The Communication Principle: Traps for Young Players

What does the Code of Conduct say about communication?

“Communication” is one of the six core principles of the Code of Conduct (the Code) and is a key part of the delivery of any work by a member of the Actuaries Institute. The Code primarily prescribes that our communication must be “appropriate” to the audience, purpose and significance of the work we are undertaking. This obligation goes well beyond the technical content of what we do and extends to those areas of communication that are as much an art as a science.

At an Insights session on 11 August, Martin Mulcare asked three actuaries in the earlier stages of their career - Stephanie Lam from Insight Actuaries , Chetan Dwivedi from the Australian Prudential Regulation Authority ( APRA ) and Katrina Ren from iCare – to discuss what tips they might have for others about the opportunities and pitfalls when communicating professionally.

The panel discussed what it was like when they first had to “own” a piece of professional communication, shared thoughts on how to manage less formal and verbal communication methods, considered how to deliver news to difficult audiences or when the results are not what the audience wants, and addressed the challenges of dealing with uncertainty.

What communications tips for early-career actuaries are recommended?

Common themes that emerged from the speakers included:

• Understand your key message - be clear about what you want your audience to take away from your communication and make it front and centre. Sometimes, it can be good to start with your conclusion and then build the support for your message.
• Know your audience and understand what they need to know, including what type of delivery and content will be most effective for them. They may have a preferred communication style, or you may need to adjust the terminology for different audiences.
• Verbal communication is covered by the Code of Conduct just as much as written communication, and has the additional challenges of tone, body language and eye contact to consider.  Consider how your delivery might affect your message and pay attention to the signals from your audience – communication is a two-way process.
• Be careful about how you use AI when preparing your communications – it can be a valuable tool to review content and make suggestions, but communication that appears entirely generated by an AI tool can lead to people switching off.

How should actuaries deliver bad news or flag uncertainty?

Drawing on their experience delivering news to difficult audiences and communicating uncertainty, the panellists shared the following learnings:

• Difficult audiences are difficult for a reason – you will benefit from understanding that reason, which may help you to find alignment or consensus, or reshape how you communicate to them.
• If you have to deliver bad news, flag it early where possible, be clear about the reasons and drivers of the adverse outcomes, and aim to communicate what can be done in response – i.e. frame it in a helpful way.
• Flag uncertainty upfront, so that the issue is not left out of the conversation, if it is relevant. Scenario analysis can be a useful tool to provide real-world potential outcomes, especially if combined with information about how you might respond in those situations.

The panel was also given a chance to share some advice about communication that they wish they’d been given at the start of their career:

• Prepare. Make sure you know your content when you go into a discussion.
• When talking about complex things, you don’t need to communicate in a complex way – be clear on your key point.
• Think about what your audience needs and wants, rather than what you want to say.
• Consider what emotion you are appealing to when you communicate – you can use storytelling to get more engagement in your message.
• Send your message so that it is understood when received.

The perspectives on communication given by the panel, while framed as good advice for “young players”, are relevant to any professional, at any stage of their career, interested in having their message heard and understood. Every customer, client or stakeholder has their own communication needs, and we can all take heed of this advice so that we do our best to communicate “appropriately”.

You can see the panel share their perspective in this recording of the Insights session: The Communication Principle – Traps for Young Players