Kudos To Schwab For Publishing A Workflow Library For RIAs, But Is Schwab Intelligent Integration’s Focus On CRM An Outdated Notion For RIAs?

Thursday, June 21, 2012 11:33
Kudos To Schwab For Publishing A Workflow Library For RIAs, But Is Schwab Intelligent Integration’s Focus On CRM An Outdated Notion For RIAs?

Tags: advisor technology | CRM | custodians | Integrations | practice management | productivity | Schwab

Schwab Advisor Services today published 28 workflows for RIAs, covering lead generation, client on-boarding, and service requests. They’re free for investment advisors who

This Website Is For Financial Professionals Only

custody assets with Schwab.

Schwab also published a “white paper” on workflows that presents an excellent primer on why embedding workflows is important to RIAs, a topic we
cover frequently. It’s great that Schwab is making workflows available to RIAs. (TDAI released a library of 50 workflows  in October 2011 embedded in Salesforce.)

Schwab’s workflow library was launched in October 2011 and Schwab says that, as of May 31, 250 firms have downloaded 500 workflows. Schwab says it now offers a more intuitive way for advisor to select workflows, and an advisor can download workflow instructions customized to their specific CRM. In addition to the 28 workflows released today, Schwab already offered five workflows customized to Junxure and Salesforce.

Schwab continues to focus on running an RIA based on a CRM-centric technology stack, but that notion seems dated.

CRM, for years an underutilized information database in RIAs, is definitely important. But it is no more important than your portfolio management system, financial planning system or client portal. The concept of creating a single app that dominates an advisor’s desktop is outdated. As software has become more specialized, the notion of making the CRM the only screen you need has become less important.

Different users in a firm have different needs and software is so specialized now. “There’s an app for that,” is the mantra of modern technology. Five or six years ago, the notion that CRM would dominate the advisor desktop seemed logical. But that was before the advent of professional applications for a suggestion engine for advisors, automated portfolio rebalancing, client portals, and a product marketplace integrated with financial plans for clients.

Software development progresses so fast now that the notion of controlling it all or even viewing it all from one app, CRM, is no longer desirable or necessary. Software advisors use is so much easier to learn since more specialized Web-based professional apps became widely available. Plus, it’s all more affordable nowadays because development of software advisors is generally off-shored. Development is cheap. Advisors and staff just need to be able to navigate easily from app to app to get exactly what they need when they need it.


Comments (2)

the problem is that Schwab and TDAI are broker dealers and not RIAs. Their workflows typically do not work in an RIA compliance environment, but in a broker-dealer sales focus.

This is one of the main reasons why TDAI needs to release (which unlike Schwab they are) the API calls to their advisors. Anyone believe that Apple would have developed Angry Birds? Or one of their partners like TMobile?

My belief is that once TDAI releases to advisors we will see a boon in new and highly targeted applications for RIAs, built by RIAs for their own custom needs.

brentb843 , June 21, 2012
The other disconnect is that most technology surveys I have read show Outlook as the number one CRM used by advisors.

The TDAI API can be set to be called inside Outlook on a desktop. With some base level scripting, asset allocation, performance numbers, etc can all be displayed inside a client's contact.

For the cost of an annual CRM subscription, you can customize your own.
brentb843 , June 21, 2012

Write comment

You must be logged in to post a comment. Please register if you do not have an account yet.