NYL News 2014 Issue 3-2

News 2014 ISSUE 3

WHAT MAKES GREAT LEADERS?

Philip Cavan made a few million-dollar sales for NYL Direct and then realized his true abilities lie in helping others reach their potential.

Christopher Elson believes one’s guiding principles come from within, and what guides him in his compliance work is treating everyone with the same level of respect.

Serene Zegarelli keeps team members focused and committed during annuity marketing projects.

Maambo Mujala strives for collaboration and leading by example as part of her work as an actuarial associate.

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In a few weeks we will close the books on 2014 and be able to assess the company’s

annual performance. Familiar metrics such as sales, operating earnings, and surplus

will tell us how we measure up compared to last year, how well we did in achieving our

financial objectives, and how we stack up against other companies within our industry.

And I am confident that, once again, our performance will make us proud.

When we look to compare ourselves with others in our industry, we’re reminded

that there’s so much more to being a leader than just “leading” in operating results. These

traditional and important business metrics will never give us the complete story. As I

discussed in my last News column, we’re increasingly competing against life insurance

companies who are—without question—irresponsibly pricing, capitalizing, and marketing

(illustrating) their products. A small number of these companies may report operating

results this year that look as good as ours. But that is where the similarity ends.

The results a company achieves—the “what”—will always be critically important.

However, from my perspective, “how” a company achieves its results is equally, if not more,

important. At New York Life, we choose not to skirt rules, we choose not to misrepresent

the benefits of our products, and we choose not to compromise fundamental values that

ensure our financial strength and policyholder trust will be enduring. Yes, we choose this

path—with our daily actions and inactions—because it is the right way to behave, and

because we have proven that it delivers superior results for our policyholders.

The Board of Directors’ decision in November to increase the dividend scale and

payout to policyholders for the third consecutive year is a great validation of our kind of

leadership and exactly how different we are from so many other companies. As you know,

interest rates (the primary factor affecting policyholder dividends at any life insurance

company) have remained at extremely low levels. So, how is New York Life the only life

insurer among our peers that has been able to raise the dividend scale for the past three

years? The reason has little to do with good luck and nothing to do with any imprudent

change in our risk management philosophy. On the contrary, it has everything to do with

our singular focus on what is in the best interests of our policyholders and the collective

efforts of so many New York Life employees and agents.

Our mutuality provides us with the structure that has always uniquely aligned

us with our policyholders’ primary interest, which is our long-term ability to meet all

of our promises to them. But our mutuality also allows us to directly share with our

policyholders the good results we have in other business across the company. In many

ways, this dividend decision represents the essence of mutuality—a “sharing” of good

fortune. Because we have no obligations to shareholders, we are able to direct some

profits from areas such as NYLIM to support dividends in our core life business. This is

something that public companies cannot do and most other mutual companies have

proven incapable of doing.

For some companies, the final numbers will always be the bottom line and will

always define their perception of leadership. That’s not the case at New York Life. And

this dividend decision coming near the end of 2014 is also a terrific reminder that while

we remain singularly focused on our noble mission, there is tremendous strength in our

diversity of businesses, skills, ideas, and backgrounds. It is this combination of singular

purpose, shared beliefs, and diverse contributions that gives me great confidence in our

ability to navigate the challenges ahead and remain a real leader in our industry.

The bottom line of a real leader• • • • •

EDITOR’S NOTE To share your thoughts on this month’s topic with Ted, send an e-mail to [email protected].

The accelerated pace of change that is universally

affecting businesses, and raising

consumer expectations to previously

unknown heights, can be attributed

to advances in technology that make

transactions, communication, and

collaboration at every level easier

and faster than ever before.

Leading effectively through that

change, so it can happen in the best

interest of both the business and its

customers, is essential. For example,

today’s strong leaders create more

integrated environments that bring

people with diverse perspectives and

wide-ranging skills together, promote

learning, and encourage adaptation over

maintaining the status quo. Fortunately,

while the pace and motivation

underlying change may have evolved

throughout history, the leadership

skills needed to implement it have not.

We’re highlighting four

leadership skills: team building,

self-awareness, relationship building,

and establishing trust, which could

allow anyone from a senior executive

to an individual contributor to play

a leadership role across the divide

of cultures and generations, and

during calm or turbulent times.

Team building. Teamwork is the ability to work together

toward a common vision. It is the fuel

that allows common people to attain

uncommon results. —Andrew Carnegie

To succeed in today’s turbocharged

world, leaders need to be able to

build effective teams, promote

collaboration across business units and

functions, and create an environment

where team members can express

ideas and learn from mistakes.

To accomplish this, a new paradigm

of leadership is evolving: companies are

developing more horizontal and agile

organizations that reflect the diversity

of their employees and customers.

According to Harvard scholar

Barbara Kellerman, “The old leader-

centric model, with the leader at

the helm controlling the action, no

longer holds—it’s passé, obsolete.”

Leadership is increasingly spread across

teams, with those traditionally in

follower roles often taking the lead.

Several years ago, we embraced

a set of leadership competencies—

lead yourself, lead others, and

lead the company—to ensure that

all employees were honing their

leadership skills and seizing new

opportunities for career development.

“It is up to every individual to put

distributed leadership into practice,”

CEO Ted Mathas says. “Remember,

distributed leadership is not a tangible

initiative; it’s not an assignment; it’s

not a project that will come to an end.

