Why is a performance standard for credit unions so critical?
A fact inherent to all organizations is that their base purpose, over time, tends to be diffused by an ever-expanding number of institutional concerns. Another way to say it: It is the nature of all organizations to slowly evolve into self-serving entities. So a performance standard that measures progress (gains) toward the base intention is a critical tool for maintaining organizational effectiveness. For-profit entities benefit from the constant measure of sales, earnings and yes, profits! Cooperatives, social service agencies, governmental entities and others that function without a profit motive constantly struggle with the challenge of staying hard on target. Today, the real reason that holding sharp focus on productivity is so vital for credit unions– is that the consumer banking market is now so oversupplied, with still more competition emerging, that holding and growing their share of the market is critical to survival. If a banking source’s “customers” are using other sources
