This week, CreditUnions.com charts the rise of the member experience manager, offers a guide for the ACET, and picks out the important data insights from recent employment and efficiency trends.
Here are five can’t-miss data points:
The rise of senior-level customer experience managers is a relatively new phenomenon in the business world, but there’s no question the role is here to stay. Retail banks and credit unions were among the first to jump on the customer experience bandwagon, but how are these programs structured? And what qualities and skills are needed to do the job? Here are five tips from three credit unions on how to approach the member experience (MX) role and build a successful program.
Read: Rise Of The Member Experience Manager
The NCUA is now using its own version of the cybersecurity exam required of all financial institutions, and the homework for credit unions ahead of examiner visits can be a doozy. Called the Automated Cybersecurity Examination Tool, the ACET requires credit unions to answer 494 questions in the form of declarative statements and submit approximately 200 documents for examiners to assess how the institution is preventing and preparing for cyber threats and attacks. Not surprisingly, it’s a lot of work. But there’s help for credit unions in need.
Read: How To Ace The ACET
The U.S. unemployment rate was 3.9% in December 2018. That was down from 4.4% one year earlier and is the lowest year-end rate since 1969. As unemployment continues to dip, there is a growing competition for talent that has spread across all industries. With the rising demand for talent, average compensation continues to rise including at credit unions and particularly in certain geographical region.
Read: Employment And Compensation Increases At U.S. Credit Unions
161 Basis Points
The operational strategy of a credit union has a direct impact on its productivity and efficiency metrics. It’s important for credit unions to strike the right balance for all stakeholders taking care of members and employees while ensuring the overall health of the organization. The efficiency ratio helps credit unions monitor the relationship between operating revenue and overhead expenses by providing a measure of how much an institution spends to earn $1 of revenue. As of Dec. 31, 2018, U.S. credit unions reported an average efficiency ratio (excluding provision for loan losses) of 69.9%. That’s down 161 basis points from one year prior.
Read: Efficiency Improves At Credit Unions In 2018
Small credit unions loom large to lawmakers on Capitol Hill, CUNA CEO and former congressman Jim Nussle told attendees at the Small Credit Union Roundtable, which is now in its 20th year of tracking and advocating for issues affecting credit unions of generally $100 million and below, on Sunday at the first day of the Governmental Affairs Conference at the Washington Convention Center. Nussle told the group of about 200 people that lawmakers are people, too, and he advised that the Hike the Hill visits be just one part of the movement’s legislative approach. Credit unions should also make the effort to invite their lawmakers to board meetings and other settings to help deepen the relationships.
Read: GAC Kicks Off With Small Credit Unions Thinking Big