In the first main part of our report Fidelity Capital Management (FCM), an asset management company based in Brussels, is analyzed in terms of their process structure, IT-strategy and business model (the information for this analysis was gathered through a qualitative interview on the 23rd of september). FCM is, in contrast to many asset management firms in the market, specialized in an extreme long-term value creation for their clients. To enable this long-term value creation, FCM’s analysts take intuition based decisions on a regular basis aiming for investing in stocks which are generating continuous profits over a long period of time with as little risk as possible. Therefore, the decisions making approach, the analysts of FCM are taking, is one of the key process steps, because taking wrong decision will influence the fund performance and the amount of capital managed by FCM. Furthermore, FCM is rather pragmatical in terms of the use of IT, not using new technologies in communications or decision support.
This is where our idea starts. Due to the fact that data analytics become more and more popular even in small and medium sized companies, we proposed a software for tracking the decisions of FCM. This idea and its strategic, financial and technical feasibility were presented in the second part of the report. The proposed software allows FCM to track every decision made and rationales on which they were based. FCMs’ analysts can then see all decisions on a dashboard, which indicates how specific decisions performed over time, enabling FCM to learn from past decisions and therefore increase the quality of future decisions. This learning process may later be supported through a pattern-spotting machine learning module. In addition, the proposed software should allow FCM to increase the quality of their decision without adapting their current organizational structure and most important their basic way decisions are made.
The third part of the report described important aspects of the implementation, which will be crucial for the success of the proposed decision tracking system. We recommended a three step rollout approach, making sure that the analysts of FCM will be introduced to the software step by step. This should help to motivate them to use the software on a regular basis. Additionally, we addressed an issue of a careless use of the system, that could influence the intuition based decision making process, which is the key factor of FCMs’ success in the last decades. The software should rather serve as new source of information than a new approach for making decisions.
Team 48:
Boy Curry-Lindahl (463357)
Mariusz Dudek (463235)
Fabian Fleischmann (462362)
Moritz Grassy (460051)
