I'm heading to the BAI conference, where I'll see all sorts of technology on parade. How do I cull through the hype and determine if a new innovation is worth trying at my credit union?
Cam Minges, COO for FORUM Solutions, Indianapolis
When reviewing new technologies it's important to stay away from the buzzwords and the "flavors of the month." Look for companies that are expertise centric, not technology centric. It's important to evaluate technology based upon what will enable your credit union to achieve its goals and serve members more efficiently. Technology should not be purchased without first having a goal in mind for how it will help your institution or just because it's the latest trend. Prepare a questionnaire specific to the problem you are trying to solve before entering the exhibit hall. It should include background of the problem, objective you're trying to achieve, goals to reach the objective, and the approach (or technology) needed to implement the solution. The vendors you speak with should be able to respond to the approach section of your questionnaire. A worthy vendor will show you how they can solve your problem, not recite their list of features and product benefits.
Sue Pogatschnik, Credit Union Segment Manager, Wolters Kluwer Financial Services, Minneapolis, Minn.
When evaluating the purchase of a new technology solution, a credit union needs to consider the return on investment it can bring to the credit union's bottom line, and ultimately, the impact to member service. The credit union must determine if the new tool can help it save time, money, and resources while delivering products and services to members faster. Consider the following:
* Review your credit union's strategic plan. Does the new technology solution help your credit union achieve its current or future planned objectives?
* Will the new technology solution help your credit union increase operational efficiency?
* How well will the technology solution fit into the credit union's existing workflow?
* How well will the technology integrate with your existing solutions and fit within your current technology environment?
* How flexible is the technology solution? Will it allow your credit union to easily add functionality and integrate with other solutions?
* Will the technology solution easily allow the credit union to grow to support more internal users, expand its field of membership and enter new lines of business?
* Will the new solution allow the credit union to introduce new products or services more quickly?
* How will the new solution impact member service?
David Van Pelt, IA Systems, Albany, N.Y.
Start by assessing your most pressing business problems and opportunities. Focus your limited time and budget on reviewing solutions that address your specific needs. If a new technology looks pretty, but does not solve an important business problem for your credit union, move on. The first step in evaluating new technologies is to evaluate the company. Check with your peers. Many companies that focus on innovating new technologies struggle with customer service. Find companies that make service their highest priority and have a strong reputation for delivering superior service.
Return on investment is still the most reliable measurement for investing. Work with the company to understand the expected ROI and talk to existing customers using their products. If you believe in the company and there is a compelling ROI, you are most of the way there. Leverage your information technology staff to probe the company about their technology. Look for scalable architectures and open, standards-based solutions. This has two important benefits; assessing the quality of the technology solution and achieving buy-in from your colleagues in IT.
Use this methodology and you will quickly filter out the "noise" and focus your time on real business drivers from solid companies.
David McConney, EVP/General Manager, Credit Union Core Systems, Harland Financial Solutions
That's a challenging question as I too was at BAI and agree that there is ample technology available to see and choose from. The opportunity at a venue such as this is to see as much as you can, listen to as much as you can, talk to as many users as you can, and then bring back to your credit union as much information as you can to discuss with colleagues and perform additional research and due diligence to better determine whether the technology is right for your credit union's particular needs. Success stories and testimonials from current users is always a good way to determine whether a technology solution actually does what it says it will do and works well. Aligning that success with your credit union's goals and objectives will help determine if the technology is worth the investment for your credit union.
Eric Panepinto, SVP-Development, USERS, Valley Forge, Penn.
I've attended the BAI conference for the past 18 years, so I know it can be an overwhelming experience. Whenever you're faced with technology choices, the key to making a prudent decision is to focus first on the mission-critical needs of your credit union. Do you need a more personalized, Internet-based self-service model? Or are up-selling and cross-selling capabilities more important priorities? If you use your most critical needs as your guiding principle, you'll avoid the trap of considering technologies that are "nice-to-have," but can only be justified after you've satisfied your real needs. Once you've found technologies that you believe are worth considering, ask the prospective solution provider several key questions. What technology is the solution built on? Can it be easily integrated with the current technology platform? How long has it been deployed in the marketplace? How many successful implementations have you had? What client references can you offer? When talking with references, find out if the provider delivered what was promised, if true costs were in line with estimates, and how the total, ongoing cost of ownership is comparing to the credit union's expectations. If you make your decision well-grounded in the principle of filling a true business need, you will quickly cut through the hype and implement technologies that add value for your credit union.
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