Taking the helm as CEO of a financial institution is a challenging transition, even for the most seasoned executives and especially when succeeding a long-tenured predecessor.
Susan Gruber stepped into that leadership role at UVA Community Credit Union ($1.5B Charlottesville, VA) in May 2022, after the 22-year tenure of the retiring Alison DeTuncq.
Gruber herself has an impressive resume, serving as chief financial officer at Patelco Credit Union ($9.4B, Dublin, CA) from 2014-2022 and CFO at Jeanne D’Arc Credit Union ($2.2B, Lowell, MA) from 2005-2014. Before her time at credit unions she was a bank vice president for a similar tenure.
Gruber arrived at UVA Community well-versed in strategic financial leadership but discovered leading an organization from the top presented an entirely new set of challenges and opportunities.
Personnel Pitfalls
Upon assuming her new position, Gruber realized the credit union’s board members were relatively passive and reserved. To remove some inertia, she actively engaged them and encouraged them to play a more dynamic role in governance.
“They’ve leaned in,” Gruber says. “Sometimes they lean in too much, and we have to balance governance with management, but that engagement is always coming from a good place.”
In addition to engaging the board, Gruber faced the reality that some team members might not align with her new vision.
“We had one senior leader who self-selected out when she saw the direction we were taking and retired,” the chief executive says. “Another just didn’t buy into the vision, and we had to part ways. You have to make those decisions quickly for the sake of the organization’s health.”
Beyond personnel changes, Gruber implemented structured weekly meetings and one-on-ones with her executive team to align her leadership team and engage them in the transformation process. At first, she set the agenda for those meetings but the team has since taken over that task.
The Power Of Peers And Coaches
Gruber says she has always surrounded herself with a circle of trusted peers. But her transition from CFO at Patelco Credit Union to CEO at UVA Community required a shift in mindset as well as responsibilities. As CEO, she no longer had an internal team of executive-level colleagues with whom to collaborate.
“The biggest difference was the absence of a peer group,” Gruber admits.
That lack of internal peer support has made her external network even more critical. The ability to connect with other CEOs has helped her with both strategic guidance and a sense of camaraderie.
“It’s lonely at the top,” she says. “You need a network of fellow CEOs to ask questions, exchange ideas, and seek guidance.”
Gruber benefits from those relationships and cites the mentorship she experienced from Erin Mendez, her CEO at Patelco, as a vital resource that continues to provide valuable leadership insight.
Along the lines of advocating for peer support, Gruber is a strong proponent of professional coaching. She has worked with an executive coach for nearly a decade and says her coach has been instrumental in helping her navigate difficult leadership decisions, particularly when it comes to personnel changes.
“I want to believe in people, but deep down, I know when someone isn’t the right fit,” she says. “My coach helped me recognize when it’s time to act, rather than delay.”
Big Challenges, Big Opportunities
Gruber identifies three major challenges in her first three years at UVA Community Credit Union.
First, there was a cultural shift as she moved the credit union from a metric-driven to a mission-driven organization.
The Big Surprise
Despite years of experience at the executive level, Gruber was surprised how the shift to CEO changed her approach.
“As a CFO, you execute plans,” she says. “You’re hands-on in making things happen. As CEO, you have to work through your chiefs. We’ve gotten a great deal accomplished. But now I’m not executing directly but rather through my team. It was new for me to not be as hands-on and that did take some getting used to.”
Second, there was a technology deficiency that required the credit union to bring itself up to date with modern tools, which now includes new core and contact-center platforms as well as a new headquarters.
“We were on Microsoft Office 2013 when I got here in 2022,” she says.
Third, Gruber had to work on project management discipline, which required her to institute structured prioritization of initiatives. Instead of working on 50 projects concurrently, the credit union now limits itself to eight, each with a provable business case. That move, particularly, ruffled some feathers but made projects far more manageable, Gruber says.
The CEO also identified a major opportunity in lending strategies.
Historically, UVA Community had been highly risk-averse, lending only to members with top-tier credit scores. Gruber challenged this mindset and expanded lending to serve a broader range of members while maintaining strong risk management.
“Our mission is to serve our members,” she says. “That means meeting them where they are, not just lending to those with perfect credit.”
Advice For New CEOs
When a leader joins the executive team, there is no shortage of advice and best practices. For her part, Gruber offers three key tips:
- Build a trusted circle of fellow CEOs.
- Be patient, especially if following a long-tenured leader.
- Act decisively on leadership changes when necessary.
The most important one, Gruber says, might also be the most difficult.
“Evaluate your leadership team early and make the tough decisions when needed,” the CEO says. “It’s better for everyone in the long run.”
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