Why do some financial advisory teams function extremely well — engaging clients, gaining referrals and maintaining profitability — while others leave much to be desired? That all depends on numerous factors, including the structure of the team, the personality of the leader and the kind of clients they serve.
But looking at the big picture, it all comes down to two main factors, according to Sara Gilbert, founder of Strategist Business Development in Montreal.
Gilbert shares the two major characteristics of high-performing teams:
1. The best teams work toward the same business goals
Any successful team begins with the advisor, Gilbert says.
It is up to you to define what you want to accomplish in your practice, and to share that goal with your team. What services do you want to provide and which markets will you focus on? How do you see your practice growing in two, five and 10 years?
For example, maybe you’ve decided you are going to specialize in helping small-business owners with their long-term financial planning. You are aiming to have three-quarters of your client base come from that population within the next five years.
This goal can be achieved only if you have the full support of your team members, which depends on their being fully aware of your goals.
“Many advisors have their vision of where they want to bring their business,” Gilbert says. “But it’s all in their head, so it’s hard for teams to know where the advisors are going.”
The ideal method of sharing these important plans with your team, Gilbert says, is through an off-site retreat. Getting away from the office creates an environment that is more conducive to discussing long-term strategic planning.
2. Members of high-performing teams have complementary skills
Once the vision has been defined, assess your team to ensure that you are working with individuals who can assist you in bringing these goals to fruition. Also, assess your own abilities to determine which tasks you should be handling and which functions should be delegated, Gilbert says.
The key objective of this assessment process is to determine whether every team member has a different set of abilities.
Says Gilbert: “If you have two members on the team and they both have the same skill sets, that’s not moving you forward.”
So, you may have to make some tough decisions on who stays on your team and what roles they will hold. If you would rather not let people go, offer the opportunity for some team members to take on a different role within the team. This may require additional training.