VALUE Creating

T H R O U G H R I S K M A N A G E M E N T

SOLVENCY II

ABOUT Enterprise Concept was founded in 2005, based on the beliefs of the founders that they can help others create value and change the way of doing business. In order to set up the practice of those beliefs, the founders, management and their followers embraced three major innovative concepts: Decision Management System, Business Process Management and Business Performance Management. The practical aim has been to bridge the gap between management consulting and technological execution and has transformed our expertise into pure art.

WE CREATE VALUE, POWER AND PERFORMANCE. We consider every single client an outstanding asset and a

pillar of our common development.

25 companies have chosen us

Design and execution of smart processes have enabled our clients to better mitigate risks and win opportunities.

140 BPM projects implemented

SOLVENCY II

IMPACT W E C R E A T E I M P A C T T H R O U G H P R O C E S S M A N A G E M E N T D E S I G N

Enterprise Concept brings together a team of 32 Business - IT Certified Senior Consultants, trained to provide Strategic Consulting Services throughout all stages of implementation:

CREATING CONDITIONS FOR SUCCESSFUL IMPLEMENTATIONS Gathering 10 years of hands-on experience, the

company has evolved into a team of consultants excelling at redesigning business models that generate added value - by positioning technology as the basic structure when creating BUSINESS LOGIC.

EMBEDDING DESIGN THINKING IN BUSINESS

INCREASING VALUE THROUGH OPERATIONS

BUSINESS ANALYSS

BUSINESS PROCESS

OPTIMISATION

CHANGE MANAGEMENT

ENHANCED RISK MANAGEMENT SYSTEM

PLANNING AND BUDGETING

CLAIMS MANAGEMENT

MASTER DATA MANAGEMENT

CREDIT MANAGEMENT

CUSTOMER ONBOARDING

A. SOLVENCY II CHALLENGE

B. FINANCIAL MODELER

C. EC’S ADAPTIVE BUSINESS DESIGN (ABD©)

PRACTICAL ASPECTS FOR VALUE-BASED RISK MANAGEMENT

METHODOLOGY

A B C

SOLVENCY II

THE SOLVENCY II CHALLENGE “Solvency II is not just about capital. It is a change of behavior"

REQUIREMENTS

! Focus on addressing the wider guidance around risk governance and capital management.

PILLAR III

Aims to establish a revised set of EU-wide capital requirements and risk management standards

PILLAR II

# Fundamental review of the capital adequacy regime for the European Insurance industry.

PILLAR I Through the harmonization of supervisory regimes. DEEPENED EU MARKET INTEGRATION

Shift supervisors’ focus from compliance to insurers’ risk profiles and quality of risk management and governance systems.

MODERNIZED SUPERVISION

Uniform and enhanced level of policy holder protection across the EU.

IMPROVED CONSUMER PROTECTION

INCREASED INTERNATIONAL COMPETITIVENESS OF EU INSURERS

KEY OBJECTIVES

SOLVENCY II

& HOW CAN ENTERPRISE CONCEPT HELP?

A successful partnership with IBM, the leader in risk management solutions, enables us to

thoroughly respond to technical provisions and capital requirements included in Pillar I.

AWARD WINNING TECHNOLOGY

More complex challenges stem from requirements of Pillar II and III, which are fully addressed by

implementing R-ABD© information architecture.

RISK AGILE FRAMEWORK

ENTERPRISE PERFORMANCE MANAGEMENT

BUSINESS PROCESS

MANAGEMENT

DECISION MANAGEMENT

SYSTEMS

ADAPTIVE BUSINESS

DESIGN

As a trusted IT advisor of large companies, we are today in a position of helping our clients

working in the insurance business, by providing

integrated solutions addressing all three pillars of Solvency II

1 2

SOLVENCY II

Bermuda  [1]  

Brazil  [2]  

Chile  [3]  

China  [7]  

Columbia  [1]  Hong  Kong  [3]  

India  [5]  

Indonesia  [2]  

EMEA  Japan  [15]  

Korea  [6]  

Malaysia  [2]  

Mexico  [2]   Pakistan  [4]  

Peru  [2]  

Singapore  [3]  

South  Africa  [1]  

Sri  Lanka  [1]  

Taiwan  [3]  

Thailand  [5]  USA  [3]  

Uruguay  [2]  

Vietnam  [1]  

•  Used by Tier 1 – 3 life insurers globally, including new multi-national clients

Belgium  [5]   Bulgaria  [1]  

Cyprus  [2]  

Czech  Rep  [1]  

Denmark  [3]  

Egypt  [1]  

Estonia  [1]  

Finland  [1]  

France  [4]  Germany  [2]  

Greece  [6]  

Hungary  [3]  

Ireland  [6]  

Israel  [1]  

Latvia  [1]  

Lebanon  [1]  

Lithuania  [1]  

Lux  [1]  

Malta  [2]  

Netherlands  [13]  

