Dear Clients and Friends:

Our theme for this quarter’s letter is how you can maximize the return on your technology. It’s an area we’re passionate about because we frequently see investment offices underutilize the systems in their environment.

A utilization gap is expensive because investment offices are a) paying for technology they are not using and b) working in an inefficient and error-prone manner. Below are two ways to ensure you are maximizing the return on your technology – and not leaving value on the table.

1. 1. Treat technology like a large investment in your portfolio.
2. 2. View implementation as a starting point, not an end point.

Focal Point #1: Treat technology like a large investment in your portfolio.

Think about how you treat a large investment in your portfolio. You likely have a person – or team – responsible for oversight. You’re probably engaging with the manager at a regular cadence to learn more about the portfolio, the strategy, and the team. You have senior team members involved when it matters. And your team attends annual meetings to further engage with and support the manager.

Are you doing the same for your technology vendor? The answer is often “no.” But an investment in technology requires a similar approach.

Start by recognizing your investment in a vendor as a partnership – both you and the vendor have a common goal which is to realize the full value of the technology. When you make that shift in mindset, it will change “from a passive business transaction to a proactive collaborative partnership”. 

To achieve this result:

1. 1. Assign a product champion: This person is the glue between the vendor and the investment office. The product champion is responsible for maintaining a strong vendor relationship and for the adoption/utilization of the technology.
   
2. 2. Remain engaged with your vendor: Schedule regular touchpoints to share successes and highlight challenges. Include your leadership in meetings with the vendor where appropriate to signal a commitment to the partnership.
3. 3. Stay informed: Attend your vendor’s events (webinars, round tables, and annual meetings) and stay current on their publications (product updates and company announcements
   

Focal Point #2: View implementation as a starting point, not an end point.

A successful implementation isn’t a finish line – it’s the beginning of an ongoing journey.

Investment offices that maximize their return on technology continue working with vendors on defined projects after the initial implementation is complete. This helps to prevent the technology from becoming frozen in time.  

Here’s how to achieve it:

1. 1. Draft an annual plan: Define how existing technology will be further utilized based on feedback across functions within the office and share your plan with your vendor.
2. 2. Identify training and documentation needs: Use audit logs, new features, and questions raised by users to guide training sessions and updates to your procedure manual.
3. 3. Collaborate on product development: Work with your vendor to solve inefficiencies in your environment and the broader industry.
4. 4. Meet with peers and industry professionals: Compare what you are hearing from the vendor to how other investment offices are leveraging the technology to help spur new ideas and opportunities.  

Any investment you make requires ongoing learning, attention, scrutiny, and dialogue. When you start to look at technology through this lens, it can help your office realize the full value of your investment.  

Thank you for your continued confidence and support. As always, please contact us if you have any comments or questions.

Beth Gilje
Founder

Brian Mink
Principal