For financial advisers only
BACK TO BASIC BUILDING BLOCKS
Processes, IT, People and Efficient Business Practice
Lawrence Emm
Business Change Specialist
For financial advisers only
THE COMPLETE PICTURE
CLIENT
NEEDS
PROPOSITION
SERVICE
CONTENT
PRICING
PROCESS
AND
IT
ARTICULATING VALUE, WORTH AND EXPERTISE CLEARLY
PEOPLE
CAPABILITY
AGENDA
Review of last session
Business process mapping for post RDR environment
Efficiencies from IT
Staff buy-in and commitment
Capacity and capability for consistent delivery
Next session
For financial advisers only
THE COMPLETE PICTURE
CLIENT
NEEDS
PROPOSITION
SERVICE
CONTENT
PRICING
PROCESS
AND
IT
ARTICULATING VALUE, WORTH AND EXPERTISE CLEARLY
PEOPLE
CAPABILITY
For financial advisers only
“Efficiency is doing better what is already done”
Peter F Drucker
For financial advisers only
CONTEXT
Implementation is about building an effective operating
platform to enable:
 clarity for all clients – new and existing
 consistent approach - by everyone in the business
 consistent delivery of advice and ongoing service
 efficiency
 profitability
 measurability
For financial advisers only
ASSESSING SUITABILITY
“All firms providing investment advice
should ensure that they have robust
processes and controls ….”
For financial advisers only
PLATFORMS - DUE DILIGENCE AND EFFICIENCY
For financial advisers only
PLATFORMS - DUE DILIGENCE AND EFFICIENCY
For financial advisers only
BUSINESS PROCESS MAPPING
For financial advisers only
CLEARLY DEFINED STAGES OF THE PROCESS
CLIENT
ENGAGEMENT
CLIENT
DISCOVERY
ANALYSE
AND PREPARE
SOLUTIONS
IMPLEMENT
SOLUTIONS
REVIEW
AND
RETAIN
For financial advisers only
CLEARLY DEFINED STAGES OF THE PROCESS
CLIENT
ENGAGEMENT
CLIENT
DISCOVERY
ANALYSE
AND PREPARE
SOLUTIONS
IMPLEMENT
SOLUTIONS
REVIEW
AND
RETAIN
For financial advisers only
THE CLIENT JOURNEY - TOLLARDAY EXAMPLE
Client Engagement Process
CLIENT
ENGAGEMENT
Handle
Client
Enquiry
Send
Client
Welcome
Pack
Service
Call –
telephone
follow up
Make
Appointment
1st Client
Meeting
Send Client
Confirmatory
Letter
Input
client
data to
CRM
software
For financial advisers only
CLIENT ENGAGEMENT PROCESS
Handle client enquiry – gather basic information
Send client a “Welcome Pack” – include Fact Find
Follow up (service) telephone call to client
Agree date/time for first meeting
Pass information to adviser
Send confirmation letter/email to client
Create client file
Input data to back office/CRM system
Service call to client following Fact Find receipt
Prepare first meeting pack
For financial advisers only
THE CLIENT JOURNEY - TOLLARDAY EXAMPLE
Client Engagement Tools and Materials
CLIENT
ENGAGEMENT
Client
Enquiry
Form
CRM
System
Tool
Tollarday
Key Value
Messages
New
Client
Welcome
Pack
Standard
and
Bespoke
Client
Letters
Diary
note for
client
follow up
For financial advisers only
CLIENT ENGAGEMENT PROCESS
TASK/PROCESS
WHO WILL DO IT
TOOLS/MATERIALS
For financial advisers only
BUSINESS PROCESS MAPPING
For financial advisers only
CLIENT RETENTION PROCESS
Undertake client surveys
Analyse data – implement improvements – TCF and MI
Prepare client Review lists (monthly/quarterly/half-yearly/annually)
Review client file for advice updates
Prepare client valuations
Develop market commentary
Send Review pack to client
Undertake Review – F2F or remote?
Update client file
Input data to CRM/Back Office – service schedule
Create and send revised Plan/Report summary to client
For financial advisers only
EFFECTIVE USE OF IT AND TOOLS
For financial advisers only
“Efficiency is doing better what is already done”
Peter F Drucker
For financial advisers only
I T SYSTEMS AND TOOLS
Planning
Tools
Back
Office
Platforms
Provider
Extranets &
E-Services
Research
Systems
Report Writers
Suitability
Report
Scanning
Tools
For financial advisers only
BACK OFFICE SYSTEMS
For financial advisers only
BACK OFFICE SYSTEMS
For financial advisers only
BACK OFFICE SYSTEMS
what they might offer…
 Client Data Management
 Fact Find
 Policy data
 Business Register
 Marketing Resources
 Centralised Risk Profiling
 Client Charging Reconciliation
 Management Information – Data Interrogation and Reporting
 Online client access for self-service and semi-automation of some services
For financial advisers only
BACK OFFICE SYSTEMS
some of the issues…
 will it do what you want it to do? - most use <20% of system
 initial & ongoing training: major time, effort & cost
 licence costs vary considerably
 services and how they are delivered differ
 IT infrastructure: data storage & back-up, servers & maintenance
 migration of existing client data
 ease of moving to another provider in future?
