Challenge:
A small but wildly successful proprietary trading firm was acquired by a multinational corporation in order to gain entry into a specific trading market. Initially, the corporation allowed the firm to continue with its original team while simultaneously, through its sales team, introducing the esoteric instruments that the firm traded to a brand new and uneducated client base for risk management purposes. The firm’s operations group immediately encountered significant growth challenges as this new client base did not understand, nor conform to the lifecycle conventions that accompany the support of the products. To make matters worse, many of the operations gaps were undisclosed until complaints from clients about deliverable delays, operational errors, and lack of transparency reached the highest level of leadership. They just couldn’t be pinpointed. These factors threatened to undermine trust between the corporation and the firm, as well as the corporation and its clients, and, in fact, jeopardized business relationships and put the success of the new business unit in jeopardy.
Solution:
Recognizing the urgency of the situation, the corporation embarked on a comprehensive overhaul of operational processes to address the issues head-on. During the 90-day deep-dive period, the team addressed the most immediate challenges through a tactical implementation framework or what we call “just do it” as well as a strategic structure designed to facilitate growth and position the corporation for ongoing growth success.
Implementation
Tactical
- Operations Training Program: First and foremost, this operations team needed to support their current rapidly expanding business. This group was obviously well-equipped to support its products but not the characteristics, preferences, and behaviors of its new corporate clients across various industries and profiles, including retail companies, mid-market companies, and large corporations. Included in the training were analytics of industry sector, company size, revenue and profitability, risk tolerances and market views. This training enabled the team to better identify emerging trends, anticipate shifts in client behavior, and stay on top of its deliverables.
- Policies and Procedures Structure and Consistency: The team prioritized the development of comprehensive policies and procedures documentation, providing clear guidelines and standards for all operational tasks for each business function. This initiative enhanced consistency and accountability across the business units but also (perhaps more importantly), allowed easier interchangeability of staff to support higher volume situations.
- Continuous Process Review: Adopting a proactive approach to quality assurance, the team implemented a real-time continuous review of processes. By identifying areas for improvement and recommending enhancements, this initiative ensured the ongoing optimization of operational procedures, driving efficiency and effectiveness.
Strategic
- Implementation of Dedicated Client Service Team: In this instance, for a business this size, we knew that the corporation needed to implement a dedicated Client Services team. The model for this team required very highly-skilled individuals both on the product side but also on the relationship management side. This team was staffed over a period of 6 months and was designed to be a “one-stop” model. Most importantly, we needed to give this team all the tools needed to get an immediate view of a client’s activity across all units, and were able to accomplish this through a sophisticated Client Interaction Management (CIM) solution.
- Client Documentation Deliverable Timelines: To address client concerns regarding deliverable delays, the team established clear timelines and monitoring processes for client documentation deliverables. Through the CIM tool, the Client Services team was able to quickly pinpoint operational delays. Every operational process that could be automated was. This continuous initiative enhanced transparency and accountability, enabling timely delivery of critical information to clients and fostering trust and satisfaction.
- Online Data Delivery to Clients: Embracing digital transformation, the team introduced online data delivery mechanisms, enabling clients to access real-time information conveniently. This part of the initiative allowed clients to self-serve and increased responsiveness scores, strengthening relationships and positioning the organization as a forward-thinking partner.
Results
The transformative journey of this Business Operations unit underscores the power of strategic initiatives and proactive leadership in driving operational excellence and client satisfaction. By prioritizing education, transparency, and continuous improvement, the team not only overcame initial challenges but also positioned the organization for long-term success in a competitive marketplace.
The immediate training integration of the Operations team was critical to improving client satisfaction and keep the business moving at the pace that was now in demand. The long-term initiatives implemented by the business operations unit delivered tangible value to both the operations team and clients, in sum:
- Immediate improvement in Client Satisfaction
- Value to the Operations Team
- Enhanced Efficiency and Effectiveness
- Cost Effectiveness
