Beverly Flaxington is a practice management consultant. She answers questions from advisors facing human resource issues. To submit yours, email us here.
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Dear Bev,
I know you answer similar questions from time to time, but I’ve never seen it asked to address my problem directly. I have two high-performing advisors in my RIA firm. They attend events, network with attendees and bring in new clients without even trying. They find “new” money from existing clients all the time, and they get referrals without having to ask for them. However, I need them to take these skills and sell more aggressively. I need them to cold call centers-of influence (COIs) and other people they read or hear about who might be prospects. The pushback I receive is very frustrating. While they are top performers, they could be doing more.
Chris L.
Dear Chris,
I could introduce you to several hundred advisors who would love to be in your shoes! Maybe we need to start by redefining “selling.” Going to a network event and finding a lead, finding additional share of wallet with clients and getting good referrals and closing them is all selling in my book! I understand that you want to see more activity, but are you sure putting this requirement on these two advisors is the wisest decision? You don’t say if they are meeting your expected goals or how much they are bringing in. Maybe it isn’t what you hoped for and expected, but it sounds pretty productive to me!
In addition, not too many advisors in the independent RIA space are comfortable doing pure cold calling. I’m not sure that I would even advocate for pure cold calling. I do have some clients who do it, but we are usually trying to organize the effort around an event, some important piece of interesting, new information or as a follow up to a letter that’s been sent in advance. These are more “warm” calls to new people.
In many cases, we hire a firm or even an intern who makes the initial calls on behalf of the advisor. Typically, I don’t think spending time cold calling is profitable for a high performing advisor. I’d rather see them doing what yours are doing with their time! It’s not to say that you can’t have them follow up on leads or on initial calls that have been made, but I’d want these advisors talking to more qualified people and not just calling someone you’ve read about in the paper who might have recently sold their company and need an advisor.
After all, if you are reading about it, others are too, and you probably want to till more fertile ground. I’m going to guess that along with the new business, you want nice profit margins. Ensuring that your advisors are focused on the highest gain activities is really important in considering this.
Dear Bev,
What can you do when you’ve hired someone that you believe is certifiably crazy? One of our advisors is happy and upbeat one day, then screaming at people the next. I’ve heard her tell off a client when she was in a bad mood and having a tough day. She can be the sweetest person and then yell at you for ruining her day. We walk on eggshells around her.
K.R.
Dear K.R.,
I understand the “walking on eggshells” approach if you are truly afraid of her physically. I’m assuming, however, that this is not the case. Your description does not make her sound like a violent person, but rather a very moody individual. And, yes, she could be bi-polar or depressed, and there may be days she is on medication and other days when she is not.
I don’t advise continuing to walk on eggshells though. It sets the tone for your office that everyone should pay attention to her moods and respond to the atmosphere that she dictates. If everyone is experiencing this, and you are comfortable talking about it together, I would try to agree as a firm to treat her the same way no matter what personality shows up. In addition, this person might not be crazy, but angry or frustrated; the way she acts out that anger may make her appear crazy. By cow towing or taking the tiptoe approach you can actually ignite the anger and make her more upset. It’s like telling someone who is mad and yelling, “Calm down!” This, as we know, never works with anyone. The more you tell them to calm down, the more upset they may become. So, first agree to a consistent response as a team.
Another approach would be to select someone who has a good relationship with this person to talk with her in an “over coffee” fashion to find out if everything is okay. They could reflect on the behavior others are experiencing and talk about the impact on the firm. It’s important not to be accusatory but rather information-seeking.
And there is the possibility that this person is trying to manage (or not manage) some sort of emotional condition. If you are the leader of the firm, you could take this person aside and let them know in a direct manner what behavior is acceptable and what is not. Sometimes the direct approach is best, but you have to deliver the message confidently – no eggshells!
Beverly Flaxington co-founded The Collaborative, a consulting firm devoted to business building for the financial services industry in 1995. In 2008, she co-founded Advisors Trusted Advisor to offer dedicated practice management resources to advisors, planners and wealth managers. She is currently an adjunct professor at Suffolk University teaching undergraduate students Leadership & Social Responsibility. Beverly is a Certified Professional Behavioral Analyst (CPBA) and Certified Professional Values Analyst (CPVA).
She has spent over 25 years in the investment industry and has been featured in Selling Power Magazine and quoted in hundreds of media outlets, including the Wall Street Journal, MSNBC.com, Investment News and Solutions Magazine for the FPA. She speaks frequently at investment industry conferences and is a speaker for the CFA Institute.
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Beverly Flaxington is a practice management consultant. She answers questions from advisors facing human resource issues. To submit yours, email us here. 
