New York’s Resilience Making a Difference in the Moments that Matter

An Interview with Daniel S. Glaser, President and Chief Executive Offi cer, Marsh & McLennan Companies, Inc.

EDITORS’ NOTE Prior to assum- I know more than ever that our personal and professional demands. Yet, they are ing his current role in January colleagues are fully committed to our also fi nding time to give back. We’ve shared stories 2013, Dan Glaser served as Group purpose. These past six months, I’ve across the fi rm about colleagues sewing masks, President and Chief Operating been inspired by how they have risen distributing food packages to those in need and Offi cer of the company. He rejoined to the occasion and are living our pur- conducting virtual storytelling sessions with the Marsh & McLennan Companies in pose through their work on behalf of children of colleagues. There are dozens of December 2007 as Chairman and clients, their care for and collaboration instances like these and they are truly remarkable. Chief Executive Officer of Marsh, with one another, and their service to Marsh & McLennan was built with an returning to the fi rm where he had our communities. entrepreneurial spirit and an ability to be nim- begun his career right out of univer- From a business perspective, we ble and adapt. How is the company addressing sity in 1982. Glaser is an insurance have adapted by becoming faster, fl atter its business during this time in order to suc- industry veteran who has held senior and better connected than ever before. ceed in this challenging environment? positions in commercial insurance Daniel S. Glaser We haven’t skipped a beat in client ser- For over a hundred years – next year is and insurance brokerage, working in vice throughout the pandemic. We were our 150th anniversary – Marsh & McLennan’s the United States, Europe and the Middle East. He able to quickly shift to working from home in a ability to innovate is what has helped us shape serves as the Chairman of the U.S. Federal Advisory matter of days globally. We are also collaborating our industries, create lasting client impact and Committee on Insurance (FACI). He is a member at scale to bring the power of our fi rm to clients thrive as a business through changing times. of the Board of Trustees for The Institutes and the and our thought leadership to policy makers. For Regardless of the shape of the COVID-19 eco- Board of Directors for the Partnership for New example, Marsh and Guy Carpenter are leading nomic recovery, we have proven our business is York City. He is also Co-Chair of the International the industry to create a new market for pandemic resilient. Our advice and solutions are more crit- Advisory Board for BritishAmerican Business. insurance and have initiated a dialogue with ical now than ever. Times like this require lead- Glaser attended Ohio Wesleyan University where Congress to create a public/private partnership ers to balance short-term needs with a focus on he completed his undergraduate studies and for pandemic risks which would facilitate future provisioning for the long term. This has always attended the Advanced Management Program at economic recovery and enhance resiliency for been our strategy. Harvard Business School. companies and cities like New York. In the short term, we’ve cut back on discre- tionary expenses to drive down costs while pre- COMPANY BRIEF Founded in 1871, Marsh & serving jobs and salaries during the thick of the McLennan Companies (mmc.com) is a global pandemic. We’ve paused nonessential hiring but professional services firm with two operating “Moments of crisis, like continued to make critical, strategic hires. We’ve segments, Risk and Insurance Services and also moved forward with several acquisitions as Consulting, comprising four major businesses – the COVID-19 pandemic, we continue to pursue growth. Marsh, Guy Carpenter, Mercer, Oliver Wyman – Looking beyond the current crisis, I believe each a global leader in its fi eld. With more than we will emerge as a stronger fi rm. 76,000 people globally and revenue of $17 billion, test how committed There is a great deal of discussion about it is a Fortune 200 company. businesses reopening in a “new normal.” your organization What is your outlook for what this new Marsh & McLennan is a purpose-driven orga- normal may look like and how is Marsh & nization with a long history of supporting its McLennan preparing for the next stage in employees, clients and communities. How has is to your purpose this crisis? Marsh & McLennan adapted its business and Like most large companies in New York, we the way it works during this unprecedented and whether your never closed. We all woke up one day in the time in order to continue to effectively sup- midst of a new reality, the “new normal,” which port its employees, clients and communities? leadership team and we will likely be living in for the long while, until Marsh & McLennan has 76,000 colleagues vaccines and treatments are produced at scale. around the world united by a common purpose As our team at Oliver Wyman, which has devel- to make a positive impact on the businesses, your colleagues really oped a leading pandemic forecaster, describes people and societies we serve by providing guid- it: it’s about managing our businesses and the ance and support during critical moments. Our believe and live it.” economy through the long haul of suppression. purpose is simple: “making a difference in the While in most parts of the world we are moments that matter.” Moments of crisis, like the through the initial phase of peak fear and uncer- COVID-19 pandemic, test how committed your tainty around health outcomes, we are now in a organization is to your purpose and whether As a leadership team, early on we set up a $5 period of dealing with the economic fallout and your leadership team and your colleagues really million fund for colleagues experiencing fi nancial living with the continuing health implications believe and live it. hardship. Our colleagues are juggling enormous of the pandemic. These economic and health 150 LEADERS POSTED WITH PERMISSION. COPYRIGHT © 2020 LEADERS MAGAZINE, LLC VOLUME 43, NUMBER 4 “Our advice and solutions are more critical now than ever. Times like this require leaders to balance short-term needs with a focus on provisioning for the long term. This has always been our strategy.”

