Operations

Gain customers by greening up some bank products

A church in my neighborhood is holding an electric vehicle expo this month. It’s a hands-on event with test drive opportunities and a chance to visit with EV owners. The expo sign caught my eye because I’ve been seeking new ways to reduce my own carbon footprint beyond using LED light bulbs, recycling and composting, and not using the air conditioner at home except for when the dewpoint creeps into the high 60s. As it turns out, I’m not alone. [Continue]

Customers want self-serve options — including appointment scheduling

We all know the feeling of trying to schedule a meeting. The back-and-forth via emails to determine availability, the no-shows, the rescheduling. Busy bankers likely felt this pain, and then it was magnified when Covid-19 hit and lobbies closed. Suddenly everything happened via appointment, from account opening to loan inquiries. Walk-ins — temporarily — not welcome.  [Continue]

Enhanced shareholder value comes through daily practices

Enhancing shareholder value is something that bank management needs in their filter daily. This mantra helps to make sure the decisions made today will help in providing value for the shareholders tomorrow (and not detracting from shareholder value). [Continue]

When bank stock financing is your answer

For banks actively looking to expand brands, footprints and balance sheets via acquisitions and organic growth, bank stock financing can be a great solution. This low-rate environment also makes it an attractive opportunity to refinance existing debt.  [Continue]

Best practices for a modern ERM program

Risk management technology in the banking industry has evolved significantly in the last decade, but the benefits have generally been catered to large institutions. A sophisticated, holistic and modern enterprise risk management program should be a staple in banks of all sizes and types as a primary decision-making tool. [Continue]

Succession planning pain points: Death and taxes

Once a rough framework for bank succession is in place, it’s time to call in the professionals — estate lawyers and tax accountants who can advise on and execute the technical aspects of transferring bank ownership along with other assets to the next generation. A well-crafted buy-sell agreement that specifies what happens to the principal owner’s stock at retirement or death is essential. A buy-sell (or buy-out) agreement provides for the redistribution of shares to put control of the bank in the right hands when a major shareholder leaves the bank, becomes disabled or dies. [Continue]

Stress tests can guide CRE decision-making

Lenders, property owners, economists, and more have been holding their collective breaths when it comes to potential fallout from Covid-19 on commercial real estate. With so many unknowns, implementing clear internal parameters for CRE stress testing is warranted. You’ll need to consider this in the context of new loans, annual reviews and/or ongoing risk management. [Continue]

Change is real

Fourteen months after the coronavirus paralyzed the country, it seems we are returning to pre-pandemic normalcy. Most of the people I talk to are looking forward to a summer when we can meet in person again, attend live events, and socialize without fear. But what is “normal” and will we ever be able to get back to the way things were? Some of the changes of the last year do not seem to be retractable. Consider: Customers, employees and cash. [Continue]

Strong digital strategy requires a human element

Now as we step fully into an age of remote work, digital transformation within the industry has accelerated and customers’ demands and expectations for digital banking services have increased. While implementing digitalization through internal technology sounds straightforward enough, bringing it to the consumer-facing level involves more of a balancing act.  [Continue]