MADISON, Wis. (February 13, 2012) –CUNA announced the release of the new white paper, “Effective Credit Union Board Succession Planning” commissioned by CUNA’s Community Credit Union Committee. This study examines the current demographics of community credit union board members, the issues that arise from these findings and strategies for successful board succession and retention. The new white paper is available here.

This newly released white paper evaluates the changing demographics of community credit union board members and reveals that most credit unions do not have a reliable system for attracting the next generation of board members. Furthermore, many boards struggle to reflect the growing diversity of their members, with women and minorities being underrepresented. Through a series of credit union case studies and a list of expert recommendations, this white paper illustrates how successful board succession planning looks in the real world, what credit unions can do to reverse certain negative trends and provides concrete instructions for how credit unions can prepare for the future. Some examples include:

• Creation of an associate director program
• (Re)consideration of term limits
• Development of an “evergreen” list
• Continuing education requirements

“CUNA’s Community Credit Union Committee has done an excellent job of identifying and addressing a critical issue facing many credit unions. Commissioning this white paper will prove to be incredibly valuable to CEO’s and Boards of Directors. The strategies presented will help to ensure a credit unions board stays functional and competitive in the years to come.” said Todd Spiczenski, Vice President Center for Professional Development at CUNA. “Many credit unions face serious problems if board succession plans are not effectively put into place and changes are made to attract new board members. This white paper provides many practical tips and suggestions that any credit union can incorporate into its daily operations to reverse the worrisome trends seen in board demographics.”

Those interested in learning more about Board Succession Planning for Community Credit Unions can view the full white paper at no cost by clicking here.

To learn more about CUNA’s Community Credit Union Committee and its mission visit cuna.org/initiatives/community_CUs.

Spanning four productive days in Punta Cana, Dominican Republic, the CUNA Volunteer Institute helps volunteers gain the skills they need to become expert credit union volunteers. From legislation and liabilities to discussing strategies to incorporate fun into the boardroom, volunteers will explore a variety of topics that will help make them impactful credit union directors. This institute is designed for volunteers looking to increase their knowledge while connecting with peers.

Attendees will hear from a variety of credit union experts on the following topics:

• CEO Oversight – What’s the Right Formula?
• Secrets of an Effective Board Chair
• Motivating Board Volunteers and Bringing FUN to the Boardroom
• Today’s Economy and the Risks for Your Credit Union
• Directors Who Make a Difference
• And more

“We are proud to see so many of our credit union board professionals at this program every year,” said Kevin Smith, Director of Volunteer Education at CUNA.  “The wealth of information provided at this institute goes a long way in improving board member performance and strengthening the credit union movement as a whole. The efforts of these volunteers set high standards for their credit union staff and helps demonstrate to their members their dedication to their credit unions.”

For more information about the CUNA Volunteer Institute and to register, visit training.cuna.org/CVI.

With the 1 Credit Union Conference right around the corner, we take some time to examine the history of CUNA’s annual credit union meeting, a meeting that goes by many different names.

From 1934 to 1984 the annual meeting was simply the annual meeting.  Granted, all had catchy themes and slogans, many of which are keystone quotations in the credit union movement.  The meeting was a business affair for a select few of credit unionists.  While the meeting grew and changed to meet modern expectations; including an expanded attendee base, educational sessions, keynote speakers, and tours, the meeting was fairly basic.

Attendees of the 5th Annual Meeting, Hotel New Yorker, May 11-13, 1939.

In 1985, the annual meeting became the CUNA National Convention & Exposition in order to highlight the growth of the meeting and add a “convention” component complete with vendors.  By now, the conference was a large and raucous affair complete with entertainment, tours, a spouse program, and social event held in of some of the best cities in America.  Additionally, the conference moved from the spring to the fall.  The highlight of the first convention was a $1 million kick-off campaign for the restoration of the Statue of Liberty.

