A Direct Line Blog

By Jeff Rendel, Certified Speaking Professional

The title says it all, and it’s a question posed to executives and directors during strategic and business planning sessions. Often, it’s easy to think tactically during planning sessions and discuss change around incremental improvements to current operations. In the dynamic landscape of financial services, particularly within credit unions, the delineation between operational matters and strategic vision is crucial for sustained success and growth. CEO-coach Marshall Goldsmith might add, “What got you here, won’t get you there.”

This requires a major shift in how, and how often, we discuss strategy.

While operational efficiency is the backbone of any credit union, the strategic focus must extend beyond day-to-day activities to encompass broader objectives such as entering new markets, evolving business models, and serving existing member bases more effectively. This strategic precision ensures that credit unions can adapt to changing market subtleties, seize growth opportunities, and remain competitive in a progressively complex environment. It also demands that directors ask, and executives continually communicate, the requirements and trade-offs for the next levels of growth, service, and success.

Operating matters typically revolve around the tactical execution of daily functions such as finance, lending, member service, and technology. While these activities are essential for the smooth functioning of any credit union, overly focusing on them during strategic discussions can limit the credit union’s ability to innovate and evolve. Strategic conversations should instead center on long-term goals, market positioning, product innovation, and member engagement strategies. One CEO recently stated that planning discussions should be focused on the continuous need and plan to transform, as opposed to how a credit union intends to perform.

Jeff’s blog continues here.

Jeff Rendel, Certified Speaking Professional and President of Rising Above Enterprises, works with credit unions that want entrepreneurial results in leadership, service, and strategy. Each year, he addresses and facilitates for more than 100 credit unions and their business partners. Contact: jeff@jeffrendel.com; www.jeffrendel.com; 951.310.7275 (mobile).