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Focus on Internal Efficiency: Cummins Allison Outlines Three Steps To Reduce Costs Without Raising Member Fees

April 10, 2012, Mt. Prospect, IL— More than ever, today’s credit unions (CUs) are feeling the pressure to reduce costs and do so without raising member fees. Savvy CUs are turning to advanced technology solutions to meet these goals. Cummins Allison, the leading innovator and provider of coin, currency and check handling solutions, outlines three steps CUs can take now to reduce costs, while improving member satisfaction.

Provide Advanced Services for Commercial Members:

Offering advanced services specific to commercial members can serve as a competitive differentiator, while also improving the overall satisfaction level of commercial account holders. For example, making Remote Deposit Capture (RDC) and Image Cash Letter (ICL) deposits available to businesses essentially allows those members to pre-process their deposits—reducing the volume of large deposits carried into the facility and paving the way to streamlined electronic processing.
Additionally, by moving high-volume coin sorting from behind the teller line or vault to convenient self-service coin counters in the lobby, members easily process coin volumes, without waiting in line. Tellers simply deposit the receipt amount with an account holder’s regular deposit. Selecting a self-service coin counter designed for high-volume coin sorting means commercial deposits are processed at the same high speeds enjoyed by vaults and armored carriers, giving members fast and accurate service.

Invest in Multifunction Equipment:

While it may seem counterintuitive, investing in the latest technology that streamlines deposit processing issues can actually reduce a CU’s costs – in addition to improving overall efficiency. The key is selecting solutions that enable the CU to accomplish more tasks with less capital investment and/or fewer full time employees.
For instance, by redefining the deposit capture process using technology which brings check, currency and deposit slip processing together, CUs can minimize the need for costly processing and after-the-fact adjustments, as well as reduce risk. The ability to verify and record an entire deposit using a single machine at the point of presentment also allows CUs to reduce or eliminate associated costs such as post-capture error correction, multi-step deposit processing, and the purchase and maintenance of single-purpose equipment. Members benefit from fewer account adjustments, faster moving teller lines, transactions that are balanced at the teller, including large deposits, and deposit amounts that are verified instantly.
Likewise, CUs can offer the same high-volume, commercial grade coin sorting technology that is used for business members to all members. Branches can attract local traffic and retain more members by offering self-service coin counters. Account holders increase branch visits when no-fee coin counters are available in the lobby as well as increase reported satisfaction levels by 10 to 20 percent1. Additionally, collected coins can be recycled in the branch, reducing the need to purchase packaged coin, and the coin counters can also be used to process teller drawers.

Boost Employee Productivity:

Improving employee productivity can have a dramatic impact on a CU’s overall operating costs. Next generation technology solutions can eliminate entire workflow steps, dramatically increase efficiencies and even position tellers to generate revenue opportunities. Consider how productive – and motivated – a staff would be if they could reduce commercial and ATM deposit processing time by 75 percent or more. Using new, highly reliable technology, virtually any branch can now process large quantities of mixed currency in less time than ever before. Cost effective solutions like these help a CU utilize their key personnel where they are needed the most.
Self-service coin counters are another way CUs can improve their employees’ productivity – while giving them more time to focus on valuable customer interaction. Each time a teller processes a member’s coin redemption receipt is a positive interaction with the member and an opportunity for cross-selling. This direct contact is the ideal time to educate members about additional services and offers. At the same time, tellers are given the opportunity to expose non-account holders to the benefits of opening a new account, providing them with information on account options and services. Self-service coin counters also enable tellers to spend more time serving members and less time processing coin deposits or managing machine operations.

To learn more about how your credit union can reduce costs and improve member satisfaction with advanced money handling technology solutions, visit: www.cumminsallison.com/financial

About Cummins Allison
Cummins Allison is a global leader in developing technologies which count, sort and authenticate currency. The U.S.-based company has a 100+ year heritage of leadership in technology and product innovation and currently serves the majority of financial institutions worldwide, as well as leading organizations in retail, casinos, law enforcement and government.

The company holds more than 350 U.S. patents and has ongoing research and development (R&D) investments double the industry average. Cummins Allison is headquartered near Chicago, IL with R&D centers near San Diego, CA and Philadelphia, PA and wholly owned subsidiaries in Canada, the United Kingdom, Ireland, Germany and France. The company also has an extensive sales and service network with more than 50 offices in North America and is represented in over 70 countries. For more information, visit www.cumminsallison.com.