BACK TO BASIC BUILDING BLOCKS Processes, IT, People and Efficient Business Practice Lawrence Emm Business Change Specialist For financial advisers only

BACK TO BASIC BUILDING BLOCKSProcesses, IT, People and Efficient Business Practice

Lawrence EmmBusiness Change Specialist

For financial advisers only


ARTICULATING VALUE, WORTH AND EXPERTISE CLEARLY

PEOPLE CAPABILITY

PROCESSAND

IT

PRICINGSERVICE CONTENTPROPOSITION

CLIENT NEEDS

THE COMPLETE PICTURE

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


ARTICULATING VALUE, WORTH AND EXPERTISE CLEARLY

PEOPLE CAPABILITY

PROCESSAND

IT

PRICINGSERVICE CONTENTPROPOSITION

CLIENT NEEDS

THE COMPLETE PICTURE

“Efficiency is doing better what is already done”


Peter F Drucker

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

ASSESSING SUITABILITY


“All firms providing investment advice should ensure that they have robust processes and controls ….”

PLATFORMS - DUE DILIGENCE AND EFFICIENCY




BUSINESS PROCESS MAPPING


CLEARLY DEFINED STAGES OF THE PROCESS

CLIENT ENGAGEMENT

CLIENT DISCOVERY

ANALYSE AND PREPARE SOLUTIONS

IMPLEMENTSOLUTIONS

REVIEWANDRETAIN


CLEARLY DEFINED STAGES OF THE PROCESS

CLIENT ENGAGEMENT

CLIENT DISCOVERY


IMPLEMENTSOLUTIONS

REVIEWANDRETAIN


THE CLIENT JOURNEY - TOLLARDAY EXAMPLE


CLIENT ENGAGEMENT

Handle Client Enquiry

Send ClientWelcome Pack

Service Call – telephonefollow up

MakeAppointment1st Client Meeting

Send ClientConfirmatoryLetter

Input client data to CRM software

Client Engagement Process

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

THE CLIENT JOURNEY - TOLLARDAY EXAMPLE


CLIENT ENGAGEMENT

Client Engagement Tools and Materials

Client EnquiryForm

CRMSystemTool

New ClientWelcomePack

TollardayKey ValueMessages

StandardandBespokeClientLetters

Diary note for client follow up

CLIENT ENGAGEMENT PROCESS


TASK/PROCESS WHO WILL DO IT TOOLS/MATERIALS

BUSINESS PROCESS MAPPING


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

EFFECTIVE USE OF IT AND TOOLS


“Efficiency is doing better what is already done”


Peter F Drucker

I T SYSTEMS AND TOOLS


PlatformsPlatforms

PlanningPlanningToolsTools

Back Back OfficeOffice

Provider Provider Extranets & Extranets & E-ServicesE-Services Report Writers

Suitability Report

Scanning Tools

Research Research SystemsSystems

BACK OFFICE SYSTEMS


BACK OFFICE SYSTEMS


ADDITIONALLY, THERE ARE OTHER


SUPPLIERS AND A RANGE OF


‘BESPOKE’ SOFTWARE SOLUTIONS


AVAILABLE

AVAILABLE

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

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?

HOW TO DECIDE ON THE RIGHT OPTIONS


RESEARCH SYSTEMS AND TOOLS








AVAILABLE

AVAILABLE

ADDITIONAL SYSTEMS AND TOOLS








AVAILABLE

AVAILABLE

THE IDEAL SCENARIO


CLIENT DATABACK OFFICE

CRM

PRODUCT ANALYSER

PLATFORM ANALYSER

MORTGAGE ANALYSER

PENSION ANALYSER

INVESTMENT ANALYSER

CLIENT VALUATIONS

RISKANALYSER

PROTECTION ANALYSER

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



IN WHICH AREAS CAN I T SUPPORT YOUR BUSINESS?


Fact FindMarketing and PromotionsRisk Profile and AnalysisFund Selection and ManagementInvoicing and Payment TrackingComplianceIllustrations and QuotationsClient ReportsLifestyle Planning and AnalysisProduct SelectionWill WritingDiary ManagementWorkflow ManagementData ManagementCRMWebsite

Trust PreparationClient Service Delivery

Shortfall AnalysisDocument Management Management InformationRemote AccessClient AccessClient ReviewsOn-Line Application ProcessingNew Business ProcessingClient PresentationsValuation ReportsNewslettersMarket CommentaryPerformance Management

USING IT TO INCREASE EFFICIENCY AND CONSISTENCY

CLIENT ENGAGEMENT

CLIENT DISCOVERY


IMPLEMENTSOLUTIONS

REVIEWANDRETAIN


Website

CRM System

MS Word

Workflow Manager

Outlook

Client Journey Tool (pages)

MS PowerPoint

Electronic Client Questionnaire

Truth-Voyant

IDD/KFD Compliance

Risk Profiler

CRM system

MS Word

Workflow Manager

Client Agreement

Synaptic – etc.,

O&M – etc.,

Shortfall Analysis

Client Reporter

Portfolio Planner

Lifestyle Planner

CRM System

MS Word

MS Outlook

Invoice Tool

Provider interface

Illustrations

Workflow

CRM System

Shortfall Analysis

Client Reporter

Lifestyle Planner

MS Outlook

Provider interface

Illustrations

Client Journey Tool (pages)

MS PowerPoint

Workflow

MS Outlook

Invoice Tool

CRM System

MS Word

Workflow

Ezine - Podcast

Website

Excel – Valuation Reports

Management Reports (MI)

On-line Service Questionnaire

Invoice Tool

PEOPLE

Ensuring we have the right people, with the right skill sets, to fully meet client expectations


ARE CURRENT ROLES STILL APPROPRIATE?

Financial Planner:

To acquire new clients and maintain key introducer and client relationships

Para-planners:

To provide extensive technical support to the Financial Planner(s)

Client Support Services:

To provide comprehensive administrative support to the PPs and FPs

“ADVICE”

“TECHNICAL SUPPORT”

“ADMINISTRATION”


WHAT DOES THE BUSINESS MODEL REQUIRE?

“ADVICE”

“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

• Identify new clients and introducers

• Initiate relationships with new clients and introducers

• “Fact find” with clients, determine “financial strategy”

• Deliver recommendations

• Maintain accurate client records• Respond to client servicing enquiries• Prepare illustrations• Prepare invoices• Deal with post and telephone enquiries


ASSESSING BUSINESS CAPACITY AND CAPABILITY


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”


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.


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.


Documents

BACK TO BASIC BUILDING BLOCKS Processes, IT, People and Efficient Business Practice Lawrence Emm Business Change Specialist For financial advisers only