Deploying a new core system for your credit union can be daunting, to say the least. However, developing a rock-solid core conversion roll-out plan at the very beginning of the process can go a long way toward ensuring a smooth transition for everyone, from your members to your staff and executive team.
Here are several well-proven tips for how to create a core conversion roll-out plan:
Detailed, well-crafted core conversion timelines are only as good as an organization’s ability to follow the plan and keep the staff engaged. It’s imperative that team members remember when important deadlines are approaching, as well as when and why those deadlines must be adjusted.
Problems arise when employees encounter unclear directions. Without the details necessary to complete each step and process, people begin guessing — and there’s no room for guesswork during a core conversion project.
A modern-day marketing plan for a core systems conversion should take advantage of the broad communication toolkit that credit unions have at their disposal.
Essential elements of a core conversion roll-out marketing plan include:
Any switch to new core software will directly and deeply impact staff, which is why your credit union’s employees will need mandatory training sessions set up months in advance. They need advance notice so they can make the necessary vacation adjustments, and you need plenty of time to formulate the best type of education for your employees.
There’s no way around it: Regardless of how well you and your team prepare, your core conversion will be met with negative feedback. How you address customer frustration most certainly will affect member retention and the reputation of your organization.
From social media responses to phone conversations, presenting a united front with completely consistent messaging from all corners of your organization is an important part of any core systems conversion.
The bottom-line benefits of a core conversion are virtually irrefutable, but the process isn’t without its challenges. If your credit union has a core conversion on the horizon, carefully mapping the steps toward this significant change is essential.
The credit union industry is constantly transforming and growing. These 10 recent statistics will change the way you look at this dynamic industry.
In March 2009, there were 7,909 credit unions in the US. Four years later, there were 6,895. Many credit unions are consolidating or offering a wider range of services to more customers.
Credit union membership grew by 3.5% during the year 2015 alone. This is the highest rate of growth posted since 1994. More people around the country are choosing credit unions for their financial needs.
The efficiency ratio shows how much it costs the average credit union to produce one dollar of revenue. After a period where this ratio stood at or above 100%, costing credit unions at least a dollar for each dollar generated, it has now dropped to around a steady 77%.
Over the past decade, the breakdown of total income generated by credit unions has changed considerably. Fees and similar sources of operating income continue to grow in importance, with a current all-time high of 28.8%.
Credit union loans increased by more than 10% from September 2014 through September 2015, making this one of the fastest-growing periods for loans in credit union history.
The strongest gain for credit union loans in 2015 was in the area of new auto lending, with a 4.1% increase in balances. Used auto lending was nearly as popular, with an increase of 4%.
The current net long-term asset ratio of credit unions is 32.5%, a considerable drop from the high point of 36.0% seen several years ago. This ratio shows credit unions to be in a good position to handle Federal Reserve rate increases in the future.
The aggregate capital ratio of credit unions is up to a healthy 11.0%, making them “well capitalized” by the standards of regulators.
Savings growth is also up, with a long-term rising trend toward the September 2015 level of 10.7%.
Borrower bankruptcies have stabilized at a low level of 1.6 per 1000 members during the third quarter of 2015, after a high in 2010 of 3.7 per 1000 members. Credit union borrowers are more financially stable than ever before.
How will you respond to these statistics in your own workplace? Knowing about the latest trends in the industry can help you do business in an intelligent way.
CUProdigy is in the unique position to help Credit Unions ‘Advance Beyond’ by providing a core processing platform that puts the member experience first. CUProdigy empowers credit unions with a comprehensive solution that is both robust and scalable.