CONNECT Banking Services Project

beneficial economic impact of the institutions on the region CONNECT researched the effect the five member schools have on the region's economic well being, and published the results, which detailed the wide-ranging, beneficial economic impact of the institutions on the region.

Summary

Through a collaborative banking services bid process, three of the CONNECT institutions realized approximately $100,000 savings in banking fees from the previous fiscal year. The prices received from the bid are locked in for three years, so the institutions are guaranteed at least two more years' worth of savings. This collaboration resulted in both significant savings and improved banking services.

Activity Description

In a collaborative effort, CONNECT prepared a banking services bid document. The Request for Proposal received many responses. After careful analysis of all bids, three of the CONNECT schools contracted with Bank North for their banking services. As a result of our joint bid, the three institutions realized approximately $100,000 savings in banking fees from the previous fiscal year. These savings were achieved in a year that has had an increase in transactions based on higher enrollment and more banking services offered to staff and students. The prices received in the bid are locked in for three years, so the savings described above will continue for an additional two years. In the past, bid responses have included annual increases for fees. Bank North, through the CONNECT bid process, has guaranteed the institutions three years' worth of cost savings, while at the same time, increasing the bank services currently being provided by the CONNECT institutions. The effort in developing the joint Request for Proposal is an outstanding display of the colleges in our region working together to save money and improve services.

Objective(s) of Activity:

  • To pool the volume of banking transactions of CONNECT institutions to prepare and submit a more attractive Request for Proposal to the banking community.
  • To share knowledge and experiences of banking services being offered on CONNECT campuses to students and employees.
  • To save CONNECT colleges' financial resources and improve financial services we provide to students.
  • Expand banking technologies used by our colleges that were previously not affordable or available when bidding individually.

Impact/Results of the Activity:

  • CONNECT Partnership institutions involved in the project saved approximately $100,000 for this first year, and the savings is expected to continue or increase for the next two years.
  • Bank North was the successful bidder, they offered more services than previous banks used by the CONNECT schools, allowing us to take advantage of new services. These additional services have improved the efficiency of fiscal services at our schools.
  • Improved services include online banking which allows electronic transfers, daily checking of transactions, and better transaction documentation.
  • CONNECT Partnership institutions are now considered "significant customers", which resulted in increased customer service, including reduced responsive time to articulated needs as observed prior to this joint effort.

Why program/activity is considered a best practice?

  • This effort made by the CONNECT institutions is a best practice because it demonstrated how our institutions can work together to improve services to our institutions and students. This effort also saved partnership members $100,000 for a minimum of three years.
  • This project allowed CONNECT fiscal departments to compare services and technologies used at other institutions to determine if they would benefit our own institutions. Through this process, many new contacts were made within our fiscal areas that has led to discussions about other topics, which have helped the CONNECT institutions improve as a group.