There are massive amounts of consumer data collected each day. There is no doubt that credit unions have recognized the growing significance of business intelligence, yet, harnessing the power of such data remains an overwhelming hurdle for many credit unions.
However, by leveraging data that is typically underused, credit unions can effectively identify opportunities for enterprise-wide strategies, cascade goals across the organization, and measure and monitor progress to ensure growth, sustainability, and profitability.
The fundamental challenge hindering the effective use of data boils down to the outdated, siloed approach for collecting and analyzing data.
Oftentimes, the data captured and analyzed by credit unions is stored in disparate repositories and spreadsheets, which makes it incredibly difficult and ineffective to find relevant information and turn it into actionable insight.
Sifting through partial data to pinpoint trends and performance metrics is time-consuming and unproductive.
To turn data into useful information, all data must be leveraged across the organization to compile the best and most accurate information about each individual, account, household, product, market, officer, segment, and channel.
When business intelligence is automated and accessible from a central location, credit unions can integrate the data across multiple business lines, systems, and departments.
This enables employees to easily locate and analyze relevant data, giving them the visibility they need to identify opportunities and act upon them.
Greater visibility across the organization can help the credit union understand which products and services are most helpful to members, and ensure superior member satisfaction.
Business intelligence that is applied enterprise-wide within the organization can provide the answers to these questions, backed by tangible evidence.
Enabling credit union staff to review pertinent data on demand and create graphs, dashboards, and reports streamlines and simplifies the task of sourcing opportunities and identifying risks.
This enhanced visualization of data allows credit union employees—from a CEO to a loan officer to a teller—to make better decisions that benefit the institution.
With greater clarity from a business intelligence system, credit unions can more accurately pinpoint which members could benefit from new products, as well as develop timely messaging that resonates with appropriate members.
Successful credit unions use business intelligence to develop an effective cross-sell strategy, identifying new sources of revenue and improving wallet share. This also enables credit unions to increase efficiencies, reduce risk, and create effective target marketing and engage with their members.
Additionally, credit unions must grasp the importance of a mobile-responsive business intelligence solution.
Whether working on the road using smartphones, remotely on a tablet, from home on a laptop, or displaying key information in the back office on a smart TV, credit union employees should be able to interact with business intelligence on any device, any time, regardless of location.
Similarly, credit unions should adopt omnichannel interaction to reach members through their preferred channels anywhere, any time.
For today’s increasingly mobile generation, in-branch interactions are less frequent while interaction via mobile applications and online portals have become common.
Therefore, credit unions must leverage data-driven insight to craft relevant communication, targeted offers, and drive meaningful engagement through the correct channel to the correct audience.
Today, credit unions use omnichannel interaction for push banking, alerts, notifications, marketing campaigns, interactive forms and applications to remain a valued partner to their membership.
In today’s technology-driven world, there is more data to collect and analyze than ever before, which can be intimidating for credit unions of any size.
Although harnessing the full potential of data can be challenging, it can be accomplished by democratizing business intelligence and encouraging credit union employees to take advantage of the valuable insights that data provides.
A well-executed business intelligence strategy offers credit unions the opportunity to successfully engage with members and, most importantly, foster lasting relationships.
NASEER NASIM is CEO of Baker Hill.