TS Bank

TS Bank
Treynor, Iowa
2013 ROE: 16.39
Assets: $290 million
Retail locations: four
Employees: 80
Website: www.tsbank.com

What has TS Bank been doing to continue its strong performance?

Guttau: Our focus is on growth strategies and refocusing our branding initiatives, not cost cutting. We continue to invest in the bank’s future with intellectual capital, our employees, as well as provide them with professional development, so they can continue to feel fulfilled and part of the TS Bank mission.

We want employees to own their own success, and encourage in our culture for them to “be the CEO of your position.”

What key industry issues do you see?

Guttau: Technology advancements and losing market share to the megabanks continue to be two issues that can hinder community banks. We need to be early adopters in the mobile market for our clients and continue to offer cutting-edge products that compete toe-to-toe with megabanks and nonbank entities. In our community bank this is happening, however, we need to do a better job of communicating this to the consumers, the public and our own client base.

Community banks also can no longer just rely on local market loans, unless they expect to reduce their credit quality. We need to move away from the traditional model of local loans and local deposits only. We will have to have better risk management and systems in place to choose to go outside of geographic markets to find more business.

What’s important for the future?

Guttau: Community banking is key to community survival. We need to be more concerned about our client’s success than their satisfaction. By being engaged in the community, serving as partners with our clients and offering continual financial education, only then can we continue to build strong businesses and strong communities.

My belief is that analytics and technology will be the two key areas that drive this, and this is why we are choosing to invest in people and systems for those two areas that are above and beyond the norm in community banking.

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