CAIB 4 Questions and Answers Verified by
Experts
Explain "scanning the external environment" and its two sub categories. Scanning the
external environment looks at the competitive environment and attempts to identify
opportunities and threats.
They look at the distant environment and near environments.
Explain the distant environment. Factors that are critical to the survival of the brokerage,
but over which it has no control. Example: Hard and soft markets. Changes to laws. Technology.
Explain the near environment. Factors over which a brokerage does have control.
Example: Clients and prospects, market segment targeted, direct competitors.
What are the three types of profiling within Near environment scans? Competitor,
market, and client profiling.
Competitor: Size, financial condition, and location of head office.
Market: Total market, market segments where they compete, and the market portion that they
serve.
,Client: Find a clear understanding of the nature and characteristics of a brokerage's clients.
Explain SWOT and the needed actions given the four scenarios If there is a weakness
where there is a threat - Immediate Attention
If there is a weakness where there is an opportunity - Resources should be allocated to
capitalize later.
If there is a strength where they is a threat - No action needed
If there is a strength where there is an opportunity - it should be immediately capitalized on
Recite the vision statement Protection of assets by protecting what is near and dear to
our clients
Recite the value statement We seek and encourage innovative solutions to problems
that deliver results for our clients.
Recite the mission statement To be recognized as a leader in promoting long term
relationships with clients and insurer partners by conducting ourselves with integrity,
professionalism, and utmost good faith.
, Explain the relation between the vision, value, and mission statement. ...
What are strategies referred to as? Long term battle plan
What are the principal characteristics of well set goals? SMART - Specific, Measurable,
Actionable, Realistic, Timely
Define each aspect of SMART goals Specific - Clearly state what is to be accomplished
Measurable - Must be capable of being measured
Actionable - Must be clear what specifically is expected
Realistic - Must believe that it can be achieved
Timely - Completion date or time frame
Why is it important to link budgets to strategies, goals, and objectives? Also called profit
plans, budgets force management to forecast revenues and expenses. They also focus on
operating efficiency
Experts
Explain "scanning the external environment" and its two sub categories. Scanning the
external environment looks at the competitive environment and attempts to identify
opportunities and threats.
They look at the distant environment and near environments.
Explain the distant environment. Factors that are critical to the survival of the brokerage,
but over which it has no control. Example: Hard and soft markets. Changes to laws. Technology.
Explain the near environment. Factors over which a brokerage does have control.
Example: Clients and prospects, market segment targeted, direct competitors.
What are the three types of profiling within Near environment scans? Competitor,
market, and client profiling.
Competitor: Size, financial condition, and location of head office.
Market: Total market, market segments where they compete, and the market portion that they
serve.
,Client: Find a clear understanding of the nature and characteristics of a brokerage's clients.
Explain SWOT and the needed actions given the four scenarios If there is a weakness
where there is a threat - Immediate Attention
If there is a weakness where there is an opportunity - Resources should be allocated to
capitalize later.
If there is a strength where they is a threat - No action needed
If there is a strength where there is an opportunity - it should be immediately capitalized on
Recite the vision statement Protection of assets by protecting what is near and dear to
our clients
Recite the value statement We seek and encourage innovative solutions to problems
that deliver results for our clients.
Recite the mission statement To be recognized as a leader in promoting long term
relationships with clients and insurer partners by conducting ourselves with integrity,
professionalism, and utmost good faith.
, Explain the relation between the vision, value, and mission statement. ...
What are strategies referred to as? Long term battle plan
What are the principal characteristics of well set goals? SMART - Specific, Measurable,
Actionable, Realistic, Timely
Define each aspect of SMART goals Specific - Clearly state what is to be accomplished
Measurable - Must be capable of being measured
Actionable - Must be clear what specifically is expected
Realistic - Must believe that it can be achieved
Timely - Completion date or time frame
Why is it important to link budgets to strategies, goals, and objectives? Also called profit
plans, budgets force management to forecast revenues and expenses. They also focus on
operating efficiency
