- Russell introducing intra-fund advice to support its member engagement strategy
- More than 70 staff accepted roles to join Russell’s administration business
Global financial services firm Russell Investments announced it is set up to aggressively compete for new administration business.
In May 2010 Russell announced that it would transform its Australian Member Administration Centre – currently outsourced in part to IBM – by bringing in-house more than 70 roles critical to super fund clients and members. The centre would be supported by a leading offshore service provider for back-office transactional functions.
Russell’s Managing Director for Australia and New Zealand, Chris Corneil, today announced that it is on track with the implementation of the new administration model having recently secured critical roles in its administration team and appointed the back-office provider. The model is set to enhance member services and drive efficiencies in super administration by way of a competitive offering leveraging back office functions through Russell’s existing global offshore capability.
Focused on member service and engagement
Russell firmly believes that the quality of engagement with the individual is a critical success factor in superannuation, particularly in the post-Cooper environment. The new model is all about member service delivery and meaningful interactions with members.
“We believe that all members should have access to financial advice through superannuation. Our new model will introduce intra -fund advice as a key component of Russell’s member engagement strategy. Intra-fund advice will allow Russell to reach fund members on a personal level during relevant trigger points and make a difference by helping members make informed, confident financial decisions,” Corneil said.
Russell is appointing staff and integrating new technology to deliver intra-fund advice through its new Advice Centre – an enhanced advice offer through the new model.
Driving efficiencies
The new model will set the benchmark in administration service delivery standards as the firm will drive efficiencies through streamlined platforms and place the fund member at the forefront of all activities. Andrew Doman, Russell’s Global CEO, said the firm is on track with implementation plans of the new model that will position Russell as a leading provider of super administration.
“We are committed to raising the bar for best practice in superannuation administration and member services. By striving to find the most efficient ways of operating, we are bringing new solutions to market and scaling our operations to take on new business opportunities.” said Doman.
In addition, Russell will also partner with other specialist providers to handle high volume transactional operations like inbound mail through document imaging and outbound mail with the aim of moving toward a paperless office.
“What makes this model so effective is that Russell will have direct control and ownership over all member contact points. We want to own this space, as our goal is to innovate and be the best in the industry in member engagement,” Corneil concluded.
Securing the right team
A critical milestone in the transition process is having the right people on board. More than 70 staff from IBM SuperLife have signed employment contracts with Russell Investments and will join the team on 1 January 2011, when the new model is launched. That team will complement the skills of the 25 individuals working in Russell’s existing superannuation business.
Corneil said, “Having the team of 70 experienced administration professionals come across was a high priority for Russell and will underpin the success of the new administration model.
Members want to speak to people who are knowledgeable, understand their issues and are based in Australia. We are in the process of making other strategic hires to complement our service delivery model.”
Russell currently provides administration and member services for approximately 220,000 individual Australian super fund members via its SuperSolution Mastertrust and on behalf of some of Australia’s largest super funds.
