This shortcoming has plagued the industry for several decades.
The impact of not adjusting to market realities has been camouflaged by positive financial results (in most cases).
The biggest barrier is the inability of many banks and credit unions to change.
The best planning efforts will never drive positive outcomes if institutions don’t commit to, and invest in, strategies that will change the way they do business.
Unfortunately, just having a strategic plan is not enough.
At many financial institutions, the strategic planning process fails because the planning is done simply to say that bank or credit union has a plan.The problem is that in other research done by the Digital Banking Report, and virtually every consultancy, financial industry influencer, and even financial organization, the progress on any of these objectives is far less than the potential.In many cases, there is even evidence that organizations will say they are moving forward on an objective, but investment (human and financial) does not reflect this ‘commitment’.Is your financial institution getting the most out of your strategic plan?The future of every banking organization depends on the development and implementation of a strategic plan that's well thought out.If an organization is not committed to implementing the strategy, the planning effort may turn into a demoralizing factor . A plan may fail if the right people are not involved in the process.Or if the effort is just a minor iteration of past annual efforts.Being proactive can improve differentiation versus the competition and enable the efficient deployment of resources.Finally, a strategic plan increases operational efficiency, helps to increase market share and profitability, and makes the overall business more sustainable in the long term.The demise of those organizations that are just going through the motions of strategic planning may not occur in the next 2-3 years, but the marketplace will soon reward the banks and credit unions that have prepared for a new banking era.Every year, the Digital Banking Report does research on the Trends and Predictions for the upcoming year.