Allstate’s Goal Setting Process
Effective Or Not?
Discuss the following related to Allstate Insurance company using the goal setting
process, evaluate Allstate’s goal setting process, and determine whether it is effective or
Allstate is one of the largest insurance companies in the country, and has a dominant share of the insurance market. A great deal of its success is due to the goal setting system it has set in place for the company. This system provides its employees a road map for success in the insurance industry. They have quarterly leadership matrix that measures leadership. They also have surveys to get feed back from there employees. Allstate puts a strong emphasis on diversity. They have put together a four step goal setting process to drive the success of there company.
Step 1: Succession ...view middle of the document...
Twice a year the company takes a survey called the diversity index. This is a online survey for employees to give feedback. This process is known as the Quality Leadership Measurement System (QLMS).
Step 4: Accountability and reward. The company’s diversity goals link insentive compensation by giving each manager a 25% merit payout based on the Diversity Index and the QLMS. (Hellriegel & Slocum 2011, 215-216)
Lets now look at each of the four steps and reveal how this goal setting process is a very important driving force behind the success of the company, starting with step 1. In this step Allstate put a system in place that allows the company to track, measure and record the development and strengths of all 36000 of there employees. Making sure that the companies work force is truly diverse from all levels from entry level all the way up to upper management. This is very important in two ways. First all by tracking the strengths of all of its employees it allows them to promote the right people to fill open slots of management based on there individual strengths. Creating the perfect team to catapult the company into true market dominance. The closest analogy I came up with to give a comparison would be the starting five on a basketball team. Each individual player has a specific role based on there abilities and strengths. For example the point guard is assigned to that position based on there unique peripheral vision to find there other four players on the court and judgment to be sure if they are in a position to score against the opposing team. The power forward and Center are normally choosen for that position based on there rebounding ability and finding ways to score normally close underneath the basket. The Small forward in my opinion is the hybrid position it is like crossing the shooting guard with a power forward. The normally can play any position besides small forward. And finally the shooting guard, they are choosen for this position based on there scoring ability. Now a center cannot play point guard, andsimilar to how Allstates system works by placing people in the proper positions based on there strengths.
Step Two is development