The Financial Planning Association (FPA) has launched an online diagnostic tool to allow its FPA Professional Practices to identify strengths and weaknesses of their business and to compare these against their peers.
The FPA Ready Index was created with CoreData and would identify which areas of the business needed attention including revenue growth and profit margins, and compare them with the industry average to gauge and track overall performance.
The tool would benchmark across five areas that were important drivers of practice readiness including:
- Risk and compliance;
- Efficiency and technology adoption;
- Differentiation to meet client needs; and
FPA Professional Partnerships manager, Ken Whitton, said: “The FPA Ready Index will provide a comprehensive assessment of the success of your business. Practices will now have the opportunity to compare their businesses against their peers and really evaluate, assess and understand how they are positioned for the future”.
Practices would take a 20-minute questionnaire to find out their performance.
The FPA noted it was also working on the FPA Ready Client Index, which would allow direct feedback from clients.