Are all credit union members equal?

first_imgSometimes, during in-depth business planning conversations the question, “are all members equal” arises. It’s a tricky question, and it almost always creates serious debate. For some credit union leaders, the obvious answer is yes, but for others, the answer is “it depends.”Yes, all members are equalCredit unions are not-for-profit financial cooperatives. The membership democratically elects directors, and each member gets one share and one vote.  But it depends…Opportunity and risk at the member level vary widely, so we price things differently to reflect individual opportunity and risk. Loans with higher risk are priced higher, and we pay more for deposits when the need increases. A member that opened a CD today is probably earning a little more than the member who opened a CD two years ago. Pricing in these examples are unequal, but that’s appropriate considering the risk, market conditions and the need of the credit union at the time.   Another example of what some would say equates to inequality, centers on the idea that all transactions are considered equal. Consider a credit union with a strategic focus to increase member loan sales that expects MSR/tellers to increase in branch conversations with members. Needs based sales conversations take time and that time may result in longer teller lines (becoming less and less common) or waits elsewhere.  Focused effort on one-member need may reduce time spent on other members. Is this fair? I say yes. It’s in the credit unions best interest to use opportunities to deepen member relationships and to grow loans. However, it’s possible that there will be complaints from members who wait a little longer elsewhere.   Sometimes a problem arises from the preferences of a credit union’s “vocal minority.”  Case in point, the installation of in-branch ITMs to increase efficiency and to allow more time for member-facing staff to have more sales and service-related conversations, is met with hundreds of members who complain they don’t want to use the new technology for their transactions, and that credit union’s service isn’t what it used to be. They complain that the ITM isn’t fair to “loyal” members who visit the branch all the time. They fail to understand how the move will benefit the overall membership and the credit union. We are a cooperative; the product and services offered need to be a win-win for the membership and the cooperative. Unfortunately, I’ve seen credit unions delay important (and much needed) changes to products, services, and even people because of this very vocal minority.Why it mattersCredit unions must create value for the entire membership. Areas of focus will change over time based on the needs of the membership and the credit union. It’s human nature to resist change, whether it’s members that want to visit the branch to make deposits and have one-on-one time with their “favorite” or it’s a group of long-term members that resist a credit union name change.  Change is required of credit unions if they are to remain relevant in the long-term. Considering the competitive forces and market demands we face, when it comes down to it, I would rather staff spend more one-on-one time with people who need help solving a financial problem or advice on how to accomplish their financial goals. If this involves adding ITMs in the lobby or removing the teller line, so be it. Scott is the Principal of Your Credit Union Partner, PLLC.Your Credit Union Partner (YCUP) is a trusted advisor to the leaders of more than 100 credit unions located throughout … Web: Details 14SHARESShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblr,Scott Butterfieldlast_img read more

New coach Valverde’s poise to be tested by Barcelona pressures

first_imgShare on: WhatsApp Luis Enrique wasn’t far off with his nine over the past three years, while Tito Vilanova also won La Liga with a club record 100 points in his only season in charge in 2012/13 before having to resign to due ill health.Indeed, the only time Barca went against the grain of appointing someone from the outside in Gerardo Martino in 2013/14, it resulted in the Catalans’ only trophyless season in the past 10 years.That mistake could have been avoided if weren’t for Valverde’s loyalty.Barca sporting director Andoni Zubizarreta was keen to hire his former teammate when Vilanova was forced to resign weeks before the new season.However, in keeping with Valverde’s character he felt he couldn’t turn his back on Athletic having just been hired weeks before.His second spell with the Basque giants came to an end just last week and has once again proven his credentials as a boss capable of maximising the return from the resources available to him.Valverde’s only major silverware has come in two spells in charge of Greek champions Olympiakos.Yet, he has inflicted pain on his new employers in the past.Athletic thrashed Barcelona 5-1 on aggregate to win the 2015 Spanish Super Cup.And even his former connections at cross-city rivals Espanyol couldn’t dissuade the Barcelona board despite the fact he was the coach when they famously denied Barca the title with a last-minute equaliser in 2007.Valverde’s calm is what they believe is needed to ease some of the tensions that bubbled between a star-studded squad and Luis Enrique in his final year in charge. Madrid, Spain | AFP |  In the worst kept secret in European football, Ernesto Valverde was officially named Barcelona coach on Monday.Valverde follows in a long and famous line of former Barcelona players to manage the club.However, unlike two of his more recent predecessors, Pep Guardiola and Luis Enrique, Valverde is little known outside of Spain having had a far less distinguished playing and managerial career thus far.Central to Valverde’s candidacy is the fact he played for Barcelona under Johan Cruyff, winning a Cup Winners’ Cup and a Copa del Rey in his two seasons at the Camp Nou from 1988 to 1990.That was the highlight of a playing career that also took in spells at now dissolved Basque club Sestao, Espanyol, Athletic Bilbao and Mallorca.Cruyff is still revered in Catalonia as the patriarch of Barcelona’s style that has made them world renowned even 21 years since the Dutch great, who died in 2016, left as coach.One of the sticks with which Luis Enrique was beaten during his third and final season which only delivered the Copa del Rey was his insistence on making Barca a more direct, counter-attacking force.That was in an attempt to get the best out of a star front three of Lionel Messi, Luis Suarez and Neymar.However, that came at a cost of losing control in midfield, a key tenant of Cruyff and Guardiola’s principles.– Emphasis on youth –Restoring balance to the Barca midfield will be one of Valverde’s most important tasks, as will another of Cruyff’s legacies in ensuring there is once more a steady flow from the club’s youth academy into the first-team.“Valverde has the ability, the judgement, the knowledge and the experience. He promotes the youth players and he has a Barça way,” said president Josep Maria Bartomeu, announcing the appointment.The youth element is a fundamental part of the job in Bilbao as the club only fields Basque players.And Valverde has proven adept at harnessing young talents such as Inaki Williams and Aymeric Laporte into the first team over the past four seasons during which Athletic have qualified for Europe every year.Knowing what you are getting yourself in for when it comes to the unique pressures put upon a Barca coach is key to being successful in the role.Guardiola showed that better than most in winning 14 trophies in four years.last_img read more