Integration At The Point Of Contact


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  • Integration At The Point Of Contact

    1. 1. Advisor Platform Integration At The Point Of Contact Craig Saint-Amour & Colin McClive Microsoft Corporation
    2. 2. Why women live longer than men?
    3. 3. 6 th place
    4. 5. 5 th place
    5. 7. 4th place
    6. 9. 3rd place
    7. 11. 2nd place
    8. 13. And the winner is:
    9. 15. Presentation Overview <ul><ul><li>Establish an understanding of The Advisor marketplace </li></ul></ul><ul><ul><li>Describe how and why MS deserves the attention </li></ul></ul><ul><ul><li>Describe high level details of MS strategy for the Advisor marketplace </li></ul></ul><ul><ul><li>Articulate Advisor Platform value proposition and positioning </li></ul></ul><ul><ul><li>Describe Advisor Platform solution and benefits </li></ul></ul><ul><ul><li>Case studies to validate Advisor Platform success </li></ul></ul>
    10. 16. Advisors Have Many Forms In Many Industries Customer Banking Insurance Capital Markets Institutional Independents Private Banking Trust/Private Banking Brokerage Brokers Agents Portfolio Mngmt CPAs Pension Mgt Treasury Advisors Estate Planning RIAs Reg. Rep. Attorneys Master Trustees Investment Products Sources: Tower Group and others Wealth Mgmt.
    11. 17. Business Trends Driving The Advisor Environment <ul><li>Increasingly knowledgeable consumers who demand high value for services </li></ul><ul><li>Desire for convenience and access to new service/delivery configurations </li></ul><ul><li>Growing dichotomy between advice-oriented and self-directed customers and products/transactions </li></ul><ul><li>Commoditization of products/transactions, leading to service and value becoming key differentiators </li></ul><ul><li>Globalization requiring greater coordination </li></ul><ul><li>Deregulatory environment fostering active cross-industry competition </li></ul><ul><li>Rapid industry convergence creates universal banks capable of delivering banking, insurance, and investment products </li></ul><ul><li>Emergence of non-financial institutions as viable competitors </li></ul><ul><li>Emergence of alternative distribution channels </li></ul><ul><li>Improvement of customer information management, incorporating database marketing and other sophisticated approaches </li></ul><ul><li>Integration of multiple channels into single, uniform delivery system </li></ul><ul><li>Added pressures to expand market share, improve profitability, increase efficiency and offer a broader range of financial products and services </li></ul><ul><li>Increased focus on revenue growth, particularly through non-interest income sources </li></ul><ul><li>Significant movement to fee based annuity revenue vs. commissioned based revenue models </li></ul>Increasing Customer Sophistication Technology Changing Basis Of Competition Broadening Scope of Competition Increasing Focus on Growth and Diversification Trend Source: Accenture Impacts
    12. 18. Tools/Technology Trends Affecting The Advisor And Advisor Network <ul><li>Tools/Platform </li></ul><ul><li>Integrated Solution Market is still immature - plethora of point solutions and a handful of medium size, regionally focused providers. </li></ul><ul><li>Longer market staying power is a key buying decision criteria </li></ul><ul><li>Tools are not meeting the needs of the Advisor community </li></ul><ul><li>Financial planning as unifying process and tool for customer relationship mgmt. </li></ul><ul><li>Technology </li></ul><ul><li>Integration of channel strategies (online, workstation, call/service centers) </li></ul><ul><li>Emphasis on enhancing front office capabilities and linkages to existing middle and back office infrastructure </li></ul><ul><li>Balance between servicing efficiency and personalization is critical placing huge requirements on technology scalability and scope </li></ul><ul><li>Tools/Platform </li></ul><ul><li>Increasing awareness of inefficiencies in field workflow & business process and its relationship to low adoption of advisor workstation tools </li></ul><ul><li>Broaden platform offerings to serve major end-customer segments -- the mass market, mass affluent, and high net worth </li></ul><ul><li>Use of workstation & customer data strategy to “institutionalize” customer relationship </li></ul><ul><li>Technology </li></ul><ul><li>Collaborative technology capabilities required internally & externally </li></ul><ul><li>Loosely coupled integration via web services becoming a required capability </li></ul><ul><li>Technologies must support the transformation of current sales force from “transaction agents” to &quot;trusted advisors&quot; </li></ul>
