2015 Business Plan

Inspiring the evolution of a new element for credit union operations

Driving projects at both the credit union and CUSO level

Leveraging accomplishment as the key to opening new doors

Manufacturing Opportunity

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Introduction In the future, a higher percentage of each CU

dollar will be spent on manufacturing opportunity, compared to the dollars spent responding to opportunity

This means CU*Answers must be ready to respond to these new priorities, so we can continue to be an important part of our clients’ agendas

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Adjustments we will make Evolve the database to be valuable in

anticipating what people need and helping to effectively manufacture opportunity

Respond to credit union and member mobility so we can keep our solutions and credit unions in the flow of member activity

Add new development skills to extend the credit union’s value proposition through the Internet economy, directly and with new connections to third parties

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Manufacturing Opportunity:Finding opportunities to put ourselves to work

Expand the tactics and toolkits we have to talk to credit union stakeholders

Leverage our copyrights in marketplaces that will challenge us for new solutions and generate the revenue to find them

Expand our business development and round out our solutions to be focused on the health of our clients

Redesign the assets that allow us to connect with our members’ world and the Internet economy, and capitalize on those connections

Instill confidence in our network that we can learn, that we can do more

Reviewing Our Approach

An Ongoing Foundation For How We Plan, Every Year

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OLD GAME (STANDALONE CU MODEL)

NEW GAME (COLLABORATIVE/NETWORKED CU MODEL)

1 People Who Need Leaders (CU boards/ volunteers with a charter)

The Ultimate Client 10 (CU boards looking to field a team to lead their organization)

2 People Who Lead and Need Processes to Run a Business

(CU CEOs)

Professional Management Vendors 9 (Organizations designed to lead networks of credit unions

or operational clusters)

3 People Who Design Processes for People to Use Tools

(CU management teams) Professional Service Vendors 8 (Organizations designed to consult and outsource process oversight and design)

4 People Who Use Tools (CU staff members)

Shared Employee Service Businesses 7 (Organizations designed to execute on behalf of the CU’s business plan through

shared teams and personnel offerings)

5 Tools (CU*Answers solutions, old game)

Tool Providers 6 (CU*Answers solutions, old game)

(1) Differentiating Our Network Approach

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(2) Attacking Our Marketplace with a Layered DesignLAYER 1: CU*A TOOL PROVIDER/CLASSIC CORE PROCESSING

1. Packaged revenue expectations 2. Diverse and general approaches 3. Responding to operational models and configurations 4. Leveraging an active audience upstream to conceptual models, and their evolution

LAYER 2: CU*ANSWERS MANAGEMENT SERVICES 5. A la carte service revenue expectations 6. Specialty services and expert approaches 7. Driving conceptual models and change into credit union configurations 8. Leveraging expertise downstream for core processing depth and expertise

LAYER 3: CUASTERISK.COM NETWORK CONFIGURATIONS 9. Wholesale and alliance-based revenue expectations

10. Franchise-like business expansion (cuasterisk operations) 11. Alliance-based alternative business expansion (non-CU*BASE leverage) 12. Shared infrastructure projects 13. Leveraging expertise across shared commonalities

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(3) Goals for Expanding our Client Base

1. Work with more diverse and complex CUs who have dedicated and specialized teams.

2. Increase our solutions’ viability for larger CUs and match up better with a wider set of CU decision-makers.

3. Broaden our geographic marketplace and build additional regional intensity to expand where we are doing business.

4. Leverage our capabilities, talents, and software copyrights to expand into other businesses, both inside and outside the credit union industry.

Manufacturing Opportunity

Credit unions are at a tipping point where they must manufacture opportunity as a priority

What would it mean to a CU if almost all of their machinery was focused on asking for business?

How can CU*Answers help CUs see the world differently...without alienating them in the process?

