Insurance companies have always strived to measure and improve the performance of their distribution channels, their life lines of production. Traditionally, this important function is usually assigned to the company’s Sales & Marketing departments. While many other departments within the insurance companies have successfully utilized predictive modeling and other statistical techniques to improve their performance (e.g. actuarial, underwriting, and claims), these techniques have not been used prevalently in the sales and marketing area. In this session, we will demonstrate some of the techniques that can be used to design strategies in a distribution system, such as agency management. We will present specific examples of the techniques used. We will discuss how to measure the various factors that affect an agency’s performance statistically and the effect of the interaction between the factors. The usages and the benefits of the statistical approach, designed to complement the traditional sales & marketing techniques, will be discussed as well. Included in this discussion will be the measurement of success.