In our 2:0 COO webinar earlier this month, I had the pleasure of being joined by an esteemed panel of experts who shared their unique perspectives on the evolving role of the Chief Operating Officer.

Our panel: Kirsty Wilman (COO, Rebalance Earth), Mush Ali (Founder & Director, One Ten Associates), Chris Taylor (COO, CGAM), and Henry Duncombe (Managing Director, Lanware) explored how the modern COO looks very different from a few years ago and that the role is moving away from traditional operational responsibilities. We delved into the changing demands of the modern employee entering the investment management industry today and how, as digital natives, their needs and requirements differ greatly from those of new joiners 20 years ago.

Learn the key takeaways from this insightful webinar and find out what the one piece of advice our panellists would give to aspiring COOs. Their responses were honest, thought-provoking and strikingly aligned.

Defining the modern COO

Over my time in business, I have met many different COOs, and in my experience, the role can vary hugely. The focus often depends on the needs of the business and the people around them. That said, one theme our guests consistently agreed on and a common way the role is described is that a COO is typically responsible for everything outside of the investment side of the business.

Mush described it as, “In simplistic terms, it's working with the founder and running the business—everything outside of the investment side. It's earning the trust of the founder that every aspect of what is needed in running a firm is taken care of.”.
Chris echoed this sentiment, saying, “Your focus is on resilience… identifying things that aren’t working effectively and bringing about change.”

Taking this point of view, the heart of most successful COO careers lies in the art of relationship building. Nowhere is this more evident than in investment management, where forging strong relationships and ‘mucking in’ are essential to the COO role.

The unglamorous truth

The “mucking in” analogy was brought to life when Kirsty told the audience, “I’m a cleaner at work and at home, sadly.” In essence, it was a metaphor for doing whatever needs to be done, especially in a startup environment.

Chris backed this up with a comment about the grade of his suit he wears, adding: “Operations people don’t wear nice suits because there will be a time when you’re climbing under desks running cables.”. In the days of Wi-Fi networks, that may be less common, but as Chris explained, tales of “mopping up” the items that are just not captured, with each day bringing a new, unexpected challenge.

Mush shared a similar story. He once visited a startup fund to meet a client whom he had recently placed, only to find the new COO was on the floor plugging in a printer, not exactly the first thing he expected to find his new placement doing.

While the panel highlighted some of the more ‘hands dirty’ examples, the underlying message was clear: being a COO often means doing whatever the business needs, whether glamorous or not.

Technology and transformation

One thing that became particularly clear during the session was how the shift in technology has been shaping the COO role for some time. As technology has become more of a business enabler, investment management firms are increasingly relying on their COO and operational leaders to help the business gain a competitive advantage.

Henry put it well: “COOs are now less involved in keeping the lights on… the focus is on areas that deliver competitive advantage and greater performance.”

When we delved a bit deeper, it’s clear that this shift isn’t just about large-scale technology projects. It’s also about identifying the small, incremental 1% improvements across the business, often by leveraging smart applications or automation. The focus in these initiatives is to ensure, as an individual, that you understand your own limits, but don’t expect outside experts to come in and work wonders, because nobody knows the business better than those internally.

Chris, for example, would first try and understand the problem himself, then try to solve the problem and then bring in support when necessary: “I started with YouTube videos and a pack of crayons to sketch out what I wanted to automate… then handed it over to a proper developer.”

Henry also added to the consensus, pointing to a broader industry shift: “We’ve gone from traditional infrastructure to focusing on applications and data. The rise of the CTO role is notable.” He noted that Lanware has evolved its offering to align with what clients now demand, more applications and data over infrastructure.

Kirsty also promoted the concept of utilising new technology in silos, but the key is to ensure tech wins are shared across the organisation, so encouraging the use of new technology whilst rewarding clever use: “We’re very heavy AI users… we even have an internal competition for AI innovator of the week.”

Talent and culture

The challenges and opportunities presented by a new generation of digitally native employees were another hot topic for discussion. Today’s talent is entering the organisation’s workforce having grown up with technology. To put it into perspective, if you hired a 21-year-old today, the first iPhone would have been released when they were 3 years old.

Mush started by offering attendees a simple mantra for embracing new technology and the digital-first generation and explaining how it can set your firm apart: “You’ve got to embrace the stuff. It’s going to differentiate you.”

Chris added that formal tech training isn’t something they currently do at scale, and often results are delivered by individuals learning the processes and adapting the technology to fit existing processes. New employees can sometimes introduce new tools to enhance your processes. He noted: “We’ve always found it easier to train the ops side than the tech side.”

Diversity and inclusion

Diversity and inclusion initiatives are gaining traction; however, progress remains slow, and it often comes down to separating the real initiatives from those that might be more of a marketing initiative. Kirsty gave us a clear indicator when it comes to events and D&I, telling the audience: “You can tell if there are lots of women in the room—there’s colour instead of a sea of grey suits.” She also shared how she has challenged conference organisers to do better: “I’ve challenged organisers about all-male panels… it might be hard to find women, but it’s worth the effort.”

We also spoke about recruitment, particularly at the intern level. Panellists highlighted the importance of putting guardrails in place to avoid conscious or unconscious bias wherever possible, ensuring that the best candidate is hired, not necessarily the one that feels instinctively like the best based on their background.

Personal branding and visibility

The role of the COO has traditionally remained in the shadows behind investment teams, and we discussed whether this dynamic is changing. The panel explored the value of building personal brands, and as ever, with differing opinions depending on the type of firm and its underlying business culture.

Kirsty shared valuable advice on using LinkedIn to build a network while staying authentic: “LinkedIn is a shortcut to a big, healthy network… just say what you believe in and do it in a tone that is yours.”

In contrast, Chris admitted he doesn’t use LinkedIn much: “I don’t do much on social media… possibly an old-fashioned view, but I’m there to deliver results.”

Henry added a key point on how difficult it can be to get started on LinkedIn, but how it becomes easier with time. “Doing your first LinkedIn post is like turning an oil tanker. Just post it.”

Advice for aspiring COOs

We wrapped up the session by asking each panellist to share a piece of advice for aspiring COOs. Their responses were all hugely valid and consistent in theme. In summary, they talk about understanding the details but also being honest about what you do and don’t know. Utilising negatives as a positive and not being scared to ask the questions, whether inside or outside your organisation. More often than not, people are willing to help if you reach out..

“Relationship building is essential… and knowing what you don’t know.” — Kirsty Wilman

“Understand the detail… it lets you instigate change.” — Chris Taylor

“Lean into the industry… you’ll be surprised how willing people are to help.” — Mush Ali

“Never waste a crisis… resilience is a huge asset.” — Henry Duncombe

In summary

There is obviously no right or wrong way to operate as or become a COO; however, it is clear that things are changing.

• Embrace technology and those who are native technologists
• Diverse teams deliver a wider breadth of thinking
• Build your personal brand where it works for you, but stay authentic

I’d like to thank all panellists and attendees for giving up their time on this webinar, and look forward to the next discussion. If you missed the session, it’s well worth a watch here.