A Strategic Plan for the IAA

Transcription

1 A Strategic Plan for the IAA Vision, Mission and Values A Discussion Paper for the IAA Meetings October 24-28, 2007 Dublin, Ireland Submitted by the IAA Task Force on Strategic Planning The IAA Task Force on Strategic Planning (TFSP) has prepared this paper for discussion during various meetings in Dublin on the elements of a strategic plan for the IAA. In order to develop a strategic plan, the TFSP is following the process of first developing a vision statement (what the actuarial profession would like to be at some point in the future), a mission statement (what we are currently doing or believe we should be doing to achieve that vision) and a statement of values held by the IAA. Once consensus is reached on statements of vision/mission/values, the Task Force will proceed with developing a road map of strategies and actions to achieve the vision and mission on a durable basis. The IAA, as the only worldwide association of actuarial associations, must add value to its member associations while serving the public interest. To be successful a vision statement is needed that defines our purpose and inspires greater achievements for the profession world-wide. For reference, the TFSP has used the following vocabulary 1 : A vision or strategic intent is the desired future state of the organization. It is an aspiration around which a strategist, perhaps a chief executive, might seek to focus the attention and energies of members of the organisation. A mission is a general expression of the overall purpose of the organisation, which, ideally, is in line with the values and expectations of major stakeholders and concerned with the scope and boundaries of the organisation. It is sometimes referred to in terms of the apparently simple, but actually challenging question: What business are we in? If the word goal is used, it usually means a general aim in line with the mission. It may well be qualitative in nature. On the other hand, an objective is more likely to be quantified, or at least to be a more precise aim in line with the goal. However, in this book the word objective is used whether or not there is quantification. The concept of strategy has already been defined. It is the long-term direction of the organisation. It is likely to be expressed in fairly broad statements of the direction that the 1 Taken from the book by Gerry Johnson and Kevan Scholes: Exploring Corporate Strategy Text and Cases, sixth edition The vocabulary of strategy

2 2 organisation should be taking and the types of action required to achieve objectives: for example, in terms of market entry, new products or services, or ways of operating. It is, then, important to exercise some degree of strategic control so as to monitor the extent to which the action is achieving the objectives and goals. The IAA can add value to its member associations while serving the public interest in a number of ways, some of which are: 1. Maximizing the credibility of the profession globally by setting strong actuarial standards worldwide in the areas of education, practice and professionalism. 2. Enhancing the global actuarial brand so it is associated with a good reputation, quality work, professionalism and a positive contribution to society as a whole. 3. Ensuring that the profession increases its scope to take advantage of new areas for which actuaries enjoy comparative advantages given their quantitative and multidisciplinary orientation. 4. Representing the actuarial profession at the international level. 5. Advancing, at the international level, the body of knowledge of actuarial science and its applications. 6. Providing a forum for associations and actuaries to discuss common problems worldwide and to exchange experiences. 7. Providing assistance to smaller associations and those in emerging countries by supporting their activities in training future actuaries, setting standards, establishing codes of conduct and disciplinary processes. 8. Providing assistance to larger associations by increasing the credibility of the profession on a global scale. 9. Facilitating cross-border actuarial practice. The IAA is structured in a way that maximizes the advantage of diversity and creativity within its membership and leverages the contribution that each association can bring to the profession on its own initiative; it adds value by giving the profession a strong and unified voice at the international level and taking initiatives that member associations could not achieve on their own. Listed below are some additional ways the IAA adds value to its member associations. 1. Commerce and industry are increasingly becoming global activities. Consequently, the professions that are associated therewith must become more international to compete and keep up. The IAA is the global organization for the actuarial profession. 2. To keep up with what is happening internationally, it is essential for a local actuarial organization to be involved with the IAA. 3. The IAA is the primary and respected face of the actuarial profession in the eyes of the IASB, the IAIS, the ISSA and many other international bodies such as WHO, OECD, World Bank, IMF, BIS, etc. 4. IAA Full Member status represents the global standard for actuarial organizations and is the ultimate goal of developing actuarial organizations. Acquiring and maintaining membership in the IAA makes transparent the recognition of full professional status.

