Digital To The Core: Superannuation Funds
What is digital to the core?
Digital to the core is a holistic, 360-degree solution that embeds technology into a fund’s DNA. I mean full vertical digital, not just at the usual customer touchpoints, but each member form, system, person and process is structured so that end-to-end transactions are integrated and automated. Minimal manual processes means transparent, efficient member service and significantly reduced duplication or risk of human error.
Digital to the core is a whole of fund responsibility
A revamped website and member portal are important uplifts but that’s not digital to the core. With customer self-service front of mind, every corner of the fund explores how their individual processes and systems can be integrated end-to-end. Technology, culture, member centric mindset and design need to play a key role. To illustrate:
Fund A decides to improve the member joining process with a fresh online form – a fantastic front-end UI experience. But…when the submit button is clicked, a form is emailed to someone's job queue and the clunky manual slog begins. Or worse, it disappears into a legacy back-office process.
Fund B is digital to the core. Within seconds of signing, the new customer has a member and account number, contribution instructions and a welcome email. The member can transact immediately.
Digital transformation has been hyper driven by COVID-19. The pandemic was like the tide going out to reveal what digital is and is not.
For example, the early release scheme meant super funds urgently needed real-time reporting to monitor their liquidity and cash position and inform crucial business and investment decisions. Many struggled because they lacked the agility of digital to the core.
“The pandemic was like the tide going out to reveal what digital is and is not.”
To do right now
Consider asking these questions to help form a baseline for your next steps:
What did or did not work well from a customer, employer and employee perspective?
What evolving market concepts and trends are needed to meet changing member expectations?
If COVID-19 was ever the reason for not meeting customer needs, is there a way technology could have helped?
Six advantages of digital to the core
A strong brand experience.
Automation saves time and operational expenses.
Everything is interlinked and can ‘talk’ to other parts.
Eliminating manual processes removes duplication and human error.
A complete view of each member and tailor their services across all member channels.
With modern technology, you stay relevant! Look slow and you look slow!
Starting never ends
Digital is not a finite task. It is an ongoing commitment to agility and relevance. The capability to anticipate and respond to changes in regulation, compliance, governance and, of course, black swan events like COVID-19.
Explore and experiment. Some efforts will fail. But do it fast.
Be OK with experimenting and testing as you go. Avoid building something that takes years and costs millions, only to realise it’s not right. Experimenting is good. Failure can inform. Do both as quick as you can.
Final thoughts
The decisions you make about going digital to the core today will define the quality of future customer engagements and operational efficiency. To embark on this path means scrutinising your whole fund for opportunities and thinking deeply about potential changes. Start and let the momentum feed on itself. You won’t look back!
If your fund needs assistance with your digital journey, QMV can help. Please reach out to QMV for further information on sayhi@qmvsolutions.com or +61 3 9620 0707.
Best regards
Sunil
Sunil Dargani - Lead Consultant
ABOUT QMV
QMV provides independent advisory, consulting and technology to superannuation, wealth management, banking and insurance organisations.
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