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Predictions as a catalyst to action

CUs will need to: Reject the concept that everything is for defense

and saving member relationships

Refine how they invest for competitive advantage, and make it real

Ensure every program has some revenue contribution

Aggressively invest in or buy opportunity, and blatantly call it out as a talent

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Predictions as a catalyst to action

Our CUSO will need to: Redefine who takes the risk in making offers to

credit union members

Create concrete returns, or don’t charge

Earn when the credit union earns

Fee for execution, not legacy investment

Pay credit unions to reach consumers, and share the harvested results

Specialize in models for cooperative designs, and match the expense to the credit union’s opportunities

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Driving projects towards credit unions Be the catalyst for hundreds of organizations to

build factories for outreach

Until every CU can say, “I’m increasing my outbound efforts by a factor of 100”

Invest in member leads and fuel our own opportunity factories for a risk-based return

Encourage credit unions to adopt the mindset of an Internet Retailer

Build a network of practicing Internet Retailers as the reference for CU*Answers being a vendor to Internet Retailers

Providing multiple solutions per CU, reaching out to third parties for solutions along with our own

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Driving projects through our CUSO and cuasterisk.com Cuasterisk.com Phase 2

Site-Four shared ops center, our HA/DR investments

Client services across group providers (CSR Redirect, Second Look)

CU*NorthWest and CU*South evolution, Xtend projects

CU*Answers Imaging Solutions and eDOC evolution

cuasterisk.com group provider growth tactics

Our Investment Posture

Networking with the market through agents of introduction: Vic Pantea Year 2

Headlines and Banner Efforts for the Future

Headlines: The Large Print . . . a banner on a website . . . a title for a press release . . . a rallying point for how we are moving together . . . the subject line for your email that encourages a peer to see the value in what we’re doing . . . the motivator that rallies our team to come together . . . the seed that inspires all of our leaders to add their creativity and take us to a whole new level

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Leveraging FEP Projects Delivered Final conversion of CUs to FEP: October 5

First post-FEP release to all CUs: November 9 (14.3)

Responding to FEP client issues: thru 2nd Qtr 2015 (at least)

Next up

Accelerating completion of projects on hold for FEP (Accounting Top 10, Lending Top 10, other big features just around the corner)

Conversions direct to FEP

Leveraging what we learned

Taking what we learned and adjusting our QC designs, SDLC, project management tools, Idea Forms...

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Business Development 2.0 Executive Study Program: Year 2

Working on the Business Development Matrix

The Evolution of Our Sales Leadership

Businesses like Audit Link, Gividends, Lender*VP

Resources for specialized client support

CU*BASE SE Prototype Projects

myCUmortgage: 40,000 loans, 100+ CUs

BLG: 800 loans, 12+ CUs

CU*Answers Imaging Solutions 2015

More CU*BASE and It’s Me 247 touch points, solutions to serve multiple vendors

Expanding ASP services

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Crafting solutions for a world that’s on the move (mobility) “Completing” the lateral move

for mobile web

Adding API capabilities to our resumé

“I want to...” mobile apps

Move It’s Me 247 to this environment

Build a bill-pay interface based on APIs (PayVeris)

Remote Deposit Capture (RDC) app

UCI middleware

Imaging solutions (mobile eStatements)

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Amplifying the importance of data, our role in extending it We’ve moved from “just the facts, ma’am,” to, “tell

us everything there is to know” about a transaction or a member

Projects:

Respond to the expectation of multiple data warehouses and the ability to interpret data with new tools

Data Investment Symposium, MyCUToday

Enhance our role in moving data

MyCUToday, It’s My Data 247

Continuing the file expansion projects for membership data

M-Up

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2015-2020: Proving Our Resolve for Sustainability It starts with highlighting team activities and our

current leadership redundancy

See the value of the 60/60 program and the push to have existing leadership transition their day-to-day activities for the future

Introducing POV: Presence Over Video

Buffalo Pacific

Virtual face-to-face technologies for Xtension

Virtual face-to-face capabilities for board member interactions

Webcams and contact software – using video in day-to-day interactions with colleagues and clients

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2015-2020: Proving Our Resolve for Sustainability Selling our point of view beyond just core data

processing

TellMeWhyImWrong.com

Leadership transitions in our Marketing/Public Relations

Can a company define a systemic effort to be interesting?

Selling who we are has to be done with a tone that

generates a buzz

“Identity is based on your intellectual convictions that define how you see yourself in relation to the world around you. Personality considers emotional traits that define how you respond to situations and ideas. Personality shapes the identity more than it does the other way around.”

Conclusion

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Tests against everything we will do in 2015: Expand the tactics and toolkits we have to talk to

credit union stakeholders

Leverage our copyrights in marketplaces that will challenge us for new solutions and generate the revenue to find them

Expand our business development and round out our solutions to be focused on the health of our clients

Redesign the assets that allow us to connect with our members’ world and the Internet economy, and capitalize on those connections

Instill confidence in our network that we can learn, that we can do moreWe’ll find opportunities

to put ourselves to work.

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Collective Research

All available on the Leadership

page of the Portal