It is an ongoing mind-set. It’s about

taking ownership of your work, being

accountable for your decisions and

actions, being curious and asking

questions, and seeing yourself as

one of the current caretakers of

this company and its future.”

Self-awareness.Knowing yourself is the beginning

of all wisdom. —Aristotle

To lead others, you have to first fully

understand your own strengths,

weaknesses, and potential. “When

you can lead yourself through the

challenges and difficulties, you will

find that leading others becomes

relatively straightforward,” teaches

Harvard professor and leadership guru

Bill George. “The hardest person you

will ever have to lead is yourself.”

If you can stay grounded through

difficulties, strike a balance between

intangible values and worldly desires,

and understand your passions as

well as your purpose, then you are

ready to help others do the same.

To apply self-awareness as a leader,

George advocates the practice of

mindfulness. Mindfulness allows you

to step outside of yourself and see the

ways you impact other people, to both

observe and participate in each moment,

and to recognize the implications of

your actions for the longer term. This

skill becomes particularly valuable in

an environment that requires constant

change because being self-aware

gives you the in-depth knowledge

to quickly adapt and innovate.

Relationship building.You can make more friends in two months

by becoming interested in other people than

you can in two years by trying to get other

people interested in you. —Dale Carnegie

To build better relationships, leaders

need to be present. What that means,

simply, is to focus on the task at

hand and learn from each person

you encounter. Doing this helps

leaders build empathy, understand

their followers, and exceed the

needs of their constituents.

It’s also about inspiring, motivating,

and supporting others to stretch

beyond their comfort zones and

exceed their own expectations. If you

can demonstrate a visible presence

that connects with and energizes

others, you’re on the right path.

Building trust.It takes years to build trust and only

seconds to destroy it. —Unknown

One of the most critical traits of a

leader has always been the ability to

gain the trust of others—trust you can

make the right decisions for the right

reasons. Trust has always been the

basis of any meaningful relationship.

To build trust, it is crucial for a

leader to maintain integrity. This can

be accomplished by maintaining good

relationships and demonstrating that

you listen and act with others’ concerns

in mind. Likewise, maintaining your

integrity requires that you keep your

promises, treat everyone with respect,

and make your actions transparent and

consistent with your long-term mission.

Fostering leaders for the next 170 years. With over 22 employee leadership

programs, and the coaching our

general office management teams do to

transform agents into leaders in their

communities, our company has long

been at the forefront of developing

leadership skills among its agents

and employees. The opportunities to

practice and learn leadership skills at

the company continue to grow and

evolve along with the world around us.

We have been a leader in

the industry for nearly 170 years

because of our effort to continually

foster leaders who can adapt to

changing circumstances and remain

grounded and true to our purpose:

our customers and our values.

The world has changed, but the keys to leading haven’t.

2014 issue 3 | 03

“Early in my career, when I was just a novice attorney, I was asked to cover

a meeting for my manager. My plan was to sit at the end of the table and

mutely take notes while hoping no one noticed me. Yet there came a time when I needed to find my voice, speak up, and take control before we moved in a direction I knew was wrong. In that moment,

I took my first step into leadership,

and I’ve continued along that

path ever since. I learned that

leadership requires courage,

and once I found mine,

my whole career changed

for the better.”

WHEN DID YOU BECOME A LEADER?

Judy E. Hopkins, Office of Governmental Affairs

What is a leader?

04 | New York Life News

THE MENTOR Philip Cavan, Corporate Vice President, NYL DirectWhen you start your career as an NYL

Direct phone salesperson and progress

to team lead, supervisor, department

manager, and, ultimately, corporate vice

president—all in eight years—you must

be doing something right. And Philip

Cavan certainly is.

A trained financial planner who had

been in leadership positions prior to

joining the annuity team, Cavan now

is also accountable for NYL Direct’s

Annuity and Broad Market contact

center operations. He believes “real

leaders don’t say ‘Follow me’—they

simply communicate clearly and go.

“To get people to follow, you need to

be clear on where you’re going,” Cavan

says. That’s why “personal development

is important to me.”

Through our tuition reimbursement

program, he returned to school to earn

an MBA. “I’ve always been personally

engaged in my work, which translates

into striving every day to achieve

business outcomes such as financial,

revenue, and expense goals,” he says.

“I believe hard work always pays off.

The institutional knowledge I gained

working on the phone, and then

up through frontline management,

has allowed me to collaborate with

partners in our marketing, systems, and

actuarial areas, building relationships

that help grow our business.”

Being a leader is about making

things happen. Cavan’s role as a

catalyst crystallized for him “when I

closed my first million-dollar sale—

and then a couple more—about five

years ago.” Capturing a sale of this

magnitude is challenging enough,

let alone making it happen over the

phone. After his third million-dollar

deal, Cavan was handed a challenge:

teach others to close like that. “It

was a turning point, and I was able

to make a difference,” he says. Today,

many others on the team have made

seven-figure sales.

Cavan’s sales chops made him

the top-ranked contact center sales

professional at the 2010 world

finals of the industry association

ContactCenterWorld.

“The award was a great honor, but

it’s not about me. I only realized my

true abilities when I was able to help

others realize their sales potential,”

he says. “Just as I've had some great

mentors here who’ve helped shape

my direction, I was fortunate to help

others. Knowledge is power. The ability

to spread it is priceless.”

