Most firms realize the power and necessity of digital transformation. But the best-laid digital transformation and innovation plans can’t move forward if data is siloed at your firm.
As the amount of client data available to firms increases, so can data silos. When firms work in disparate, unintegrated systems, data may be stored in multiple places or not shared at all. The inefficiency and cost of siloed data is only part of the problem. Multiple data sets lead to errors, non-compliance, and delays. Advisors say disconnected data is a major barrier to innovation, and 62% of financial leaders say improving access to siloed data is a top data initiative.
The volume of data at most firms can make redesigning your systems seem overwhelming, but it isn’t impossible. Here are three ways to break down barriers between systems and increase data integration at your firm:
Get to the Root of the Problem
Firms don’t plan to silo their data, but it often happens over time as new technologies and systems are adopted, employees come and go, and firms merge. Over time, data can become a complicated web of systems, documents, and information.
Start breaking down silos by getting to the root of the problem. First, find the most accurate source of truth. Look for roadblocks and bottlenecks in your processes to see where data is mismanaged or communication could be improved between data sources. If clients must complete paper forms which are entered manually into multiple systems by back-office employees, getting to the root of the problem means finding the most accurate data and removing excess data sources. Start with a clear view of your silos so you can find solutions.
Streamline and Digitize Data
Often firms and advisors store paper files in the office or keep copies of digital files in multiple systems. Every time a back-office employee needs to access client information, they have to manually sort through physical files, dig through old digital files across numerous platforms, or re-enter the information. Multiple copies of information increase the chance of errors, inefficiencies, and noncompliance.
Without accurate data, it’s difficult to maintain compliance and security. When data is spread across numerous systems, it is much harder to ensure that it is protected and stored in compliance with SEC/FINRA regulations.
The solution to this problem is to create a single, cloud-based data storage system like Docupace that everyone in the firm can access with proper credentials. One source of truth ensures all information is accurate and secure so that when client information is updated in one place, those changes are reflected across all appropriate channels.
Unite Technology with Integrations
The most effective way to break through data silos is to replace them with integrated data systems. Instead of entering data into separate applications for each task, digitally savvy advisors can lead their firms toward embracing integrated systems that share information, avoid redundancies, and facilitate accurate, efficient processes.
Individual systems can be effective on their own, but without a way to integrate them effectively, a firm using multiple applications wastes time and money and exposes itself to higher levels of risk. When firms invest in a fully integrated document management solution, allowing them to import and export data with one click, it can transform their business operations and client relationships.
Integrating systems for real-time, accurate information reduces frustrations and roadblocks on the back end, resulting in a difference clients can feel. With less time spent wading through client data, advisors can spend more time nurturing prospects and working with clients to make personalized recommendations and provide an excellent client experience.
Break down your data silos and rebuild them as integrated, seamless systems. Docupace has an entire integration hub that in real time will update data across platforms as changes are made. Click here to schedule a discovery call.
