ORNL Federal Credit Union (ORNL FCU) is a not-for-profit member-owned financial cooperative headquartered in Oak Ridge, Tennessee that serves the surrounding community. The organization strives to be the best financial partner by helping its members develop a healthy relationship with money.
Chartered in 1948 to serve the Oak Ridge National Laboratory employees, ORNL FCU has grown to hold assets of more than $2.3 billion and a membership of 170,000 people. One secret to its success has been a focus on continual innovation, with the organization embracing rather than shying away from progress.
Colin Anderson, President and CEO of ORNL FCU, explains: “Our membership has become younger and more diverse in recent years, and we take great pride in responding fast to their changing expectations. And they expect a lot: they want every type of channel, always at low cost. At the same time, we face constant competition from big banks, FinTech players and other financial institutions. To remain the first choice for our members, we aim to introduce new first-to-market technology every year.”
”We face constant competition from big banks, FinTech players and other financial institutions. To remain the first choice for our members, we aim to introduce new first-to-market technology every year.”
Colin Anderson, President and CEO of ORNL FCU
Growth relies on a member-centric approach
ORNL FCU recognized that members were making fewer visits to branches and interacting more via the organization’s website and mobile banking application. As members shifted their focus to the digital channel, ORNL FCU resolved to do the same, but found that its underlying technology platforms put limitations on its ability to innovate.
Dawn Brummett, Executive Vice President and Chief Operating Officer at ORNL FCU, says: “To drive growth in our membership base, deposits, lending portfolio and more, we need to meet our members where they want to connect with us, and in today’s world that’s often digitally. We wanted to bring new digital services and features to market quickly, but in the past, we were restricted by our previous vendors’ development timelines. We wanted to move at our own pace, not the pace dictated by our technology vendors’.”
Growth in digital channel
Annual member enrollment increase
Increase in total $ transactions
Growth in P2P payments
Outsourcing their technology, not their technology roadmap
ORNL FCU selected Temenos Infinity Retail Banking App to enable a unified, compelling member experience on every digital channel. Today, the Temenos solution supports the organization every time it engages digitally with a member, whether that’s via its online portal or mobile app.
Dawn Brummett describes the selection process: “Temenos checked all our boxes. Their technology is very open, integrating seamlessly with the rest of our third-party solutions and preparing us for changes in the banking industry. We were particularly impressed with the pre-built functionality of the app, which we saw we could use to introduce competitive features fast. Temenos are experts in their space, which would allow us to focus on what we do best, knowing that they have the technical capabilities covered. Finally, we saw great alignment between our and Temenos’ roadmap for the future.”
“Temenos checked all our boxes. Their technology is very open, integrating seamlessly with the rest of our third-party solutions and preparing us for changes in the banking industry”
Dawn Brummett, Executive Vice President and Chief Operating Officer at ORNL FCU
Using the Temenos Infinity Retail Banking App, ORNL FCU can take advantage of an aggressive timeline for upgrades and new features to roll out enhancements to member services. If the organization identifies a particular functionality that is yet to be offered by Temenos, it can capitalize on the openness of the platform to integrate with third-party solutions.
Building on its new capabilities, ORNL FCU has already augmented its mobile app and online portal with new features, including near-real-time P2P payments that enable members to send money and manage recipients and transactions at their convenience.
Brummett explained that the credit union identified a demand for faster P2P payments among their members and, with flexible Temenos Infinity technology on their side, they were able to respond very quickly. Within four weeks they had a new fintech partner plugged into their digital experience up and running. P2P payments increased by 137%.
ORNL FCU now has the tools to realize its ambitious expansion strategy, differentiating its digital channel to attract new prospects and build long-lasting relationships with existing members. Using packaged and extensible Temenos solutions, the organization reduces the time-to-market for new services and functionality, while enabling ongoing differentiation of member experiences. At the same time, increasing its focus on the digital channel over physical branches has led to lower costs and higher revenues, which played a role in enabling ORNL FCU to offer its members dividends for the last two years.
Colin Anderson explains: “Uptake of our digital channel has increased by over 150% since we started using Temenos technology, and our mobile app downloads are up 45%. When quantified on our balance sheet, our digital branch is now 67% larger than our biggest physical branch. Overall, we’re growing faster than the average rate in our market, putting us in a strong competitive position.”
ORNL CU has seen member enrollment rise by 25% over the last two years with dollar transactions through the digital channel increasing by 41%, taking total logins to 1.5 million each month. Dawn Brummett states: Working with Temenos has been an important part of our success, helping us to adapt quickly to changes in the marketplace to achieve our strategic objectives.”
A partnership focused on innovation and growth
As ORNL FCU continually evaluates vendors for the right fit, it sees great alignment with the Temenos roadmap. “We lean on Temenos to understand where technology is moving. We trust their experience in the market. We trust the research and the time that they spend to understand consumer needs, demands, and the overall consumer experience” explains Brummett.
Digital onboarding has been identified as a gap in the organization and the credit union is excited to explore Temenos Infinity Onboarding. The solution will power continued growth through a streamlined omni-channel customer-centric digital onboarding process. Reducing friction during the customer’s first-step creates an elevated “first impression” that sets the tone for years of elevated customer satisfaction.
Temenos Infinity Engage also presents the bank with an opportunity to build stronger member connections and loyalty in the digital channel. Infinity Engage humanizes banking in the digital age by connecting customers to a personal financial expert of their own choosing.Dawn Brummett summarizes,
“The Temenos relationship allows us to experience a versatile platform, to quickly adapt to changes, and to move with the market in alignment with ORNL Federal Credit Union’s strategic objectives.”Dawn Brummett, Executive Vice President and Chief Operating Officer, ORNL FCU