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Credit Union Resilience: Strengthening Management with Tech

Aug 23, 2024

In the world of financial services, resilience is imperative to success – especially when it comes to credit union resilience. For a prominent credit union that was facing the dual challenge of reducing operational costs and fortifying disaster preparedness, maintaining uninterrupted service while safeguarding against crises required strategic decision-making and innovative technology solutions.

The Challenge

With assets exceeding $1 billion, this Mid-Atlantic-based credit union found itself at a critical juncture. Pressured to significantly trim operational expenses to prevent layoffs and address board concerns regarding disaster readiness, the institution sought a solution that could uphold service standards under any circumstances. Reliance on expensive MPLS circuits for network connectivity posed a risk, potentially disrupting critical operations during disasters.

Key Challenge: Find a solution that cuts costs, ensures high availability, improves disaster recovery capabilities, and seamlessly integrates with their evolving hybrid cloud infrastructure.

Implementation Strategy

Enter Team 29B, tasked with leading a transformative initiative. The project centered on deploying a Software-Defined Wide Area Network (SD-WAN) solution combined with Cisco Viptela technology. This strategic move aimed to modernize network infrastructure, achieve significant cost savings, and enhance operational efficiencies over time.

Key Implementation Steps:

  1. Network Upgrade: Rolled out high-speed, cost-effective broadband connections across all sites, gradually replacing expensive MPLS circuits.
  2. Equipment Enhancement: Implemented Cisco SD-WAN solutions across headquarters, disaster recovery sites, and branch locations. This upgrade facilitated intelligent path control, enhanced application performance, and strengthened security measures.

The Solution

Team 29B’s proposal went beyond mere infrastructure replacement—it represented a comprehensive overhaul designed to future-proof the credit union’s network capabilities. Here’s how the solution addressed the credit union’s critical needs:

1. Cost Savings

By transitioning from MPLS to broadband connections supported by SD-WAN technology, the credit union projected savings of approximately $900,000 over three years. This significant reduction in operational costs stemmed from eliminating the need for costly MPLS circuits while maintaining or improving network reliability.

2. Enhanced Reliability

Implementing redundant carriers and path-diverse circuits significantly enhanced network reliability. This redundancy ensured uninterrupted service continuity even in adverse conditions—be it natural disasters or man-made disruptions—ensuring seamless access to banking services for customers.

3. Disaster Preparedness

The credit union’s upgraded network architecture now stands resilient against potential disasters. With improved disaster recovery capabilities and a robust infrastructure backbone, they are better prepared to navigate and mitigate the impacts of unforeseen events.

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Outcomes and Future Prospects

The successful implementation of SD-WAN technology and Cisco Viptela solutions marked a turning point for the credit union. Beyond immediate cost savings and enhanced reliability, the institution gained a competitive edge in agility and service continuity.

Looking forward, the credit union is poised to leverage its upgraded infrastructure to explore new digital initiatives, support ongoing growth, and further optimize operational efficiencies.

Conclusion

Proactive investment in technology and strategic partnerships can yield significant benefits. By embracing SD-WAN and modernizing its network infrastructure, the credit union not only addressed immediate challenges but positioned itself for sustained success in an increasingly dynamic financial environment.

The credit union’s journey serves as a compelling testament to the transformative power of technology in shaping the future of financial services. By adapting to change and investing in resilience, this credit union has safeguarded its operations and reaffirmed its commitment to delivering reliable, uninterrupted service to its members—demonstrating its enduring strength and forward-thinking approach.

As disruptions become inevitable, institutions that prioritize resilience through innovative solutions will continue to thrive.

Dive Deeper

Download the full case study and discover how Team 29B can help your institution achieve unparalleled resilience and cost savings.

Download the full case study PDF

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