TechTalk

TechTalkblog

InvestmentNews takes advisers through the developments and innovations in technology that’ll change the way you do business today—and tomorrow.

How to use your CRM to increase productivity

Don't underestimate the power of your system to gather key performance metrics

Dec 18, 2013 @ 7:58 am

By Gregory H. Friedman

customer relationship manager, CRM
+ Zoom
How do you gauge your firm's productivity? Using your CRM system to help gather key performance metrics should not be underestimated. RIA growth strategies are rooted not only in new client acquisition but also in client retention, workflow efficiency, and employee performance. In my firm, we've created an Advisor Dashboard that captures key performance indicators, such as AUM by adviser, time spent per client, and client turnover rates, firmwide within our CRM (we use Junxure). These data points are then compiled as a report and exported into the Advisor Dashboard, which provides a quick summary of how each adviser is affecting the firm's growth and retention. KPIs may vary based what your firm measures for success and growth. Here are a few to consider: 1. Number of clients vs. percentage of clients in the firm: What percentage of your firm's clients is managed by this adviser? Have they proven capable of handling that level of responsibility and workload? 2. Assets and AUM: How much of the firm's AUM is this adviser responsible for? 3. Revenue and revenue per client: How much is this adviser producing for the firm? 4. Engagement: How pro-active is this adviser in having client meetings and participating in the firm's outreach to partners and the community? 5. Referrals: How many referrals has this adviser brought in? 6. Success rate: How many prospects has this adviser converted to clients? 7. Client turnover and relevant AUM: How many clients managed by this adviser have left your practice, and how much AUM did they take with them? It's important to note that the Advisor Dashboard does not need to be limited to advisers. It could easily be extended to a variety of employees in your practice with modifications to the metrics. Making the most of your CRM system in the context of a targeted KPI dashboard allows you to make your data useful and drive a firm's productivity and sustained profitability. It also seamlessly aligns everyone in your firm and intuitively prioritizes their day-to-day actions to the mutual benefit of the firm and your clients.

Gregory H. Friedman is co-founder and president of Junxure, and founder and president of Private Ocean.

How do you gauge your firm's productivity? Using your CRM system to help gather key performance metrics should not be underestimated. RIA growth strategies are rooted not only in new client acquisition but also in client retention, workflow efficiency, and employee performance. In my firm, we've created an Advisor Dashboard that captures key performance indicators, such as AUM by adviser, time spent per client, and client turnover rates, firmwide within our CRM (we use Junxure). These data points are then compiled as a report and exported into the Advisor Dashboard, which provides a quick summary of how each adviser is affecting the firm's growth and retention. KPIs may vary based what your firm measures for success and growth. Here are a few to consider: 1. Number of clients vs. percentage of clients in the firm: What percentage of your firm's clients is managed by this adviser? Have they proven capable of handling that level of responsibility and workload? 2. Assets and AUM: How much of the firm's AUM is this adviser responsible for? 3. Revenue and revenue per client: How much is this adviser producing for the firm? 4. Engagement: How pro-active is this adviser in having client meetings and participating in the firm's outreach to partners and the community? 5. Referrals: How many referrals has this adviser brought in? 6. Success rate: How many prospects has this adviser converted to clients? 7. Client turnover and relevant AUM: How many clients managed by this adviser have left your practice, and how much AUM did they take with them? It's important to note that the Advisor Dashboard does not need to be limited to advisers. It could easily be extended to a variety of employees in your practice with modifications to the metrics. Making the most of your CRM system in the context of a targeted KPI dashboard allows you to make your data useful and drive a firm's productivity and sustained profitability. It also seamlessly aligns everyone in your firm and intuitively prioritizes their day-to-day actions to the mutual benefit of the firm and your clients.

Gregory H. Friedman is co-founder and president of Junxure, and founder and president of Private Ocean.

0
Comments

What do you think?

View comments

Recommended for you

Featured Research

The 2015 InvestmentNews Adviser Technology Study

This in-depth study provides a blueprint for the industry, providing actionable information to advisers, along with the latest solutions to help them drive profitability, efficiency and growth for their firm.

Featured video

Events

How NextGen talent is impacting financial services

Nextgen talent brings a diverse perspective and unique skills to the industry. Find out why two Utah Valley University students are so excited to make a difference.

Video Spotlight

Will It Last As Long As Your Clients Do?

Sponsored by Prudential

Video Spotlight

The Catalyst

Sponsored by Pershing

Latest news & opinion

Labor's Alexander Acosta and SEC's Jay Clayton tell lawmakers they will work together on fiduciary rule

In separate appearances before Senate panels, the regulators stressed the cooperation that Republican legislators and opponents of the DOL fiduciary rule are demanding.

Brian Block denies cooking the books at Schorsch REIT

Former CFO claims everything he did was 'appropriate' and 'correct.'

Interns will take on several roles at advisory firms this summer

College students are helping with client prep, firm visioning and long-term projects, among other duties.

10 funds with largest 3-year outflows

Even well-managed funds that have beaten the S&P 500’s 10.1% average annual gain have watched investors flee.

Wirehouse training programs are back

At one time, major brokerage houses ran large, expensive training programs for thousands of young brokers, and now it looks as if they are about to return to that model.

X

Subscribe and Save 60%

Premium Access
Print + Digital

Learn more
Subscribe to Print