To motivate his team to meet an important deadline midwaythrough a three-year initiative to implement common processes andtechnology throughout Allianz Life Insurance Company of NorthAmerica, Scott Senden took a bold step. The senior vice presidentof IT services put his hair on the line.

During an August 2006 meeting with the project team–whichincluded representatives from IT, marketing, and operations–Sendenand John Miller, Allianz Life's senior vice president of enterpriseoperations and the project's executive sponsor, promised to shavetheir heads if the group met a critical November implementationdate.

“If we missed that November date, I knew it would add four orfive months to the schedule,” Senden recalls. “So John and I saidwe'd shave our heads if the team got it done.”

By mid-December, Senden and Miller were sporting a new look.Rather than simply shaving their heads in privacy, however, the duoturned the challenge into a fund-raising event for charity. Theyheld an auction in the Minneapolis-based company's auditorium, andemployees bid on the first cut, last cut, and final brush-off. Theauction raised more than $6,000 for several charities. “This iswhat it's all about,” Senden contends. “Doing something big for thecompany, engaging people, and having fun all at the same time.”

The IT project for which Senden sacrificed his wavy blond hairis called Operation Impact. It coincides with Allianz Life'sbusiness strategy to reorganize five discrete operating entitiesinto one cohesive organization that can collaborate and share bestpractices more easily. A primary company of global financialservices conglomerate Allianz SE, Allianz Life offers fixed andvariable annuities, life insurance policies, and long-term careinsurance products throughout the United States. In 2005, AllianzLife recorded gross premiums of more than $13.8 billion.

On the technology side, Senden and his team were tasked withselecting and deploying applications and systems to consolidatebusiness capabilities across the organization. The project wasdivided into three areas: the front office, the middle office, andthe back office. In 2006, the company installed NaviSys FrontOffice to create a single imaging and workflow solution for itsfixed annuity business. NaviSys offers straight-through processingof applications, regardless of product line, distribution channel,or location.

“We're not done with this project, but we're beginning to seesome significant results as these tools come together,” Sendenaffirms. “I think the biggest value is we didn't go at this from atool-by-tool standpoint. Instead, we figured out what we needed todo to deliver value to the business and then implementedcapabilities that supported that vision.”

Senden expects to complete Operation Impact by the end of thisyear. In addition to extending NaviSys Front Office into AllianzLife's variable line of business, he and his team plan to fine-tunemiddle- and back-office functions and implement e-applications tomake it easier for agents and policyholders to interact with thecompany.

“We will continue to implement capabilities to help the companyoperate more efficiently and effectively and meet the needs of ourcustomers,” he says.

In addition to improving operational efficiencies, loweringcosts through scalability, and simplifying business functions, theproject is transforming the role of Senden's employees. He overseesapproximately 400 IT staff in Minneapolis and Berwyn, Pa.

“Taking on such a large initiative gives us the opportunity toextend the skills and capabilities of our team,” he explains. “Myteam is learning new competencies that will allow [the IT staff] tocontribute to the business in ways we haven't even thought ofyet.”

With Operation Impact well under way, Senden says he looksforward to tackling new projects and continuing to add value toAllianz Life's business operations through IT. “The next few yearswill continue to be years of transformation, but we've got a lot ofsuccess behind us that says we can do it,” he asserts, bald headnotwithstanding.