    13. 19. Today customers demand holistic advice and guidance… Banks Examples: Wells Fargo, Barclays, Wachovia Banks moving up-market into mass affluent segment Source: Celent Communications Types of assets held by high value customers Insurance Companies Examples: Northwestern Mutual, AXA,MetLife Establishing trust charters in order to find new sources of revenue growth New Specialist Boutiques Examples: Virgin Direct, Intelligent Finance Offering niche products and services to highly profitable segments of the market Brokers Examples: Merrill Lynch, Charles Schwab/US Trust Pursuing mass affluent aggressively as source of stable fee-based income
    14. 20. Advisor Firms Are Challenged By: <ul><li>Aligning their talent pools and expertise with ability to penetrate customer bases deeply with many product offerings </li></ul><ul><li>Optimizing the “institutional” value along with the individual advisor value </li></ul><ul><li>Creating differentiation in a highly competitive environment </li></ul><ul><li>Increasing productivity on an existing expense base </li></ul><ul><li>Responsiveness to customer demands </li></ul><ul><li>Increasing importance of compliance on day to day activities </li></ul><ul><li>Addressing many different customer segments across industries, products and competencies </li></ul><ul><li>Balancing of processes between standardization/sophistication and customization/simplicity </li></ul>
    15. 21. Advisors Have Challenges Also… <ul><li>Financial Services Professionals (bankers, brokers, agents) desire ways to </li></ul><ul><ul><li>Spend more time with clients, and less time behind the computer </li></ul></ul><ul><ul><li>Collaborate more frequently & fully with customers in the financial sales process </li></ul></ul><ul><ul><li>Effectively use members of the planning team and specialists in a collaborative fashion </li></ul></ul><ul><ul><li>Grow client relationships – become a “Trusted Advisor” </li></ul></ul><ul><li>Limited ability to collaborate with specialists efficiently </li></ul><ul><li>Delivering differentiated advice, customer insight and service </li></ul><ul><li>Financial advisors are best placed to serve customers however they are hampered by a lack of tools and support </li></ul><ul><li>Serving transactional AND advisory needs, and a diverse customer base </li></ul>Financial organizations must develop a platform to support financial advisors to provide and implement advice effectively and efficiently
    16. 22. <ul><li>Microsoft’s Special Value </li></ul>
    17. 23. Microsoft’s Special Value <ul><li>While the advisor platform is typically partner technology, Microsoft integrates the advisor platform into the enterprise context </li></ul><ul><li>With enterprise infrastructure like identity and directory services </li></ul><ul><li>With the collaboration tools familiar to your employees like Microsoft Office and Outlook </li></ul><ul><li>With business intelligence and financial analytics </li></ul>
    18. 24. The Advisor Platform in action Financial Product Manufacturers <ul><li>Wills/attorney </li></ul><ul><li>Trusts/trustee services </li></ul><ul><li>Estate management </li></ul><ul><li>Personal mortgages </li></ul><ul><li>Investment lending </li></ul><ul><li>Business capital </li></ul><ul><li>Business lending </li></ul><ul><li>Life insurance </li></ul><ul><li>General insurance </li></ul><ul><li>Health insurance </li></ul><ul><li>Managed funds </li></ul><ul><li>Direct securities </li></ul><ul><li>Real estate </li></ul><ul><li>Customers </li></ul><ul><li>High net worth </li></ul><ul><li>Mass affluent </li></ul><ul><li>Businesses </li></ul><ul><li>Budgeting </li></ul><ul><li>Income planning </li></ul><ul><li>Cash management </li></ul><ul><li>Tax structures </li></ul><ul><li>Tax returns/reporting </li></ul><ul><li>Tax minimisation </li></ul><ul><li>Pensions </li></ul><ul><li>401k </li></ul><ul><li>Superannuation </li></ul>Taxation Financial Instituion Platform Cashflow Investment Retirement Risk Debt Estate Collaboration Collaboration Holistic Financial Management Source: Microsoft/Accenture Financial Advisor
    19. 25. <ul><li>Advisor Platform Solution Overview </li></ul>
    20. 26. The Advisory Platform Technical Architecture Common Channel services / Multi-channel Architecture Business Integration Platform Accounts Processing Portfolio Processing Policy Processing Other Processing Asset Allocation Reporting / Analysis Services Advice Engines Pricing/Alerts Customer Product Definition Service Definition Scenario Builder GL / Back- office Product-specific processes with reusability potential Product and service agnostic processes Distribution Channel Applications Call Center Branch or Agency Mobile Internet Agent or Broker Application Server Platform Processing Applications Product and services specific processes Market Data and Value Chain Partner Connections
