Artificial Intelligence (AI) and automation are changing the way businesses work. While both tools can save time, improve efficiency and reduce errors, they are not the same thing.
What is the difference?
Automation is about performing repetitive tasks automatically, without human intervention. It works by following predefined rules or workflows.
Think of it as getting a machine to do something you would normally do manually. Examples are automating client email reminders or generating monthly reports using templates. AI simulates human intelligence. It can (help) make decisions, solve problems and even adapts based on data and past experiences. AI systems learn as they go and improve over time. For example, using an AI-powered tool that reviews transcripts of recorded meetings, creates summaries and identifies and creates action items. The key difference? Automation simply follows instructions, while AI analyses information, learns, creates and makes decisions.
Automation in financial advisory practices
Automation is a great tool for handling routine, time-consuming tasks. By automating workflows, you reduce errors, save hours of manual work and ensure tasks are completed on time.
Here are some examples of automation in an advisory practice:
- Client onboarding. Automating the onboarding process ensures new client details are captured, verified and set up in customer relationship management (CRM) systems swiftly. Many CRMs allow you to set up workflows that trigger tasks like identity verifications and welcome emails automatically.
- Scheduling and communication. Automated systems can send reminders for appointments, upcoming reviews or document deadlines. This eliminates the need to send emails manually. Calendly and similar tools integrate with your diary to automate appointment scheduling.
- Data entry and reporting. Most firms rely on spreadsheets or paper-based processes. Automation tools can extract data, populate reports and ensure accuracy. You can automate monthly portfolio performance reports using a tool like Seed Analytics or manage your revenue with deep insights using Commspace. By automating these simple but essential tasks, you free up time to focus on client relationships and more strategic work.
The next level
AI steps in when your practice needs insights, predictions or decision-making capabilities that go beyond predefined rules. AI-powered tools analyse huge amounts of data quickly, spot patterns and provide intelligent recommendations.
Here’s how AI enhances advisory practices:
- Meeting notes. AI tools automatically transcribe and summarise meeting notes, ensuring you never miss key details from client discussions. AI-powered tools like Fathom.video, Fireflies.ai or Otter.ai record meetings, extract action points and create detailed summaries for easy follow-up.
- Marketing insights. AI analyses client behaviour and trends to help you target your marketing more effectively. It identifies what works and when to engage your audience. Platforms like HubSpot can track client interactions and predict the best times to send emails or content to maximise engagement.
- Enhanced communication. AI tools improve communication with clients by automating personalised updates and handling routine questions. AI chatbots on your website can answer FAQs, schedule appointments and ensure clients are answered 24/7, improving satisfaction.
- Report writing. AI helps generate reports based on meetings notes, transcripts, written communications and the like. Building a CustomGPT that is trained to create reports in your style and format saves hours of time. With AI, you not only streamline tasks but also gain intelligent insights and tools that improve the quality of your service and communication.
Using AI and automation together
AI and automation work brilliantly together to create seamless, intelligent workflows. By combining the two, you save time on manual processes while also improving the quality of your advice and service.
Final thoughts
AI and automation support you and make you work faster, more efficiently and more effectively. By automating routine tasks and using AI to provide smarter insights, you create more time to do what you do best: build relationships and deliver exceptional advice.
Stay curious!
