Win over the C-suite so they become the champions of enterprise modernization for BFS firms

In a recent HFS Research study, we concluded that most BFS firms are on a journey to modernize to better engage ecosystems and their associated value. Roadblocks like talent, data, and legacy systems have forced BFS firms to seek help from services partners for advice, process expertise, technology, and talent. The report establishes the path to value and full services firms’ role as catalysts to enable the modernization path; here, we focus on the type of leadership involved in selecting and funding services partners for BFS firms’ high-value modernization efforts.

• Forty percent (40%) of BFS firms say the funding and selection of full-services firms rests with the C-suite and senior business executives. This plays well into the success of the modernization initiative since it begins with C-suite support. Those leaders will make it their business to make full-service partners their allies to ensure their vision is executed and communicated effectively. They choose to stay directly involved, monitoring the success of the modernization initiative.
• Participants said their full-service partners are selected for the ability to deliver co-innovation and collaboration, cost savings, and capabilities at scale. This reflects the growing complexity and expectations of a services partner in a modernization effort.
• To unlock the full potential of modernization, buy-in from C-suite executives and functional leaders is important; however, front-line workers also need to be involved. Otherwise, the firm will end up on a journey with conflicting beginning and end states (vision, strategy, and execution).

The Bottom Line: The decisions on funding and selection of a services partner are in the hands of a few. However, the outcomes of modernization have an enterprise-wide impact, so modernization strategy and execution need to align across the firm.

Full-service providers might need to engage more with the C-suite and senior executives to win contracts, but they need functional leaders’ and front-line workers’ perspectives and expertise to deliver on the strategies. Modernization cannot be run as an uncoordinated effort silo by silo; instead, it should be launched and run as an integrated initiative across the BFS organization.

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