Many credit unions continuously strive to find the right balance between efficiency and excellent member service. Achieving this balance is crucial for ensuring both member satisfaction and sustainable revenue growth. Monitoring key metrics like the Member Per Employee (MPE) ratio can provide valuable insights to help credit unions optimize their operations and better serve their members.
What is the Member-per-Employee Ratio?
Member Per Employee (MPE) is the number of members served by each full-time employee equivalent (FTE). By dividing the total number of members by the number of FTEs, your credit union can determine how many members each employee is serving.
What Does a High Ratio Mean?
While it may be tempting to aim for the highest MPE ratio possible, this metric requires careful balance. A high MPE ratio can indicate several things:
- Efficiency in operations
- Potential employee overwork
- Risk of high employee turnover
What Does a Low Ratio Mean?
Conversely, a low MPE ratio might suggest inefficiency. Despite employees appearing busy, your credit union could potentially scale its operations more effectively with improved technology, reducing the need for additional hires.
Core-Driven Solutions for Your MPE Ratio
To achieve an optimal MPE ratio, consider implementing the following core-driven solutions:
1. Automation
Automation is a powerful tool to support your employees in serving credit union members. It removes mundane and repetitive tasks from their workload, allowing them to focus on more critical duties. Here are some ways automation can be integrated:
- Lending Process: Automate the application, approval, and disbursement processes to speed up loan issuance while maintaining accuracy.
- Member Onboarding: Streamline the onboarding process with automated identity verification and document submission.
- Transaction Processing: Automate routine transactions, such as fund transfers and bill payments, to reduce manual intervention.
2. Enhanced Data Analytics
Using advanced data analytics can provide deeper insights into member behavior and operational efficiency. By analyzing data, your credit union can understand member needs and preferences to tailor services accordingly. You can pinpoint areas of inefficiency and implement targeted improvements.
3. Online Banking Platforms
Offering robust online banking platforms can significantly reduce the need for members to visit branches. This not only shortens in-branch lines but also alleviates employee stress. Key features to consider include:
- Mobile Banking: Enable members to access their accounts, transfer funds, and pay bills through a mobile app.
- Online Loan Applications: Allow members to apply for loans online, check their application status, and upload necessary documents.
- Virtual Customer Support: Implement chatbots and AI-driven support systems to handle routine inquiries, freeing up staff for more complex issues.
4. Training Tools for Employees
Investing in training tools and modules can empower your employees to better serve members. Comprehensive training ensures they are well-equipped to handle various tasks efficiently.
Find Efficiency and a Great Member Experience with FLEX Technology
At FLEX, we understand the importance of supporting both employees and members. We aim to help your credit union build a sustainable and scalable future with our countless integrations and native features that seamlessly integrate with your daily operations. Click the button below to learn about how this credit union grew its members with the right technology.
