Getting Started Guide to Mutual Finance Operations: How to Build Your Operational Framework

This article mainly talks about the operation framework.

The operation framework is very important to every operator. It is like a person's skeleton or the foundation of a bridge. People always say that operations without their own framework will always be a chore, and similar words are used by many people engaged in operations to mock themselves.

Indeed, because operational work is so diverse and complicated, it is easy to get lost in the complicated operational affairs and unable to extricate yourself after working for a few years. Therefore, we must learn to summarize and review regularly, strive to refine our own operating framework, and form our own operating methodology . Only in this way can our operational capabilities continue to improve.

1. Operational Framework

Below I share my operating framework. There are three levels:

Background layer: I think the background is like the root of operations, which is usually invisible but will affect future growth. The wider and deeper the roots are, the greater the future growth space will be. The background layer is very diverse, including understanding of the industry, business model , Internet / financial products , competitors, users, and even macroeconomics and technological development. For example, in addition to reading about operations and products, I also read some books on wealth management and investment . When I had just worked for a year, I passed the securities practitioner and fund practitioner certificates.

Task layer: The purpose of operational work can be understood as KPI. Including attracting new customers , retention , activation, conversion , communication, and even profit models, product matrix, resource allocation, etc. The task layer can be understood as the level of operating the training game . Each link is closely linked, and the higher the level, the more complicated the task will be. In the early stage, we may be responsible for a small link such as attracting new customers, but as we continue to grow, we may be involved in retention and activation, and even be responsible for the operation of the entire product line and how to make profits. Therefore, do not limit yourself to your current KPI at work. It will be of great benefit to your future growth if you get involved in the entire process.

Skill level: The operator’s methodology, representing the operator’s skills. Skills are not innate, nor can they be acquired simply by reading or thinking. Skills are constantly summarized and refined through our interaction with tasks. By completing a small task, we strive to learn and apply skills in various aspects such as users, activities, data, communication, etc. After completing the task, summarize and form a methodology, and then apply these skills to the next task. Only by repeating this cycle can your skills improve in a spiral manner.

In conclusion, the accumulation of the background layer requires more efforts outside of working hours, including those miscellaneous books; the task layer is our top priority during daily working hours, and we need to strive to do our best; the skill layer is the fruit of all this effort during this time. Ultimately, these three levels jointly determine our operating boundaries and the boundaries of our business.

2. Three Principles of Task Layer

After talking about the entire framework, let’s focus on a task-level issue: How to define a task?

Usually the tasks in our work are already set, and we just need to execute them according to the leaders' instructions, especially for junior operations. So do we still need to define a task ourselves?

Taking the following picture as an example, your wealth management company's AUM this year aims to reach 100 billion yuan, with fixed income products of 80 billion yuan, funds of 20 billion yuan, and insurance of 100 million yuan. The general principle is to still focus on fixed income products, and to sell funds and insurance products in a cross-selling format. In addition, the company's target customer group is the urban middle class with investable assets of 600,000 to 6 million.

Try to answer the following questions:

1. As the investment manager of the fixed income product line, I only have 100 million yuan for investment this year. How should I allocate it?
2. As the person in charge of the fund channel, you feel that the platform's current 2 million fixed income investment users are too small. Do you think you should ask the CEO to increase the investment fees for the fund business line by 50 million?
3. As an activity manager of the fund channel, in order to achieve a 50% conversion rate , you confidently planned an activity to subsidize the income of money market funds. However, you were scolded by your leader in the end. Why?

The first question: the numerous channels in front of us belong to the same level of tasks, and the principle of handling the same level of tasks is to prioritize. So you quickly find a data person to count the number of customers, conversion rate, loan amount of channels 1/2/3... in the past year and calculate the ROI.

Finally, you find that word-of-mouth recommendations have the highest customer acquisition quality and ROI, but the scale cannot be expanded quickly and can only contribute 30% of the KPI;

The delivery channel has the largest number of customers, but the conversion rate is very low, the ROI is in the middle, and it can contribute 50% of the KPI;

The conversion rate of the wool channel is very high, customer loyalty is not high, and users will be lost without discounts, but the speed of increasing volume is the fastest.

Finally, you decide to continue iterating word-of-mouth recommendation operations and look for more ways to expand the volume; focus your resources on distribution channels and strengthen conversion operations within 7 days after registration; use wool channels as backup channels and open them in emergencies. This is the first task rule: sort tasks of the same level and focus on key tasks.

The second question: Achieving the goals of the fund business line requires sacrificing resources from the company's larger goals. As the person in charge of the fund business line, you must understand that small tasks must be subordinate to larger tasks. As a cross-selling product line, funds cannot compete with fixed income products for allocation resources. After all, resources are limited.

In this case, the fund business line must obey the overall task, give up the investment task, and concentrate operating resources on the two tasks of improving conversion rate and per capita investment amount. This is the second law of tasks: small tasks must be subordinate to big tasks.

The third question: It is a completely wrong idea to carry out subsidized income activities in order to increase the fund conversion rate. First, fund products are floating income products, and subsidizing income is a violation of regulations; second, subsidized fund products will compete with fixed income products, hindering the company's overall strategy; third, funds and fixed income products are complementary products, and users should be guided to correctly allocate assets from an asset allocation perspective, rather than relying on income to impress customers. Therefore, we should always remember the third task rule: always be vigilant against wrong tasks.

Finally, looking back at how to define a task, we need to master three rules:

• Sort tasks of the same level and keep a close eye on key tasks
• Small tasks must be subordinate to big tasks
• Always beware of wrong tasks

This is the end of this article. I hope it can be of some help to you. The establishment of an operational framework is not something that can be done overnight. It requires constant experience and thinking at work to gradually form a system. Therefore, students who are just starting to do operations should not rush to draw the framework when seeing this.

Slowly accumulate and settle yourself. As long as you have a heart that keeps growing, do more hands-on work and think more, I believe that in the end you will have your own set of methodologies.

Source: Beijing Soldier