While building a comprehensive professional year programme is an arduous task, sourcing and retaining talent is going to be the biggest obstacle for licensees according to a panel.
Speaking at the Stockbrokers and Investment Advisers Association Conference, WA state manager at Canaccord Genuity Wealth Management, Chris Webster, said the PY programme isn’t difficult but what happens before and after is.
“With sourcing it’s a tight job market out there. If you’re not giving them a pathway to actually rise through to an advisory role they will leave.”
Ord Minnett interim head of human resources Bernadette Page said the group has a “two-pronged” approach to sourcing talent which involves internal work as well as connecting with external institutions.
“We deliberately want to know from within our own workforce today who is our potential candidates for the next 24 months.”
This included doing an internal review to find talent within their organisation that would be appropriate. The other part is to go out into the marketplace and source from institutions like universities.
A worthwhile process
While both panellists noted the difficulties for sourcing candidates, they also said it is a worthwhile process for advice practices.
Page said from a business perspective the demographic changes happening across the workplace as well as the exodus of advisers meant it was important to create a strategy around developing a formal career pathway for new entrants.
“This is probably the most exciting time when we look at what’s happening on a macro level. We know we have an incredibly opportunity to create the story of the early part of one’s employment at Ord Minnett.”
Webster said succession planning is never easy and the barriers to entry have gone up in the industry.
“We’re really trying to use that PY to add capacity to our existing advisers. We’ve got no shortage of clients, but capacity is an issue.”
When it comes to current PY advisers, Page said they had two undertake it last year but have a double-digit pipeline underway.
Webster said they had one candidate successfully complete PY with three currently in the programme and more in the pipeline.
“We’ve got about 10 sitting in the academy waiting to get onto to the PY,” Webster said. “Most of them are doing second degrees at the moment to meet the qualification requirements.”