Parkinson’s Law
Northcote Parkinson, a British historian, famously wrote in 1955: “Work expands to fill the time available for its completion.” Decades later, this principle, known as Parkinson’s Law, is still quietly reducing efficiency in businesses, including financial planning and wealth management firms. Unfortunately, financial advisory firm productivity often falls prey to Parkinson’s law.
In our industry, where time is literally money, Parkinson’s Law can significantly impact profitability, client satisfaction, and team morale. The longer we keep a task or project open, the more likely it is to become complex. Meetings stretch to fill the available time, paperwork takes longer than necessary, and projects that could be finished in days drag into weeks.
How Parkinson’s Law Shows Up in Advisory Firms
- Overlong meetings – When an hour is booked, discussions often fill the entire time, even if the agenda is complete in 40 minutes.
- Drawn-out project timelines – Technology implementations, marketing campaigns, or operational changes often exceed their original scope.
- Prolonged onboarding processes – New client onboarding sometimes takes far longer than necessary due to open-ended timelines or unclear milestones.
- Lack of adherence to processes or unclear processes – Without a clear workflow, or when team members deviate from established procedures, tasks take longer and involve unnecessary back-and-forth. Work becomes less efficient because each person is “reinventing the wheel” instead of following a proven method.
Left unchecked, this pattern doesn’t just waste time—it ties up valuable human resources and delays initiatives that could improve client service or generate new business.
Breaking Free from Parkinson’s Law
Owners, managers, and employees can work together to reduce its impact. Here are practical strategies:
- Set Firm Deadlines – Even if a regulator, client, or vendor hasn’t set one, create a clear completion date. Deadlines create urgency and focus.
- Timebox Activities – For routine tasks and meetings, limit the time and commit to ending on schedule. If a client review is booked for 45 minutes and you’re done in 30, use the remaining time for follow-up notes rather than filler conversation.
- Define “Done” Before You Start – Agree on exactly what constitutes a completed project or task. Without this clarity, work can expand endlessly as new “nice-to-haves” get added.
- Break Projects into Sprints – Large initiatives, like CRM migrations or workflow updates, should be broken into smaller deliverables with tight deadlines.
- Clarify and Follow Processes – Document procedures for common tasks and ensure all team members follow them consistently. This removes guesswork and reduces wasted effort.
The Payoff for Advisory FirmsTime efficiency isn’t about rushing—it’s about focusing effort where it matters most. By actively working against Parkinson’s Law, firms can:
- Increase advisor capacity for high-value client work.
- Reduce operational drag and improve turnaround times.
- Free employees from unnecessary busyness so they can focus on meaningful contributions.
In financial advisory work, precision matters—but so does pace. When owners, managers, and employees commit to setting boundaries on time and scope, they protect profitability, improve client satisfaction, and create a healthier work environment.
The next time you block an hour for a task, ask yourself: Could I do this in 30 minutes instead? Chances are, the answer is yes.
To learn how AEP is helping advisory firms build the high performing teams they need schedule an exploratory call with one of our experts today!
The Employee Training & Development Partner For Independent Financial Advisory Firms
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