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Scaling Advice

There is likely to be a lot more work to do around scaling advice, or limiting the scope of service. Over coffee this morning we discussed a number of ways in which scaling or limitation of scope can occur:

  • Consumer preference - limits placed on the process by clients. A client may retain a product that and adviser would not recommend, for example, but seek advice on cover levels.
  • Available product - there may simply be no effective product solution. Some advice may be offered, but it may be preferable for the adviser to limit the scope.
  • Segment - limiting scope to an area seems to be effective, for example: an adviser can clearly undertake to examine, life, health, and disability insurance, and recommend a referral to another adviser for investment business.

The tricky bit is when there is pressure to limit scope in other ways:

  • Insufficient information - the client does not provide all the required information. It may be possible to offer effective advice - or may not.
  • Simplified process - an attempt to offer a dramatically simplified process can come unstuck if it means ignoring issues which are essential to delivering effective advice


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