Pub. 13 2018-2019 Issue 4

NEBRASKA BANKERS ASSOCIATION 11 solution at one time. • Exercise due diligence on a techfin solution. Take the time and appropriatemeasures to ensure that the techfin vendor truly understands banking. It is not uncommon, for example, for some younger firms to not have the necessary level of experience with core systems and how their technology solution may integrate. • Bank leadership should consider allocating a portion of profits each year into a separate technology and innova- tion fund. This helps to eliminate the need for last minute financial decisions about technology solution purchases. Some banks have had success in developing a strategy to reduce other operational costs setting funds aside for future technology expenses. • While many techfin solutions are related to lending or the customer service experience, it is essential to engage compliance staff early in the evaluating, planning and review processes for technology solutions. • Aggressively train front-line employees to assist custom- ers with technology questions and encourage customer utilization. Traditional tellers, for example, should be encouraged to help customers learn about each new application upon launch. These employees will be es- sential in easing the concerns of customers with less technology comfort. • Assuming you conduct proper due diligence and your bank proceeds with a techfin partnership, have a Plan B in case Plan A experiences financial or technical chal- lenges. I’ve known several banks that strongly suggest conducting regular, ongoing evaluation on their fintech partners. • If you implement a techfin solution that is not working well, don’t be afraid to pull the plug quickly. Many of today’s leading technology firms like Apple, Facebook and Google teach us about the importance of failing quickly when necessary. Your bank’s level of comfort and interest in the fintech sector may vary, but the reality is that today’s customers expect their bank to meet their product and service needs both in-person and in the digital world.  President’s Message — continued from page 7 Since 1857, Cline Williams has devoted attention to the unique needs of the banking and nancial services industries. Since then, we have provided our clients with the resources they need in the areas that are most important to them – from lending and collections, to regulatory compliance, to mergers and acquisitions, and so much more. We’re more than a law rm. We’re a partner for your bank. | | | | | Contact Richard J. Baier at (402) 474-1555 or richard.baier@nebankers.org .