Delegation and Industrialisation

Paolo Sironi and Maurizio Ravezzi

The industry is facing a period of progressive transformation from a product-centric distribution channel to a packaging mechanism in which products are “distributed” inside an advisory process, which is made of on-boarding and in-boarding steps that comply with a clearer client-centric perspective. The success of this transformation depends on the capability to re-engineer financial advisory relationships and attain a higher level of industrialisation, which guarantees risk and compliance checks and more homogeneity of the services provided to a diverse clientele within the same client segment. Control of investment offers is fundamental to retaining the power to steer content and pricing of investment services. However, it is also critical to grant enough level of delegation to financial advisers and foster effective personalisation of investment decision making. Finding the most adequate mix of industrialisation and delegation defines the core of a synergic interaction between the investment centre and the periphery, and becomes a competitive advantage to facilitate the transition of the business model from product focus to client centricity.

INTRODUCTION

The industry is