Faces of leadership around New York LifeThese four employees have their own styles, but all exemplify qualities of a leader.

THE RELATIONSHIP BUILDER Maambo Mujala, Actuarial Associate, Finance Actuarial associate Maambo Mujala is

working to help her team—and finance

as a whole—work better together. She

is a member of the cross-departmental

team-building committee of the finance

engagement team, which was formed

to foster teamwork among the various

groups within the department.

“If we understand each other’s roles,

we’re more likely to see opportunities

for working together instead of in silos,”

Mujala says. “Collaboration is about

creating an environment that encourages

individuals to share information or

perspectives with others,” she adds.

The result is that “decisions are better

informed and more widely supported.”

Mujala attended a recent luncheon

for the annuities product and pricing

teams, aimed at enhancing collaboration

between the two groups. “When

each team understands the other’s

responsibilities, the expertise they

bring to the table, and how what each

does impacts the other’s work, they

both improve what they do,” she says.

“Work styles can vary from person to

person and group to group, so building

relationships through interdepartmental

activities like the luncheon can help us

better integrate on projects.”

Communication is also key

for Mujala. “I try to tailor my

communication to the person or

department I’m in a conversation with,”

she says. For example, “I often need

visual aids and discussion to reach an

understanding, whereas another person

may be more numbers-oriented or

conceptual, so I try to meet their needs.”

An inclination to lead by example is

one reason Mujala joined the committee.

“The opportunity to volunteer for

projects that aren’t a part of your

standard job description is what makes

the company special,” she explains.

Mujala also helps with recruiting and

planning events. “Spearheading projects

provides a good example to others and

can teach you things you might use on

other initiatives in the future,” she says.

How one goes about his or her

work also matters. “Taking ownership

of your work, striving for continuous

improvement, and being easy to work

with motivates others to work with

you, so you can establish relationships

and contribute to the company in new

ways,” Mujala says.

Maambo Mujala collaborates with actuarial colleague Kevin Libby.

Philip Cavan believes the key to leadership is to communicate clearly and go.

THE COMMUNICATOR Christopher Elson, Corporate Vice President, Insurance and Agency GroupChristopher Elson puts it simply:

“While compliance makes the rules,

my job is to enforce them.”

But Elson comes across as anything

but an enforcer type. He sees himself

as a provider of customer service. “I

try to do everything to work with all

individuals—whether they’re relatively

new agents, established agents, product

consultants, partners, or managing

partners—to provide the same high-

quality level of guidance and attention

they need on any given sale,” says Elson.

Sales of annuities and life insurance

must meet rigorous compliance

standards in order to close. Elson

balances two critical but sometimes

conflicting responsibilities—upholding

the rules and providing the best-

possible customer service—by “offering

the type of individual attention that I’d

expect if I were in their shoes.”

Elson says he firmly believes

“everyone must be treated with the

same level of respect,” and has an

approach to put this philosophy

into action. “If someone calls with a

question, I want to make sure we give

the client a clear, informative answer.”

Drawing on his up-to-date knowledge

of compliance requirements, he

ensures all interactions are diplomatic

regardless of whether or not a sale is

approved.

Staying in close contact with the

Compliance Department helps Elson

ensure sales are examined in light of

the latest guidance. He works with

Technology to ensure every rule change

is addressed and implemented. He

works with the Products Group on

new releases and communicates with

various areas—from management to

annuity consultants and agents—either

to vet sales within his group or seek out

compliance and executive input.

Elson also applies his guiding

principles to his suitability team and is

quick to credit them with his successes.

This is yet another example of his

philosophy of leading by example. It

also speaks to his modesty.

The behind-the-scenes nature of his

role belies its importance in upholding

the company’s values and leading

by example. But he believes one’s

guiding principles come from within.

“Leadership is about remaining yourself,

being genuine, treating individuals

fairly, and making sure your message is

clear and direct—that way you will gain

credibility and earn others’ trust.”

| 052014 issue 3

THE TEAM BUILDER Serene W. Zegarelli, Director of Marketing, Annuities“A project team brings a variety of skill

sets and knowledge to the table," says

Serene Zegarelli, a marketing director

of retail annuities. “You want to

encourage and support the individual

team members to operate both

independently and collectively, like a

well-oiled machine.”

Having this ability is critical

to executing any big, multifaceted

initiative, according to Zegarelli. Every

May significant enhancements are

made to our variable annuities—a

massive undertaking that produces

up to 70 different marketing pieces.

Collaboration among various

departments—including Corporate

Compliance, the Office of the General

Counsel, the Retail Annuities Group,

and Agency Group Communications—is

required for a smooth product launch.

“Making a large-scale project come off

successfully comes down to motivating

people, employing good communication

and organizational skills, and recognizing

individuals for jobs well done,” she says.

“What I do is provide the team members

with the tools and information they need

to succeed.”

Zegarelli kicks off projects by

meeting with all the stakeholders and

providing a rationale and objectives for

the initiative. She lays out milestones

and timing to give a clear picture of

what the completed project will look

like. “That meeting addresses everyone’s

questions and takes into account their

suggestions so all team members feel

like a part of the project, before it even

starts,” she says.

She keeps team members focused

and committed throughout projects by

providing weekly updates and feedback

to all participants, calling particular

attention to praiseworthy efforts. “I

take a high-touch approach, exchanging

information by keeping in constant

contact, asking and answering questions

via email or on the phone, and being

available at any time,” Zegarelli says.

