A common item for discussion at planning sessions is innovation.“How can we be more innovative?” is a question boards ask theirchief executive as both parties look to their credit union'sfuture. While innovative solutions for members is the tellingresult, your culture – and how it advocates innovation – is theleading driver for implementation.

Like many initiatives, if the culture doesn't fit and strengthenthe strategic plan, execution faces an uphill trek. When theculture for innovation is relevant, the right innovative products,services and processes will follow. If you're the CEO, here are sixsteps that will help you lead a culture that substantiatesinnovation.

Set the Stage

Your role is to create the environment for others to innovate.Show your commitment to accepting changes that are right andrelevant for your members. One credit union CEO explains thisplainly: “If this credit union is the same in five years, we'll beout of business. Let's always consider ways we might change andmove forward.” Walk your team through the history of change andinnovation at your credit union. Show them how innovation in thepast continues to be a reliable predictor of successful results inthe future.

Speak to Entrepreneurial Themes

Growing a business involves delivering what your members neednow and providing what they need tomorrow. Committing to executionfor today and innovation for the future is a solid step forward.Help your team see members as investors/owners and seek to increasethe financial and experiential value of their relationship with andownership of your credit union.

Create an Idea Lab

One hundred ideas might produce 10 that may work and three thatdeserve your focus. Encourage your team to believe that theircontribution to the 100 ideas establishes the foundation forinnovation. Actively seek ideas to grow the top line, manage thebottom line and deepen your members' relationships with your creditunion. Better yet, consider adding job-based innovation as part ofjob descriptions and annual reviews at every professionallevel.

Incorporate all Departments

There are lots of moving parts in your credit union – when onepushes, it pulls another and can affect members. To get the endresult of innovation right, include departments that have an activerole, stake or part in an innovative idea. Innovation should moveyour entire credit union forward; integration of involveddepartments helps to ensure successful execution and engagement.Many credit unions map the process flow of an innovative ideaacross a member's experience, a surefire way to understand whichparts of your credit union need to be included in theconversation.

Test the Ideas That Have a Chance

This allows for quick assessment, real-time consideration andpotential refinement before a full rollout. It also allows forquick exits when results do not produce expected outcomes. Onecredit union tested 7 a.m. to 7 p.m. branch hours at one branch,learning many lessons before establishing the same hours in 10other locations. The “beta branch” validated many innovative ideasin the early stages, and member feedback throughout helped thecredit union refine its “branch of the future” model, ensuring aseamless launch and branch-wide change in operations.

Celebrate the Process

Celebrate rollouts and results. But, also celebrate how youarrived at success. Odds are you learned some lessons and killedsome ideas to find your focus. Your colleagues see that innovationis not a one-time endeavor, it's a continual process for ongoingsuccess. As CEO, challenge your colleagues to always ask, “What'snext?” and continue to consider ways to improve your credit union.Often, small improvements over time add up to significant increasesin long-term value for your members.

At credit union conferences and planning sessions, I often statethe seven words we can never say in credit unions: “We have alwaysdone it this way.” We laugh and realize it's true. Considerincorporating this notion into your leadership of a culture ofinnovation. As your members' expectations change, so must yourculture. It must always be ready to adapt and deliver value to theowners of your credit union.

Jeff Rendel is president of Rising Above Enterprises. He canbe reached at 951-340-3770 or [email protected].