Growth today demands more than just ambition – it requires an operating model that’s flexible, scalable and strategically aligned. Investment firm operating models are no longer just a back-office concern – they’re a catalyst for transformation.
Is your operating model enabling growth?
Many operating models were built for stability, but in today’s fast-moving environment, stability alone isn’t enough. The message from our clients is clear: they need operating models that do more than support the business – they must also drive and support growth. If your current setup is slowing innovation or taking focus away from high-impact priorities, it may be time to take a closer look at what’s getting in the way.
Here are three common indicators that your operating model may be misaligned with your transformation goals:
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Platforms cannot support transformation needs
Outdated infrastructure slows transformation. If your systems require extensive upgrades, lack flexibility or can’t support new functionality, it’s a signal to re-evaluate whether your technology is helping or hindering progress. Consider not just the cost of upgrades, but the long-term impact on agility, scalability and delivery speed. Without foundational flexibility, transformation efforts often stall – creating a cycle in which broader change is impossible until core systems are addressed.
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Lack of standardisation is impacting scalability
Over the years, many firms have created bespoke systems and processes to deliver tailored services and experiences. While effective in the short term, this level of customisation can make scaling complex and costly. Removing legacy configurations and introducing standardised workflows is often the first and necessary step to unlocking operational efficiency and accelerating transformation.
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Resources are tied up in maintenance, not growth
When firms dedicate significant time and budget to keeping legacy systems operational, it often comes at the expense of strategic progress. Necessary as they are, these efforts can divert attention from core competencies and slow down initiatives that drive growth. For lean teams, the impact is even greater. This shift can reduce service quality and stall innovation.
Aligning resources with operational needs
Even the best-designed operating model can fall short if the right resources aren’t in place to support it. Before selecting a strategic partner, ask:
- Do we have the skills and capacity to scale?
- Can we build what we need internally, or is external support more effective?
Once these questions are clear, alignment becomes key. The right partner should complement your strengths, fill capability gaps and accelerate transformation.
To guide your selection, consider these five questions:
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What other organisations do they serve? Look for partners with proven experience in your sector. Their insights can help you move faster and avoid common pitfalls.
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How is their organisation structured? A compatible structure and culture can make collaboration smoother and more effective.
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How do they communicate? Transparency and responsiveness matter. Misaligned communication styles can slow progress and create friction.
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How adaptable are they? Transformation isn’t linear. Your partner should be able to pivot with you, solve challenges, and offer proactive guidance.
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What is their decision-making framework? Timely decision-making is critical. Understand their process so you can plan accordingly and keep momentum.
Operational excellence as a catalyst for growth
Transformation doesn’t succeed on strategy alone; it requires operational excellence at the core. Firms that modernise their operating models unlock scale, improve delivery speed, and build the flexibility needed to adapt and grow.
Cara Brosnan, head of sales, Australia and New Zealand, State Street
