CEO SchoolWhere everyone’s a teacher,

and everyone’s a student

CU*Answers CU*Answers CEO Strategies WeekCEO Strategies WeekNovember 26November 26--30, 200730, 2007

2

Today’s Topics

CU*BASE Tools You Should Be Familiar With– Member Data 2008: What a CEO Should Know– Leading Meetings 2008: Tools for a CEO

Strategies Where CU*Answers is Actively Working...Are You?– Driving the Buzz With Your Membership: Member Reach 2008– Understanding Service Income 2008– Networking Credit Unions for Growth– Working Under the Best Contracts

Wrap-Up– 2007 Releases: A Goldmine for Your 2008 Business Plan– Leading Change: What to Be Ready For in 2008

Member Data 2008: What a CEO Should Know

CU*BASE Tools You Should Be CU*BASE Tools You Should Be Familiar WithFamiliar With

4

Member Data What a CEO Should Know

Databases: Places to look for answers about how your credit union interacts with your members and staffMore than 20 menu options that might get you thinking about what you and your teams really know about your operationLearn to look for trends, push your team for answers, and challenge yourself to create a more curious culture that is at the core of constant innovation

Tip for data junkies: MNQURY #2

“Search for Files and Fields”

5

Leading MeetingsTools for a CEO

The following slides will give you insight into data and menu options on CU*BASEThey should also get you thinking about how you could use these features to present to your team, your Board, and maybe even your members, to give them a sense of where you are, where you might be going, and some interesting facts to brainstorm around

6

Leading Meetings Tools for a CEO

Working with internal teams– Cooperation– Competition– Curiosity

Working with credit union Boards– Demonstrate grasp– Demonstrate insight for innovation– Demonstrate accountability

Asking the right questions can change behavior and results...a

new CEO tickler program

7

How many new platinum members did we

add since January?

Can you give me three reasons why a member would

take our new checking account

over our competition?

“CEO Tickler” Program

Asking the right questions can lead to change– Create accountability– Make sure people know you are interested in what they do

What if every month or two you got a list of questions you could ask your teams...

How many loan applications did we

average per week for the last 12 weeks?

Which week did we do the best?

Is there an employee in your department

that I should consider for leader of the quarter?

Did member email address volumes go up last month?

Let’s try this again...

8

Member Data What a CEO Should Know

Trending Member Money

MNMGMT #8 > F9-ADB CalcG/L Average Daily Balance Calculator

MNGELE #11Trial Balance G/L Verification

MNMGMT #8Loan/Share Trial Balance Review

Tip for spreadsheet junkies: MNGELE #16

“Print CU Financials”

9

Member Data What a CEO Should Know

Internal Controls

Inquiry/PhoneStatement Audit/Statistical Inquiry

MNGELE #9 Smart Operator: Daily Ops Log

MNGELE #12 Vault G/L Verification

MNGELE #11 Trial Balance G/L Verification

Coming in 2008 for auditing junkies:

MNAUDT“Auditing Functions Menu”

Coming Soon!

10

Member Data What a CEO Should Know

Benchmarking Activity

MNLOAN #8 > F17-Activity tracking

Loan App Activity Tracking

MNMGMA #21 Configuring Delivery Channel/Costs

MNHTLA #16 Cash Activity Analysis Inquiry

MNMGMT #25 Processing Summary Statistics

MNGELE #9 Smart Operator: Daily Ops Log

11

Member Data What a CEO Should Know

Understanding Member Activity

MNGELE #9 Smart Operator: Daily Ops Log

MNHTLA #4 Teller Activity by Transaction Type

MNHTLA #3 Teller Activity by Day of the Month

MNHTLA #2 Teller Activity by Day of the Week

MNHTLA #1 Teller Activity by Time of Day

MNMGMA #18 Money Movement Analysis

MNMGMA #3 Transaction Activity by Branch

MNMGMA #2 Transaction Count by Delivery Channel

12

Member Data What a CEO Should Know

Understanding Member Preferences

MNMGMA #7Where Your Members Branch

MNMGMA #6 Where Your Members Borrow

MNMGMA #5 Where Your Members Shop

MNMGMA #4 Member Transaction Label Analysis

Tip for trending junkies: Transaction Activity Label

(Inquiry/Phone) – file MAMBINF

13

Member Data What a CEO Should Know

Understanding Your Membership

Coming!Slice and dice your membership

MNMRKT #25 Tiered Service Monthly Comparison

MNMRKT #22 Membership Analysis Inquiry

MNMGMA #19 Products & Services Per Member

MNMGMA #17 Open/Active/Closed Members by Age Group

MNMGMA #1 Channel Activity by Member Age Group

14

Member Data What a CEO Should Know

Auditing and Mining the Activity of Members

Inquiry/PhoneStatement Audit/Statistical Inquiry

MNGELE #9 Smart Operator: Daily Ops Log

MNUPDA #9 Update Dormancy

MNMGMA #12 Sample Transaction Activity by Delivery Channel

MNMGMA #11 Sample Checking Account Activity

15

What are your favorites?

You should have security to access the following:– MNMGMT (all options)– MNMGMA (all options)– MNHTLA (all options)– MNMRKT (#16-25)– MNLOAN (#8)

You should have at least these menus in your favorites:

– MNGELE (#9, #11-12)– MNQURY (all options)– MNQRY2 (all options)– MNUPDA (#9)

Strategies Where CU*Answers is Actively

Working...Are You?