Her method sounds deceptively

simple—being a calm, prepared

project steward in the storm of a

large-scale product launch. It’s the

essence of leading through actions

rather than just words. And yet

Zegarelli concludes projects by

using words themselves: she sends

thank-you notes to team members to

maintain the collaborative spirit and

motivation for the next big launch.

Christopher Elson and Compliance colleagues Sue Ellen Bromberg and Michele Peters-Fisher often confer to offer the best service to their clients.

Serene Zegarelli keeps detailed project notes to help the entire team stay focused and in touch.

There was a time when the prevailing theory was

that only extroverts could be leaders. You had to like

being the center of attention, talk more than listen,

and give quick responses. If you were an introvert,

you either needed to hide it or to give up on being

a leader. More research has revealed that introverts

also make great leaders. In fact, 40% of CEOs have

introvert tendencies or are introverts.

According to Carl Jung, the originator of the

theory of personalities, “There is no such thing

as a pure introvert or a pure extrovert.” The terms

simply refer to where we get our energy—introverts

recharge through solitude, extroverts through social

experiences. While most of us show a preference for

one style or the other, we’re also a mix of the two.

Reconsidering the role of personality in leadership.


Introvert vs. Extrovert

“From beginning my career at New York

Life in a sales role and later moving into a

marketing role, I found I was able to provide

many insights into why a certain marketing

strategy or approach would be more effective

than others. Over the years, I was looked to

more and more often for advice and input on

key initiatives of the annuity business. This, to

me, is part of being a leader. When you are trusted to provide valuable information that will help to develop new ideas as well as influence decisions and outcomes, you are leading in a way that is very obvious and effective.”Stephanie Padalino, Retail Annuities

A Harvard University research team interviewed 125 leaders from diverse racial, religious, and socioeconomic backgrounds and from different nationalities to learn how they developed their leadership abilities. Analyzing 3,000 pages of transcripts, they discovered that their subjects didn’t identify any universal characteristics, traits, skills, or styles that led to their success. Rather, their leadership emerged from their life stories. They were constantly testing themselves through real-world experiences and reframing their life

stories to understand who they were at their core. In doing so, they discovered the purpose of their leadership and learned that being authentic made them more effective. The findings, published in a book in 2007, reveal there is no secret ingredient. You do not have to be born with specific characteristics or traits to be a leader. You do not have to wait for a tap on the shoulder. You do not have to be at the top of your organization. Instead, you can discover your potential right now.

The secret ingredient of leadership

Both introverts and extroverts bring something

to the leadership table, and companies are best

served when they have both types of leaders.

“On one hand, extroverts can succeed as leaders

because leadership is social—leaders need to spend

time with people and be able to get others excited

about working to achieve the organization’s mis-

sion,” says Michael Molinaro, vice president of talent

management. “On the other hand, introverts are

often good mentors and thought leaders and have

their own ways of inspiring others.”

Varying personalities and work styles comple-

ment one another. For instance, introverts’ listen-

ing skills make them better at leading proactive

employees, while extroverts are great at motivating

people. According to Susan Cain, author of the

New York Times best seller, Quiet: The Power of

Introverts in a World That Can’t Stop Talking,

extroverts and introverts are yin and yang:

we enjoy and need each other.

People need diverse abilities to lead. Neither

facet of personality has a monopoly on the key

leadership traits, and both can be successful.

Molinaro believes today’s leaders not only need peo-

ple skills, but also the ability to “think critically, make

values-based decisions, and lead through ambiguity.”

Leadership can take many different forms. There

isn’t one recipe for the ideal leader, but one key in-

gredient is being true to yourself. You can learn from

others’ experiences, but you can’t be successful by

trying to be someone you aren’t. So, whether you’re

an introvert or an extrovert, embrace it.


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2014 issue 3 | 07

Steve Erickson, who is on the Human Resources’

Learning and Organization Development team, helps

our leaders at all levels build capabilities to lead

our organization forward. The News sat down with

Erickson to get his views on how this team helps our

leaders, as well as the challenges we all see as leaders.

What the coach saysWhat’s leadership like at New York Life? We went to the expert to find out.

PSST…Here’s an easy way to translate your experience into leadership

Fill out your talent profile on HR Central to learn more about yourself, your leadership skills, and where you might need some help. Let your manager know about them too. The profile includes a section where you can list your leadership experience, major responsibilities at previous jobs, and special assignments and projects that had a considerable impact on your development. You can fill out your profile all at once or keep adding to it as you get the time or think of something new to highlight. Get going today by visiting HR Central!

What are some examples of what you are doing?Some of our work involves training people, whether

they are new managers or senior executives. For

example, in our new manager orientation, a program

developed with others from across HR and the

businesses, we are seeking to ensure managers get

started with what they need to be successful—not

just the skills they need, but also who to talk with

and where to find resources on the intranet. In

Foundations of Executive Leadership, executive

officers are challenged to raise their game to a higher

level. Several have indicated the program is a life-

changing experience as they examine and challenge

themselves, and accept coaching and feedback from

their colleagues. They strategize the steps they

will take, beginning the moment they return from

training, to better coach and lead their teams.

Besides training programs, much of our effort

involves other kinds of developmental experiences:

coaching, business projects, and providing tools and

resources for employees to use on the job. The future of

leadership development is getting people to constantly

apply new learning immediately in the workplace.

