An overview and summary of this news service's family office technology summit in New York City.

The following panel discussion was held at the ninth Family Wealth Report Family Office Fintech Summit, held on October 10. This is a brief summary of the main discussion points. 

The panel examined evolving technologies, workflows, and client-facing challenges of today. It also sought insights into emerging trends and to understand how decisions will shape a family office’s ability to meet client expectations.

Panelists:
-- Kristina Conner, advisory director – BPM; 
-- Rick Higgins, founder and CEO – Risclarity; and 
-- Bill Wyman, president, Family Office Services – Summitas, moderated the panel. 

Key questions:
What drives tech decisions? Who influences your technology choices – the office or the family?
The panelists, including Kristina, Bill, and Rick, highlighted that the primary drivers are family members and family office professionals who recognize the challenges affecting information flow, decision-making, and operational efficiency. They may also attend conferences like this Family Wealth Report event where they can meet technology service providers, see what they offer, and realize that there are many options available to secure communications, bring transparency to information for stakeholders, and gain the critical information needed by the family to make insightful decisions.

In-house vs outsourcing: What are the pros and cons?
The panel acknowledged that there is no one-size-fits-all answer, as both options have unique benefits. However, significant challenges for in-house solutions include:

Talent acquisition: Finding skilled technology professionals can be difficult, as top talent often gravitates toward firms that offer growth opportunities.
Cost: Building in-house technology can be five times more expensive than anticipated. This can be due to various factors such as “scope creep” along with the costs for initial setup and ongoing enhancements can be substantial. It is easy to underestimate the total cost (e.g., development, training, onboarding, future enhancements).
Implementation timeline: Developing, testing, and launching a new platform can take much longer than planned.
Personnel risk: If key team members leave, maintaining and upgrading the built solution becomes problematic. 
Future proofing the tech stack: Given the evolving nature of technology, a single entity with a purpose-built solution may find it difficult to keep current on trends and may find themselves, in our rapidly-evolving environment, with obsolete technology in a very short period.

For outsourcing, success hinges on finding the right partner who understands your needs and can customize solutions accordingly. Finally, another benefit of outsourcing is the ability to get your solution operational quicker so that you can start to realize the benefit sooner.

How can family offices use accounting technology to improve financial reporting and transparency?
Rick Higgins and Kristina Conner stressed the importance of using accounting technology to consolidate financial statements and provide real-time visibility within family offices. They advocated for leveraging technology to automate workflows instead of relying on manual processes. Modern solutions can integrate key metrics beyond basic financial data, enabling more informed decision-making when it is needed, rather than just when the books are closed.

What is the role of integration between accounting software and family office management tools in enhancing efficiency?
The panelists discussed how effective integrations can streamline and automate workflows, allowing financial professionals to focus on high-level decision-making instead of manual data entry. By preventing data silos, these integrations ensure that information is seamlessly shared across systems.

How do you foster change within your office and secure buy-in?
The panelists agreed that leadership support is crucial, but staff buy-in is equally important. Employees need to feel involved in the process and reassured that their roles are secure with new technologies.