Your supervisory and audit committees are under increasing pressure. In many parts of the country, examiners have ramped up their review and expectations of the supervisory committee.
As credit unions have become more complex, it has become more challenging to keep up with regulations, product and service offerings, delivery systems, and security threats.
Some challenges we’ve observed during our interactions with boards and these committees:
- Recruitment. It’s not uncommon to see higher turnover among the committees, and it’s challenging to find and retain people who have the right aptitudes, skills, and desire to serve.
Consistency. Volunteering isn’t easy. It requires a high and consistent level of commitment.- Scope of audit. Many committees are working from old scope of audits, or audits that are no longer current or lack the red flags for fraud, regulatory issues, or other risks that have emerged. Audits need to remain relevant to current and emerging risks.
- Depth of training. Board members must go beyond surface-level training to ensure they know the potential underlying risks of what they are auditing.
Consider these five recommendations when building your credit union’s…
