Jan 01 1997

The Digital Revolution: Delivering Financial Services in the Future

Burger, Zellmer, and Robinson look at the implications of new information and communications technologies that have the potential to dramatically reshape how members and customers select and use financial institutions. The authors argue that credit unions need to embrace opportunities to serve their members through electronic delivery systems. They provide strategic insights for credit unions to consider when developing and refining these systems.

The digital revolution has a variety of implications for credit unions, including: competition will become more intense and the most serious competitive threat may be from companies they seldom consider today; technology will shift the balance of power from the provider to the buyer of financial services as members will no longer be restricted to the financial institutions in their local market; and the shift to electronic service delivery will be one of the major challenges facing credit union management over the next ten years. The challenge to credit union leaders will be maintaining current systems and serving current members while moving into the future.