Client Challenge
A Global Investment Manager, and amongst the largest in the world with c£400 B of Assets under Management (AuM) had grown through multiple mergers and acquisitions. The client had been running a Cost Optimisation initiative for 3 years to reduce costs which failed to achieve its desired goals; they were seeking external expertise to help uncover deep-rooted issues.
The cost base comprised of resources such as staff, third-party vendor contracts and infrastructure, housed across multiple legal entities. This was further complicated by a complex, hybrid technology landscape with a number of shared capability functions some of which were outsourced to strategic vendors.
What We Did
The project team worked with the client to conduct:
Security Toolset Review
- Security headcount versus the market benchmark indicators
- Evaluate the current security toolsets and identify more cost-effective alternatives that meet the client’s Risk Appetite
Functional Operational Model Analysis
- Reviewed the resources and compared them with the TORI Functional Operations model based on benchmark headcount inputs. This highlighted functional overlaps and opportunities to rationalise
- Benchmark and critically examine cost for Change (Project costs)
- Hosted specific Deep dive Workshops, post receipt of Benchmark data
- Delivered final report which included detailed feedback and strategic recommendations which were presented to the Board of Directors
Outcomes & Result
- The opportunities identified from the Benchmarking exercise were discussed and agreed upon with the relevant stakeholders
- TORI drove down the cost to change per increment £ of revenue generated. The objective to drive the cost base to be best in class over the medium term (3 years) was achieved through a set of recommendations
- Recommendations were segmented into quick wins and medium-term plan
- The client was happy with the observations TORI had made and subsequently received Board approval to implement
