SAN FRANSISCO-The CEO search process and the candidates for open positions have changed as a result of the recession, according to one person.
"Post-economic crisis, I think candidate profiles at the CEO level have become much more specific," noted Mike Juratovac, CEO at O'Rourke and Associates. "I think five years ago we could bring in someone with a well-rounded background, coming out of a well-rounded financial institution with solid performance who presents themselves well, and call that person a good candidate."
Those days are over, said Juratovac, noting that CEO candidates today-at the minimum-have to demonstrate both the business acumen and the personality and leadership skills necessary to lead an organization. In particular, he said, credit unions are looking for individuals with experience driving the evolution of an institution's culture, along with other functional competencies.
"ALM is always at the top of the list," said Juratovac. "You have to have a candidate that understands how to manage the balance sheet. Risk-management is obviously a big driver these days. Everyone's looking at enterprise risk-management initiatives, and I think that's another one that if we're staying on the technical side, I'd say is a catch-all.
"On the leadership piece, you're always looking at someone who is comfortable being the ambassador for the organization and can be the face for the organization in the community and within core SEG groups," continued Juratovac. "You're looking for someone internally who can lead, develop teams and cultivate organizational cultures, but externally develop those relationships to be able to identify centers of influence in markets they serve."
Critical Issues
When it comes to identifying leadership skills, Juratovac said critical issues are candidates' relationships with boards of directors, turnover on executive teams of which they've been a part, and how they have worked in the communities they've served.
Juratovac noted that while MBAs have long been common in the banking sector, the post-graduate degrees have been less common within credit unions, but that trend is shifting. Additionally, specialty certifications such as the Certified Credit Union Executive designation from CUNA Management School, or graudation from CUES' three-year management program illustrate a well-rounded candidate and professional development, as well as a willingness to collaborate with others, and have come to be expected by many boards.
Perhaps most crucial, said Juratovac, is a broad understanding of as many operational areas as possible. "What's most important if you don't currently have that CEO title is that you've evolved beyond a functional specialist," he said. "You're not a VP of marketing, technology or lending, but you've evolved into a member of the executive leadership team that's typically managing across core functional areas. It's rare that we bring anyone forward to a CEO position that has a single discipline."
