POWERS on the Complex Role Consultants Play in Ensuring Credit Unions Thrive

POWERS on the Complex Role Consultants Play in Ensuring Credit Unions Thrive

Credit unions have an excellent reputation when it comes to customer service and community action. Smaller than traditional banks, non-profit credit unions are more likely to make decisions based on the well-being of their members rather than letting financial gain rule the day.

Even though a credit union is set up to be fair and equitable, poor performance can still result when these non-profit businesses are not properly run. Business performance consulting like that provided by POWERS can help a credit union reshape its lending practices, customer service, and online presence. They also need to make sure that they are complying with all relevant consumer regulations and laws.

Lending Practices

While credit unions are often less restrictive about the loans and credit cards they issue, they can sometimes fall into the trap of being too forgiving. Credit union staff need to understand that even if they are running a non-profit organization, they need to make sure that their business is run smoothly.

Customer Service

Since credit unions are smaller, the staff are more likely to have personal contact with their members. They are more likely to have up-close knowledge of their members’ financial needs and can handle any problems that occur.
However, front-line employees still need to be trained to handle all types of customer service situations. Business performance consulting firms can help credit unions reshape their contacts with their members to be more efficient and satisfactory to both parties.

Online Presence

Today, all types of companies need to pay attention to their online presence. Since credit unions are smaller and have lower budgets than traditional banks, they cannot necessarily spend as much money upgrading their websites and apps. Consultants can help them reshape their approach to online issues and make the website and app experiences seamless.

Relevant Laws and Procedures

Like banks, credit unions are subject to a wide variety of rules and regulations. Perhaps the most important way that a bank is differentiated from a credit union is that credit unions receive many tax exemptions. They may or may not pass on these savings to their members in the form of lower fees.


Credit unions must follow the provisions of the Federal Credit Union Act. Unlike banks, some credit unions are not federally insured. This means that members may not get their money back if something happens to the credit union. The vast majority of credit unions are protected by the National Credit Union Insurance Fund.

Best Practices

Business consulting firms can provide a crucial service to credit unions and all financial situations. They can help to educate the company about best practices and to ensure that they are getting the most out of their workforce.

Streamlining operations is a must, even for small credit unions. This means that duplication of effort is not wasted. When a credit union streamlines its operations, it will be able to do business with fewer employee hours, meaning that their costs will be lower, and they can pass these cost savings on to their members.

Company Culture

One of the ways in which a credit union has an advantage over a traditional bank is in its company culture. Frequently, credit unions are run more in accordance with their organizations’ core values than with banks.

When a company has a positive culture, employees will work harder, customers will be happier, and the business will be more productive. Even for a non-profit credit union, help with company culture can help to transform its operations.

Business performance consultants are able to use their vast experience to help credit unions reshape their company culture and to fix any issues that may be lingering from years past.

In small businesses like credit unions, sometimes the company strays from its principles because the employees become set in their ways. A consultant can help them cut through the clutter and return them to full efficiency.

Human Resource Issues

Not every credit union has a conflict-free workplace. Sometimes consultants are needed to come in and set things straight. This is especially true where human resources are concerned. In a small business, the duties of a human resource manager can sometimes be delegated to a team member who does not have any training or experience in the field. This could lead to trouble down the road. Consultants can help to install the right human resource manager and make sure they have everything they need to do their jobs.

Consultants Work for Everyone

Even though credit unions are small, non-profit businesses, they need to operate within good business principles. Achieving best practices will help credit unions attract more members and make sure that they can do their jobs while protecting their members’ money.

POWERS and consulting companies like it have the ability to reshape a credit union’s interactions with its members and to keep the organization running smoothly well into the future.

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