Financial Institution Managers direct and coordinate the operations of financial institutions, such as banks, finance companies, mortgage banking companies, savings and loan associations, and credit unions according to policies set by the institution's board of directors. Financial Institution Managers also abide by existing laws and regulations set by federal, state, and local government agencies.

Job Duties 

Financial Institution Managers may:

Establish and maintain relationships with individual and business customers

Determine custody and control of assets, records, collateral, and securities held by the institution

Implement policies and procedures of operation

Determine the activities of workers engaged in accounting and reporting transactions, and setting up accounts

Approve or reject lines of credit and commercial, real estate, and personal loans

Represent customers in business affairs with the institution

Generate new business through participation in community projects and civic organizations

The machines, work aids, and equipment used may include:

Depending on the financial institution, services may include:

Advances in technology provide more services to customers. For example, electronic funds transfer systems (EFTS) allow:

Payment of loans and bills by automatic deduction from personal checking accounts.

Direct payment for retail purchases by electronic transfer of funds from the customer's personal checking account to the checking account of the retailer.

OCCUPATIONAL SPECIALTIES

186.167-086 FINANCIAL INSTITUTION MANAGERS direct and coordinate the operations of institutions, such as banks, finance companies, mortgage banking companies, savings and loan associations, and credit unions according to policies set by the institution's board of directors. Financial Institution Managers also abide by existing laws and regulations set by federal, state, and local government agencies.

Managers are often known by the type of financial institution they manage, such as bank branch manager, trust company manager, or savings and loan association manager. They may also be designated according to the type of loan made, such as consumer credit manager. Financial Institution Managers who are also corporate officers of institutions are designated according to the title held such as vice president.

In addition to learning about these specialties, you may also find it helpful to explore the following CEscripts:

WORKING CONDITIONS AND REQUIREMENTS

Financial Institution Managers frequently work closely with the public. Most Managers are not closely supervised. They supervise and are responsible for the performance of a staff of workers.

Financial Institution Managers usually work in attractive, comfortable surroundings. Offices are air conditioned and well lighted and have adequate work space. Only top Managers are likely to have private offices.

Generally, Managers work 37 1/2 to 40 hours, but they may work up to 50 hours a week. Their work schedule may include late evenings and weekends. They often travel within the community to maintain contact with existing customers and to develop new business.

Many Financial Institution Managers are members of The American Bankers Association or The United States League of Savings Institutions. Association members must pay periodic dues.

You Should Prefer:

• Activities involving business contact with people

• Activities which bring recognition or appreciation by others

You Should Be Able To:

• Use reason and logic

• Direct, control, and plan the activities of others

• Make decisions based on your own judgment

• Deal courteously and tactfully with people

• Perform mathematical operations quickly and accurately

• See details and delete and correct errors in written materials

• Communicate effectively both in writing and orally

• Perform a variety of duties which may change often

• Organize your time and work well under pressure

Math Problem You Should Be Able to Solve:

A company invests $15,000 for three years at an interest rate of 8.6% compounded annually. At the end of each year, the bank will add the interest into the company's account. How much money in interest does the company earn after 3 years?

Reading Example You Should Be Able to Read and Comprehend:

Appraised values should be taken as a definite guide to current purchase or sale only if they exceed or fall below the market price by at least one-third. In other cases they may be useful as a supplemental fact in analysis and investment decisions.

Writing Example You Should Be Able to Produce:

Prepare the necessary papers for a client who is interested in mortgaging a home.

Thinking Skill You Should Be Able to Demonstrate:

Should be able to demonstrate excellent analytical and organizational skills and be detail oriented in directing and coordinating operations of financial institutions.

EDUCATION AND PREPARATION OPPORTUNITIES

NOTE: A Certificate (program of up to one year of study beyond high school) or an Associate Degree (two years of study beyond high school) or a Bachelor's Degree (four years of study beyond high school) or a Master's Degree (five to six years of study beyond high school) may qualify a person for this occupation.

The following education and preparation opportunities are helpful in preparing for occupations in the CEscript:

***SCHOOL SUBJECTS***

0600 BUSINESS , 0700 CAREERS , 0900 COMMUNICATIONS , 1000 COMPUTERS , 1100 ECONOMICS , 1300 ENGLISH , 1600 FOREIGN LANGUAGE , 1700 GOVERNMENT , 2000 LIFE MANAGEMENT , 2200 MATH , 2800 PUBLIC SPEAKING

***VOCATIONAL EDUCATION PROGRAMS***

There are no Vocational Education Programs related to this CEscript.

***POSTSECONDARY PROGRAMS***

018 BANKING & FINANCE

Programs in Banking and Finance are designed for those who want to work in financial institutions. Such programs are also useful to present employees who desire to upgrade their skills. