For superannuation funds, the potential advantages of outsourcing member servicing and/or implementing new technology are significant. By upgrading legacy models with modern technology and digital capabilities, funds stand to better manage costs, benefit from automation, increase efficiency, deliver leading member-centric solutions, improve risk management and compliance, and sharpen their focus on generating value for their members.
Evaluating Systems and Technology
There is no question that the technology solutions on offer are critical components to evaluate. Look for a highly automated, digital solution with a modular architecture and the ability to deliver an end-to-end service model. The use of intelligence in the servicing environment is also key. Providers who use artificial intelligence, robotic process automation, and a large subset of data to improve efficiency and remove risks are best positioned to truly help a super fund achieve scalability over time.
Whether looking for technology only, full outsourcing or a hybrid model, choose a provider who understands both technology and service experience. The two are highly symbiotic. Those who use their technology—who have internal teams of people undertaking all aspects of service on a BPO basis—are best positioned to opine on what works, what doesn’t and how any future changes might impact upstream or downstream areas. Technology developed without hands-on insights into how it functions when put into practice can lead to delays or issues with integration, testing and ongoing use—not to mention the potential for skyrocketing costs. The right technology—technology built and refined through direct experience—regularly gets to market faster and with less risk.
Ongoing investment is also a differentiating factor. Super fund member servicing can be costly and challenging, requiring large teams to continually manage member cost and evolve to meet increased member expectations. Technology changes rapidly, as does how people use and interact with technology. Being current becomes an ever-changing definition due to ongoing regulatory changes and advancements in how members want and expect to interact. Partners who continually and significantly invest in their technology—continually updating and implementing new standards—are the true long-term partners.
In our upcoming blog, we’ll talk about the importance of experience and people, and how to evaluate a provider with global or local scope.
Read our "Mine Super Outsources to SS&C to Improve Costs and Deliver Continued Member Satisfaction" case study to learn more about SS&C Superannuation Administration.
