The Competitive Triangle and the Importance of Strategic Planning

Once again, credit unions have begun financial planning for the next fiscal year. Goals and targets are being created, reassessed, modified, and updated to suit today's distinctive economic environment. Inflationary pressures and unsettling equity markets are haunting the country's economic recovery. This calls for a change in traditional strategic planning so that credit unions can capitalize on these economic situations.

 
 

Once again, credit unions have begun financial planning for the next fiscal year, and the newly released second quarter data is influencing decisions. Goals and targets are being created, reassessed, modified, and updated to suit today's changing economic environment. With interest rates on the rise, credit unions face the challenge of balancing loan and share growth with income objectives. This calls for a change in traditional strategic planning so that credit unions can capitalize on the current economic scenario.

It is essential to remember that not only are the end results of the data a critical reflection of performance over the past year, but the pathway to these results must be scrutinized in order for your credit union to maximize its potential.

A credit union must develop a strategy whose primary purpose is to answer the question-what is my credit union's sustainable competitive advantage? And what is this advantage based on? The key strategic assessment is to ask how much of a course change does the credit union have to make in its core business activities either to gain or to retain that advantage. A planning process that assesses the amount of change to be made is essential.

 

 

 

Aug. 9, 2004


Comments

 
 
 
  • This is succinct and so, so relevant. Thanks for helping to focus on what matters most
    Anonymous
     
     
     
  • It could be very best to have a list of our own monetary goals. It could be greatest to consist of the possible alternatives to fulfill each and every objectives inside the list.

    http://www.equote.com/li/term-life-insurance-quote.php
    David - Expert in Term Life Insurance Rates