Your tech stack and your business

With technology playing a growing role in both business and personal lives, clients now anticipate that advisers will leverage advanced tools to improve service delivery. Financial planning is also evolving, with advisers increasingly dependent on technology to keep their operations running efficiently.

As a financial adviser, you likely already have a tech stack – software and tools you rely on daily. However, balancing the business of financial advice with keeping that tech stack streamlined can be challenging. If you’re not fully embracing financial technology, your business could struggle to grow in an increasingly digitised marketplace.

So, how do you maximise the value of your tech stack without getting bogged down by complexity? The answer lies in optimising your tech, ensuring it’s aligned with your goals, and making sure it works effectively for you, your clients and your team.

The problem

Many business owners treat managing their tech stack as an afterthought rather than a core function. This often leads to negative outcomes like:

• Reduced revenue potential.
• Excessive time spent on repetitive tasks.
• Poor perception of how technology serves the business.
• Ineffective use of newly purchased software.

Additionally, advisers who don’t regularly review their tech stack may appear less confident in their ability to manage key business processes. This can hurt your image with clients and your team. Complicating matters further is the overwhelming number of tools available, covering everything from financial planning to marketing, client relationship management (CRM), and lead generation. Plus, the hype around new AI tools entering the financial services space makes it tempting to jump into the latest tech trend.

Not every tool, however, is practical for your specific needs. It’s easy to get caught up in “shiny object syndrome”, where you’re distracted by all the options without solving real business problems. Instead of picking the newest tools, focus on addressing the specific challenges your business faces.

While technology can certainly simplify business operations, it’s crucial to know which tools will truly add value. Technology can never replace the human element that clients expect. When used effectively, it should help you engage with clients more deeply, showcasing the full value of your advice.

The goal is to make life easier for all, without disrupting your workflow. Regular reviews of your tech stack are necessary, to ensure it continues supporting the success of your practice.

The tech stack audit

Given the abundance of software options, it’s critical to clearly identify your business processes before selecting solutions. Conducting an annual tech stack audit helps you ensure that your tools align with your workflows, compliance needs, and operational goals. The audit isn’t about overhauling everything; rather, it’s about making sure you’re getting the most out of your existing systems.

Here’s a simple process for conducting your annual tech stack audit:

1. Evaluate your current tech stack: start by listing all the tools you’re currently using, from financial planning software to marketing automation systems.
2. Analyse usage: assess how each tool contributes to your business. Are they being fully utilised? What impact do they have on efficiency?
3. Review alternatives: Investigate new technology solutions in the market, especially those that might offer better functionality or integrations.
4. Optimise existing tools: before jumping to new options, check if your current tools can be enhanced or updated.
5. Reduce redundancies: identify any overlap in functionality across different tools. If two systems do the same thing, consolidate and simplify.
6. Explore new solutions: consider investing in new technology where it makes sense. Ensure it addresses specific gaps in your current set-up.
7. Strategise tech usage: develop a clear plan for how each tool fits into your overall business strategy and daily operations.

During this audit, ask yourself how new tools will eliminate manual tasks, what training your team might need, and how new systems will impact client interactions. As you implement changes, create a detailed plan, including:

1. Appointing a project leader to oversee the implementation.
2. Setting a timeline with specific deadlines.
3. Scheduling regular team progress meetings.
4. Conducting thorough training sessions for your staff.
5. Migrating data from old systems to new ones.
6. Setting launch dates for the new tools.
7. Establishing clear shut-off dates for any outdated systems.

By completing an annual audit, you can ensure your tech stack aligns with your processes and scales with your business. This not only saves time and money but also helps you avoid impulse tech purchases in the future. Automation, when applied effectively, can also reduce the need for delegating tasks or training new employees on repetitive processes.

Key considerations before investing in new tech

There are many software tools available to streamline your advice business, but it’s important to take your time when selecting new tech. Thoroughly research the available options and consider how your clients prefer to interact with you, as well as the specific needs of your team.

Client-facing tools should provide an excellent user experience. Dashboards should be intuitive and easy to navigate – confusing or clunky systems can frustrate clients, potentially pushing them to seek advice elsewhere.

However, it’s important to keep this in mind: if you lead with technology rather than focusing on core business problems, you’ll likely end up with new challenges. Instead of trying to solve everything with tech, focus on automating tasks that aren’t central to your team’s expertise, freeing up time for what you do best – building relationships and offering advice.

Embracing the tech challenge

Choosing the right technology can help you make better recommendations to clients while enhancing your service proposition. Your clients and team should feel comfortable with the technology you implement. Prioritise ease of use, ensuring that both clients and staff find the tools straightforward and effective.

The technology you adopt should work for you, not the other way around. It should enhance the value you provide to clients and streamline internal operations. The right tech allows you to scale your business efficiently without losing sight of the personal, human touch that’s at the heart of financial advice.

By embracing the tech challenge, you position your business to grow, reach more people, and offer a higher level of service. The ultimate goal is to have a tech stack that supports your vision for the future, allowing you to focus on what matters most: delivering value to your clients.

Johann Maree is head of research and training, AstuteWheel.