Competition heats up between Minnesota associations

Northwestern Financial Review, Feb 1-Feb 14, 2004 by Bengtson, Tom

The Minnesota Bankers Association and the Independent Community Bankers of Minnesota are ramping up services that will put the two groups in direct competition with each other in new areas. MBA has hired the former ICBM technology committee chairman to offer a new technology consulting service, and ICBM has hired a former MBA education director to upgrade its educational offerings.

MBA announced on Jan. 7 that it has hired James Kisch as its new technology/products and services manager. In the newly created position, Kisch will develop partnerships with technology resource firms and provide onsite technology consulting services to member banks.

Kisch had been vice president of information systems for Sunrise Community Banks, where he has worked for the last seven and a half years. Sunrise is the holding company for St. Anthony Park Bank, Franklin National Bank in Minneapolis, and University National Bank in St. Paul. Kisch had been chairman of ICBM's technology committee, which presented the association's TechXpo last October. Kisch also serves on the faculty of the Graduate School of Banking in Madison, Wis., where he teaches a two-day course on technology. In addition, he has served on MBA's technology committee.

"MBA membership expressed a need for technology support in a wide range of areas like risk management, strategic planning, customer relationship management and return on investment analysis," said Joe Witt, MBA executive vice president and CEO. "Jim's banking background and technology expertise made him a perfect person to lead our new technology consulting area and address our members' needs."

Witt said MBA began to consider creating the new service when its products and services manager position opened up early last year. That manager traditionally has handled relationships with endorsed vendors. Witt said that going forward, he and MBA Vice President Dan Melcher will handle established endorsed vendor relationships with Kisch handling new ones.

Witt said he hopes the technology consulting service will grow so that within a few years it will support two or three additional technology experts. "Jim is entrepreneurial and wants to grow that area," Witt said.

ICBM launched a technology consulting service for its members in September of 2000 when it hired Leo Stadnik, a former banker with technology expertise.

Meanwhile, Judy Clark, who headed MBA's education department in the early to mid 1990s, joined ICBM on Dec. 1 to strengthen the association's educational offerings. She is working two days per week in a contract arrangement. Clark, who also has worked with the American Institute of Banking, has more than 20 years of banking education experience, ICBM Executive Director Will Haddeland said.

Robert Bauman, chairman of ICBM's education committee, said ICBM sees an opportunity to offer training and education to bankers. "There are a lot of vendors offering this, but I feel the association offers credibility that bankers want," said Bauman, who is president of the State Bank of Kerkhoven.

Programs for lenders and ag bankers might be among the first added to the association's education calendar, Bauman said. Haddeland said the organization is exploring the creation of a compliance school.

ICBM has offered a teller training program for three years, and Bauman said that will continue. In addition, the association teams with the Independent Community Bankers of America to offer a number of educational programs. Bauman said that arrangement also will be maintained.

By Tom Bengtson