How the CEO of a top 10 independent broker manages organisational growth
David Heathfield is the CEO of AssuredPartners International. He has been integral to the growth and acquisition strategy of the AssuredParters model this side of the pond. As the CEO of the UK & European arm of the eleventh largest broker in the US, David is leading almost a thousand individuals toward his vision for the business. Through close communication with the US ownership and his leadership team, AssuredPartners International has seen rapid growth. The business is now a top 10 independent UK broker, working across a broad range of insurance specialisms; yet David is looking for the company to climb, and to become ever more influential and prominent in the insurance market.
Starting out as a qualified solicitor, David discusses with us how he made his way into the industry, as well as his approach to leadership, and what excites him most about his current role. He notes the challenges he faces day to day, how insurance can stimulate growth, and how the acquisition model compliments his passion for a positive company culture.
Tell us about your career pathway so far and what brought you to AssuredPartners and your current position as CEO.
“So, I began my career in insurance by doing litigation within a city-based London law firm. I realized pretty quickly that I was going to make my way into the industry. And so I joined an insurance broker in 2010 – the asset manager broker Baronsmead. After 4 or 5 years, the company was sold to AssuredPartners, and this is where I’ve been ever since.”
“The transition didn’t take long. Over the first 12 months, it became obvious to me that I had a really great opportunity within this new organisation. For one, trading as AssuredPartners helped us achieve better deals with insurers and to attract larger clients. This was the catalyst for us to start looking at the other companies and understanding what could be achieved collectively. A couple of years later and it was agreed that I’d become the CEO of AssuredPartners outside the US, managing our UK & Ireland acquisitions.”
What have you learned about leadership and the evolving responsibilities of leading a rapidly growing business?
“I look at leadership from a responsibility perspective. The key responsibility for me is ensuring that the company is growing successfully, both organically and through acquisitions.”
“My main role involves overseeing acquisitions and ensuring good business, but it also includes positive recruitment. We’ve had a lot of new people join us in a very short space of time, and I need to provide the platform for people to work effectively together. I see myself as a conduit; ensuring that communication between all individuals is successful.”
“We’ve been able to grow quickly because our private equity owners have really backed us. AssuredPartners have had the same owners for 11 years – that’s really unusual. And if I go to my colleagues in the US and say that I want to go in a certain direction with an acquisition, they couldn’t be more supportive.”
What are some of the biggest challenges involved in leading a diverse and growing organisation?
“If I look at the challenges on a day-to-day basis – one of the biggest is maintaining successful communication. In my view it’s also one of the most important aspects of being a leader. Everyone is different; everyone reacts differently. And so, the challenge comes from learning about people and being confident that your message has been heard.”
“I believe the way in which a leader communicates has a fundamental impact on how people respond to you. I think very carefully about the way in which I try to get my message across to all colleagues across the business. I want to create an environment that gets the best out of people. If a leader creates an environment where people are scared to make mistakes, then there won’t be any space for initiative to thrive.”
“Leaders need the ability to listen to people. I’ve got a really clear view in terms of what I want AssuredPartners to achieve. I have clear values and a clear direction for the company.”
“I’m tremendously lucky that – through the nature of acquisitions – I get to work with brilliant people who have started brilliant companies. These people have been successful in their own right; so, I’m actually in a position where I can learn a lot from my new colleagues – which is fairly unique.”
If you had to pinpoint the most important skill you need to successfully perform your role, what would it be?
“In my role, I need to be able to read people, understand businesses and bring on board people with the correct expertise who maybe just need some centralised support. Most of the successful acquisitions that we’ve made over the last several years are because of one message: Localised Execution with Centralised Support. This message has really resonated with management teams.”
“I recognise that companies have a formula, in terms of the way they run their business. These management teams have been really successful in the past and I want to keep that going. I don’t want to change how they operate – that’s not our model.”
“It’s localised execution with centralised support – maintaining what makes teams great and providing them with capital; whether that’s human capital or financial capital; to accelerate growth.”