What are some of the different approaches to leadership?While there are many ways to think about this,

consider these four ways to lead in the moment.

Directing: The leader provides specific instructions

on what to do and how to do it. This could be

useful when leading someone new to the job or just

developing a skill or in a very risky situation.

Advising: The leader shares their experience and

insight, and then allows the individual to select their

course of action, while reviewing how it’s proceeding.

Teaching: The leader helps equip the individual

by sharing knowledge or showing the person how

something works.

Coaching: The leader uses powerful questions to

help the individual gain insight or solve their own

problems. The decisions and way forward are all owned

by the individual, not the leader, though the leader

remains accountable.

Leaders need to be skilled in all the approaches.

The key is to know which one to use when.

How has leading changed at New York Life? Across functions, we are becoming more

collaborative, not just collegial. Now we seek to

build multifunctional teams working together to

implement change, looking beyond their respective

areas to bring a broader perspective to bear on

problems and solutions. Employees are now bringing

their experiences from previous jobs, often from

financial services and technology, to the table, which is

producing more diversity of thought in our leadership.

Where can we, as leaders, strengthen our skills?• Broadening company knowledge. Many of our

leaders have limited exposure to the broader

business and lack connections to business areas

outside their own. We all need to answer the

question, Can you speak knowledgeably about

more than just your area of the company?

• Building an innovation mind set. Learning how to

take appropriately understood risks and mobilize

effectively to get things done.

• Managing complexity. With so much change

taking place and leaders having to work with and

influence an increasing number of stakeholders,

it is a challenge to get things done.

• Cultivating a positive presence. Leaders who are

truly present and in the moment are much better

able to tap into their insight, to see the obvious, and

to notice what’s happening to those around them.

It also entails being authentic and having excellent

communication skills.

Can you give us a few tips for anyone wanting to become a great leader?Know yourself. Know your strengths and develop

them. Know your passions, what you like about your

work, and what’s most important in your life. This

helps create a deeper sense of who you truly are and

connects you to a purpose.

Be accountable for your actions. Speak up.Take ownership of something.Suggest improvements.Do more than you are required to do.

Steve Erickson and his team help our leaders develop their skills and lead our company now and into the future.


Leaders take a fresh approach to work and life. Their tactics could work for you too.

you can do today to be a leader for tomorrow9EASY THINGS

Routinely set goalsMost people make resolutions only once a

year; successful leaders maintain a daily list

of what they want to accomplish—and do it.

Seek challengesTake on new challenges and gain experience

across many different areas. And don’t give up or

be afraid to fail—perseverance is key when dealing

with something complex or untried.

Learn from your mistakesEveryone makes them. It’s how you pick yourself

up and move forward that matters. Learn from

both successes and failures, admit your mistakes,

and adapt to new challenges by letting go of

behaviors that are no longer effective.

Disconnect and engage in self-improvement

The average American watches five hours

of TV a day, and they’re online four hours

a day. Be different and unplug: practice the

piano, read a book, or talk to someone.

Make an effort to build relationshipsWe can connect with more people than ever via

social media, but you should also step out of the

virtual world to deepen your relationships with

face-to-face contact at professional organizations,

conferences, and volunteer events.

Build your empathy skills Listen more, talk less,

ask questions.

Think positive You can accentuate the positive and eliminate

the negative by paying someone a compliment

or letting someone know that you appreciate

something they’ve done for you.

Aspire to greatnessTo remain competitive, dreaming,

imagining, and innovating are essential,

and can help you change good to great.

Be an inspirationEveryone has bad days or needs a shot of

confidence every so often. Be that person

who motivates and supports others and

helps them become their very best.

Being a leader

means teaching,

developing, supporting,

motivating and empowering

others in your organization.

Leadership requires

approaching work with

the passion to do the very

best job possible, through

teamwork, collaboration

and accountability.

Leadership is sharing

victory and owning defeat.

2014 issue 3 | 09

We asked a few of our senior executives for their thoughts on leadership.

Advice from the top

“I found at an early age that being a leader is not about a title or a position—instead, it’s an opportunity to help guide others. This became

apparent to me as a child in the youth organization 4-H, working on projects

with others. I always tried to lead by example, doing my part and working hard

to accomplish the task. By the age of 12, I was elected president of the

local club in Conway Springs, Kansas, and learned

a lot of valuable lessons. The lessons I

learned as a child I have tried to use in

the professional setting, leading by

example and helping guide a team.

Being conscious about that

opportunity to guide others

has helped with my transition

as a leader in New York Life.”

Nick Steffen, Greater Pasadena GO


Join our Celebrating Good Twitter initiative

for the holidays and help feed hungry

families across America. We’re inviting you

to tweet something you’re thankful for this

holiday season. For every tweet that’s created—and specifically uses the hashtags

#KeepGoodGoing and #FeedingAMillion—we will donate 25 meals to families in

need through Feeding America, the leading hunger relief charity in the United States.

The campaign will run through the beginning of 2015.

In addition to tweets including the hashtags, participants are encouraged to

include photographs of what’s good about their lives, which we will share at

www.newyorklife.com/celebratinggood. We’re the leading life insurance company on Twitter. For more than two

years, we’ve held the #1 position in terms of followers and currently have over

172,000 followers. Help us grow even more and spread the word about how we

keep good going.

