Volunteer Succession Planning – ‘Tomorrow’ has arrived.

Strong succession planning is critical for the viability of all businesses but can be particularly challenging for volunteer-led organisations who rely on the good will of selfless, committed individuals to step up to serve their community. Credit union boards of directors, board oversight committees in ROI and supervisory committees in NI, are generally populated by volunteers, with the exception being that it has recently become possible in ROI to appoint the credit union CEO as a director of the credit union if desired.

While credit unions are the focus of this piece, much of the content applies to other organisations for whom volunteers are the driving force. The credit union movement illustrates the succession planning challenge perfectly at a time when ever more is expected of such volunteers in terms of time, effort, commitment, fitness & probity, ongoing training etc. But I struggle to think of a more effective way to contribute to a community than to get involved with your credit union. Succession planning is not something to think about in the future, that day has already arrived for ROI credit unions due to legislative service limits, minimum competency requirements, skills shortages etc.

This is not a potential risk; this is a current risk which needs to be met head-on. Based on the credit union experience, other volunteer-led organisations can probably see the writing on the wall as regards what will be expected of them in the future in terms of continuing good governance and pro-active succession planning.

Credit unions exist to help people have control over their own financial well-being through provision of financial services at reasonable rates based on their ‘not-for-profit’ philosophy. This approach to financial services has never been more relevant and should be reiterated as often as possible when seeking to address the risks associated with failure to plan for succession.

A good governance, risk and compliance system such as CalQRisk will incorporate a range of risks impacted by succession planning issues. The current credit union volunteer succession challenges are well recognised, with service limits for long-serving volunteer directors and board oversight committee members looming large in the near future for ROI credit unions. Volunteer-led organisations are continuously looking to find the right mix of people to lead them forward who reflect the community whose interests they represent. This community representation has historically been, and continues to be, one of the credit union movement’s greatest strengths.

Once a volunteer meets the fundamental requirements of competence, integrity, honesty, and the time capacity to perform the role, everyone brings something to the table in terms of life experience which will help the credit union respond to the everyday risks it faces. Whether it’s understanding the challenges of managing a household budget in today’s world, starting out in adult life and having first-hand knowledge of what people are experiencing at that life stage or bringing expertise developed in a workplace. Each of these perspectives (amongst so many more) will help the credit union make better decisions to manage its own particular risks so it can continue to serve its members well into the future. As democratic, volunteer-led cooperatives who provide ongoing volunteer support and development opportunities along the way to address any knowledge gaps volunteers may come in with, there are fewer more rewarding volunteer opportunities out there.

Unfortunately, this is also a clear situation where ‘failure to plan is planning to fail’ and the risks associated with inadequate succession planning are business critical. From interactions with our credit union customers, it is clear that it has never been more important to keep succession planning front and centre at board meetings, during strategic planning, staff engagement and interaction with members. It is important to encourage all CU people to talk to their personal networks about volunteering at the CU. Be a super-connector through your own network of contacts!! If you are reading this and haven’t yet volunteered at your CU, do think about it seriously and perhaps approach your CU to enquire about it …. and don’t be offended if there is no vacancy at this point in time. There are election cycles and due diligence processes to complete, so it can take time to work through the process, and your CU will really appreciate your willingness and understanding in this regard.