Ostensibly, for-profit corporations have no responsibility other than to make money for their stockholders. But the outcomes of such a philosophy are becoming increasingly apparent. Consumers are being exploited and the national and world economies are creating the haves and the have-nots. In this environment, credit unions, with their member-first philosophy have much to give by way both of examp​

The credit union system has been changing, but the core mission of NCUA has remained the same for decades. Because safety and soundness is less of a problem – indeed a different kind of problem -- than a generation ago, perhaps it is time to rethink NCUA’s focus. Perhaps NCUA should be more intently focusing on the growth and evolution of the cooperative financial option for all Americans.

To many people, credit unions appear little different from other financial services companies. But credit unions can set themselves apart now by doing what they did in their early years: acting as “social entrepreneurs.” Just as credit unions once improved lives by extending loans for sewing machines or assembly line tools, they still can help affect change in people’s lives and society. Some are ​

For consolidation to deliver superior member value, credit unions must think beyond the merger paradigm. Creativity in organizational structures may be just as important as innovation in products, marketing or service cultures.

Some financial institutions swear by extensive branching, but within the credit union industry heavy branching does not always correlate with growth. Nevertheless there are things credit unions can do to leverage their branches, or effect branch-like service without the brick-and-mortar expense.

The Carver Policy Governance model for non-profit boards can bring clarity to a board’s purpose and make peace where board-management friction arose. But limiting a board to ends statements alone can relegate it to a mere purveyor of written expressions of hope. The challenge is the heavy lifting to convert ideals into real differences that members can see and use.

More than 50 credit unions organized a booth at the National Automobile Dealers Association annual convention in Las Vegas with the motto "America's Credit Unions - 80 Million Reasons Why." It proved a revelation for the credit unions and a shot across the bow to the competition. Credit unions learned again the value of working together and could see that the possibilities for the future were sky ​

The national economy is showing impressive productivity gains. This is true even in the service sector, some portions of which – airlines and even baseball teams – are making concerted and radical efforts to improve their productivities. Credit unions lack sophisticated measures of productivity but nevertheless in order to keep up need to work at improving their productivity levels.

In an environment of squeezed margins, credit unions should more than ever create a climate of data awareness. Data is far more than a report card about past performances. Finding the right data and interpreting them correctly is a foundation for both combating the competition and moving the credit union in the right direction. Data awareness needs to be cultivated at all levels of an organizati​

Credit unions convert to a bank charter because of pain or opportunity. Capital issues, product limits, and poor consumer awareness create pain. Expanding service to a growing community, filling voids left by banks and credit unions, and maximizing personnel and infrastructure potential provide opportunities.

By CU Financial Services

November 11, 2002

Quantitative facts covering almost every aspect of credit union activity are abundant—and becoming even more plentiful. Many users of data are seeking answers. The issues range from the general, "How-am-I-doing?" to the specific, such as "Should-Iraise-my-NSF-fee?"

The New Year comes with a new plan and budget. Long and short-term goals are central to every plan. Goals cover quantifiable outcomes —growth rates, balance sheet ratios, earnings targets, as well as qualitative indicators such as member satisfaction and wallet share.

To help credit unions gauge their member service, Callahan & Associates offers the Return of the Member (ROM) Index.

Check out the top 10 leaders in Return of the Member (ROM) for three different peer groups below.

The Internet did not change our lives the way some initially thought it would, but has it made the stand-alone business obsolete? Chip Filson examines the future of member service through networked systems.​