"succession planning" written on chalkboard with coffee and magnifying glass Source: Shutterstock

Week after week, this very publication reports on the various mergers happening among credit unions and each time I read one my soul dies a little. Many of these credit unions are what we call “boutique” credit unions, which of course can have their resource challenges and are notorious for avoiding risk. I would argue that in some areas they can take more risk.

What I can’t fathom is these credit unions that are merging because they allegedly can’t recruit a CEO or board members. This should be an integral piece of any good strategic plan. Lack of succession planning is one of the biggest risks of all. Yet credit union managers that are trying not to create risk for their institutions – which is why many merge with 20%-plus capital and very few loans on the books – are in fact one of the greatest sources of the risk.

Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.

Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
  • Exclusive discounts on ALM and CU Times events.
  • Access to other award-winning ALM websites including Law.com and GlobeSt.com.

Already have an account?

Dig Deeper

 

Credit Union Times

Join Credit Union Times

Don’t miss crucial strategic and tactical information necessary to run your institution and better serve your members. Join Credit Union Times now!

  • Free unlimited access to Credit Union Times' trusted and independent team of experts for extensive industry news, conference coverage, people features, statistical analysis, and regulation and technology updates.
  • Exclusive discounts on ALM and Credit Union Times events.
  • Access to other award-winning ALM websites including TreasuryandRisk.com and Law.com.

Already have an account? Sign In Now
Join Credit Union Times

Copyright © 2023 ALM Global, LLC. All Rights Reserved.