BATTLE CREEK, Mich.–As he prepares to retire on Dec. 1, Ted Parsons, CEO of the $589.7-million OMNI Community CU, is sharing some of the lessons he has learned and insights gained during his career, having led the organization for 18 years.
During his tenure at OMNI Community CU, Parsons has overseen growth to 45,000 members from 20,000, from 13 branches from three, and to 135 employees from 65.
In announcing his retirement, OMNI Community also highlighted the “loving, caring” culture Parsons helped to build, as well as other successes. Below, Parsons shares his thoughts in this CUToday.info Exit Interview.
CUToday.info: How did you come to be involved in credit unions?
Parsons: I made the transition from banks to credit unions in 2001 as a result of the sale of Michigan National Bank to ABN Amro Bank when I decided it was the right time to make a career change. I went to work at Community Choice Credit Union as their chief operating officer in July of 2001. Looking back, it was one of the best things that ever happened to me in my career.
CUToday.info: What have you come to learn about driving and managing growth during your career?
Parsons: It’s all about the people! When I came to OMNI I began by focusing on the culture and implementing what I referred to as the “service profit chain.” That is a philosophy whereby if you take good care of your team members (employees), they will in turn take good care of the members, and as a result your organization will grow. It is really a very simple approach to business success.
CUToday.info: What have you come to learn about managing people during your career, and has that evolved?
Parsons: I think the term “managing people” is overused in business. I have seen my role as more of coach and developer of people. I’ve learned that the best way to enlist the support of your team members is to have them share in the success of the organization.
Back in 2008 when other organizations were cutting back, we implemented a “team member bonus” program to give back to our employees at a time when they needed it. We’ve continued that program ever since, and for full time team members that have been here all 15 years, they have received over $25,000 in total from this plan.
CUToday.info: At OMNI Community it appears there was/is a real focus on the culture. What have you sought to do there and what is the culture?
Parsons: Yes, my initial focus was on changing from a command and control environment to a culture of empowerment. To me, this was the most important change we needed to make to help team members see the benefit of taking ownership at all levels.
We talked about what we wanted to create together and then went about creating a loving and caring culture; a culture where we put the people first and we do the right thing every time. Now, we are like a family and embrace taking care of each other as well as our members and the communities we serve.
CUToday.info: What advice might you have for a new CEO or someone aspiring to be one?
Parsons: My advice would be to never stop learning. Take time every day to read something, listen to a podcast, or join a book discussion group. As you go through your career you will learn from good mentors and bad mentors so be sure to watch and take notes. Yes, bad mentors can be good because you can learn what not to do!
Also, find a mentor who can be honest with you about your strengths as well as your opportunities. If you want to be a successful leader you’ve got to be willing to hear both the good and the bad.
Lastly, as you grow and take on more responsibility don’t forget where you came from. I was blessed to start in the business as a teller, and since then as I’ve made decisions I’ve always reflected on the impact the decision has on those who work face to face with the members.
CUToday.info: What is your view on the future of credit unions if there is to be one?
Parsons: I don’t see credit unions disappearing, if that is what you mean by the question. I think credit unions will always have a place and provide financial services.
While I have heard that many people think you have to be $1 billion or more in assets to succeed, I am not sure I fully agree with that. Obviously, size will give you scale, but I truly believe if you know what you’re doing and you have a strategic plan, even smaller asset size credit unions can build a sustainable model. It is about executing effectively on your strategy and avoiding the distractions around you.