How do you see insurance playing a role in organisational growth and the benefits a strong, powerful broker can provide to clients?
“I mean, if you look at the benefits of a company really engaging in the buying process of insurance, you are taking your risk off your balance sheet and putting it onto an insurer’s balance sheet. Insurance is there to protect against catastrophic events, but it can also be helpful in providing a platform for growth.”
“Insurance can help younger companies accelerate going forward without the need to look over your shoulder and wonder what will happen if they don’t get it right. Having a knowledgeable broker who understands your business, your sector, your operations, what you do; it’s essential.”
“We’ve acquired community brokers. We’ve acquired specialist brokers. What they all have in common is that they understand what their clients need.”
“There’s a lot of specialists across the group, which means we as a business have a lot of expertise. In the US they call these verticals of expertise. It allows teams to engage with colleagues across the business and internationally – this joined up approach will help to accelerate organic growth.”
“Quite often, clients just want to deal with one broker. So, there’s a benefit to doing everything under one roof, and having expertise in these areas; liability, property, employment, health and safety, risk management, claims, HR. We want to provide it all, while still retaining the flexibility and feel of an independent broker – which is what we are.”
What excites you most about your role, and about leading a growing organisation?
“Honestly, what’s brilliant about my job is that I get to meet new people and work with new companies all the time.”
“My role is nothing like it was in 2010, it’s always evolving. We’ve grown fast, we’ve got a lot we want to achieve. Everyone wants to work in an environment where there are opportunities to develop your career, and there has always been a lot of opportunity within AssuredPartners.”
“And I’m still learning; learning from the individuals and management teams that are joining us as a company. I get excited when we recruit new people. When we acquire a company, you can gain 200 new colleagues overnight – that’s pretty cool. Even if it’s a 10-person company, it’s new energy.”
“A great example is my relationship with Simon (Mabb, Managing Director of Romero Insurance Group). He’s part of our biggest acquisition, and when comes to growing a company, he’s been there and done it. We can leverage that knowledge and, together with the knowledge of the other terrific leaders we have within the business, use it to accelerate our success at AssuredParters.”
How important is company culture to growth, and what steps do you take to help new people joining the organisation?
“Building a company culture is critical, but definitely a fun challenge. Any company that grows rapidly with acquisitions has a balance to find. We want to maintain the autonomy of our acquisitions and not interfere too much but at the same time we want everyone to feel part of a bigger story. So I say: Crack on with what you are doing but give us a call if you need any resources. Some companies want more integration, others want less. Every company is different.”
“As a CEO, you can’t let your perspective be stuck in one place. When you’ve got new people coming in and bringing different perspectives all the time, it helps motivate you into thinking how things can be done differently.”
“Everyone wants to be part of a growing company. But to lead and be part of a growing company, you have to put a shift in – it’s as simple as that. Growth doesn’t just happen – winning new clients, acquiring new businesses, moving offices, integrating new processes – it’s all part of the journey.”
“Whereas, on a personal level, I always focus hard on making sure I don’t sweat the small stuff.”
“That’s not to say the small issues are not important, but you’ve got to find a way of focusing on the key issues. You need to find a way to cut through to the key decisions.”
“And what I’ve realised is, being the CEO, that most people who come to you with a problem already know what the right answer is. They often just want the confirmation that they’re making the right decision. This is especially significant for new team members coming into the company, who need that little bump of confidence.”
“So – to answer your question – the culture I try to sustain is one which gives people the freedom to solve their own problems, with a leader there as a sounding board and a reassuring voice.”
And finally, what’s your one piece of advice?
“Listen. Focus on the key issues – and have the courage to make decisions.”
Thank you to David for his time and insight into leadership and responsibility as a CEO. David is excited to lead the company forward and to gain new colleagues; we are eager to see what new areas of the insurance industry David plans on a exploring next. Watch this space…
To read more of the Expert Insights series by Romero Insurance Brokers, see here.
