Operational processes, with insurance business as the key element, are at the core of the PZU Group’s value creation model. The offering is supplemented by health, banking, investment and pension products. Equity management in the PZU Group is implemented in accordance with the PZU Group’s strategy. This is why aspects related to the core business – insurance offered by PZU and PZU Życie – are of greatest importance.
The PZU Group, in its double materiality analysis process, is based on the following value chain:
- Suppliers: managing relationships with suppliers or corporate service providers (e.g., IT contractors), and relationships with third-party brokers or agents;
- In-house operations: human resources, IT, facilities and property protection;
- Property insurance: property insurance offerings, their marketing and distribution, claims and benefits handling;
- Life and health insurance: life and health insurance offerings, their marketing and distribution, claims and benefits handling;
- Own investments: asset management of own investments;
- Mutual and pension funds: asset management, marketing and distribution of mutual and pension funds;
- Business banking: banking services offered to business clients, including loans, bond issuance and cash management services;
- Retail banking: banking services for retail clients, including daily banking and a portfolio of loans including mortgages;
- Health-care: operations of private medical facilities operated by PZU Zdrowie and the offering, marketing and distribution of medical care packages.
The value chain includes a number of processes, resources and relationships that enable the Group to conduct its business. The value chain also reflects and is closely linked to the life cycle of the Group’s products, creating a comprehensive structure, which covers all stages: from product conception, through product handling, to the end of the life cycle, and in the case of insurance, the latter can still last for several years after the end of coverage. Value moves along the chain, driven by collaboration, innovation and process improvement, and thus plays its role in the Group’s growth, in strengthening its market position, and in building shareholder value.
The PZU Group works with suppliers from many industries. The largest group of suppliers include IT and real estate contractors. The spectrum of supplies is wide, i.e., from comprehensive orders in the area of information technology and consulting to conventional goods and services.
PZU Group’s processes involve employees, partners and platforms. The main areas of operations include: insurance, banking, investment, health. Key processes related to processes in the insurance area: market research, client needs and expectations; creation and development of products and services; sales and distribution; claims handling; settlement of benefits and liabilities; client service and client relationship management; operations (sales handling and settlement, contract processing); data security; management of the Company’s financial resources. Support processes (insurance business): human resources management; information management; IT management, development and maintenance; accounting; financial services; administration and logistics; corporate support (including legal services, corporate governance, marketing and communications, investor relations, etc.).
The PZU Group provides its clients with a comprehensive product offering through synergies within the conglomerate companies, offering access via a variety of distribution channels. Among all insurers operating in Poland, PZU provides its clients with the access to the largest sales and service network (as part of the insurance offering).
The PZU Group value chain is based on key business lines that cover a wide range of financial and insurance services. Each segment of this chain supports the delivery of solutions for clients, which impacts operational and business efficiency. The presentation of the downstream value chain is from the perspective of relationships that ensure the delivery of services to PZU Group customers. PZU Group companies are part of their own operations, while each chain segment specifies the entities affected.
| Downstream | Own operations | Upstream | ||||||
|---|---|---|---|---|---|---|---|---|
| Non-life insurance | Life insurance and health insurance |
Own investments | Investment funds and pension funds | Business Banking | Retail Banking | Healthcare | Own Operations | Suppliers |
| Value chain elements | ||||||||
| Risk assessment Product creation Product marketing and distribution Claims and benefits handling Management of relationships with customers | Risk assessment Product creation Product marketing and distribution Claims and benefits handling Management of relationships with customers | Capital management Risk analysis and assessment Portfolio diversification Investment monitoring and management | Asset management Marketing and distribution Accumulation of pension contributions Fund withdrawals Client relationship management | Banking services – lending and leasing, bond issuance, cash management, deposit business, customer relations, risk management | Banking services – daily banking, credit portfolio, deposit business , client relations, risk management | Medical services, marketing and distribution, quality management, patient service | Employee relations Property protection Facilities IT Regulatory compliance and supervision | External suppliers and service providers |
| External actors in the value chain | ||||||||
| Retail clients SME customers Corporate clients Reinsurers |
Customers Reinsurers Business partners |
Portfolio companies Tenants of the property |
Customers Portfolio companies Institutional stakeholders |
SME customers Corporate clients Business partners Intermediaries |
Retail clients Business partners Intermediaries |
Patients Own and partner medical facilities |
Office workers and sales network employees of all Group entities Local community | Suppliers (e.g., of technology, data) Distributors and agents (e.g., brokers) Insurance partners |
| PZU Group entities | ||||||||
| PZU TUW PZUW Link4 BALTA Lietuvos Draudimas PZU Pomoc PZU Ukraine |
PZU Życie TUW PZUW UAB PZU PZU Ukraine Life Insurance |
PZU Group’s investment assets Tower Inwestycje Ogrodowa Inwestycje |
TFI PZU PTE PZU Pekao Group Alior Group |
Pekao Group Alior Group |
Pekao Group Alior Group |
PZU Zdrowie | Employees of all Group entities | – |
