By Jeanne Kucey, NAFCU Board Chair
One key factor that differentiates a CEO from other C-level management positions is the responsibility of managing board relationships. Regardless of the time you’ve spent as a CEO, working with a board is always a learning and growing experience. It is a balancing act of leading without dictating.
Over the last nine years at JetStream Federal Credit Union, I have developed and maintained an excellent relationship with all of my board members. I embrace the directors as true representatives of the credit union members’ legal and economic interests. My respect for their role in the formation of policy is legitimate. They, in turn, have developed a great level of trust in my ethical and transparent approach to conducting business.
This two-way street is a must to managing your relationships with board members. We may suggest policies, but it is our boards that have the responsibility to approve and set the general direction of our credit unions. That is why a strong partnership is of greatest importance.
The give-and-take of a board allowing a CEO and management team enough space to do their jobs while still steering the direction of the credit union is nothing short of a balancing act — and it can’t be done without a well-functioning board.
Another positive of a healthy board: the attraction of dedicated and interested volunteers. And after electing good people, a solid board will discover and hone the talents of new board members to benefit the credit union and its entire membership for the long run.
To aid in this development, NAFCU has excellent training available to help both new and seasoned board members better understand their roles and stay abreast of trends and those duties required by the Federal Credit Union Act and the National Credit Union Administration (NCUA). NAFCU’s Credit Union Director Handbook is also a great resource for boards.
As we work with our boards to strike the right balance of leadership and management, trust and transparency are paramount to a successful relationship. It is the credit union board that sets a long-term strategic viewpoint, and it is we, as CEOs who work day-to-day, who fulfill that vision. CEOs must also be ready and willing to give our boards the information they need to deliver on that strategic plan.
We need well-functioning boards of directors in order for our credit unions to be successful and thrive. While boards have a set list of duties and standards they must perform and adhere to, a healthy partnership with them can make a difference between a credit union that simply meets requirements and one that soars. I encourage you to put in the time necessary to create a trusting and healthy relationship with your board. They are the eyes and ears of your membership, and that is not a role you can afford to neglect.
Jeanne Kucey is the president and CEO of JetStream Federal Credit Union in Miami Lakes, Fla.
This article was published in the March-April 2019 edition of The NAFCU Journal magazine.
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