Strategy
Future Of The Wealth Ops Workforce

The author of this article argues that technology and artificial intelligence will revolutionise the way we work, but people are vital. He wrestles with the "wealth ops" side of the industry, and what new technologies mean for it.
With technology and other elements of work changing rapidly, wealth managers must naturally wonder what the working environment in their sector will look like. So much has changed already. To try to make sense of this is Matt Short, business manager at Simplify Consulting. The editorial team is pleased to share this content with readers. The usual editorial disclaimers apply. Email tom.burroughes@wealthbriefing.com if you want to respond.
Over the last few weeks, Simplify Consulting has published
its white paper, Making Waves: Exploring the future of Wealth
Operations and launched its inaugural event – Wealth
Ops: Live – which centred around the changes expected to
happen within wealth ops in the coming years.
During the event, a panel discussed “The future of the workforce”
to try to understand what a future career might look like in
ops, what the future demand for skills could be, and the
impact this might have on recruitment.
There will always be a need for people
Despite the understandable hype around the introduction of AI and
advanced technology in ops, one thing remains clear – there
will always be a need for people. It might just mean that
people will have to adapt to a slightly different
role/skillset.
Although it is expected that AI will complete many of the more
basic tasks, there will still be a customer demand for human
interaction in some instances, whether in-person, video or phone
call, messaging, or emails. Human interaction will still be
essential for certain life events such as retirement, death,
claims or where instructions are of a more technical nature.
Over time, wealth businesses may need fewer people as more basic
tasks are automated. A possible solution could be the
amalgamation of front, middle and back office with staff being
multi-skilled across the three areas with fewer handoffs, thus
providing a more efficient service and first-contact
resolution.
Skillsets will need to evolve alongside
technology
Wealth ops has always been a great place to start a career, with
some soft skills and full training provided by wealth
businesses.
This has helped businesses recruit at scale as demand grows.
Added to which, historically, it has had a high turnover of
staff. More technical roles are typically filled by more
experienced people. This may mean a bit of a shift change if the
basic entry level threshold increases and businesses are looking
for people to start from a more advanced position, with greater
technical capability and broader soft skills.
The audience at Simplify’s event said the types of skills staff
may need in the future were empathy, adaptability, emotional
intelligence, analytical and problem solving.
“Soft skills are hard, how do firms train/get the right staff
when traditionally ops staff are call centre, high turnover
but need a high level of soft skills,” Neil Bage said in his
closing speech. This means that firms may need to adapt their
recruitment and training strategy and revise their pay and reward
structure to ensure that they are competitive and able to attract
the right talent.
With the introduction of [the UK] Consumer Duty and a greater
emphasis on vulnerable customers, ops functions within
wealth providers must ensure that the customer is at the heart of
everything they do.
Given that more and more customers will go through an automated
process with no human interaction, it will be imperative that
processes are suitably designed, and staff trained to look out
for signs of vulnerability. Having a more multi-skilled workforce
which sees more of the end-to-end customer journey may help
with this challenge.
Hybrid working could be here to stay
Exacerbated by Covid, there has been a seismic shift in the use
of tech within wealth ops, enabling people to work from home in
areas that have traditionally been office based. We have already
started to see a shift towards hybrid working.
There are benefits on both sides to allowing some home
working.
From a business perspective, it will lower their cost base if
they reduce the number or size of their offices. It also allows
firms to attract talent from a wider geographical pool. Staff may
be more engaged as it allows for a better balance between work
and home responsibilities.
From an employee perspective, most have come to expect an element
of flexibility with home working and might be put off by firms
insisting on full-time office working. Less travel saves time,
money, and stress.
There are some downsides as many companies will struggle to
impart their culture. It may be more difficult to spot
personal problems employees are having, and building
relationships with colleagues and stakeholders becomes more
demanding. This is another reason why hybrid working feels like a
sensible balance between the two.
Benefits of tech advances
If used in the right way, AI could make employees' lives easier
by doing a lot of the heavy lifting that previously would have
been done manually. Due to their repetitive nature, those tasks
could be at risk from human error. AI can be complementary to
human tasks rather than a threat.
In general, the feeling during the event was that staff recognise
the benefits humans bring to the party and AI is just another
part of the evolution of financial services.
In summary, tech advances will change the world of wealth ops.
Tech and AI will revolutionise the way we work, but people are
vital.
Wealth firms may need fewer people and skill sets will change –
forcing businesses to adapt to a different strategy –
but if firms embrace this, it could lead to more efficiency,
fewer errors, and an engaged multi-skilled workforce which is
able to create a better customer experience. It is an exciting
time to be in wealth management.
About the author
Matt Short previously worked at HSBC for 19 years in Wealth
Operations, projects and primarily in a contact centre, running
the centre for the last seven years, where he serviced HSBC’s
Life, Pensions and Investments customers.