    21. 27. Advisor Platform Business Flow – End-to-end integration is the key to achieving business results Customer Information CRM Sell Profile Execute on Plan Create Plans Prospect Manage Existing Clients Attorney CPA Trust Officer Funds Manager Stock Broker Customer <ul><li>Self-Service (Monitor, Change, Message) </li></ul><ul><li>Receive proposals </li></ul><ul><li>Receive alerts </li></ul>Phone Email Fax IM Mobile Office Visit = Company services supporting = External and/or Internal collaborators Financial Advisor/ Account Mgr/Agent Ad hoc stock sales and purchases
    22. 28. Partner Options for Advisor Platform Functionality Proposal & IPS Generation Comprehensive Planning Investor Profiling Client Reviews & Reporting Investment Selection & Portfolio Construction Lead, Opportunity, Client & Campaign Mgnt Portfolio Management Alerts & Rebalancing Account Opening, Trade Execution & Product Advice America 360 Degree Advisor Portal
    23. 29. Integrated Stack Value We are the Factory Team Partner Applications & Services Patterns & Practices (PAG) Product Group Support Visual Studio Team System ASP.NET Business Process Layer Data Layer Application Framework Web Clients Infrastructure
    24. 30. Advisor Platform Provides Key Functions To Support The Advisor, The Customer, And The Industry Service Providers <ul><li>Micro-Browser </li></ul><ul><li>SMS </li></ul><ul><li>Smart Client </li></ul>Pocket PC <ul><li>Email Management </li></ul><ul><li>Fax Server </li></ul>E-Mail/Mail/Fax <ul><li>Browser </li></ul><ul><li>Web Chat </li></ul><ul><li>Collaboration </li></ul>Web <ul><li>CTI </li></ul><ul><li>Telephony </li></ul><ul><li>Voice Portal </li></ul>Phone <ul><li>Disconnected Mode Access </li></ul>Laptop PC Corporate Services (Internal/External) Knowledge Management Self Service Workforce Effectiveness Workflow & Channel Presentation Data Consolidation (Presentation) Collaboration Profitability Compliance & Accreditation Products & Research Activity Management / Workflow Document Management Case Collaboration with Specialists Training & Help Advisory Services Sales Asset Allocation Market Information Service Client Servicing Advisor Servicing Fact Find / Goals Plan Creation / Simulation Plan Monitoring Portfolio Optimisation Recommendation Engine Implementation (Quote / Application) Report Generation Advisory Support Services Contact History Customer View Customer Preferences Customer Treatment Customer Insight Client Data Base Contact Management Profiling Alerts Marketing Customer Treatment Lead Generation / Reporting Access Advisor Details Firm Management Product Manufacturing Clearing Core Transaction Systems Custody Operations Support Productivity Services Application Integration Outlook (Diary, Todo, Task List, Inbox, Application Launcher) Speech Server Sharepoint Services/K2 Meridio Sharepoint Services/Office Sharepoint Services/Office MS CRM SQL Business Intelligence/Office/ Reporting Services AdviceAmerica SQL Business Intelligence/Office/ Reporting Services AdviceAmerica
    25. 31. <ul><li>Advisor Platform Solution Value </li></ul>
    26. 32. Benefits Of An Integrated Advisor Platform <ul><li>Enterprise </li></ul><ul><li>Increase Share of customer wallet </li></ul><ul><li>Increase number of customers per Advisor </li></ul><ul><li>Provide a holistic view of the customer which will enable a broader client relationship and enhance customer loyalty </li></ul><ul><li>Provide an increased understanding of the customer portfolio which accelerates a deeper penetration of newly introduced products </li></ul><ul><li>Reduce costs through elimination of redundant systems and optimizing remaining systems </li></ul><ul><li>Lower the risk of unauthorized access to valuable customer and transaction information </li></ul><ul><li>Customer </li></ul><ul><li>Insure all customer segments are fully serviced </li></ul><ul><li>Enable a “channel of choice” mechanism for all customer segments </li></ul><ul><li>Create a collaborative environment to improve and accelerate/enhance decision making </li></ul><ul><li>The right product for the right need </li></ul><ul><li>Advice and service when needed </li></ul><ul><li>Holistic, lifestyle financial planning and management </li></ul><ul><li>Confidentiality </li></ul><ul><li>Advisor </li></ul><ul><li>Advisor efficiency </li></ul><ul><li>Increased customer touch opportunities – virtually, face to face and online </li></ul><ul><li>Attract and retain advisors </li></ul><ul><li>Upskill service/sales staff to Advisor </li></ul><ul><li>A seamless process for the entire financial lifecycle </li></ul><ul><li>Familiar tools which accelerate customer response and efficiency </li></ul>
