Times have changed. New York may be the city that never sleeps, but credit unions and the services that they offer don’t either. No longer leading 9-to-5 institutions, credit union executives know that today’s members want access to services 24/7. These services are often delivered through mobile or desktop apps. Meeting these demands requires tech savvy and ensuring that compliance and regulatory demands are met, all while meeting (and exceeding) the expectations of credit union members, who have more choices than ever on where to conduct their financial transactions.
Back to Basics
Let’s get to the core of the matter. You are a credit union – your primary area of expertise is financial services. Keeping current on IT and tech trends – including how to maintain and maximize your core processor – are areas you can partner with experts on. Outsourcing is an industry trend that helps credit unions focus on what is most important – their members. Providing the best value, services, products, and experiences is key to member retention.
Jack Henry & Associates, Inc. (JHA), parent company of Symitar’s Episys Core Processing Solution, recently released an article that explored the benefits of outsourcing. They stated:
“IT resources are very expensive. Focusing valuable resources on revenue-generating services, growth, and project management is more beneficial to overall business objectives, as opposed to hardware upgrades and release loads. One CEO succinctly said, “We are too little to afford and too big not to have.” This exemplifies the challenge faced by so many, as executives juggle to balance business objectives with available resources for project implementation.”
In addition to the cost of resources, the staffing costs also can be staggering, both to expand IT staff or in the event of turnover. Outsourcing allows you to leverage your resources and better support your operations. In the area of product growth, outsourcing allows for predictable, controlled expenses.
JHA also shared, that, with regards to compliance, the responsibility shifts.
“Someone else is responsible for new compliance requirements. Our regulators continue to mandate new requirements for audit, security, and business continuity. These can frequently cause stress and require credit unions to reallocate resources. Companies who offer outsourced services invest significantly in disaster recovery infrastructure and are required to test with greater proficiency and with more detailed results. The norm for companies who outsource is to have multiple data centers, with production running for six months in one location and the other six months in the secondary site. The benefit is that if the inevitable disaster occurs, due to the frequency and thoroughness of testing, clients are familiar with processes and they will enjoy better success in a real disaster situation. Additionally, when the next compliance requirement is announced, for example encryption for data at rest, this is no longer your responsibility or financial burden.”
Synergent Can Help
Synergent is like no place else. We are the only service bureau that partners directly with Symitar to provide core processing, integrated products, and innovative services exclusively to credit unions. Our unique experience has grown with the industry. We are a service bureau positioned strategically to serve credit unions as we drive results during the FinTech revolution.