Celebrate Good and help feed families

You can’t get

much done if

you don’t inspire others

to bring their best to the

table. Being a leader is

about setting strategic

direction and having

a vision, but it also

requires you to show

others how to lead and

how to achieve results.

As a leader,

it’s important

to recognize individual

team members and to

communicate openly

and authentically. When

people see that you’re

truly interested, they feel

free to open up and share

their ideas with you.

I think good leaders

create the direction

and the vision for what's

possible, break the big goals

down to bite size chunks,

involve those they lead in the

solution and the process, focus

on the things that they can

control and over communicate

along the way. People want to

be a part of something good,

successful and bigger than

them and great leaders make

that real and fun.

I have always tried to

empower employees who

work for me to make decisions, but I’ve

also learned to analyze the how behind

their decision-making process versus

the what. Feedback on someone’s

approach takes more time in the

short-term but it pays big dividends in

the long-term. We all fall back into the

bad habit of jumping in and making the

decision (particularly during periods

of stress), but we need to remember

that it is not only de-motivating to your

team — it’s not a scalable leadership

practice in the long run.

TROY GLOVER MARK PFAFF CHRIS BLUNTSUE PATERNOSTER

KATHERINE O’BRIEN


Finding the inspiration. Marketplace leaders in any industry

can often boast of having an

innovative mind-set, and one area

where we are at our most innovative

is product development. When you

ask the experts across our businesses

where product ideas come from,

listening is a recurring theme: listening

to customers, to agents, to third-party

distributors, to experts in our midst,

and to experts on the economy.

Ours is a business that responds to

present and emerging consumer needs.

To know what those needs are, you need

an ear to the ground, a plan to gather

and interpret what you hear, and the

financial strength to assume some risk.

Ron Lombardi, of retail annuities

marketing, noted two tactics:

• Market research with customers and

third-party distributors tells us what

new concerns are emerging and why

some of our current products may not

be selling. Recently, one distributor’s

feedback regarding annuity

customers’ desire to have greater

liquidity and flexibility without

giving up security led us to develop

our Clear Income Fixed Annuity,

which launched in October.

• Listening to employees is a valuable

but often overlooked resource for

insights. Periodically, the business

asks employees a question such as,

“Can you think of a fixed deferred

annuity that can be successful even

in a low-interest-rate environment?”

Responses—there were 80 to this

particular question—are evaluated

by the business’s Innovation Lab,

led by Dylan Huang, and those

with potential business viability are

assigned for further investigation.

Innovating doesn’t always mean ‘build your own.’Another shared concept is that

Listen carefully and you may hear it comingTo be a leader in product development, it helps to keep an ear to the ground and your eyes on the prize.

innovation doesn’t have to be

completely new. It doesn’t even have to

represent a significant breakthrough.

Subtle developments, like refining

a marketing strategy or adding new

features or flexibility, can bring value.

New York Life Investments, which

offers investment products to the

retail market, has about $100 billion

in assets under management across 77

MainStay mutual funds. According to

Kirk Lehneis, of mutual fund product

development, long-term viability is a

primary consideration when we build

a fund. When we identify a critical

asset class, we first look internally to

see if we have the required expertise

to manage that new class effectively.

If not, we consider acquiring an asset

manager or purchasing a particular

product to include in our portfolio.

For example, in 2013 we formed

a subadvisory partnership with

Marketfield Asset Management,

and its Marketfield Fund became

the MainStay Marketfield Fund.

Marketfield, a flexible thematic

fund manager, provided downside

protection and performed relative to

peers in 2008, when many funds had

significant negative returns due to

the economic downturn. Marketfield

wanted a distribution partner to help

grow its asset base. We purchased its

mutual fund product and incorporated

it into MainStay to offer as an option.

The customer is always right.Customer experience increasingly

drives innovation. Customers want

to buy on their own terms, and they

are not shy about shopping around to

meet that objective.

Custom Whole Life didn’t introduce

an entirely new product category,

but it has driven a considerable

amount of sales largely by replacing

the timeworn notion of paying

premiums forever with a new way

of thinking about how and when

you pay. Giving policyowners more

control over how much they pay, and

for how long, enhanced the appeal

of life insurance and positioned it as

an ideal retirement planning asset

among high-net-worth customers.

We now find it also speaks to

tomorrow’s big consumers, members

of Generation Y, who are engaging in

retirement planning earlier than their

predecessors. They’re budget conscious

and looking to pay their benefits in

advance, instead of burdening their

retirement years. So we not only got

out ahead of the pension replacement

trend with an attractive product, but

we can leverage its appeal anew.

Adopting an innovator’s mind-set.Our business is managing risk, so

being aggressively innovative can be

challenging. That may be why there

are no broad-based innovators among

our competitors. We all use a targeting

strategy, focusing on selected markets

or product areas in which to innovate.

Dawn Behrens, of life products

strategy, sees the industry beginning

to stretch its typically risk-averse

culture. More competitors are

adopting a “test and learn” mentality,

in which new ideas are piloted to try

to minimize costs and risk, but with

an appetite for exploring, evolving,

and growing those ventures over

time. Going a step further, Behrens

cites the potential value of thinking

holistically—not limiting refinements

to what exists, but being more

futuristic and even anthropological in

our thinking. Studying generational

differences, cultural markets,

behavioral trends, and progressions

of unrelated industries can help

anticipate needs, and perhaps open

the door to that next big thing.

