Value and Relevance: Walking the Walk
in League Initiatives
By: David Frankil, NJCUL President/CEO

I’ve written about how we are transforming the League for 2017 to be more valuable and relevant. But what does that really mean?

This week we made the first in what will be a series of announcements that offer up examples of steps the League is taking towards this transformation.

Peer group benchmarking is a great management tool to highlight opportunities, whether for productivity improvements, greater leverage, and/or for growth. You all have the ability to access your own Call Report data – what is harder is to see how you compare with your peer groups on key performance parameters for growth and productivity.  

With enough time and enough resources you could do the analysis yourself – after all, Call Report data is available on the NCUA website. But who has the time to identify who should be in your peer group, download their Call Report data, crunch the numbers, and analyze the results?

To me, this is exactly what a League focused on value and relevance should be doing for its members. 

Working with the Massachusetts Share Insurance Corporation, we’ll provide each NJCUL member credit union a free quarterly report based on NCUA Call Report data that covers a wide range of topics, including:

  • National Industry Highlights
  • Peer Group Descriptions
  • Peer Group Ratios
  • Growth Trends and Earnings
  • Earnings-Net Income/ROAA
  • Loans
  • Shares
  • Expenses
  • Fee and Other Income
  • Capital Analysis
  • Productivity Measures
  • Spread Analysis
  • Five-year Financial Comparison

We looked at numerous vendors that provide similar analyses, but what made the MSIC reports stand out were two things – first, they are well-organized with easy-to-read graphs and charts, always a plus with the volume of data in each report.

Second, each section has a set of questions that help guide you through understanding how the data should be used in analyzing your credit union. So even if the process of leveraging analytics in planning and assessment is not something you do on a regular basis, these reports focus on the key issues.

We’ll be rolling these reports out in 2017, but if you can join us at Annual Convention Oct 16-18 in Atlantic City, you’ll receive a customized report for your credit union with current 2016 data when you pick up your badge. Go to www.njcuconvention.com for more information – FYI the deadline for the discounted $79 room rate has been extended to October 7, so there is still time to take advantage of the rate.