Driving the Buzz With Your Membership: Driving the Buzz With Your Membership: Member Reach 2008Member Reach 2008

Understanding Service Income 2008Understanding Service Income 2008

Networking Credit Unions for GrowthNetworking Credit Unions for Growth

Working Under the Best ContractsWorking Under the Best Contracts

17

Driving the Buzz With Your MembershipMember Reach 2008

What do recent enhancements to Member Reach and Member Connect tools mean to your CU?– Talking Points– Copying Marketing Tips/Procedures– ASAP / Exports from CU*BASE Tools– Online Banking/Email Message Library– CU*Blitz– Partners in Practice collaborative marketing/contests

Does the fact that you have no clear ROI analysis for something keep you from doing what you know to be the

right thing to do? (ROI Paralysis)

Does it “pay” to smile? Does it pay to create a buzz with your members?

18

Driving the Buzz With Your Membership An Organizational Strategy, Not a Face-to-Face Burden

Direct Sales with Cross Sales/Information Gathering

A.S.A.P.Analysis and Opportunity Identification

Member Connect ActivitiesDriving the Buzz

Direct Sales Response Version 2

19

Understanding Service IncomeUpdate on What We Kicked Off at Last Year’s Event

Current Service Income Projects– New Fee Income Analysis inquiry– Inventory of service income types (there are 18 with built-in fee waivers)

– Standardize fee waiver routines

How far should we take it, and what does the shift from balance sheet to the transactional business mean to your credit union strategy?Working cost of transactions, transaction labels, and seeing 90+ days of activity... has it changed anything? Tip for marketing junkies:

Understand Reward Checking before you jumpComing soon:

A relationship with BankVue

20

Carrot or Stick?

What are you doing to relate to members looking for a good deal today?The person searching for rewards, the person who pushes back against the stick CU*Answers has developed reward strategies...no CU has maximized these to date

http://redtape.msnbc.com

We used to joke about behavioral modification fees...do they still work? Do they inspire a growing audience or just

defeat a shrinking membership?

21

Networking Credit Unions for Growth

What is multi-corp processing? How can a CEO use it in thinking about strategy in 2008 and beyond? – Method 1: Borrow from the Service Bureau concept

(shared branching)– Method 2: Multi-corporation tools embedded in CU*BASE

(combined member database)

What is the future of multi-corp processing now that we have working projects? How do we see options for combining credit unions?

Coming soon: Privacy 2010

A project focusing on shared processes with multiple partners

22

Networking Credit Unions for Growth

Designing Shared Resource Efforts – How can credit unions use CU*Answers and Xtend

templates to build businesses of their own?– Coming in 2008: Xtension Call Center and internal auditing

support (AUDIT-LINK)– Expanding SRS 5300 initiative and ALM processing

From this year’s CEO Collaboration Workshop...

23

Working Under the Best Contracts

Understanding what vendor consolidation means and does not mean to a credit union who is paying attention to the contingencies in changing relationships with a changing vendor marketplace– Assignment– Cancellation clauses– Anxiety about CU*Answers selling out

As CEOs, what pressures are you under when it comes to third-party contracts? What can CU*Answers do to make

our contracts a competitive advantage for our CUSO and a non-issue for you?

Wrap-Up

2007 Releases: 2007 Releases: A Goldmine for Your 2008 Business PlanA Goldmine for Your 2008 Business Plan

Leading Change: Leading Change: What to Be Ready For in 2008What to Be Ready For in 2008

25

10 Years of ReleasesA Goldmine for Your 2008 Business Plan

New Stuff Just in 2007– Trackers– eDocuments Phase 1: eReceipts & Photo ID Capture– Prime Alliance interface– Exporting Financial Statements to Excel– HSAs– Talking Points library– Member Connect Message

Library– Enhancements to Tiered Service

pop-up window (Inquiry/Phone)

26

Leading ChangeWhat to Be Ready For in 2008

It’s Me 247 Online Banking– It’s only the beginning; a new engine means a future rich in

possibilities

CU*BASE Platinum – It’s more than looks and good feelings, it is a must...

can you sell it to your team?

Coming soon: Online Course CNV 101 Leading Change: Conversion Preparation for CU Management

27

Leading ChangeWhat to Be Ready For in 2008

The value of an active collaborative mindset – Turning good intentions into competitive advantages for both

your credit union and your career

Other projects to be aware of– Sunset for Microfiche as of March 31, 2008– Cisco Router Upgrades

• 90 CUs pre-purchased upgraded routers in anticipation of April 26 sunset

• 147 routers (approx. $465,000)

Coming soon: Online Course CNV 101 Leading Change: Conversion Preparation for CU Management

28

The Value of PeersPast, Present, and Future

Last week I turned 49...and like many leaders of my age, I feel a little trapped between the skills I learned from the generation before me, the skills I continue to refine in the present, and the skills I know I will need in the futureHow important is data to your future? How important is understanding a networked world? How important is it to be ready to show that you have a grasp in meetings? How important is it that you are linked in to innovators? Are you ready to be relevant to tomorrow’s requirements for leadership?I will work another 15-20 years, and I hope to lead for all of them...for that dream to come true, I need peers like you to help me hone my skills – and I hope you see it the same way

Thanks for the day!