THE NEXT BIG THING LEADING AS A COMPANY

“I challenge my team to think one move ahead while always keeping the customer’s best interest in mind. If a customer comes in with a request that

may have a negative impact on him or her, I encourage my team to reach out to

the customer to ensure he or she understands the ramifications of a particular

transaction and/or decision. My team started sharing situations where they had

done just such and avoided an adverse situation for our customer.

Their desire to share their positive results with me made me

feel like a leader. Not only did this

show me my team trusts in me,

but more importantly, they

have gained confidence and

trust in themselves.”

Laura Matyja, Cleveland Service Center


2014 issue 3 | 11

Leading the industry in growthRecruiting and developing new agents was a core focus for most life insurance

companies in the 1900s. But over the past two decades, the number of companies

for which this remains a core competency has dwindled.

“As a result of our continuous investment in building a robust career agency

system, we now have a distinct and sustainable competitive advantage in the

marketplace,” says Mark Pfaff, co-president of the Insurance and Agency Group.

Here’s a small sample of how we support our agents throughout their careers

and maintain our company’s leadership position as a result.

Our leadership in recruiting, training, and coaching new agents has never been a bigger advantage.


RECRUITING TRAINING COACHING COMMITMENT

Cultural markets are a key

focus for us. Last year

49% of our new recruits were dedicated

to our cultural markets. As a result,

nearly half of our new life insurance

sales in 2013 were from this rapidly

growing area.

We have recruited, on average,

more than 3,500 new agents

annually for the past six years.

The majority of our competitors

with large agency forces cut their

recruiting by an average 5% last

year. Since 2005, we have grown

our agency force by

47%.

Agents, our brand ambassadors,

receive some of the best training and coaching in the industry.

New agents complete

3 YEARS of training focused on products,

marketing, prospecting, and sales skills.

Established Council-level agents can

enroll in the Graduate Path to Market

Excellence program, a series of online

programs focusing on strategies for

various markets, including rollovers, small

business, and retirement.

Plus, there are over

300,000

pages of online training materials in NYLIC

University for self-directed study.

We have a strong management team of

650+managing partners, senior

and executive partners, plus

175 development

managers at General Offices

across the country.

They participate in the

Management Leadership and Development Program, a three-year

program that provides the skills and

knowledge to guide agents. Learning

to coach is emphasized as a critical way

to develop our agents’ fullest potential.

Our agents have led all U.S.

companies in the industry’s most

prestigious organization—

the Million Dollar Round Table (MDRT)—for 60 consecutive years. MDRT members rank at

the top of all life insurance agents for

their achievement, ability, and service.

“Our agents prove we are not just

about paychecks and profits. They

exemplify our other values—

integrity and humanity—by being

leaders in their communities,” says

Pfaff. “Recruiting, training, and coaching

career agents is the best thing we can

do to ensure this commitment.”

“Many times I have been approached by others—managers, department heads,

and clients—asking for guidance on communicating messages or issues to

others. I initially thought others considered me to be a good

person to bounce things off, but I’ve learned that it’s really

about my sincerity and respect for others—

qualities that are key to being a leader.

There is no greater satisfaction to me than helping others solve a problem, grow their skills, or succeed while accomplishing the organization’s goals.”

Serena Finn, NYL Direct

UPPING YOUR LEADERSHIP SKILLSLearning and Organization Development offers many great resources to help hone your leadership skills, including:

➜ Completing your talent profile on HR Central

➜ Using My Development Blueprint to help you select and prioritize the skills and capabilities most important to your development path.

➜ Managing Personal Growth, a class to help you devise a personalized plan of action to further develop your career and enhance communication with your manager.

➜ Online courses, videos, and articles on leadership. Visit the Learning section on HR Central and search the word “leadership.”


Anniversaries45 YEARS Dorothy Meeks, Insurance and Agency Group, HO

Teresita Reyes, Insurance and Agency Group, HO

40 YEARS Vincent Galbo, Enterprise Technology, HO

Kumud Kapadia, Insurance Technology, WNY

35 YEARS Karen Custer, Minneapolis Service Center

Jean D’Onofrio, Enterprise Technology, HO

Mary-Lou Doskey, New Orleans GO

Patricia Geyer, Greater New York GO

Keith Hickey, Insurance and Agency Group, WNY

Karen Kunreuther, Insurance and Agency Group, HO

John Messina, Enterprise Technology, CNJ

James Montpetit, Insurance and Agency Group, HO

Howard Reid, Insurance Technology, WNY

Rebecca Schnacky, Minneapolis Service Center

Laura Sheldon, Enterprise Technology, HO

Michel Simmons, Insurance and Agency Group, HO

30 YEARS Douglas Brown, Fullerton GO

Renee Donatowicz, Illinois GO

Charles Holek, Corporate Finance, HO

Rudy Penzi, Insurance Technology, WNY

Charles Reitemeyer, Investments Technology, HO

Bernard Sender, Insurance Technology, WNY

Cheryl Worthen, Fort Worth GO

25 YEARS Stanway Chang, Enterprise Technology, HO

Lisa Chapman, Insurance and Agency Group, HO

Gregg Cicogna, Enterprise Technology, HO

Arlene Dembo, Insurance Technology, WNY

Ourania Huber, Enterprise Technology, HO

Catherine Killian, Human Resources, HO

Richard Mathies, Enterprise Technology, HO

Gerard McCaffrey, Insurance and Agency Group, Dallas

Nella Merritt, Investments Group, PNJ

Eleanore Miner, Hawaii GO

Evelyn Moret, Insurance and Agency Group, HO

Rochel Rubel, Insurance Technology, WNY

Salvatore Russo, Investments Group, PNJ

Irwin Silber, Service Finance and Compliance, HO

Yelena Sverdlov, Insurance Technology, WNY

RetirementsAARP, TAMPA Brad Walther, 34 years

GENERAL, SALES & ZONE OFFICES Raymond John Bondy, Central California GO, 12 years

