Comments for Credit Union Strategic Planning, Leadership Development and Culture Building http://www.creditunionstrategy.com Strategy. Leadership. Culture. Fri, 03 Sep 2010 16:06:11 +0000 hourly 1 http://wordpress.org/?v=3.0.1 Comment on Strategic Thinking: Can Credit Unions Fix Their Broken Business Model? by Michael Hudson http://www.creditunionstrategy.com/strategic-thinking-can-credit-unions-fix-their-broken-business-model/comment-page-1/#comment-3227 Michael Hudson Fri, 03 Sep 2010 16:06:11 +0000 http://www.creditunionstrategy.com/?p=1820#comment-3227 Excellent insights Jamie...thank you for sharing them. The contrasts you point out between other cooperatives and credit unions are powerful and on point. I especially appreciate your point about being a not-for-profit financial cooperative. If more Boards and leadership teams saw themselves in this way, they would realize that there are many opportunities out there to be pursued in supporting the financial needs of their members...which extend far beyond the banking business model. Excellent insights Jamie…thank you for sharing them.

The contrasts you point out between other cooperatives and credit unions are powerful and on point. I especially appreciate your point about being a not-for-profit financial cooperative. If more Boards and leadership teams saw themselves in this way, they would realize that there are many opportunities out there to be pursued in supporting the financial needs of their members…which extend far beyond the banking business model.

]]> Comment on Strategic Thinking: Can Credit Unions Fix Their Broken Business Model? by Jamie Chase http://www.creditunionstrategy.com/strategic-thinking-can-credit-unions-fix-their-broken-business-model/comment-page-1/#comment-3226 Jamie Chase Fri, 03 Sep 2010 15:59:18 +0000 http://www.creditunionstrategy.com/?p=1820#comment-3226 Return to Credit Union International Operating Principles and the business model we are ignoring. For example, we would be at the bleeding edge of technology and convenience if we listened to member's needs. Unfortunately, the majority of board members and credit unions have made it so that they do not need to face competition in or the expense of elections. As a result, the members do not realize the experience of ownership and have stopped communicating their needs. Credit unions with elections have much higher membership growth rates and loan to share ratios. The issue with the credit union business model and almost all of our challenges are symptoms of this issue is that we use reasons for not behaving as cooperatives. While other cooperatives like USAA and REI are thriving, we use our reasons to be claim our business model isn't working. It is working for those that use it. And the business model is not a not-for-profit-bank. It is a not-for-profit financial cooperative. Ask your CEO, when is the last time we sent a ballot to our members? Who is on our nominating committee? Is it the board members that are currently on the board? When is the last time they nominated someone new for the board? Return to Credit Union International Operating Principles and the business model we are ignoring. For example, we would be at the bleeding edge of technology and convenience if we listened to member’s needs. Unfortunately, the majority of board members and credit unions have made it so that they do not need to face competition in or the expense of elections. As a result, the members do not realize the experience of ownership and have stopped communicating their needs.

Credit unions with elections have much higher membership growth rates and loan to share ratios.

The issue with the credit union business model and almost all of our challenges are symptoms of this issue is that we use reasons for not behaving as cooperatives. While other cooperatives like USAA and REI are thriving, we use our reasons to be claim our business model isn’t working.

It is working for those that use it. And the business model is not a not-for-profit-bank. It is a not-for-profit financial cooperative.

Ask your CEO, when is the last time we sent a ballot to our members? Who is on our nominating committee? Is it the board members that are currently on the board? When is the last time they nominated someone new for the board?

