Beverly Flaxington is a practice management consultant. She answers questions from advisors facing human resource issues. To submit yours, email us here.
Advisor Perspectives welcomes guest contributions. The views presented here do not necessarily represent those of Advisor Perspectives.
Dear Readers,
Here are some reminders to add to your list of New Year’s resolutions. These are compiled from the thousands of inquiries I get via this column and in my consulting work every week of the year. Last year was tumultuous in a number of ways. It is helpful to take stock and think about where you want to put your focus in 2018.
Here are five considerations for your advisory firm:
- Have a plan. No matter what you are doing – large or small – be clear about your desired outcomes. Define success in qualitative and quantitative terms. Do this as the leader of the firm and with team members to get engagement and commitment. Without a clear goal and clearly defined success, you will head in the direction you desire. To avoid midcourse corrections, be specific at the outset about where you want to end up.
- Focus on teambuilding. Human beings are complicated creatures and won’t always cooperate in the way you might expect. To avoid distractions from people who don’t get along or are in outward conflict with one another, put time and energy into formalizing teambuilding. This can be done via an organized offsite or internal meetings. Don’t leave the steps to chance. Be thoughtful about what you want to accomplish (see recommendation #1 above) and lay out a clear path to success so everyone knows what to expect. If you want people to prepare something in advance, make sure you let them know what to think about, or bring.
- Revise or enhance your vision and mission and communicate it broadly. Because 2017 was an interesting year from a number of vantage points, many advisory firms spent the year focusing on client servicing, merging or acquiring new firms, seeking organic growth – all good and worthwhile goals. Often times in focusing on day-to-day issues, your firm loses sight of the overall “what are we here for?” message. Your team needs something to rally around, and to make your goals meaningful (see recommendation #1 again) you have to have a reason for being, and a set of guiding principles. This can be a great activity to include in a teambuilding session (see recommendation #2) so that everyone has input. Minimally make sure the vision and mission is communicated and is understood and that each person in the firm knows where they fit within it.
- Define your client experience. You probably have very satisfied clients, as do most of the advisors we know, but do you have a clearly defined set of servicing standards that everyone on your team knows and can communicate? Paint a picture of what happens to a client once they become part of your firm. What steps do you take? What does it feel like for the client? How do clients think about the experience? What repeatable communications can they expect? Defining this is helpful to “re-sell” with existing clients and can be a boost to referrals. It also helps in the sales process when you can outline for someone what they will experience once they are a part of your firm. You may know it well, but often times everyone can’t communicate it. That’s the key.
- Review, refine and enhance your story. The market is crowded and it’s getting more so. With the DOL regulation passed in 2017, many product-oriented firms worked on turning their salespeople into “advisors.” Advisors are now in banks, insurance companies, accounting firms, etc. etc. How do you explain what you do differently and why it is unique for your audience? Who is your audience and why are you equipped to serve them better than any competitors? What are your competitors saying and how can you carve out a niche that differs? Define these things and push them through your marketing messages. Review your website, hard copy materials, emails, client communications and any “touch” the market may have with you. Be sure the message is repeatable and consistent and in an organized fashion. Your story is your platform and your pivot where everything else connects. Be sure it is solid and clear.
There are many other areas for advisors to work on in 2018. As the year unfolds I will address additional ideas and concerns in this column. Please help us start the year on a great note and send in your questions or insights. Happy New Year, everyone!
Beverly Flaxington co-founded The Collaborative, a consulting firm devoted to business building for the financial services industry in 1995. In 2008, she co-founded Advisors Trusted Advisor to offer dedicated practice management resources to advisors, planners and wealth managers. She is currently an adjunct professor at Suffolk University teaching undergraduate students Leadership & Social Responsibility. Beverly is a Certified Professional Behavioral Analyst (CPBA) and Certified Professional Values Analyst (CPVA).
She has spent over 25 years in the investment industry and has been featured in Selling Power Magazine and quoted in hundreds of media outlets, including The Wall Street Journal, MSNBC.com, Investment News and Solutions Magazine for the FPA. She speaks frequently at investment industry conferences and is a speaker for the CFA Institute.
Read more articles by Beverly Flaxington