Over the last few weeks, there has been the publication of Simplify Consulting’s Whitepaper, “Making Waves: Exploring the future of Wealth Operations” and the launch of its inaugural event “Wealth Ops: Live” – which centred around the changes expected to happen within Wealth Ops in the coming years.
During the event, a panel discussion with industry leaders focused on “The future of the workforce” to understand what a future career might look like in Ops, what the future demand for skills could be and the impact this has on recruitment.
There will always be a need for people
Despite the understandable hype around the introduction of AI and advanced technology in Ops one thing remains clear – There will always be a need for people. It may just mean people will have to adapt to a slightly different role/skillset.
It’s expected that AI will complete many of the more basic tasks, however, there will still be a need and customer demand for human interaction in some instances, whether that’s in person, video or phone call, messaging, and emails.
The need for human interaction will be essential during certain life events such as retirement, death, claims or where instructions are of a more technical nature.
Overtime, Wealth businesses may need less people with more basic tasks being automated. A possible solution could be the amalgamation of front, middle and back office with staff being multi-skilled across the three areas with less hand offs, thus providing a more efficient service and first contact resolution.
Skillsets will need to evolve alongside technology
Wealth Ops has always been a great place to start your career, with some soft skills and full training provided by Wealth businesses.
This has helped businesses recruit at scale as demand grows. Added to which it has historically had a high turnover of staff. More technical roles are typically filled by more experienced people. This may mean a bit of a shift change if the basic entry level threshold increases and businesses are looking for people to start from a more advanced position, with greater technical capability and broader soft skills.
The audience at Simplify’s event said the types of skills staff may need in the future were empathy, adaptability, emotional intelligence, analytical and problem solving.
In his closing speech, Neil Bage said ‘soft skills are hard, how do firms train/get the right staff when traditionally Ops staff are Call Centre, high turnover but need a high level of soft skills’. This means firms may need to adapt their recruitment and training strategy and revise their pay and reward structure to ensure they are competitive and able to attract the right talent.
With the introduction of Consumer Duty and a greater emphasis on vulnerable customers, Ops functions within Wealth providers must ensure the customer is at the heart of everything they do.
Given more and more customers will go through an automated process with no human interaction, it will be imperative that processes are suitably designed, and staff trained to look out for signs of vulnerability. Having a more multiskilled workforce who see more of the end-to-end customer journey may help with this challenge!
Hybrid working could be here to stay
Exacerbated by Covid, there has been a seismic shift in the utilisation of tech within Wealth Ops, enabling people to work from home in areas that have traditionally been office-based. We have already started to see a shift towards hybrid working.
There are benefits on both sides to allowing some home working.
From a business perspective, it will lower their cost base if they reduce the number or size of their offices. It also allows firms to attract talent from a wider geographical pool. Staff may be more engaged as it allows for a better balance between work and home responsibilities.
From an employee perspective, most have come to expect an element of flexibility with home working and maybe put off by firms insisting on full time office working. Less travel saves time, money, and stress.
There are some downsides as many companies will struggle to impart their culture. It may be more difficult to spot personal issues employees are having, and building relationships with colleagues and stakeholders becomes more challenging. This is another reason why hybrid working feels like a sensible balance between the two.
Benefits of tech advances
If used in the right way, AI may make employees’ lives easier by doing a lot of the heavy lifting that previously would be manual tasks, which due to their repetitive nature, could be at risk from human error. AI and humans can complement each other well rather than the former being a threat to the latter.
In general, the feeling during the event was that staff recognise the benefits humans bring to the party and AI is just another part of the evolution of financial services.
In summary, tech advances will change the world of Wealth Ops. Tech and AI will revolutionise the way we work, but people are vital.
Wealth firms may need less people and skillsets will change – forcing businesses to adapt to a different strategy. But if firms embrace this, it could lead to more efficiency, less errors, and an engaged multi-skilled workforce to create a better customer experience. It is an exciting time to be in Wealth Management.
Matt Short
Business Manager