6 steps to develop member-centric models
As financial technologies become more complex, credit unions must design their business and data models around the member
by: Nate Wentzlaff
The internet continues to send waves throughout a once calm financial services industry. Historically, credit unions served members who regularly visited a local branch. Getting to know individual members was the norm. The “good old days” (as those who are uncomfortable with change might see them) are over. Digital banking channels and innovative business systems have changed everything. Now, with gigabytes of data being produced daily by even the smallest credit unions, effective modeling has become vital. Developing business and data models to best serve members has become an essential part of every credit union’s mission.
The following 6 steps should be followed to develop member-centric models:
1) Analyze Membership Demographics
In order to develop any model, the designer must be intimately familiar with its purpose. When building a car model, the designer must understand the purpose of the vehicle being creating. If the car is designed for high gas mileage, the design will be much different than a vehicle that needs to haul heavy items. Learning more about the needs of current (and potential) members is the same concept. Gathering data on age, gender, employment, income, current product portfolio, and other relevant information will allow leaders to visualize their members’ needs. This insight will establish the foundation for the credit union business model.
continue reading »
