Branch Transformation

How banks can lead through transformation, tech

In an era of rapid transformation, community banks and credit unions are uniquely positioned to lead with both heart and technology.

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February 10, 2026 by Joe Myers — Executive Vice President, Global Banking, Diebold Nixdorf

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In an era of rapid transformation, community banks and credit unions are uniquely positioned to lead with both heart and technology. At Diebold Nixdorf's Intersect, the company's premier customer event, a panel of six C-level executives from regional banks and credit unions centered their conversation on how institutions are preparing for the future.

Their insights reveal a shared commitment to modernization, workforce empowerment, and deep community engagement — while navigating the complexities of compliance, AI and customer expectations.

Strategic investment

The panelists unanimously emphasized the importance of technology investment and staff development. Kimberly Guyton, President and CEO of Triangle Federal Credit Union, highlighted the challenge of staying competitive with larger institutions while maintaining personalized service. "As a smaller organization, we must provide the same conveniences our members expect from national banks," she said.

Jackie Hoonjan, president and CEO of Pacific Cascade FCU, shared her bold move to drop indirect lending, focusing instead on organic growth, staff training, and automation planning. "This is a time for preparation," she noted, underscoring the need to build internal capacity before scaling further.

Client acquisition and community engagement

With 52% of customers open to switching banks, the panel explored how to attract and retain clients in a competitive landscape. Jennifer Wallace, president and CEO of Pike National Bank, emphasized community branding over transactional marketing. "We're not just the bank around the corner—we're at the baseball game, the community fair, and the church," she said.

Steve Lewis, president and CEO of Thomaston Savings Bank, shared success with geofencing, targeting customers as they enter competitor branches. Judy Long, president and COO of First Citizens National Bank, described educational outreach programs like Smart Women and Smart Kids, which build trust and financial literacy across generations.

Innovation and modernization

Modernization is no longer optional; it's strategic. Long discussed the limitations of legacy core systems and the need to look beyond them for front-end innovation. Her bank is opening its first technology-only branch, supported by universal bankers and API-connected ATMs.

Arlo Washington, president and CEO of People Trust Community FCU, took a radically different approach: building a custom core system using middleware and APIs. "We control the entire experience, front to back," he said, demonstrating how even small institutions can innovate boldly.

Workforce management in a hybrid era

With up to 26% of banking roles potentially automated, the panelists stressed the importance of upskilling and employee experience. Guyton emphasized that technology should free staff to build relationships, not replace them. "No one has to fear losing their job to automation," she said.

Lewis shared his bank's creation of an Employee Experience Officer, responsible for the full lifecycle from onboarding to retirement. "Culture is a competitive advantage," he said, describing personalized gestures like sending gifts for new babies or home purchases.

AI and technology deployment

AI is reshaping banking operations—from fraud detection to contract review. Lewis described using AI to scan vendor contracts and flag cybersecurity threats. Washington's institution uses bots for customer service and ACH automation, with sandbox testing to ensure reliability.

Yet, the panel also raised concerns about AI governance. Wallace and Long cautioned against regulatory risks and the need for ethical deployment. "We've been using AI for many years," Long said, "but now we must understand how and why we use it."

Risk and compliance strategy

Compliance costs have surged, prompting a re-evaluation of legacy processes. Lewis described how his team eliminated outdated controls and manual steps, replacing them with automation and best practices. Hoonjan echoed the need to revisit procedures: "Are we doing things just because we always have?"

Washington shared how his institution integrates Know Your Customer (KYC) and transaction monitoring directly into its custom-built system, streamlining onboarding while safeguarding against financial crimes.

Leading with purpose and precision

The panelists' stories reflect a powerful truth: community banks and credit unions are not just surviving—they're innovating. By investing in technology, empowering staff, and staying rooted in their communities, these institutions are redefining what it means to be a modern financial partner.

As we look ahead, the message is clear: lead with purpose, plan with precision and never lose sight of the human connection that defines community banking.

About Joe Myers

Joe Myers serves as Executive Vice President, Global Banking for Diebold Nixdorf, joining the company in 2022. In this role, he is responsible for leading the company’s Banking business teams around the world, working directly with customers to help automate, digitize and transform the way people bank. His span of accountability includes full P&L leadership, sales, banking service, and financial solutions distribution, including professional and managed services and key strategies.

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Diebold Nixdorf

As a global technology leader and innovative services provider, Diebold Nixdorf delivers the solutions that enable financial institutions to improve efficiencies, protect assets and better serve consumers.

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