The Conversation About Culture Continues

HOW DID "THANK GOD ITS MONDAY" BECOME SO INGRAINED IN YOUR ORGANIZATION? 

I gave the book to every person at the TGIM kickoff staff meeting. It was the executive team that met weekly, discussed the wow insights and figured out the key points that could impact the credit union. More importantly, it was that team putting them into practice versus procrastination. Plus, parts of the book really spoke to my personal beliefs and I made a point to bring those into my leadership style. Then the actions of the executive team spread to the management and frontline staff. Individuals began to follow the example set by others. The good of the book began to spread like crazy and everyone wanted to be a part of it.

WHAT ARE YOU DOING BEYOND THE PRINCIPLES OF TGIM? 

The book talks about forming a ‘Hoopla Committee’ to keep the TGIM principles going strong. So our committee’s first take on this was creating the “Be Attitudes” – a set of reminders coaching employees how they should act or be towards teammates and members. Now every Monday morning throughout the credit union we discuss the be attitude of the month in the staff huddle. It’s just five minutes where each group of managers and staff talk about how they are going to promote that specific attitude for the week, personally and professionally.

HOW DO YOU KEEP MOMENTUM?

The executive team simply provided the permission for the staff. Now it’s  growing organically. I personally attend a lot of the department meetings and visit the branches at least once every couple of months. I hear how much people appreciate it. This is easy for me because I’m passionate about the people and this credit union. I can’t ask them to do things and not give them the tools, time and talent to do it.

I know you want to know more… and lucky for you, there IS more! Next week.. 

A Conversation About Culture

In the past couple of weeks, you’ve come to know Thad, a credit union CEO with swagger and the know-how spirit needed to build a strong and effective internal culture. You also learned the “why” – a book that sparked a movement throughout MCT Credit Union called “Thank God Its Monday.” But I wanted to know more… dig a little deeper. Pull up a chair and get that coffee started…

WHAT WAS ONE OF YOUR BIGGEST CHALLENGES OUT OF THE GATE? 

The first year went by like a flash. You want to make change, but not too many too fast. Once the team believed in me as a CEO, things could move faster. I made mistakes. And humbly realized it really didn’t matter what I thought. Some of the teams really weren’t as far along as I hoped in accepting me as CEO. The board took some time. And initially, I took for granted what I did have, which was an outstanding executive team.

HOW DO YOU DEFINE YOUR CEO STYLE WHEN IT COMES TO INTERACTING WITH YOUR TEAM?

I always communicate with my executive team, but more importantly I want them to always communicate with me. I depend on their collaboration and buy-in. If we get to the end of working through a particularly challenging problem, and I know there’s not agreement at the end of the day, then I know we have more work to do, and the matter is not a closed book. If you want to get on my bad side, just agree with everything I say. That’s not practicing the philosophy, that’s just kissing my (you fill in the blank).

HOW DOES THIS STYLE TRANSLATE TO THE INTERACTIONS WITH YOUR FRONTLINE STAFF? 

You can talk about open door policies where staff are encouraged to bring forth ideas, concerns, and suggestions to management – but often it’s just fluff. In the past we talked it, but the staff wasn’t used to putting it into practice. I addressed this quickly, and now, even if a team member needs to vent directly to me that’s okay. I’m glad. Issues, opportunities and new ideas are going to surface. There is nothing that happens in an organization that can’t be addressed. When you don’t act, you not only hurt the credit union, you hurt the employees. You address people directly and handle each issue appropriately.

More of my conversation with Thad next week...

Thank God I'ts Monday

Last week we introduced you to Thad Angelle, CEO of MCT credit union and told you why we think he’s a pretty cool guy – he doesn’t just TALK about culture, he lives it! What started it all? Well, don’t just sit there… read!

FROM FRESHMEN BOSS TO FRESH FLAME

Two years ago Thad found himself the newly appointed CEO of Port Neches, TX-based MCT Credit Union. After spending most of his career in the financial services industry he could have easily maintained the status quo, governed from the top down and simply pushed for his agenda and legacy. Instead, he created a collaborative culture of change that has been nothing short of transformative for this firecracker of a credit union.

It all started with a small gift. The retiring CEO presented Thad with a copy of “Thank God It’s Monday,” by Roxanne Emmerich, who turns TGIF on its head by helping leaders jump-start and nurture a workplace employees and customers love. “TGIM” was the spark that lit a fire in Thad and his team, which after two years burns brighter with each passing week.

THE FIRST TWO YEARS AS CEO AND TORCHBEARER

Thad credits this movement’s inception with granting people permission to think – to be leaders, to be creative, and to be accountable at all levels. But what keeps the flames going is Thad’s commitment to backing it up with action. He has created an environment of trust where staff is secure in making decisions and trying new initiatives. Thad is genuine, smiling (and perhaps a bit swaggering) proof of the power of internal culture. I visited with him to find out how he carries that torch so confidently.

Eavesdrop on our conversation next week…. 

Internal Culture On Fire - A Series

Edgar Schein, a professor at MIT Sloan School of Management states: “The only thing of real importance that leaders do is create and manage culture.” Credit Union leaders like Matt Monge of Fort Campbell Federal Credit Union  and Thad Angelle of MCT Federal Credit Union  seem to both agree with Professor Schein.

