Today, we are facing an unprecedented level of change and disruption. Our economy is unsteady, and the future is unclear. The credit union industry has its own unique challenges. Leading in these difficult times can seem overwhelming. Some of the changes can be anticipated, others will be thrust upon us. Our only option is not to just embrace change but to drive it. However, effectively leading a change program is daunting. Research consistently shows that about 70% of organizational change initiatives fail to achieve their intended outcomes.
In my experience working with credit unions across the country, I’ve seen a serious misstep repeat itself over and over again: most change initiatives are not well planned. The senior team decides they're going to make a change and then simply announces it to the organization. They act as if the decision alone will shift the culture. That’s not how successful change works. The biggest mistakes happen when there isn’t a structured, disciplined way to roll it out.
John Kotter, a longtime Harvard Business School professor and one of the top experts in change management, developed an eight-step model for successful transformation. His first step is to establish a sense of urgency. I call it creating an irresistible case for change. It’s not driven by fear. It’s driven by facts. Members are changing. Technology is accelerating. Competition isn’t waiting. You’ve got to use data, competitive threats, and feedback from the front lines to paint a picture that leaves no room for debate. This change is happening because it must. The more clearly you establish that truth, the faster you can build alignment.
Once urgency is established, the next step is building the guiding coalition. If your senior leadership team isn’t fully aligned, you can forget the rest of the process. Any resistance, even quiet skepticism, will kill momentum. In one credit union I worked with, after aligning the executive team, we asked each member to list the most trusted people in the organization, regardless of title. We identified 28 names. Those individuals became our change committee. They met regularly with the executive team, served as trusted messengers, and became a critical force in cascading the message throughout the organization and bringing feedback up to the senior team.
That leads directly into the next step: forming a strategic vision and initiatives. Most organizations struggle here. To be effective, the vision must be vivid, compelling, and well-communicated. You’re telling people that the way things work now won’t be enough in the future. But if we commit to this vision, our future will be better. Work will be smoother, member relationships will improve, and we’ll be more competitive and resilient.
Next comes enlisting a volunteer army. That change committee I mentioned is your first wave. Their job is to build momentum and help bring others along. They create more change champions. This is how change moves from a top-down directive to a shared mission.
Even with the best people, change stalls if barriers remain. That’s why the fifth step is to enable action by removing barriers. In my business excellence framework, we call this operational simplicity. Cut the red tape. Eliminate the friction. Stop the unnecessary meetings. Give people the resources, authority, and clarity to act. The easier you make it to do great work, the more of it you’ll get.
Step six is about short-term wins. But don’t wait for them. Plan for them. Identify a few early wins that you know can be reached. Focus on them, and when you achieve those wins, celebrate them publicly. Then build on that momentum with another win. And another. This is how you prove the change is real.
Once you have momentum, you sustain acceleration by going after bigger, harder goals. As the flywheel turns, you can push it faster. But keep your targets real. Set stretch goals, but don’t set your team up to fail. Build belief by delivering results.
Finally, institutionalize the change. Make it the new standard. When it works, this becomes the way your credit union operates. And ironically, that’s often when it’s time to start again.
Credit unions were built on trust, service, and relationships. But if we’re going to stay relevant, we need to add agility, speed, and clarity to that list. Leading through change is hard. Change is inevitable, and you’re going to have to lead through it no matter what. So the real work is figuring out how to do it well.