]]> Comment on Strategic Thinking: Can Credit Unions Fix Their Broken Business Model? by Michael Hudson http://www.creditunionstrategy.com/strategic-thinking-can-credit-unions-fix-their-broken-business-model/comment-page-1/#comment-3225 Michael Hudson Fri, 03 Sep 2010 15:22:08 +0000 http://www.creditunionstrategy.com/?p=1820#comment-3225 Thanks Mark...I appreciate your sharing a portion of my post with your audience, and I appreciate your perspective on the power of collaboration as a strategy moving forward. There is massive power created when like-minded people can come together to create a new future, and that is what the credit union industry needs today...new ideas, new partnerships and alliances, and collaborative efforts that lead the industry in new directions! Thanks Mark…I appreciate your sharing a portion of my post with your audience, and I appreciate your perspective on the power of collaboration as a strategy moving forward. There is massive power created when like-minded people can come together to create a new future, and that is what the credit union industry needs today…new ideas, new partnerships and alliances, and collaborative efforts that lead the industry in new directions!

]]> Comment on Strategic Thinking: Can Credit Unions Fix Their Broken Business Model? by Mark Bohdanyk http://www.creditunionstrategy.com/strategic-thinking-can-credit-unions-fix-their-broken-business-model/comment-page-1/#comment-3224 Mark Bohdanyk Fri, 03 Sep 2010 15:19:12 +0000 http://www.creditunionstrategy.com/?p=1820#comment-3224 http://www.cusouth.com/2010/09/collaboration-is-the-new-business-model-for-credit-unions/ http://www.cusouth.com/2010/09/collaboration-is-the-new-business-model-for-credit-unions/

]]> Comment on Strategic Thinking: Can Credit Unions Fix Their Broken Business Model? by Michael Hudson http://www.creditunionstrategy.com/strategic-thinking-can-credit-unions-fix-their-broken-business-model/comment-page-1/#comment-3222 Michael Hudson Fri, 03 Sep 2010 14:30:44 +0000 http://www.creditunionstrategy.com/?p=1820#comment-3222 Thanks for sharing your insights Mark. Well said and on point. Look forward to your post about the subject. Thanks for sharing your insights Mark. Well said and on point. Look forward to your post about the subject.

]]> Comment on Strategic Thinking: Can Credit Unions Fix Their Broken Business Model? by Mark Bohdanyk http://www.creditunionstrategy.com/strategic-thinking-can-credit-unions-fix-their-broken-business-model/comment-page-1/#comment-3221 Mark Bohdanyk Fri, 03 Sep 2010 14:26:35 +0000 http://www.creditunionstrategy.com/?p=1820#comment-3221 I agree with this wholeheartedly; in fact, #4 is why I left my position as VP of Operations at a credit union. I found a company that embodies collaboration with credit unions, and fits the very definition you created for #4. (It's a credit union-owned data processing CUSO) We offer the same value of ownership that credit unions offer their members, so that we are partners instead of the traditional client/vendor model. I am also a strong proponent of CUNA Management School, as not only does it help develop credit union staff into leaders in the industry, but it provides phenomenal networking and collaborative opportunities that you might otherwise have never been exposed to in your own credit union's back yard. However, if we do not somehow manage to convince long-established board members of the importance of Gen X, Y, technology adaptation and the importance of change in the marketplace; I fear the system will remain broken. Thanks again for the great article, going to blog about it myself. I agree with this wholeheartedly; in fact, #4 is why I left my position as VP of Operations at a credit union. I found a company that embodies collaboration with credit unions, and fits the very definition you created for #4. (It’s a credit union-owned data processing CUSO) We offer the same value of ownership that credit unions offer their members, so that we are partners instead of the traditional client/vendor model.

I am also a strong proponent of CUNA Management School, as not only does it help develop credit union staff into leaders in the industry, but it provides phenomenal networking and collaborative opportunities that you might otherwise have never been exposed to in your own credit union’s back yard.

However, if we do not somehow manage to convince long-established board members of the importance of Gen X, Y, technology adaptation and the importance of change in the marketplace; I fear the system will remain broken.

Thanks again for the great article, going to blog about it myself.

