At Limina, we understand the challenges faced by asset managers and banks when embarking on business transformations. Our deep industry expertise and innovative solution allow us to navigate the intricate landscape of these complex transformations. In collaboration with Justyn Trenner from Sophact Limited, Joerg Isselmann from Preyer GmbH and Steven Shone from Limina we explore why asset management business transformations commonly stumble and look at the six key questions you need to consider before embarking on your project.
Preserving What Works: Identifying Strengths
Before initiating any change, it's essential to identify what already works well within your asset management business. While it's easy to focus on areas for improvement, businesses must ensure they understand and strengthen what truly matters to their customers. By defining, validating, and achieving consensus on these strengths, businesses are able to set a solid foundation for transformation.
Clear Responsibilities: Defining Roles
A lack of clarity regarding responsibilities can hinder efficiency improvements. It's crucial to clearly define who is responsible for each function and where the ultimate decision-making authority lies. An org chart alone is not enough; documenting workflows with specific names and responsibilities is essential. It's important to note that understanding the business and workflows precedes discussions about systems.
Assessing Current Technology: Understanding the Landscape
Embarking on an asset management business transformation without a comprehensive analysis of the current technology landscape is a recipe for failure. It's crucial to have a well-documented assessment that includes flow charts, personnel and vendor details, interconnections, and testing and acceptance approvals. This documentation should be carefully prepared, not rushed, to ensure that vital considerations are not overlooked.
Evaluating Existing Solutions: Recognising Strengths
Similar to understanding business workflows, it's important to identify the strengths of your existing solutions. Businesses should be open to questioning these strengths, as decisions made in the past may not align with current needs. Validating assumptions with management and the wider business is essential to ensure we build upon the right foundation.
Measuring Success: Evaluating Metrics
Metrics play a crucial role in measuring the effectiveness of your current work processes. It's important to review and challenge these metrics, covering financial costs, outcomes, and process efficiencies. By ensuring a shared understanding of these measures across the organisation, you can accurately assess the impact of the transformation.
Once we have documented and addressed the above issues, we can move on to the final step.
Consensus on the Current Situation: Aligning Perspectives
While complete agreement may be challenging to achieve, substantial consensus is vital across all areas of the business. From the front to the back office, technology, and project management offices, everyone should have a shared understanding of the current state, its strengths and weaknesses, and the goals of the forthcoming change.
With these preparatory steps completed, you'll be well-positioned to plan for a successful future. If you’re looking to unlock a new era of data management and order & portfolio management workflows, then our cloud-native Investment Management Solution (IMS) makes this possible. Our system leverages modern technology to help improve investment workflows, reduce operating costs and mitigate operational risks while allowing for more confident investment decisions. If you're looking to start a transformation project in your business, why not book a no-obligation demo to see the Limina IMS in action.