’t happen overnight. “Different
is a never ending process, Sachak
leaders within the organisation will
noted. He wants to be alive to the
be able to move at different speeds.
changing needs and expectations
We need to experiment, take a 360
of Generation Z and even Generation
degree view of the business as a whole,
Alpha. Young people are not tradi-
and help all our people to understand
tionally thought to be interested in
that vision.”
insurance products but they soon will be, and for many in Zimbabwe responsibility comes early. They need protection as much as anyone. Another technique Sachak is keen w w w.z i mna t . co. z w
15
ZIMNAT ZIMNAT HOUSE CNR 3RD ST & NELSON MANDEL A AVENUE HAR ARE ZIMBABWE T +263 242 707581-6
www.zimnat.co.zw
P0WERED BY