    27. 33. <ul><li>Customer Evidence </li></ul>
    28. 34. Rapid response to ever changing market needs <ul><li>Greater service efficiency </li></ul><ul><li>Higher customer satisfaction </li></ul><ul><li>Increased customer retention </li></ul><ul><li>Lower training costs </li></ul><ul><li>Opportunity to drive new revenues </li></ul><ul><li>MetLife needed a custom solution for their Advisor platform to respond to the market in just 3 weeks. This included design, coding, testing and deployment of the solution. Not having the solution when needed would cost MetLife business and dollars. It would require nothing short of a Herculean effort. </li></ul>“ Being able to effectively react to an immediate business need for a target market segment is priceless. Especially when the real cost is small, the opportunity is large, and the reusability factor is high. Impact and their use of Microsoft’s platform made it a no brainer.” --Dan Weinberger Assistant Vice President, Individual Business Sales Tools and Marketing Communications, MetLife Group, Inc <ul><li>Impact Technologies deployed its Plan Lab Office solution by utilizing its existing framework and architecture built on the Microsoft platform. The solution not only met MetLife’s immediate need but can be leveraged in the future on other initiatives. </li></ul>
    29. 35. Trusted Advisor through an integrated platform <ul><li>Increased ability of the financial advisor to better understand their client's needs and become &quot;their trusted advisor&quot; </li></ul><ul><li>Advisors have seen a marked improvement in sales, customer satisfaction and employee experience </li></ul><ul><li>The Bank needed to spend more time with their customers to better understand their needs and to provide holistic financial planning and service through a vast network of over 1,000 advisors </li></ul><ul><li>AdviceAmerica Software Platform for Financial Advisors </li></ul><ul><li>Web based capabilities utilizing Microsoft SQL Server and the .net development environment </li></ul>Quotation needed of some kind
    30. 36. Reach & convenience through mobile devices <ul><li>Sub second delivery of prices and information to users anywhere insuring traders are fully informed or market conditions and can manage risk more effectively </li></ul><ul><li>100% increase in the number of trades </li></ul><ul><li>Increased customer base who are attracted by possibility of trading anytime, anywhere </li></ul><ul><li>Cantor Fitzgerald is a global financial services firm with operating units involved in a variety of market-based businesses and is the leading privately held inter-dealer Cantor Index saw the potential for wireless technology but it had to deliver a quality of information as high as that available online, deliver prices to end users in real time, and enable them to transact immediately. </li></ul><ul><li>Cantor Mobile rolled out to Cantor Index traders </li></ul><ul><li>Microsoft Mobile based Pocket PC </li></ul><ul><li>weComm’s WAVE platform </li></ul>“ We have gained a lot more customers, many from our competitors. They have come to us purely for this product because no-one else offers it. It gives us a reputation for innovation and actually sets us ahead in terms of the curve of technology. I believe this makes us the most technology savvy company in our industry right now.” Alex Huckleby, Head of Wireless Services, Cantor Index
    31. 37. <ul><li>Engaging with Microsoft </li></ul>
    32. 38. Engaging With Microsoft <ul><li>Contact your Account Executive </li></ul><ul><li>Define primary pain areas and most significant area of business opportunity </li></ul><ul><li>Develop an initial solution blueprint with Microsoft and our partners </li></ul><ul><li>Establish a Proof of Concept </li></ul><ul><li>Design the optimal implementation and support plan for the solution </li></ul><ul><li>Deliver the solution to the Enterprise </li></ul>
    33. 39. More information <ul><li>Microsoft in Financial Services </li></ul><ul><ul><li> financialservices </li></ul></ul><ul><li>Financial Services Developer Community </li></ul><ul><ul><li> </li></ul></ul><ul><li>Case Studies </li></ul><ul><ul><li> casestudies </li></ul></ul><ul><li>Web Services Developer Center </li></ul><ul><ul><li>http:// </li></ul></ul><ul><li>.NET Connected Web Services solutions </li></ul><ul><ul><li> </li></ul></ul><ul><li>Windows in Financial Services publication </li></ul><ul><ul><li> </li></ul></ul>
    34. 40. © 2005 Microsoft Corporation. All rights reserved. This presentation is for informational purposes only. Microsoft makes no warranties, express or implied, in this summary.