Supply and demand, the fundamentals of economic theory, are causing disruption across the professional advice industry.
Enhancements in productivity can help address this demand and resourcing challenge while also delivering greater efficiencies and client engagement.
CPA Australia and CA ANZ have estimated that more than 10,000 new accountants per year are required annually until 2026 to meet domestic demand.
Meanwhile, in the financial advice industry, there are currently 15,415 advisers, a number that has decreased by 40 per cent since 2018 and which has stagnated since the beginning of 2024.
The opportunity to enable more Australians to access advice and to deliver better financial futures will rely on leveraging technology and innovation to boost productivity and enhance best practices.
Is your practice best practice?
At the upcoming Class Ignite Conference on 18 and 19 September, I will host a session titled “Is your practice best practice?”, where industry practitioners Joshua Williams (chief operating officer, SuperGuardian) and Zoe de Jong (partner, Intralink Wealth Management) will take us through how they are leveraging technology in their organisations to drive productivity and value.
Meanwhile, industry leaders Jason Entwistle (director of strategic development, HUB24) and Peter McCarthy (founder and director, myprosperity) will offer insights from their time spent working alongside accountants and advisers.
In preparing for this session, it is clear professional firms are increasingly dependent on technology solutions to underpin growth and deliver for clients.
How are client portals transforming customer engagement?
Financial professionals typically use a range of software solutions to manage client communications and experience, often resulting in complexity, inefficiency, and increased costs.
Client portals are a way to streamline this approach and empower financial professionals to deliver an enhanced and consistent experience to their clients through integration and better collaboration.
In addition, and increasingly the primary driver of portal adoption, client portals are key to assisting firms in managing their cyber risks – they provide a safe and secure way to share, store, and manage sensitive information and are fast emerging as the future of client engagement, security and collaboration, and a key driver of best practice.
How are some practices leveraging AI to enhance productivity?
AI can assist with administrative and compliance tasks, allowing financial professionals to focus more on client relationships.
For example, file note tools can convert one-hour meetings into a six- to seven-page file note that is 90 per cent correct, analysing the conversation with a client and breaking down the relevant information for an adviser.
But with a raft of generative AI options available, how do you choose which ones will make the biggest impact on your business and your clients, and what do you need to be aware of?
How can automation and direct feeds simplify processes?
Data automation is already a key trend and essential for financial professionals aiming to drive efficiencies to reduce manual processes.
By automating highly repetitive operational functions and delivering accurate and real-time information, automation also improves traditional workflows that involve paper-based processes, reducing inefficiencies and errors often associated with manual handling.
How can these tech solutions be seamlessly brought together?
Today’s tech landscape for financial professionals is crowded and often lacks integration, limiting the potential for productivity improvements.
Accessing technology and innovation resources in a way where solutions are integrated will be an important part of building best practice. The starting point to building an integrated tech approach is to work back from client outcomes so practices can assemble a tech stack that supports client outcomes.
Clients’ digital expectations are shaped by platforms like Spotify, Uber, and Instagram, and these expectations are now being extended to financial service providers.
Conclusion
Best practice is not a destination but rather a journey, requiring continuous improvement to drive greater efficiency and productivity.
Leveraging technology and innovation can increase productivity and help financial professionals address supply and demand challenges.
This journey will be strongly led by how we can deliver client-centric solutions, as these will help us adopt meaningful best practices.
Join us at the Class Ignite Conference on 18 and 19 September 2024 at the Hilton Hotel, Sydney, for more insights on best practices – secure your spot today.
