How does your community bank stack up against others? Jeff Gerrish takes a look at the characteristics of a high-performing community bank in an article for Banking Exchange.
The author discusses how a high-performing bank looks in the following areas:
- Financial metrics (return on assets and return on equity)
- A fully engaged board
- CEO leadership
- Heavy involvement in the community
- A culture of service
- A culture of compliance
- Business based on relationships
- Diversification of income stream
- Excellent asset quality
- Utilization of franchise players
- Well-compensated management employees
- Significant employee ownership
- Core funding
- Knowledge of own strengths
Though the above is not exhaustive, the listed items are certainly key—try comparing your community bank to these characteristics and see how you measure up.
For more details, read the article in full at Banking Exchange.