3 3 5. Full Member status provides an actuarial association with the opportunity to contribute to and influence global developments with respect to international accounting standards development, international regulatory developments, and international actuarial standards of practice. 6. The IAA provides an opportunity for well-established actuarial associations to assist with the emergence of the actuarial profession in countries where it does not yet exist or where it is in the developmental stage. Member associations influence the work of the IAA by selecting and appointing committed and eager representatives to the various IAA committees. The purpose of this paper is to stimulate discussion about the vision, mission and values of the IAA at the meetings in Dublin to gain consensus on them before proceeding with the next step of developing goals and objectives (action plans) as part of a strategic plan. The TFSP developed vision, mission and values statements for a questionnaire it circulated in August. The full results of that survey are posted on the IAA website under the Executive Committee/Strategic Planning/Documents and are also attached to the Council agenda for the meeting in Dublin. Based on the very helpful and much appreciated feedback from that survey and further thought on the part of the TFSP, the following statements are offered for discussion in Dublin. Vision: The actuarial profession is recognized worldwide as a key contributor in the decision making process in the financial sector, in the area of social protection and in the management of risk. Mission: The IAA represents the actuarial profession as the worldwide professional, educational and research organization of actuarial associations; it makes a positive contribution to society as a whole by developing the international role, reputation and recognition of the actuarial profession and promoting professionalism, research and global standards of education in response to changing needs. Values: The IAA subscribes to the values of integrity, accountability, transparency, and objectivity in dealing with its membership and the public.

4 4 Goals: The IAA, in cooperation with its member associations, will: 1. identify, establish, and maintain relationships with key supranational audiences and provide them with actuarial input to improve the soundness of decisions being made on important global issues; 2. facilitate the use and expansion of the scientific knowledge of the actuarial profession to wider fields to help enhance the scope, quality, and availability of actuarial services offered by its member associations; 3. establish, maintain and promote common standards of actuarial education and professionalism as well as model standards of practice for use by member associations worldwide; 4. support the promotion, organization and development of the actuarial profession in areas of the world in which it is not present or is not fully organized; 5. provide a forum for discussion among actuaries and actuarial associations throughout the world; and 6. promote and facilitate the globalization of the actuarial brand. Strategy The strategy that will be proposed by the TFSP after the Dublin meetings will set out and prioritize the strategic objectives to achieve the vision, mission and goals. We appreciate the valuable input that was provided in response to our August 2007 questionnaire that will assist us in doing that once support is gained for the vision, mission and values statements. For reference, it should be noted that in the TFSP questionnaire sent out in January 2007 the question was asked what three issues do you feel present the greatest challenge to the international actuarial profession? The most frequently mentioned challenges were (in order): a. Education b. Quality (standards and guidelines on financial reporting) c. Scope (broadening the application of our skill set) d. Branding (image, reputation and recognition of the profession) e. Services to membership f. Recognition (role of the actuary) g. Relationships (with governments and institutions) The above goals incorporate these challenges.

5 5 Discussion The TFSP will lead the discussion about these statements of vision, mission and values at IAA meetings in Dublin in October. The aim will be to gain consensus about them so they can be put to a vote of Council before proceeding on to the next step of developing strategy/action plans. This vote hopefully will be an electronic one shortly after the meetings in Dublin; otherwise at the Council meeting in Quebec City in June After the strategic plan is in place, then the issue of how governance should be adjusted to better support the strategic plan will be addressed. Some specific questions to be considered in Dublin are: 1. Does the vision statement capture the desired future state of the actuarial profession? 2. Does the mission statement capture the general expression of the overall purpose of the IAA? 3. Does the values statement capture the values of the IAA? 4. Are there any goals that should be added or deleted to those listed above? We look forward to more input in Dublin. Respectfully submitted, IAA Task Force on Strategic Planning David G. Hartman, Chairperson Yves Guérard Alf Guldberg R. Kannan, Provisional Member Dan McCarthy, Provisional Member Paul Thornton Stuart Wason Kurt Wolfsdorf, Provisional Member Masaaki Yoshimura Ex-Officio Hillevi Mannonen, President Jean-Louis Massé, Past President