uncertainties could last a year or longer, challeng- the federal government, to write pandemic insur- We know that a diverse mix of talent better ing companies well into 2021. Yet, there is also a ance policies and brokers to contribute their risk serves our clients and our diverse communities. lot to be optimistic about. Each of us is learning knowledge and infrastructure. Widespread pan- It’s no secret communities of color are underrep- how to do our jobs in new, creative ways and demic coverage would make the insurance sec- resented in our industries. We have work to do embracing virtual technology. Colleagues are tor the fi rst line of economic response in future to improve this. fi nding new and different ways to connect with outbreaks. A pandemic public/private risk solu- Mercer’s research has shown that diverse each other and their clients. tion can serve several purposes: organizations are healthier, more productive and We may decide that some aspects of the • Facilitate access to capital from both lend- more able to come at problems in a broader “new normal” should become permanent. For ers and equity markets that will require assurance fashion, creating more thoughtful and innovative instance, I expect fl exible work arrangements against future pandemic risks; solutions. Clearly, diverse organizations are the to persist to some extent. In our recent surveys, • Create greater certainty for businesses and right thing for society, our clients and business. colleagues have expressed support for greater employees in the event of a recurrence of What do you see as the role that busi- fl exibility. Over time, if we do it right, this could COVID-19 or during a future pandemic; and ness can play as a force for good in society by result in improved colleague satisfaction and a • Enhance the resilience of the local econ- bringing its talent, expertise and resources reduction in environmental impact as we reduce omy and its ability to bounce back following a to help address global crises? commuting time and business travel. future pandemic. Companies like ours have enormous power Marsh & McLennan has a long and deep We hope Congress votes on legislation to to shape the future through investment, expertise commitment to New York City which has create a public/private pandemic risk solution and the advice that we provide to a world of been heavily impacted by the pandemic. before the end of the year. clients. Marsh & McLennan touches the lives of What are the keys to New York City’s recov- Lastly, once we have made meaningful more than 110 million people directly every day, ery and how critical is it for there to be a progress on our economic recovery, we should and many times that number through the advice strong public/private partnership to ensure not jeopardize it with tax increases that could we provide to clients in 130 countries and the a safe and effective reopening of New York cause businesses to relocate outside the city. transactions we perform on our clients’ behalf. City? Marsh & McLennan is committed to We can make decisions that positively impact We are proud to be headquartered in New building a diverse and inclusive workforce. people and societies as well as our bottom lines. York City. The diversity of talent, the infrastruc- Will you discuss these efforts and how criti- One of our core commitments is living the greater ture, the resilience of the people, the partner- cal is it for the company to have diverse per- good. You can serve the greater good and grow ship among civic and business leaders through spectives and experiences at the table when a business. They are not mutually exclusive. For organizations like the Partnership for New York making business decisions? instance, during the worst of the pandemic in City all make this an ideal place to do business. Racial inequality is a pervasive issue glob- Italy, our colleagues in Mercer Marsh Benefi ts Oliver Wyman and Mercer recently contrib- ally. In the U.S., it came to a breaking point created a product that provides COVID-19 sup- uted to a Partnership for New York City report with the killing of George Floyd earlier this year. port to more than half a million employees in the on COVID-19 recovery efforts which calls for Recent events have been shocking to many and, country. The team then developed similar prod- multi-sector action to restart our economy. regrettably, all too familiar to others for far too ucts to support people in more than 30 countries. Recommendations vary from improving access long. Our executive committee and I have been That’s doing well and doing good. to fi nancial and technical resources for small and fully engaged on this issue, listening to our Black You are known to be an optimistic minority-owned businesses and an employer-led colleagues and others, speaking up alongside person. During this diffi cult and uncertain effort to expand job training, credentialing and them, and taking concrete actions to address time, what are you telling your people and hiring of city residents, to advocacy at the federal the structural inequities that enable systemic rac- what would you say to young people across level for COVID-19 relief funding for city, state ism. We are determined to seize this moment to the country who are deeply concerned and and transit agencies and cross-sector problem- become a more diverse and inclusive company. uncertain about the future? solving sessions to address transit, tax, security, As a leader in professional services, we are I wake up every day believing that the best housing and racial justice issues. Our approach improving our recruiting, hiring, development is yet to come. I’ve been quarantining with my to recovery must be as multifaceted as this great and promotion processes to help more diverse youngest daughter and part of the reason that I city. professionals take advantage of the career and continue to believe this is true is because of her Another critical component of our long- economic opportunities our industry provides. generation. Their approach to social and racial term recovery will be building a robust pan- We are committed to increasing the diversity of justice, their focus on the environment, their demic risk insurance market. Insurance gives our workforce by strengthening our D&I mea- ability to continue reinventing themselves and businesses the confi dence to open their doors surements to promote transparency and account- their careers despite coming of age during the and take risks. In the case of pandemics, insur- ability, implementing mandatory training on great recession of 2009 and experiencing the ance can help reduce risk and build resilience unconscious bias, allyship, and inclusive leader- economic fallout we are seeing today, encour- to prevent future economic devastation on the ship for every leader and manager, and we are ages me. I would remind them that they have scale we’re seeing now. Robust national pan- committing $5 million to support organizations all the tools and the passion to make this world demic management needs insurers, backed by that advocate for equity in the Black community. everything they wish. They are unstoppable.• VOLUME 43, NUMBER 4 POSTED WITH PERMISSION. COPYRIGHT © 2020 LEADERS MAGAZINE, LLC LEADERS 151