The Royal Automobile Club of Queensland (RACQ), a mutual organisation serving around 1.75 million members, has completed a major transformation initiative in partnership with The Bridge International, a consultancy specialising in organisational change.
The project was prompted by the need to address inflationary pressures and supply chain disruptions that emerged in the wake of the COVID-19 pandemic, which threatened to drive up insurance premiums for members.
RACQ group CEO David Carter (pictured) said the organisation recognised the need for a comprehensive review of its operations and processes.
“We knew that the RACQ needed to undertake a major transformational programme that stemmed out of some challenges we had. Post-COVID, we predicted some really significant inflation and supply chain issues on the horizon, and without countering it, we would have seen unacceptable premiums increases for our members. So, we had to look for a better approach,” he said.
The Bridge International was selected based on its experience and reputation, and the transformation was structured as a collaborative effort, with both organisations contributing senior personnel.
According to Carter, the transformation program focused on establishing long-term improvements in operational efficiency and member service.
“As a result of The Bridge’s work, we now have a much stronger foundation for growth and operational excellence. We have more predictability, more consistency, and better disciplines. The Bridge also left us with the training to continue this great work along with the management disciplines that we needed to make sure it was all embedded in the organisation and thus sustainable change,” Carter said.
The transformation has resulted in measurable improvements for both staff and members, Carter reported.
“We've come out the other side with the supply chain in good shape, and from a staff engagement and turnover point of view, things are very settled. The results are positive for our members who are making claims with more consistent, better quality, and faster outcomes. It’s working well for our staff because their engagement is high, and turnover is low, relative to this industry,” he said.
The Bridge International’s approach included training and ongoing support, which Carter credited with helping RACQ maintain the changes over time.
Carter described The Bridge International’s methodology as highly collaborative, with senior consultants working directly with RACQ’s management and staff.
“They became an extension of the RACQ team. Importantly, the MDs Stuart, David, and the senior team at The Bridge – I mean, it wasn’t just one or two senior consultants – came into and spent significant time in our organisation and with our people. They were just so on the ground, embedded in what people were doing, truly understanding our culture, and active in the steering and management committees,” he said.
Carter also highlighted the alignment between RACQ’s values and those of The Bridge International, particularly in terms of accountability and delivery.
He described the engagement as an investment that provided lasting value for RACQ and its members.
“The Bridge’s approach is just rare in the sense that you get the full attention from the people who pitched the proposal,” Carter said.
The transformation initiative followed the Australian Competition and Consumer Commission’s (ACCC) decision not to oppose the acquisition of RACQ by a larger insurer.
The ACCC noted that both organisations already compete in the Queensland insurance market, particularly in home, contents, and motor insurance.