Matt feels so strongly about credit union internal culture, he created The Mojo Company, a consulting firm that deals solely with internal culture. In an article on Mark Arnold's blog, Matt states: "While it’s easy to throw out the words “culture change,” it is in fact much more difficult to actually do it."

Well, we found a credit union CEO that is putting his words into action and "actually doing it."

Thad Angelle is a CEO with great conviction about the impact of internal culture on his credit union…  which is why he is the highlight of the next several blogs you will see from us. You see, Thad is different. He is putting his money where his mouth is and we like that. Over the next couple of weeks, you’ll see us talking a lot about Thad. And you’ll see why – he’s a pretty cool guy with a lot of passion for his credit union. Passion he has put to action.

MEET THAD ANGELLE

He’s a leader who’s always had a big smile and a bit of swagger. But these days he’s more eager to boast his newly gained appreciation for listening first, talking later and giving credit to his team before all else. Thad didn’t attend MIT, but he’s certainly validating Professor Shein’s position. Better yet, he’s putting this philosophy into practice.

Learn why next week…. 

Pop Quiz

HOW CAN YOU MAKE SURE YOUR CREDIT UNION'S INTERNAL CULTURE IS HELPING OTHERS?

BE YOU.

People can usually tell whether you are putting on an act or being genuine. And nobody is better at being you than… well, you! Find what makes your credit union unique, cultivate it, and celebrate it. Help your employees understand this unique story and make it their own.

USE YOUR INSIDE VOICE.

Good internal communication is crucial to the success of your internal culture. It’s the difference between functioning like a herd of cats versus a school of fish. When your employees understand and believe in the culture, their customer service will make sure your members understand and believe too.

SHARE THE LOVE. 

Cultures that recognize the contributions of employees will be stronger, truer, and longer-lasting than cultures where behavior is forced by top-down decrees. If leaders and employees don’t have a strong sense of team, it can undermine your culture very quickly. Employees who feel the love are more likely to inspire similar feelings among your members.

WALK YOUR TALK. 

Remember that actions speak louder than words. Every interaction (no matter how small) is an opportunity to affirm your brand in the eyes of your employees and members. Your brand is a promise you make to your members; your culture is how your employee team lives, breathes, and delivers on that promise.

IT'S A MARATHON, NOT A SPRINT.

Your culture is your credit union’s personality, not its wardrobe. A strong culture endures over time, responding to changes in environment with the steadiness of self-awareness. Evolution is a natural and healthy trait of organizational culture; chasing fads is not. Customers seek long-term relationships with brands they know they can trust throughout the test of time.

Your Internal Culture Impacts Your.... (Fill In The Blank...)

Your Internal Culture Impacts Your....

EMPLOYEES


Individual and collective employee performance can be affected either positively or negatively by the corporate culture you embrace. (www.kellyservices.com, “Corporate Culture Affect Employees”) 
The cost of losing an employee is about 38% of the departing employee’s annual wage. (John Dooney, manager of strategic research at the society for Human Resource Management) 

MEMBERS

Industry has discovered the value of loyal customers: they buy more, buy more often, are cheaper to serve, have higher retention rates, and are more profitable than newly acquired customers. (Aruthur Middleton Hughes, “How Customer Service Builds Loyalty and Profits”)

The cost of acquiring new customers is five times the cost of servicing established ones. (referencing analysis by Reichheld, The Gallup Management Journal, “The Constant Customer”) 


When a brand inspires both rational loyalty and emotional attachment, customers will continually reward it with their business. (The Gallup Management Journal, “The Constant Customer”)


FINANCIAL PERFORMANCE

Sustained success has to do with managing culture. Organizations change without an awareness of what drives the organization’s culture may be the reason close to 90% of all projects fail. (Toby Elwin, “The Cost of Culture, a 50% turnover of the Fortune 500”)

Examples from an 11 year Harvard Business School study show a variety of areas in which companies with the “right” culture outperformed their counterparts: revenues were 4.1 times higher, stock price was 12.2 times higher and return on investment was 15 times higher. (www.renovacorp.com, “The Impact of Corporate Culture on Economic Performance”)

According to a study by the Hay Group, failure to consider cultural integration is a common and often disastrous mistake made by merging firms. (Jesse James, “The Importance of Corporate Culture to Merger Success”)

Are YOU Connected?

 Gallup has a method of assessing customer loyalty for a variety of industries based on factors that go beyond traditional satisfaction. They ask questions about things like whether or not the brand treats you fairly, delivers on its promise, can be trusted, treats you with a sense of respect, makes you proud; whether you could even imagine a world without the brand. These questions aren’t just about whether or not a customer’s needs are being met; these questions are about connection and passion.

When a member connects with your credit union’s culture, they are more likely to grow into a true loyalist. 

When a member experiences a disconnect with your culture, there’s often an equally high level of negative passion. Who’s usually the make-or-break factor here? You got it: your staff. Whether or not you as a leader have taken the time to understand and shape it, your internal culture is impacting your credit union’s success right now- both internally and externally.

(source for all statistics: CUNA’s 2010 Credit Union Member Satisfaction, Growth and Loyalty report)