Nilda Gonzalez, South Florida GO, 47 years

Marc J. Ham, Northern California GO, 28 years

Christine Kotch, Pittsburgh–Johnstown GO, 39 years

Lillian F. Leavelle, Utah GO, 35 years

Ellen Palermo, Finger Lakes GO, 9 years

Vincent Palma, Long Island GO, 34 years

Juanita M. Pascale, LUTCF El Paso GO, 16 years

Al Weiss, South Central Zone Office, 18 years

Donna Wilson, Fullerton GO, 15 years

HOME OFFICE Marie-Josee Antoine, Agency, 46 years

Yee-Chun Chan, Enterprise Technology, 26 years

Ethel DeStefano, Insurance– Technology, 41 years

Kurt Hoge, Insurance– Technology, 25 years

William R. Hughes, Enterprise Technology, 36 years

Diane Jones, Insurance– Technology, 18 years

Janet Klasson, Corporate Information, 22 years

John Leach, Agency, 13 years

Bill Morrison, Agency Field Operations & Supervision, 43 years

Erminio Nocera Jr., Enterprise Technology, 44 years

Robert J. Nugent, Insurance–Technology, 39 years

Linda M. Reimer, Office of the General Counsel, 19 years

Rick Rush, Enterprise Technology, 42 years

Carmen Southwell, Retail Annuities, 9 years

Ken Thompson, Life and Annuity New Business, 18 years

Nancy R. Troupos, Agency, 21 years

SERVICE CENTERS Ellen Knowles, Dallas Service Center, 47 years

In Memoriam Teresa Barnes, El Paso GO D: October 26, 2014

Robert R. Bartol, Clayton GO R: 1989 D: August 14, 2014

Mary-Ann L. Barton, Agency R: 1993 D: October 7, 2014

Steven Benevento, GoldPoint D: September 2, 2014

Peter S. Bonwich, Marketing–Advance Services R: 1998 D: August 19, 2014

Alvina T. Brandt, Corporate Information R: 2012 D: October 10, 2014

Olga M. Clarke, Individual Policy Services R: 1996 D: October 14, 2014

Nancy Cooney, Corporate Communications D: August 12, 2014

Joseph Crusco, Home Office Properties R: 1980 D: August 14, 2014

Gabrielle Cummins, Second VP Gleason’s Office R: 1960 D: September 14, 2014

Joseph Director, Greater New York Group Claims Office R: 1995 D: October 24, 2014

Ellen Gudat, Investments Group D: August 11, 2014

Alvan Hicks, Investments Group D: October 2, 2014

Jose A. Juan, General Service R: 1984 D: May 10, 2014

Louis L. Mandra, Middle Atlantic Region R: 1983 D: August 11, 2014

Robert Marotta, Corporate Services R: 1997 D: September 9, 2014

Kathryn McNamee, Comptroller’s R: 1982 D: July 13, 2014

Mary McTiernan, Office of the General Counsel R: 1978 D: September 15, 2014

Monica M. Miller, Information Systems and Services R: 1989 D: August 22, 2014

John R. O’Hanlon, Office of the General Counsel R: 1995 D: August 27, 2014

Yetta Pearl, Electronics R: 1978 D: August 5, 2014

Anne-Marie Pierre-Louis, Human Resources R: 1994 D: August 10, 2014

Thomas J. Reilly, Oakbrook GO R: 1992 D: August 15, 2014

Fred E. Rogers, Michigan GO R: 1989 D: September 20, 2014

Daniel Russo Jr., Corporate Information R: 1994 D: August 24, 2014

Rose Shimony, Employee Health R: 1984 D: October 27, 2014

Pearl Shore, Marketing R: 1984 D: September 24, 2014

Arsenio Silvestri, Human Resources R: 1991 D: August 9, 2014

Anna Stachiw, Human Resources R: 1989 D: August 14, 2014

Norbert R. Wilde, Information Systems & Services R: 1990 D: September 24, 2014

James L. Wilke, Individual Policy Services R: 1994 D: September 17, 2014

Bernice Willens, Human Resources R: 1991 D: August 14, 2014

Milestones

Editor in Chief Julie Watson

Contributors Allison Alkire Peter Burger Allison Contey Lorenzo Dominguez

Design Segal Savad

Anniversaries are now also published on the intranet. You can find them at http://intranet.newyorklife.com/anniversaries.

Articles appearing in this publication are for internal company use only. Unless authorized in writing, use of this material in any manner with the public is prohibited. © 2014 New York Life Insurance Company. Printed in the U.S.A.

Publication date: December 2014

New York Life Insurance Company 51 Madison Avenue, Room 117M, New York, NY 10010 Contact Us: Tel: (757) 628-1819 Fax: (212) 576-5673 e-mail: [email protected]

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Documents

NYL News 2014 Issue 3-2