]]> Comment on Strategic Thinking: Can Credit Unions Fix Their Broken Business Model? by Michael Hudson http://www.creditunionstrategy.com/strategic-thinking-can-credit-unions-fix-their-broken-business-model/comment-page-1/#comment-3186 Michael Hudson Thu, 02 Sep 2010 20:40:06 +0000 http://www.creditunionstrategy.com/?p=1820#comment-3186 Thanks Sean...solid insights and critical reminders...changing the vocabulary and embracing things that have been avoided in the past are both great ideas. Thanks Sean…solid insights and critical reminders…changing the vocabulary and embracing things that have been avoided in the past are both great ideas.

]]> Comment on Strategic Thinking: Can Credit Unions Fix Their Broken Business Model? by Sean McDonald http://www.creditunionstrategy.com/strategic-thinking-can-credit-unions-fix-their-broken-business-model/comment-page-1/#comment-3178 Sean McDonald Thu, 02 Sep 2010 16:32:46 +0000 http://www.creditunionstrategy.com/?p=1820#comment-3178 This is right on target. The credit union industry must evolve with the times in order to remain relevant to current membership and to BECOME relevant to Gen Y - the future of the credit union movement. Insisting on holding onto outdated methodology will not help us as we move forward. Some steps to take immediately - (1) start using a more modern vernacular - nobody knows what the heck a "share draft" account is, (2) credit unions need to stop being so afraid of the "s-word" - face it, we're in the SALES business. We need to start acting like it! This is right on target. The credit union industry must evolve with the times in order to remain relevant to current membership and to BECOME relevant to Gen Y – the future of the credit union movement. Insisting on holding onto outdated methodology will not help us as we move forward. Some steps to take immediately – (1) start using a more modern vernacular – nobody knows what the heck a “share draft” account is, (2) credit unions need to stop being so afraid of the “s-word” – face it, we’re in the SALES business. We need to start acting like it!

]]> Comment on Don’t Make This Mistake at Your Next Planning Session by Michael Hudson http://www.creditunionstrategy.com/dont-make-this-mistake-at-your-next-planning-session/comment-page-1/#comment-2976 Michael Hudson Fri, 27 Aug 2010 19:06:08 +0000 http://www.creditunionstrategy.com/?p=1785#comment-2976 Sounds like the "strategy" was not a strategy at all, but a tactic, or perhaps an operational objective. The reality is that strategy has to be long term. And if growth and survival are a part of the strategy, then running the marathon with those who will be the members in the future is the key. Because no matter how you look at it, your core members today will not be the ones who keep your credit union successful in 5, 10, or 20 years. Period. Sounds like the “strategy” was not a strategy at all, but a tactic, or perhaps an operational objective.

The reality is that strategy has to be long term. And if growth and survival are a part of the strategy, then running the marathon with those who will be the members in the future is the key. Because no matter how you look at it, your core members today will not be the ones who keep your credit union successful in 5, 10, or 20 years. Period.

]]> Comment on Don’t Make This Mistake at Your Next Planning Session by James Robert Lay http://www.creditunionstrategy.com/dont-make-this-mistake-at-your-next-planning-session/comment-page-1/#comment-2975 James Robert Lay Fri, 27 Aug 2010 19:02:28 +0000 http://www.creditunionstrategy.com/?p=1785#comment-2975 We were working with a credit union to connect with Gen Y but the plug was pulled before anything could really gain traction or see results. Why? B/c what was done to date had satisfied the check list on the BOD strategy. They said they were shifting their focus to start focusing on things that would get them results now. However, for those who have run the race with us, the results are crazy and very positive. CUs must stop looking at the here and now, the monthly or 3 month campaign, but a much longer strategy. We were working with a credit union to connect with Gen Y but the plug was pulled before anything could really gain traction or see results. Why? B/c what was done to date had satisfied the check list on the BOD strategy.

They said they were shifting their focus to start focusing on things that would get them results now.

However, for those who have run the race with us, the results are crazy and very positive. CUs must stop looking at the here and now, the monthly or 3 month campaign, but a much longer strategy.

]]>