Streamlining Risk Management: How Credit Unions Can Enhance Compliance Through Tech Onboarding

In the rapidly evolving landscape of modern workplaces, many employees frequently encounter new software platforms appearing unexpectedly on their screens. This sudden implementation, often conducted without prior consultation, can inadvertently disrupt workflows. It highlights the importance of employee involvement in technology rollouts, as their feedback is crucial for successful adoption.

The Importance of Employee Involvement in Technology Rollouts

Research from ViClarity suggests that neglecting to include key users in decision-making processes is a significant oversight for IT leaders. In fact, a recent EY survey indicates that 89% of U.S. workers view emerging technology as beneficial for their organizations. Failures in tech implementation are rarely due to resistance to change; rather, they stem from a disconnect between the technology and the employees’ workflows.

Challenges for Compliance Professionals in Credit Unions

The challenges are even more pronounced for compliance professionals within credit unions. They not only need to adjust to new technological tools but also ensure that these tools comply with internal risk policies and regulatory requirements. As credit unions increasingly engage with complex FinTech partnerships, the need for diligent compliance becomes even more critical.

Strategies for Successful Technology Adoption

To streamline the process, early collaboration between IT and compliance teams is essential. Involving compliance professionals in the vendor selection process not only enhances decision-making but also mitigates the risks associated with poorly integrated solutions. Here are some key considerations:

• Usability: A Freshworks survey reveals that IT leaders cite overly complex systems as a primary barrier to tech adoption. Compliance leaders fear that cumbersome platforms could force employees to seek workarounds, leading to shadow IT and potential regulatory infractions.
• Up-to-date Technology: Over 59% of senior executives believe new technologies are outdated by the time they are implemented. Legacy systems can pose significant compliance risks due to cyber vulnerabilities and user frustration.
• Cultural Alignment: Compliance teams expect FinTech vendors to uphold similar governance and risk principles, as credit unions are accountable for any violations, even those introduced by external partners.
• Executable Controls: Clarity on how new solutions mitigate risks, such as data breaches, is crucial. Pre-engagement risk assessments can help identify vulnerabilities and develop control strategies.
• Ease of Due Diligence: For smaller credit unions, where a single individual may manage vendor relationships, adopting automated tools and centralized documentation can significantly ease the compliance workload.

Empowering Employees for Successful Tech Adoption

For credit unions, successful technology adoption transcends merely enhancing services for members. It is vital to ensure that all internal users, from super users to compliance leads, are equipped and empowered to utilize these tools effectively. Engaging the entire team from the beginning significantly increases the likelihood of successful innovation.

In conclusion, by prioritizing employee involvement and fostering collaboration between IT and compliance teams, credit unions can navigate the complexities of technology implementation more successfully. For more insights on technology and compliance, check out our related articles on compliance best practices and tech adoption strategies.