We just wrapped up Day 1 here aboard the Enchanted Princess for the Caribbean Islands Credit Union Educational Cruise. The theme for today was "The Leader Within & The Strategic Horizon," and we didn't waste time on pleasantries.
We dove straight into the three biggest points of failure for credit union boards: Static Strategy, Psychological Blind Spots, and Commoditized Member Experiences.
Here is the "Day 1 Download" for those of you navigating the currents back on land.
Session 1: The Death of the "Binder on the Shelf"
In our first session on Strategic Vision, Tom Glatt confronted a hard truth: In a world of AI, rapid rate shifts, and fintech disruption, a static 3-year plan is obsolete the moment it is printed.
We challenged the "Set it and Forget it" fallacy. Strategy is a capability—a "Living System" that absorbs new data and adjusts in real-time.
The Pivot: We moved beyond the traditional SWOT analysis and adopted the PESTLE Radar. By filtering trends through an Impact vs. Probability Matrix, we identified the difference between "Noise" (Low Impact) and "Action" (High Impact/High Probability).
Session 2: The "Rational Actor" Myth
In our second session, Tom shifted gears to The Psychology of Risk. Standard governance theory assumes directors are "rational actors" who weigh data objectively. Neuroscience says otherwise. Using concepts from the Risk Type Compass™, we mapped the "Psychological Center of Gravity" of the room. We discussed that many boards suffer from a "Risk Monoculture." Friction is a feature, not a bug. A healthy board should argue. You need the "Wary" director to spot the cliff and the "Adventurous" director to spot the moonshot.
Session 3: Curating Connection (The Lobby vs. The Branch)
To close out the day, Jennifer Glatt explored what the hospitality industry can teach credit unions about community. Her core message was clear: The credit union industry must move away from simple member acquisition and toward fostering a sense of belonging.
The Welcome is the ROI: In hospitality, a "check-in" is just a transaction, but a true "welcome" is an emotional entry point. Jennifer pointed out that interest rates are merely a commodity—everyone has them. However, the feeling of being truly known by an institution is proprietary and impossible to replicate.
Radical Localism: To build this connection, credit unions need to start thinking like a boutique hotel lobby rather than a traditional branch. Just as hotels turn dead spaces into vibrant neighborhood hubs, credit unions can become a community's financial "third place". This requires "Radical Localism"—being of the city, not just in it. When you partner with local makers and creators, you aren't just networking; you are borrowing the deep trust and credibility they have already established in the community.
The Ultimate Lock-In: While having a great app gives members access, having a community gives them a reason to stay even when your rates aren't the lowest in town. Digital tools are for speed, but human moments are for loyalty. Ultimately, belonging is the ultimate "lock-in". Members do not leave places where they feel they belong.
3 Action Items for Your Board (From Day 1)
If you aren't with us on the Enchanted Princess, you can still apply today's coursework:
- Ditch the SWOT: At your next strategy session, use a PESTLE analysis (Political, Economic, Social, Tech, Legal, Environmental) to force an external perspective. Use your PESTLE output as the basis for scenarios that pressure test your strategic plan.
- Audit Your "Risk Bias": Look at your board table. Do you have a "Risk Monoculture"? Actively recruit for your psychological opposite.
- Audit Your "Welcome": Walk into your branch (or log into your app) and ask: Is this a transactional check-in, or an emotional welcome? Identify one way to introduce "Radical Localism" into your physical or digital space this quarter.
In our next session we shift our focus to Governance Systems & The Member Experience. Stay tuned!