For financial advisers only
HOW TO DECIDE ON THE RIGHT OPTIONS
For financial advisers only
RESEARCH SYSTEMS AND TOOLS
For financial advisers only
ADDITIONAL SYSTEMS AND TOOLS
For financial advisers only
THE IDEAL SCENARIO
PRODUCT
ANALYSER
PENSION
ANALYSER
MORTGAGE
ANALYSER
INVESTMENT
ANALYSER
CLIENT
VALUATIONS
CLIENT DATA
BACK OFFICE
CRM
PROTECTION
ANALYSER
RISK
ANALYSER
PLATFORM
ANALYSER
For financial advisers only
PLATFORM AND WRAP PROVIDERS
 28 providers and growing
 Considerable regulator activity
 Detailed due diligence essential
 Whether to choose 1 or more
 Can deliver considerable business efficiencies
For financial advisers only
PLATFORMS - DUE DILIGENCE AND EFFICIENCY
For financial advisers only
IN WHICH AREAS CAN I T SUPPORT YOUR BUSINESS?
Fact Find
Marketing and Promotions
Risk Profile and Analysis
Fund Selection and Management
Invoicing and Payment Tracking
Compliance
Illustrations and Quotations
Client Reports
Lifestyle Planning and Analysis
Product Selection
Will Writing
Diary Management
Workflow Management
Data Management
CRM
Website
Trust Preparation
Client Service Delivery
Shortfall Analysis
Document Management
Management Information
Remote Access
Client Access
Client Reviews
On-Line Application Processing
New Business Processing
Client Presentations
Valuation Reports
Newsletters
Market Commentary
Performance Management
For financial advisers only
USING IT TO INCREASE EFFICIENCY AND CONSISTENCY
CLIENT
ENGAGEMENT
 Website
 CRM
System
 MS Word
 Workflow
Manager
 Outlook
CLIENT
DISCOVERY
ANALYSE
AND PREPARE
SOLUTIONS
IMPLEMENT
SOLUTIONS
REVIEW
AND
RETAIN
 Synaptic – etc.,
 CRM System
 CRM System
 O&M – etc.,
 Shortfall Analysis
 MS Word
 Shortfall Analysis
 Client Reporter
 Workflow
 Client Reporter
 Lifestyle Planner
 Ezine - Podcast
 Portfolio Planner
 MS Outlook
 Website
 Lifestyle Planner
 Provider interface
 CRM System
 Illustrations
 Excel –
Valuation Reports
 Risk Profiler
 MS Word
 CRM system
 MS Outlook
 Client Journey
Tool (pages)
 MS Word
 Invoice Tool
 Workflow Manager
 Provider interface
 Client Journey
Tool (pages)
 MS PowerPoint
 Electronic Client
Questionnaire
 Truth-Voyant
 IDD/KFD
Compliance
 Client Agreement
 Illustrations
 Workflow
 MS PowerPoint
 Workflow
 MS Outlook
 Invoice Tool
 Management
Reports (MI)
 On-line Service
Questionnaire
 Invoice Tool
For financial advisers only
PEOPLE
Ensuring we have the right people, with the right skill sets, to
fully meet client expectations
For financial advisers only
ARE CURRENT ROLES STILL APPROPRIATE?
Financial Planner:
“ADVICE”
To acquire new clients and maintain key
introducer and client relationships
Para-planners:
“TECHNICAL
SUPPORT”
“ADMINISTRATION”
To provide extensive technical support to the
Financial Planner(s)
Client Support Services:
To provide comprehensive administrative support
to the PPs and FPs
For financial advisers only
WHAT DOES THE BUSINESS MODEL REQUIRE?
• Identify new clients and introducers
“ADVICE”
• Initiate relationships with new clients and introducers
• “Fact find” with clients, determine “financial strategy”
• Deliver recommendations
“TECHNICAL
SUPPORT”
“ADMINISTRATION”
• Conduct product research, obtain illustrations
• Liase with clients and their other advisers where appropriate
• Maintain accurate client files and update software
• Prepare client reports – with guidance from Adviser
• Construct suitability and reasons why letters
• Attend client meetings with Adviser
• Maintain accurate client records
• Respond to client servicing enquiries
• Prepare illustrations
• Prepare invoices
• Deal with post and telephone enquiries
For financial advisers only
ASSESSING BUSINESS CAPACITY AND CAPABILITY
For financial advisers only
SUMMARY
Review of last session
Business process mapping for post RDR environment
Efficiencies from IT
Staff buy-in and commitment
Capacity and capability for consistent delivery
Next session – 21 June – “Client Engagement”
For financial advisers only
For financial advisers only
This presentation is designed for and directed at professional financial advisers.
It should not be relied on by consumers.
This document is based on Skandia’s interpretation of the law and the HM Revenue and
Customs practice as at January 2012. We believe this interpretation is correct, but cannot
guarantee it. Tax relief and the tax treatment of investment funds may change.
For financial advisers only
www.skandia.co.uk
Calls may be monitored and recorded for training purposes and to avoid misunderstandings.
Skandia provides you with access to its investment platform, known as Skandia Investment Solutions. Within this
platform you can open an ISA and Collective Investment Account provided by Skandia MultiFUNDS Limited, and a
Collective Retirement Account and Collective Investment Bond provided by Skandia MultiFUNDS Assurance Limited .
Skandia Life Assurance Company Limited, Skandia MultiFUNDS Limited and Skandia MultiFUNDS Assurance Limited
are registered in England & Wales under numbers 1363932, 1680071 and 4163431 respectively. Registered Office at
Skandia House, Portland Terrace, Southampton SO14 7EJ, United Kingdom.
All companies are authorised and regulated by the Financial Services Authority with FSA register numbers 110462,
165359 and 207977. VAT number for all above companies is 386 1301 59.