Shari Laven, CEO of Viking Bank in Alexandria, Minn., is a busy executive. In the last 18 months, Laven has steered the bank through construction of a new headquarters, a rebranding, hiring a president and buying another bank — all while remaining active on the board of the Minnesota Chamber of Commerce and the Community Depository Institution Advisory Council for the Federal Reserve Bank of Minneapolis. In January, Laven’s term with the Ninth District CDIAC will be extended by three years to match her recent appointment to the National CDIAC.
“It sometimes becomes a juggling act,” Laven said of her commitments. “But, I am willing to work long hours and weekends in order to be involved on boards and committees.”
As a member of the CDIAC, Laven carries forth issues affecting her community bank and others in her area. “We aren’t an ag bank but a lot of the ag banks are facing pressures because of the ag economy,” Laven said. The Fed also looks to Laven and other members to give it a read on local economies and on regulation.
The economy is doing quite well in the central Minnesota community of Alexandria, Laven said. The town is a regional hub with roughly 13,000 permanent residents. That number swells when the lakes thaw. “It’s closer to 23,000 in the summer,” she said. While there’s significant tourism to support the local lakes economy, there is also manufacturing and a healthcare industry.
“And, it’s a heavily banked community,” Laven said. There are, in fact, 13 financial institutions in town. Laven said the $170 million Viking Bank does a great deal of small business lending and its portfolio is diversifying.
This year, Viking acquired the $35 million State Bank of Ashby. Viking had been looking to grow both organically and by acquisition. Laven called the First State Bank of Ashby the “perfect opportunity for us as they are a well-respected community bank.”
Ashby is a 30-minute drive northwest of the Alexandria lakes region, which itself is located nearly halfway between Minneapolis and Fargo, N.D. As a single-location community bank, Laven said the Ashby and Alexandria banks were culturally matched. The acquisition allows Viking access to something new: ag lending. First State Bank’s former owner, Lon Rylander, is under contract to remain at the Ashby location for three years to manage that business and Laven didn’t rule out the possibility of inking additional deals.
Growth is a commitment that comes straight from the bank’s board, Laven said. Under this imperative, Viking had outgrown its location in 2017 and acquired a building site that gave it added visibility in the community. At the same time, Viking dropped the word “savings” from its name; the term wasn’t an accurate reflection of all the bank offered, Laven said. “This location has room for staff expansion, when needed.”
The most notable staff expansion occurred just a few months ago, when Mark Grandgenett joined Viking Bank as president. Grandgenett, originally from Mason City, Iowa, brought 20 years of banking experience to his new role Viking Bank — the last 18 of which were as part of Bremer Bank. “We felt we would need additional leadership and Mark was a right fit for our culture,” Laven said.
Viking Bank, with Laven at the wheel, is demonstrating the viability of local community banking. Her involvement in the statewide business community, and now as an advisor to the Fed at a national level, fits her ethic: “I believe that as a community banker, you need to be involved in the community and also be a voice for community banks and for customers,” she said. “I became involved in my community and earned the respect of the other community bankers as a leader in our community.”
Her passion, advocating for customers, can be traced to 1985 when Laven joined Viking as a teller. “I think that when you enjoy what you are doing and take new opportunities to learn and do more, the opportunity to grow with the bank is there,” she said. And grow with the bank she has. Every time an opportunity to rise through the organization appeared, Laven said there was always someone available to step in to fill her role. That pipeline of internal talent is critical when growing your own leadership.
Laven’s can-do attitude is the same approach many attribute to the successful passage of S. 2155, which is bringing relief to banks like Viking. The Fed will be looking to its CDIAC members to help them figure out how to implement the changes brought about by the regulatory relief law. Laven said community bankers are also weighing in on how fintech partnerships might help small banks compete with “the bigs.” There’s a lot to talk about. Fortunately for Laven, her board “believes in giving back and has always been supportive” of her work outside of her office walls. “With hard work and perseverance, anything is possible,” Laven said.