LAKE MARY, Fla.-An improving economy has provided credit unions with three opportunities to improve their bottom lines, according to Scott Hansen.
However, warns the EVP of business development for Harland Financial Solutions, CUs "have to be nimble, and have to be quick...because everybody's playing the same game."
Those three opportunities, according to Hansen:
1. Optimize the virtual footprint. It is important to serve members wherever they are, whenever they want with whatever they need, he stressed. Therefore, online account opening, self-service transactional banking-including Internet, voice, smartphones and tablets-and remote deposit capture are "table stakes."
"A consistent member experience must be every credit union's goal."
2. Make small business the CU's business. Because small businesses are the backbone of the U.S. economy, Hansen said a credit union's staff and systems need to open and it must service business deposits and loans just as a bank would. Another important element is treasury management services. Business Internet banking and bill pay, remote deposit capture, ACH/Payroll and electronic bill presentment and payment (eBPP) are "great ways to attract businesses and new members, too," he said.
3. The right technology drives efficiency. Hansen advised CUs to examine the total cost of ownership for every key system they have, especially their core, including people, facilities, hardware and software.
"Modern software on modern equipment is the key," he said. "Adopt smart outsourcing to offload functions not aligned with the core competency of serving members. Also, pick providers wisely. Having 'one hand to shake' will get things done faster, better and cheaper."
