Smartsourcing and Dynamic Operating Models

This technical report discusses the concept of smartsourcing and its impact on operating model design within investment firms. It highlights a conversation among industry experts, including Kellie Smith, Barnaby Edmunds, Liana Mackay, Peter Sherriff, and Clayton Issitt, focusing on how smartsourcing offers flexibility by balancing internalized and outsourced capabilities. The report outlines key elements of an operating model, such as process, people, place, and platform, and emphasizes the importance of partnerships with providers to enhance business outcomes. The discussion also addresses the challenges firms face in adapting to rapid industry changes, including globalization and the need for diversification. The experts elaborate on the significance of assessing internal skill sets and the evolving nature of service and technology providers, which have adapted to meet client demands for more comprehensive solutions. Overall, the report presents smartsourcing as a strategic approach to optimize operational efficiency and support growth in a competitive landscape.