The assimilation of "Millennials" to the insurance workforce is often spoken of as a kind of domestication, a bringing-to-heel of an over-indulged, undisciplined herd of semi-slackers. However, a recent whitepaper published by the Economist Intelligence Unit (EIU) suggests that this is a misunderstanding. In fact, the paper suggests, the Millennials themselves have been shaped by cultural and technological forces that will inevitably reshape the insurance field, along with industry in general.Titled "Disciplined Autonomy: Resolving the tension between flexibility and control," the paper discusses the organizational pendulum-swing between centralization and decentralization. The pendulum appears to have swung far to the latter paradigm, demonstrated by the fact that while 21 percent survey respondents' called their organizations centralized hierarchies five years ago, only 10 percent do now.

Many organizations struggle to resolve the tension created by the need to manage centralized functions, such as IT, finance and HR with an eye to efficiency and regulatory compliance, while allowing autonomy to foster innovation and develop local processes to suit local needs. All too often, efforts to control the flow of information often end up impeding it owing to onerous process requirements. Employees end up circumventing those processes in pursuit of greater efficiency and simply to deal with frustration.

According to the paper, 53 percent of survey respondents said that they frequently "bend the rules" for the sake of productivity or because they otherwise felt the rules were not in the best interest of the organization. This non-conformity with rules is only likely to increase as more Millennials enter the workforce, according to the paper, and owing to technical capabilities as much as behavioral disposition:

"These individuals are far less accepting of corporate IT policies than the groups who preceded them; according to a 2008 Accenture survey approximately one-third of respondents aged 18-22 said they expect to use the computer and software applications of their choice in the workplace. A large percentage already perform work-related tasks using mobile phones, instant messaging applications and other tools that are not sanctioned by IT."

The paper cites an example from the insurance industry of how automation of process can facilitate more flexible process that simultaneously conserves audit transparency. By implementing a "paperless office" platform, a Los Angeles-based division of AEGON subsidiary Transamerica Life Insurance was able to simultaneously improve internal communications, reduce overnight shipping costs and lessen physical storage for paper documents while helping brokers improve their client service.

The Transamerica Life story is encouraging as a case study in the manifold benefits of paperless process but it also shows how the insurance industry lags in responding to rapidly evolving cultural/technological change. Within the larger context of the paper it seems clear that the solution only lays the ground for more profound adaptation to Millennial ways of working. By incorporating technology into the most personal and quotidian aspects of life, Millennials have voluntarily taken on and even shaped new levels of technology-driven human efficiency. Confident employees have always been able to detect efficiency shortcomings in organizational processes, but this generation of employees has the technical wherewithal to substitute existing processes with improvements of a greater magnitude than ever before.

While the Millennials didn't invent the technologies they use, they will drive their use to high levels of efficiency through their adaptation of technology to informal communication. By integrating mobile technology and Web 2.0 applications into compliant processes, insurers can combine informal, always-on style with formal, auditable business processes.

On a certain level, this change reflects the perennial give-and-take of the generations: the old will indeed "tame" youth to some extent, and the young will bring a fresh perspective to established pursuits. However, this particular transition will reshape the way business is done more than other generational handoffs have. The companies who see this opportunity for what it is and invest in its potential will enjoy an edge of those who don't. Insurers who understand Millennial ways of work will prepare a suitable workplace. Those who don't will see Millennials exercise their autonomy by working elsewhere.While the Millennials didn't invent the technologies they use, they will drive their use to high levels of efficiency through their adaptation of technology to informal communication. By integrating mobile technology and Web 2.0 applications into compliant processes, insurers can combine informal, always-on style with formal, auditable business processes.