Business Intelligence (BI) has significantly evolved within asset management distribution and analytics teams over the last few years. As data became more accessible and crucial for decision-making, companies faced the challenge of integrating BI seamlessly into their distribution strategies. Many have made progress, yet the shift from IT-driven BI to a fully integrated sales and marketing enablement function remains a challenging journey for some.
In the early days, when firms first started to harness the increasing data from various sources, the main hurdle was data delivery and consumption, as well as building those capabilities. Naturally, this responsibility often fell on IT teams, who were in charge of receiving, processing, and storing third-party data. Given their infrastructure and technical skills, IT teams often found themselves tasked with deriving insights for business intelligence. Occasionally, depending on the company’s structure, operations teams would take on this role.
Under this setup, distribution teams—focused on sales and marketing—would request insights from IT. This process often led to inefficiencies, as the goals and functions of both teams were misaligned. There was frequently a gap in understanding what data was needed, in what format, and when it should be delivered. This disconnect often reduced the usefulness of the data and led to a loss of efficiency as the teams tried to collaborate.
As data grew more comprehensive and distribution teams realized its importance in shaping strategy and execution, it became increasingly clear that having BI under IT or a back-office team was inefficient. This phase introduced a new challenge: the need to integrate data from multiple sources, such as internal databases, distributor data packs, third-party providers, and publicly available information. This underscored the necessity of having a BI team that not only understood the data but also saw its current and potential applications.
To tackle this, many firms repositioned the BI function as a standalone team reporting to the Chief Operating Officer or Chief of Staff, marking a step forward. However, this structure didn’t fully resolve the issue of misalignment. BI teams were still too detached from the sales and marketing departments, limiting their ability to utilize data efficiently and promptly.
Over time, or in some cases immediately, many companies adopted a new approach. They embedded BI directly into the sales and marketing organization as an enablement function. This change allowed BI to work closely with both teams, aligning insights with business goals and receiving real-time feedback on outcomes and challenges. Instead of operating as a separate entity providing occasional reports, BI started actively contributing to distribution strategies through real-time data analysis and refinement.
Though beneficial, this transition involved several challenges. It called for substantial internal restructuring, both in staff and infrastructure. Legacy systems often needed overhauling to ensure their reliability and functionality. Additionally, firms had to manage cultural shifts as team members adapted to new working relationships and roles.
Another significant challenge has been talent management. The skill set needed for a sales enablement BI role has become more complex with the growing intricacy of data and its uses. While technical prowess in data management and analytics is critical, team members also need to grasp how the business operates. They must be knowledgeable about a variety of areas:
– Sales cycles
– Client segmentation
– Territory dynamics
– Performance management
– Market trends
– Product strategy
– Customer journeys
Finding professionals with these diverse skills is no easy feat. Many companies face difficulties in recruiting and retaining such talent, resulting in execution gaps. Some firms try to bridge this gap by upskilling existing employees, but this requires time and investment. Firms that have successfully made this transition often achieve it through strategic hiring and nurturing internal resources.
Despite these hurdles, companies that have integrated the BI function within their distribution teams have reaped significant rewards. Their teams are better equipped to adapt to market needs swiftly, shifting from a reactive to a proactive stance. This agility is vital in a fast-paced sales environment, where timely, well-informed decisions can influence market position and competitiveness. Additionally, these integrated teams enhance collaboration among team members, promoting a healthier work culture throughout the organization.
The role of data within asset management distribution is continually evolving. Asset management distribution must stay flexible, ensuring their data capabilities—both in terms of people and infrastructure—meet their needs and align with their business objectives.
SS&C’s Distribution Solutions team collaborates with all these groups to aid our asset management clients in shaping their data-driven distribution strategy and capitalizing on insights and opportunities. To discover how we can assist your firm, explore our offerings and research.
