Middle office employees may be in charge of customer management and risk analysis.
Functions performed in the middle office typically include risk analysis, customer management, and monitoring and maintenance of information databases and end-to-end systems. In the business world, the “middle office” is a somewhat amorphous term that encompasses employees who fall somewhere between the public-facing front office and the operations-focused back office. Most of the tasks performed here are hybrid. They involve some creative thinking and external contact, but also combine elements of analysis and technical reports. Employees in this middle area are often the conduits of information from front to back and vice versa, and they also help keep the company efficient and up-to-date.
Not all corporations actually interrupt middle office functions, but they almost always do in one way or another. Companies generally don’t do well with just front and back operations. The front and back often need to communicate, and that communication must be orderly, grounded, and intentional. Middle office duties fall under this project.
Most of what happens in the middle office is related to management and maintenance. Employees are usually trained analysts who spend their time controlling the work of frontline employees. Front-line workers reach out to customers, but it’s often the middle workers who manage customer files and keep communications open. Setting goals with respect to things like customer demographics and portfolio diversity also often comes from the middle.
In many ways, it is the middle office that controls all front office functions. These employees are usually responsible for gathering data that relates to general corporate statistics and health. The success of a company is, in many ways, the responsibility of those at the forefront. However, if your goals aren’t properly aligned, it can mean the difference between a successful business and an unsuccessful one.
Risk analysis is one of the most important functions of the medium in this regard. Employees in the central strata control what activities are costing and how much they are generating. This allows for informed advice on the direction the company should take when it comes to setting benchmarks and boundaries. Ideas for new product development, simplified customer communication techniques, and improved use of social media technologies often start in the middle office. They are implemented in the front office and are supported from the back, but they originate and are supported in the middle.
Communication with the back office is also generally integral. It is typically the job of middle office workers to help translate their ideas and data into goals that the back office team can efficiently execute. Many companies look at the middle as the spokes that connect the wheel rim to its axle. Ideas flow up and down, keeping things in steady, steady motion.