Embracing Change

Recently, I had the pleasure of speaking with a commercial lending executive in Oklahoma City who made a very keen observation about the banking industry: “If there’s anything constant in banking, it’s change.”

It gave me pause, as I couldn’t think of any facet of banking right now that isn’t constantly in a state of change — whether it’s change to accommodate a more tech-savvy customer base, change to accommodate an ever-increasing amount of new regulation, or change to accommodate for the growing number of retirements within nearly every bank each year.  This last piece is something that a surprisingly few number of folks have given much, if any, thought.

Retirement of key executives within banking has significantly increased over the past few years.  While a few banks are ready for such a transition, the majority of banks are ill-prepared for the loss of a key executive.

What would happen if one of your key executives spontaneously announced their retirement or left for other reasons?  There seems to be news every day of a sudden retirement by a banking executive.  Whatever the reason, it creates a void that must be filled immediately.

The question is, do you currently have talent on your bench that you can confidently promote when one of your key executives leaves?  This coming wave of retirement, whether planned or unplanned, is inevitable.  And that isn’t likely to change anytime soon.