The CUNA National Credit Union Symposium & Annual General Meeting or simply Symposium held sway from 1995 until 2002.  The change reflected a philosophical shift toward focusing on education and increasing the educational value of the event (Credit Union Magazine, August 1995, p. 26).

In 2003 the Future Forum was introduced as the credit union movement as “an energizing experience,” with attendees encouraged to think beyond the present and look toward the future.  Once again, the conference was re-tooled to provide attendees with as Dan Mica noted, “the innovative programming, idea sharing, and expertise credit unions tell us they want and need” (Credit Union Magazine, May 2003, p. 66).  It was more than just a conference it was a venue for discussion and a platform for exploring new directions.

Since 2007, the annual meeting has gone by America’s Credit Union Conference & Expo (ACUCE, now ACUC).  While the educational, idea sharing, and program features were retained, the ACUC seeks to highlight the “social responsibility” of credit unions.  Specifically, as Dan Mica notes, “how credit unions can operate in ways that are responsible to members and staff, respectful of the environment, and supportive of the community” (Credit Union Magazine, June 2007, p. 20).

This year the combination of the CUNA Annual Meeting with the annual meeting of the World Council of Credit Unions (WOCCU) will make this event one of the biggest in years.  Credit unionist from around the globe will meet together and share the global vision of credit unions.  The 1 Credit Union Conference will be held July 11-14, 2010 at the MGM Grand Hotel & Casino, Las Vegas, Nevada. Hope to see you there!

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I have two questions that I hope the readers of this post will answer by leaving a quick comment.

1) What is the average age of a board member at your credit union (or a credit union that you know)?

2) What do you think/know is the average age of a board member in the credit union industry?

I am a firm believer that recruiting new members aged 18-30 to your credit union start at the board level. Even if attracting members of this demographic fall outside your credit unions strategic initiatives, it is still important to equip your credit union with the foundation to service the needs of this generation. When members of this demographic become potential candidates to join your credit union, will your credit union be able to meet their ever-increasing demands?

I admire those credit unions that have started their Gen-Y initiatives by improving their web presence, utilizing sites such as facebook.com and holding web-based contests on youtube.com. However, reaching out to this generation should not only fall on the shoulders of the marketing or small business development team.

I recently had the chance to interview my fellow board members at the USCCU regarding how my presence has impacted board dynamics. I’ll be discussing these findings more at the YES Summit but I’ll highlight a few important ones.

The worst fear of recruiting a Gen-Y board member according to my colleagues was not that the board member would lead to the destruction of the credit union mission and initiatives, but that the member would not participate or be afraid to speak up. I asked my board members (through email) if my comments at meetings were ever too blunt or offensive but they responded with a “certainly not” and even labeled them as “surprisingly straight forward and honest.”

On the other hand, a Gen-Y board member can add “youth, fresh perspectives, unexpected questions, energy, enthusiasm, and optimism” to your credit union. People that are young have a lot of time, are looking to make an impact, and are passionate about what they do. I have worked with the CEO, Marketing Staff, and IT team on various projects such as revamping our reward card programs and perfecting our web presence. However, my role on the board extends much further, as I also temporarily headed a compliance committee with members of our supervisory committee to monitor management’s treatment of regulations such as the BSA and Patriot Act.

I’m not saying that every 20-year-old board member is going to have the same impact and synergistic effects on your credit union as I have described. Recruiting is the key and there is a chance that a younger director may be lost, intimidated, or confused. However, if the worst case scenario is to have a director sit there every month and stay quiet, then I would have to say that the potential benefits outweigh the costs by a significant margin.

Please feel free to post any questions or comments that you have regarding my experiences as a board member. Board member dynamics and recruitment will make up the majority of my presentation at the YES Summit but I will be happy to add any topics that you guys may be interested in hearing about.

Justin Ho is a 20 year old board member at the USC Credit Union and also a Gen-Y/Marketing Consultant for Glatt Consulting, LLC.