Small Credit Unions Team Up on Back-Office Operations
When Credit Union Times asked Fred Johnson, president/CEO for Credit Union Executives Society, what he sees as an emerging trend in the way credit unions are run, one of his responses was “collaboration.”
Small credit unions may have few resources of their own, but if they share back-office responsibilities, data processing, compliance, marketing and human resources with other small credit unions, they can begin to function as if they were larger. For example, small CUs might team up and form a partnership with the same IT vendor, or they might share the services of a part-time collections employee.
Diane Tracy, senior vice president/chief financial officer for the $70.2 million, Northglenn, Colo.-based Horizons North Credit Union, uses the services of CURG’s partner human resources vendor, the Miami-based ADP TotalSource. Working with ADP TotalSource directly, Horizons North CU receives payroll and benefits administration services as well as access to the vendor’s professional staff, eliminating the need to hire a human resources manager at the credit union, Tracy said.
“This allows us to offer pretty robust and rich medical plans at an affordable price to our staff that we wouldn’t have access to on our own,” said Tracy, who was a founding CURG board member. “We are backed by [ADP TotalSource’s] expertise and knowledge, and are able to stay up to date on payroll and human resources issues that are relevant to us.”