Poland  [2]  

Portugal  [2]  Romania  [1]  

Norway  [1]  

Slovakia  [1]  

Spain  [15]  

Sweden  [2]  

Switzerland  [2]  

Turkey  [6]  

UAE  [1]  

UK  [19]  

•  Currently in use by •  1000+ users •  170+ companies •  180+ locations •  50+ countries

Italy  [1]  

ArgenXna  [1]  

PILLAR I: IBM ALGO FINANCIAL MODELLER 1

AN IBM SOFTWARE DIVISION CURRENT CLIENT BASE

SOLVENCY II

01

02

03 Cash flow Modelling

Regulatory Reporting

Business Strategy

IBM ALGO

IFRS SOLVENCY II LOCAL STATUTORY

1

BUSINESS STRATEGY PRODUCT PRICING PRODUCT DESIGN

STOCHASTIC

2

ASSET & LIABILITY EMBEDDED VALUE

3

A calculation generation tool with a graphical interface providing users with a flexible platform to perform a wide range of actuarial focused life insurance business functions.

WHAT IS IBM FINANCIAL MODELLER 1

SOLVENCY II

STANDARD CODE RAPID MODEL DEVELOPMENT 1

$

%  

&

'

Standard Code

Common Calculations

Local Ownership

Design Ethos

Pre-built building blocks(routines)

Quick implementation

Standard Code

Core calculations, e.g. probabilities

Actuarial processes, e.g. PVFP

Generic products, e.g. term, UL, annuities

Common Calculations

Local regulatory requirements

Local product variants

Treat “Common Code” as a starting point

Local Ownership

Use again and again

Optimal AFM coding

Easy customization

Design Ethos

INTEREST

'  !

(

)

#

$

EMBEDDED VALUE

AGES, DATES & DURATION

ALM

RESERVES

PREMIUMS

BENEFITS

#

EXPENSES

COMISSIONS

PROBABILITIES

SOLVENCY II

The Adaptive Business Design © (ABD) offers maximum flexibility to a company to rapidly (re)configure and rethink business processes and performance indicators. ABD© brings an integrated risk-agile framework and is achieved through definition and implementation of 3 interdependent systems, supported by high-end technology:

ADAPTIVE BUSINESS

DESIGN

Design of effective business communities:

BUSINESS PROCESS

MANAGEMENT

DECISION MANAGEMENT

SYSTEMS

ENTERPRISE PERFORMANCE MANAGEMENT

Effective partnershis clients, suppliers,

strategic allies

Design of Transformational

Management Systems

IT Supported

Revenue enhancement

Design of client centric processes

Achieve Business Objectives (Strategy)

Balanced Scorecard in

action

Design and Implementation

of Decision Analytics

Management Systems

Value Capture

Design of Adaptive

Measurement Systems

Design

Implement Change

AN ADAPTIVE AND RISK-AGILE FRAMEWORK 2

1 – Strategic and operational KPIs, the results of business activity

ENTERPRISE PERFORMANCE MANAGEMENT

2 – Decisions and associated costs DECISION MANAGEMENT SYSTEM

3 – Flows that create business value BUSINESS PROCESS MANAGEMENT

SOLVENCY II

*

+

$

BUSINESS PROCESS MANAGEMENT (BPM)  The BPM layer enables companies to easily design, monitor and change their processes, thus continuously focusing on increasing added value and process controls. Process Management is a key prerequisite of efficient and effective governance and qualitative measures.

ENTERPRISE PERFORMANCE MANAGEMENT (EPM)  The EPM component gathers, transforms and displays data and information collected in the processes (BPM) or in other systems of the company, so that the most relevant indicators can be singled out, monitored and improved. This applies also to all indicators targeted in Risk Management and supervisory interaction.

DECISION MANAGEMENT SYSTEM (DMS)  The results of BPM and EPM are then used to improve the decisional process, which allows the decision-makers at all levels - and consequently the company - to quickly identify and avoid risks, but also seize strategic and operational opportunities.

AN ADAPTIVE AND RISK-AGILE FRAMEWORK 2

SOLVENCY II

(

, $

&

There is not one solution which fits all – companies need the right partners to design an optimized system.

CUSTOMIZED SOLUTION

Your business needs a system which is both flexible and scalable enough to deal with regulatory guidance but able also generate opportunities

FLEXIBLE AND SCALABLE

Choose ABD for maximum flexibility to rapidly (re)configure and rethink business processes

and performance indicators.

ADDAPTIVE BUSINESS DESIGN

Act now and start building the program which provides the right

balance of costs and benefits. .

ADDED VALUE

SOCIAL MEDIA

CONTACT INFO

Tel: +0 371 464 524 Fax: +0 371 464 524

Email: officel@enterprise-concept.com Web: www.enterprise-concept.com

ENTERPRISE CONCEPT Strada Aviator Traian Vasile nr 58,

Sector 1, Bucuresti

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