Becoming financial advocates
Visions Federal Credit Union: 02
becoming financial advocates
DECEMBER 2019
03
w w w.vi si o ns fcu . org
VISIONS FEDERAL CREDIT UNION
Thomas Novak, AVP of Digital Banking, Visions FCU, discusses how digital transformation can help the business become true advocates for its members
T
homas P. Novak has been in the banking industry for close to 14 years. He began his career at PNC Bank in New Jersey in
2006, before moving to M&T Bank in New York in 2010. Today, he is Assistant Vice President (AVP) of Digital Banking at Visions Federal Credit Union 04
(FCU), a member-owned credit union dedicated to community advocacy. According to Novak, who joined the business in 2011, Visions FCU involved in multiple volunteering, fundraising, donation/sponsorship initiatives and scholarship programs for the local communities it serves. It is an approach, he says, that sees the business “woven into the fabric of the local communities that we serve”. “Our digital strategy is focused around the term advocacy banking. Like a healthcare advocate for physical well-being, we want to support, guide and advise our members at every step of their journey regarding their financial well-being,” Novak continues. “We want to help our members across every aspect of their financial lives to become financially independent.” It is a vision that is driven across the
05
1966
Year founded
$24mn Revenue in US dollars
650
Number of employees w w w.vi si o ns fcu . org
VISIONS FEDERAL CREDIT UNION
organization from the top down, says Novak. For example, over the last seven
technology innovation at Visions FCU
years – following the appointment of
has also been viewed with a fresh
Ty Muse as President/CEO – a fresh
approach, with Novak stating that the
perspective has spread throughout
business has “moved away from simply
the business, driven by several cultural
caring about operational efficiency,
changes. “Our CEO and executive
to innovation and efficiency through
leadership team travel to our three
advanced technologies.”
operating states – New York, New
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Alongside these cultural changes,
Novak’s core role at Visions FCU is
Jersey and Pennsylvania – to hold Town
centered around digital transforma-
Hall Meetings for members, local com-
tion, which he calls a “central tenet for
munity groups and Visions employees,
our success”. He adds that “delivering
giving them the space to voice opinions
a top tier member experience has
and generate new ideas,” he says.
become an increasing trend across
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“ We’re always looking for more ways to achieve better results for our members, communities and employees” — Thomas Novak AVP of Digital Banking, Visions Federal Credit Union w w w.vi si o ns fcu . org
VISIONS FEDERAL CREDIT UNION
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“ Instead of casting a wide net and carrying out a manual process, we want to utilize AI to have more precision and accuracy for catching potential fraud” — Thomas Novak AVP of Digital Banking, Visions Federal Credit Union
the entire banking industry and, for Visions FCU, it’s our communities, members and employees that are really the driving force behind our digital transformation journey.” Since embarking on that journey, Visions FCU has developed a ‘member experience department’ to drive innovative changes to better serve the company’s members. Working with this department, Novak’s digital team has focused on four key pillars of digital memberfacing technology: online banking, mobile banking, account opening and
consumer lending. “We knew we had to
lending that unifies the process for
get the basics right, then we can build
employees and members. This, accord-
a more sophisticated technology eco-
ing to Novak, resulted in an additional
system on top,” he explains. As of 2018,
US$60mn in loan volume within the first
Visions FCU successfully implemented
year. Putting members first, he believes,
the four pillars, providing members with
has made the process easier and more
“a connected and unified experience
convenient. Vision FCU’s online and
with no drop-off points”.
mobile banking is directly powered by
To apply for a loan from Visions FCU,
Q2ebanking. “As we strove to create
customers can use five core chan-
a single platform for online and mobile
nels; online, mobile, in-branch, contact
banking, Q2ebanking was the key com-
center and indirect lending. Two years
ponent, becoming a critical partner of
ago, Novak and his team created a
Visions FCU,” says Novak, who is now
multi-channel solution for consumer
partnering again with Q2ebanking to
E XE CU T I VE PRO FI LE
Thomas Novak As the head of Digital at Visions FCU, Thomas P. Novak is the leader of the digital strategy and digital transformation. He is responsible for many SaaS based member facing technology platforms and led the charge on their digital banking conversion (online and mobile) at Visions FCU. He believes in partnering with members to become their financial advocate while providing relevant and convenient digital solutions to empower their journey to becoming financially independent. Working for the past 14 years with banks and Visions FCU in various roles, he has a unique perspective on how to approach business challenges with a global mindset. w w w.vi si o ns fcu . org
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overall digital systems to support
and money movement. In addition to
ongoing business needs. For instance,
Q2ebanking, Visions has also entered
through the implementation of more
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sophisticated technology, such as
streamline the company’s payments
machine learning, he explains that
infrastructure creating a safe, secure
Visions FCU currently utilizes a digital
and consistent platform for its mem-
marketing tool powered by machine
bers. Supporting the member in a way
learning for personalized marketing
that is optimal to their lifestyle is of
within digital banking, noting that “we
paramount importance to Visions FCU.
