Prudential Financial Reorganizes US Businesses Into Three Groups
July 21, 2017 by Best's News Service
NEWARK, N.J. – Prudential Financial Inc. said it will implement a new structure comprising three main groups for its U.S. businesses in an effort to extend customer reach as it seeks what it calls “pathways to new markets.”
“Our strategy, enabled by our culture of teamwork and collaboration, sets us on a path to serve a broadening range of customers as the leading provider of integrated financial wellness solutions,” said John Strangfeld, chairman and chief executive officer, in a statement. “It does so in a way that benefits from and contributes to our success as a global investment manager.”
Stephen Pelletier, executive vice president and chief operating officer of Prudential’s U.S. businesses, said in a statement the company “formalized an organizational structure that allows for greater agility and integration in how we engage, serve and deepen relationships with our customers throughout their lifetimes.”
Pelletier added the structure “maintains foundational strengths, builds on new and existing capabilities and anticipates the emerging needs of customers within a changing market and an evolving workplace.” He said the structure “provides clear leadership and accountability, and facilitates resource allocation to capitalize on growth opportunities, while continuing to provide transparency at the business segment level.”
Under the new structure, Prudential’s five U.S. businesses will be aligned under three groups — Individual Solutions, Workplace Solutions and Investment Management — each of which “will have a leader focused on understanding customer needs, experiences and expectations, and applying that understanding to capture growth opportunities within and across businesses,” the company said.
Individual Solutions includes annuities and individual life insurance. The group will be led by Lori Fouché, who currently leads annuities.
Kent Sluyter, who currently oversees individual life insurance, will become president of annuities. Caroline Feeney, who currently leads Prudential Advisors, will become president of individual life insurance, which includes Prudential Advisors. Salene Hitchcock-Gear, currently chief operating officer of Prudential Advisors, will become president of Prudential Advisors and report to Feeney.
The Workplace Solutions group will comprise retirement and group insurance, and will be led by Andy Sullivan, who currently leads group insurance. Phil Waldeck will continue to lead retirement. Jamie Kalamarides, currently head of full service solutions within retirement, will become president of group insurance.
Investment Management will continue to comprise all PGIM businesses, including PGIM Investments, and will continue to be led by David Hunt, president and CEO of PGIM.
According to Prudential, the structure “better reflects the company’s strategic focus on leveraging its mix of businesses and its digital and customer engagement capabilities.”
Strangfeld said in a recent conference call Prudential is maintaining a strategic focus on protection, retirement and asset management amid a changing regulatory environment (Best’s News Service, June 6, 2017).
Underwriting affiliates of Prudential Financial Inc. have current Best’s Financial Strength Ratings of A+ (Superior).
Shares of Prudential Financial Inc. (NYSE: PRU) were trading at $111.58 on the afternoon of July 21, up 0.47% from the previous close.
(By David Pilla, news editor, BestWeek: David.Pilla@ambest.com)
