1. 2012: The Year
We Changed Banking
(770) 664-9239 | www.resurgentperformance.com

2. We’re Here. Now Where Do We Go?
• Banking executives have begun the first
quarter of 2012 wondering how this year will
be different from last year.
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3. Because the Last Years Have Not
Looked Outstanding
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4. It’s Clear That Change Is Required.
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5. Can Banks Make a Turnaround?
Absolutely! But not by doing things the way
we’ve always done them.
• The characteristics of failing or even
marginally profitable banks are:
– Usually obvious
– Often ignored
– Frequently resisted
“Simply ‘hanging on’ … can prolong the agony of a troubled bank without
resolving the underlying problems.”(McKinsey Quarterly).
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6. Resolve to Change
Authentically. Fundamentally.

7. Find a Niche
• High performing banks will find niches that
make them relevant in their individual
markets.
– Do you work in an urban area with a lot of small
business?
– A university area with college students and young
professionals?
– Take a long, hard look at your markets, and stop
trying to be all things to all people.
– Define your niche and excel in it!
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8. True Niche Banking
Instead of trying to build a social community
around a bank, niche banks will build relevant
banking services into a social community.
--”Tribed” – www.thelongtailofbanking.com
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9. Return to Customer Profitability
• Along those same lines, return to (or start)
customer profitability modeling.
• Our most profitable customers might not be
who we thought they were.
• Define the segment and demographic that you
will serve:
– Create the profitable profile.
– Market to customers like them, from whom you
can gain your fees and your margin.
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10. Differentiate Community Banking from
“Big Banking”
• Among the “least trusted” industries and
entities in the U.S. during 2011 were
banking, tobacco, and government.
• Make sure your clients know that they are the
most important factor
in your business.
Harris Interactive Reputation Quotient, 2011
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11. Go Back to the Drawing Board on
Cutting Costs
• The cuts have simply not gone deep
enough, especially given volumes and changing
customer patterns.
• Without better margins and fee income, we will
not be able to sustain the expenses that we have.
• Does your cost structure add to your bank’s
service / image differentiation, or unfortunately
add to the industry product commoditization?
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12. Learn from Non-Banking Leaders
• What can your bank learn from these companies?
Harris Interactive Reputation Quotient, 2011
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13. Optimize Your Branch Network
1. 59% of customers performed a teller transaction at a branch within the
last two weeks.
2. 74% of bank customers said they opened their most recent account in a
branch.
3. 52 percent say branch location is the top reason why they selected a bank.
4. Live interactions continue to drive customer satisfaction and loyalty.*
100000 * Prime Performance’s 2011 Bank and
90000 Credit Union Satisfaction Survey
80000
70000
60000
50000 Having Something New & Exciting
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30000 to Sell is Important to Sustained
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10000
Relevance
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Institutions Branches
Bank Director / “Face to Face Still Trumps Technology.” 13

14. Turnaround within the New Reality
that is the New Normal of Banking
All the changes you make will be
within a new framework.

15. A Few Inescapable Realities
• Banking is destined to consolidate further and
further.
• Scale does matter to effectiveness and
efficiency.
• Increased regulatory costs are inevitable – and
difficult to deal with.
• Small margins are part of our foreseeable
future for the traditional business lines.
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16. The Reality of Consolidation
• Decide which side you are on:
– Acquirer
– Acquiree
– Survivor / Thriver
– Bench warmer
• Make your changes based on that decision:
– Look for targets
– Position your bank for sale
– Plan for the future
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17. The Reality of Scale
• Continue to look toward technology to help with:
– Customer acquisition
– Convenience
– Speed of delivery
– Efficiency
• Technology will be:
– More integrated
– Enterprise solutions and collaboration tools
– Enhanced web and mobile solutions
“Five Predictions for 2012.” Bank Systems + Technology, January 2012
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18. The Reality of Regulation
• “To meet the burden of only 10% of the new rules required by the Dodd-Frank Act, it will take
56,516 work weeks devoted solely to this administrative burden, or more than 1,100 work years. If
1,000 Americans worked full time all year, every year, with no vacations or
holidays, they would still be unable to complete all the work that the rules
require.”
– One Year Later: The Consequences of the Dodd-Frank Act
– House Financial Services Committee
• Utilizing technology, collaboration, and
outsourcing to counter the rising costs of
compliance
• Products will change – so will processes
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19. The Reality of Margins
• Fee income will be critical to come through
the current margin crunch:
– Customers must be comfortable with the value
provided for previously-free services.
– Regulatory issues and public perception will
weigh heavily.
– Real convenience and specialization will have
customer value.
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20. Changing Banking within a
Changed Landscape
It is time to think differently, to look at new
strategies, and to determine
how to become more relevant.
• “We strongly believe that our communities cannot reach their
full potential without the local presence of a bank – a bank
that understands the financial and credit needs of its
citizens, business, and government.”
– Thomas Boyle, Vice Chairman, State Bank of Countryside (Illinois)
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21. (770) 664-9239 | www.resurgentperformance.com
Resurgent Performance, Inc. (RPI), serves as your project leader, partner and coach, driving the change that is right
for your culture with strategies specific to your unique needs.
RPI consultants have decades of financial industry expertise and knowledge, and provide the fresh perspective that
will allow your bank to dramatically increase share value and gain a competitive edge in today's marketplace.
Our team includes operational specialists, profitability experts, crisis managers, bank performance experts, strategic
thinkers and innovators – seasoned bankers and highly skilled management consultants who have dedicated their
careers to the improvement of the financial services industry by addressing the unique requirements of each client.
Our name means "revive", or "restore to prominence", and we are committed to helping your financial institution do
just that, and more.
2012: The Year / We Changed Banking