have datasets that we are working on
In addition to payments, Novak is
with our fintech partner, Micronotes, to
focusing on bolstering Visions FCU’s
determine the probability of someone benefitting from a certain product or piece of educational content. If there
“ Delivering a top tier member experience across every channel has become an increasing trend across the entire banking industry and for Visions, it’s our communities, members and employees that are really the driving force behind digital transformation journey” — Thomas Novak AVP of Digital Banking, Visions Federal Credit Union
is a high propensity, then we communicate with the member within digital banking through a conversational note to see if they wish to move forward.” He highlights that, every time a campaign is run, the result is more targeted and provides stronger insights. Most recently, a certificate campaign helped to yield over US$4.3mn in deposits. With regards to other technologies, Novak highlights work in the Business Performance Department exploring robotic process automation (RPA): “Business Performance is in the early stages of utilizing RPA within our card servicing department to reduce the w w w.c o w mpa w w.vi ny si weobsite. ns fcucom . org
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13 repetitive, low value tasks that some
front-end for Union users, but transform
employees endure in order to facilitate
the manual processes in the back office
an increase in the amount of high value
following the submission of a successful
work produced,” he says. “RPA isn’t
application to be more efficient overall.”
being used to replace employees, it’s
Naturally, with any implementation
to complement and enhance what they
of new technologies comes a greater
are currently doing so that their focus
focus on cybersecurity. For Novak,
can be transferred to our members
Visions FCU’s cybersecurity maturity
and high value projects.” In addition, he
is one of its key strengths. “Whenever
ultimately hopes to utilize automation
we look to develop internally, we do
for the entire mortgage process: “Our
so through a secure development
SVP/CMEO and VP/CLO in conjunction
lifecycle,” he explains. To combat
with the Digital Dept. want to transform
cyber-crime, Visions FCU’s efforts
the entire process, making it end-to-
include education on how the busi-
end. We not only want to simplify the
ness interacts with them, educating w w w.vi si o ns fcu . org
VISIONS FEDERAL CREDIT UNION
its employees on phishing, providing sophisticated multi-factor authentication for digital banking access, as well as notifications to alert members of login attempts to digital banking. In recent months, Visions FCU has also created a separate risk department that leverages knowledge and experience from various areas to create improved transparency for employees and members regarding fraud mitigation. In addition to this, Novak is currently researching with multiple 14
business units, innovative solutions to utilize artificial intelligence (AI) for fraud mitigation and detection, noting
“ We don’t just want to be the best credit union; we want to be the best financial services provider and advocate to those we serve” — Thomas Novak AVP of Digital Banking, Visions Federal Credit Union
that “instead of casting a wide net and carrying out a manual process, we want to utilize AI to have more precision and accuracy for catching potential fraud”. Looking to the future, Visions intends on utilizing an AI chatbot solution and natural language processing in member-facing technology that can learn various dialects and slang terms, providing an extra convenience layer for members for a 24/7 service offering. In addition to this, Novak wants to build a financial ‘health score’ for the
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company’s members, stating that
to solve real business problems, as well
“we believe a person’s financial health
as its financial strength that helps it
is integral to other parts of their life”.
propel its initiatives and innovative tech-
With this in mind, Novak discusses
nology. “We’re always looking for more
the creation of a platform that helps
ways to achieve better results for our
members better understand how their
members, communities and employees.
funds are being utilized, “underpinning
We don’t just want to be the best credit
this would be AI, data analytics and an
union; we want to be the best financial
elegant UI and UX”.
services provider and advocate to
Reflecting on the business, Novak
those we serve.”
believes that Visions FCU’s biggest strengths are its commitment to people and openness to leveraging technology w w w.vi si o ns fcu . org
Visions Federal Credit Union 3301 Country Club Road Endwell New York 13760 T +1 800 242 2120 www.visionsfcu.org