Principals should aim to build long-term relationships with clients through their practices, rather than individual advisers, Kearney Group CEO Paul Kearney says.

“When my practice started to grow I hired advisers to look after our clients, but after a while they left for other jobs in bigger practices or even left the industry,” he told an Association of Financial Advisers roadshow in Melbourne last week.

“I had developed a client service model, but it had been based on an individual adviser talking to the client.

“With an adviser leaving, I now had to show the client there was a future in my organisation.”

Mr Kearney says he had to rethink his advice model.

“How do you create continuity in the practice? I realised then, there had to be another adviser present in the room when meeting a client. This was expensive, but it meant we really got to know the client, and if one left the practice the client still had an adviser they knew.”

Having two advisers in every meeting allows different specialists to join the conversation, giving holistic advice. This includes fitting accounting and financial advice together.

“It means clients are looking at a practice rather than just an adviser,” Mr Kearney said. “It is a powerful thought.”

Doubling up also creates opportunities for young advisers to gain practical experience.

But advisers are not the only component of the system. They must be supported with the right technology, Mr Kearney says.

“There are numerous client management systems, but nothing sits on top bringing them all together. We had to build one, and we call it a management information system that sits over the top of these other systems. This enables us to better serve our clients.”

He says Kearney Group can track the history of client meetings and identify opportunities to increase the number of services each client uses.

Another key to the success of the practice is developing staff.

“We now have degree-level entry for our advisers, and regular staff reviews enable us to show them the direction of their careers.

“I feel getting the right people interested in your practice will lead to success. The right people don’t join you for what you do – they join you for the way you do it.”