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All About Automation: How Powerful CRMs Help Growing RIAs

BY finn gilbert
Practifi

In the world of wealth management, a significant challenge for RIAs is sustaining top-notch service while trying to scale operations. Day-to-day, advisors, client service reps, operations managers, compliance officers, and others handle various tasks, from onboarding to data tracking. However, as firms add clients and staff, maintaining consistent and regular client communication becomes increasingly difficult. Manual tasks and inefficiencies hinder scalability and can lead to compliance risks and client turnover. Some firms excel, while others struggle due to limited or confusing workflow capabilities.

The solution? Embrace industry-specific CRM systems that offer both powerful and user-friendly workflow capabilities. By utilizing leading technology, RIAs are able to streamline their operations, meet regulatory requirements and consistently provide exceptional client service — all of which are fundamental to growing sustainably.

Eliminate Inefficiency By Digitalizing Common Processes

Without the advantages of workflow automation, wealth management firms often find themselves burdened by manual, time-consuming processes, many of which are paper-intensive. These processes slow down how they access information and assign tasks, leading to delayed responses, frustrated clients and missed opportunities. These inefficiencies become increasingly challenging to manage as firms hire more staff and take on more clients, further underscoring the crucial role of workflow automation in ensuring scalability and happy clients.

Powerful CRM systems like Practifi offer a solution by providing out-of-the-box workflow automation tailored to the needs of RIAs. For instance, the client account opening process can be streamlined through workflow automation. This means tasks such as collecting client information, verifying identities, and more can be automated. Account opening documents can also be digitally completed and automatically forwarded to custodians, enhancing efficiency and further decreasing reliance on manual paperwork. Practifi’s pre-built workflows offer an efficient way for firms to jumpstart automation processes, streamlining the path to enhanced efficiency by providing a solid foundation for common processes.

“This process has significantly improved our efficiency, cutting the time required
to open and fund an account by 50%.”

Chief Operating Officer, Trilogy Financial

Mitigate Compliance Risks Through Scalable Workflow Automation

Inefficient manual data entry and non-standardized procedures can result in critical tasks being overlooked, jeopardizing compliance obligations. As firms grow and their operations become more complex, the risks associated with manual processes grow, too. The sheer volume of data and tasks escalates, staff numbers increase, and processes evolve, all of which magnifies the potential for errors in data input. This, in turn, makes it increasingly difficult to ensure compliance without the support of workflow automation.

CRMs that provide both powerful and user-friendly workflow capabilities help RIAs effectively mitigate compliance risks, especially when scaling operations. For example, Practifi’s automated deliverables and robust workflow management tools reduce regulatory risks by ensuring timely completion of client service agreement obligations. Automated reminders, detailed tracking and pre-built reports not only help firms deliver quality service but also assist in meeting industry compliance requirements. This integrated approach to technology not only enhances efficiency but also safeguards against compliance issues, making it indispensable for growing RIAs.

Sustain Client Engagement Through Growth

Engaging clients consistently can be a real struggle without proper workflow automation. As RIAs experience growth in their client base, teams and AUM, the absence of automation makes it hard to keep up the same level of quality service. Without automation, RIAs face difficulties in maintaining consistent interactions with clients, and as their client numbers and AUM increase, the challenges only multiply.

Powerful CRMs are purpose-built for the wealth management and RIA industry, designed to enhance and sustain client relationships by understanding how advisors and their teams operate and engage clients. Practifi’s “Rulebook”, for example, is a user-friendly tool that standardizes client communication and empowers advisory teams to engage with clients at the right time during the client lifecycle. By doing so, firms are able to effectively address the challenges that come with growth and provide a consistent and exceptional client experience.

A Powerful CRM Is a Powerful Advantage

In the ever-evolving landscape of wealth management, it’s crucial that RIAs don’t let their technology choices hinder their success. The challenges of manual processes, compliance risks and client engagement issues can loom large as firms seek to scale.

Fortunately, powerful CRMs like Practifi offer tailored solutions that not only address these challenges but do so in a way that is both robust and user-friendly. To maximize growth potential, partnering with innovative CRM providers who understand the industry’s unique needs and offer powerful and user-friendly solutions is the key. Don’t let your CRM hold you back; let it be the catalyst for sustainable growth and success.