The minimum solution would be to follow some of the advices given by Al to the personal lines division that corporate policy demands a package to be used instead of writing premium system in COBOL. A CEO should consider this decision on the business grounds and find out the pros and cons of implementing some of these decisions and to later implement them. The ideal solution would be to give authority of I/T and the right amount of funding for Al to implement his ideas. As he already has a good experience previously in this field, his ideas of funding, strategic agendas should be followed with some consideration. Also, he should be given a chance to interact with other senior supervisors to know how they are managing the funds, their staff and so on.
The long lasting solution would be, CEO considers the experience and also a skill set of their senior staff so that they can be assigned to the exact positions. This makes them work effectively and would contribute to the positive growth of the company. I would recommend the long lasting solution because, the main failure of the company here is not to identify their employees potential in the particular field and also implementing some of the functionalities (using COBOL) without any research on that. If these problems are rectified then coordination of all the business units can be done effectively and this minimizes failure risk of Surething Insurance company. Things that can be done to prevent future failures:
1. Rapid expansion.
3. Unforeseen claims.
5. Gross Incompetence.
6. Expansion into new areas.