Pub. 1 2010 Issue 3

www.wvbankers.org 12 W hat is certain is that our industry is experiencing a period of transition while moving toward a new financial landscape, resulting in many questions about how organizations are positioning themselves for this new landscape. To shed some light on these questions, Angott Search Group (ASG) has conducted a survey of bankers across the country from Wall Street to Main Street to provide insight into their views on the industry, their immediate plans and the future of their organizations. Our focus included areas such as growth opportunity, hiring plans, obstacles to growth and compensation. Banking Industry Faces New Financial Landscape Outlook Cautious but Stable, according to ASG Survey By Brian Rhonemus, Managing Director of the Financial Services Practice, Angott Search Group While the worst of the financial crisis and economic downturn seems to be past, the future of the financial services industry still remains uncertain. The competitive landscape is in flux and the debate about regulatory change continues. Growth Opportunity The majority of bankers today are find- ing that organic growth is tough in the present economic climate, although some of the larger institutions see a chance to grab market share. The last two years have also given many banks an opportunity to focus on sticky depos- its rather than brokered deposits. According to our survey, more than 55% of the respondents indicated that the current banking environment will provide a good growth opportunity, with 21% stabilized but not moving forward, and 24% forced to take a step back. Although many banks were thrown into survival mode by the global financial crisis, it appears that 76% have survived intact. These findings reflect a cautiously optimistic outlook for the future; if the numbers hold true, there will be some winners as we move to close out 2010. Hiring Plans Hiring plans for the balance of 2010 will continue to see considerable pressure and possible cuts in some institutions, with 27% planning to add staff. Another 44% will make selective new hires, replacing open positions and maintain- ing all-over staff size, and 29% have no plans for taking on new hires. For those who are making increases to their payrolls, the Lending Manage- ment arena with 54% will see the most new hires. At a distant second is the deposit area at 17%. These findings are further supported by our experi- ence at ASG. In the last several weeks there has been a significant increase in Commercial Loan Officer search. As compared with 2009, we are filling three times as many production-related positions (business banking, commer- cial lending, mortgage lending). Our industry is still in an employer- driven market, a cycle that has existed for the past 18-24 months. It is impor- tant, however, for those institutions that are planning to make new hires – whether they are adding staff or filling open positions – to recognize that the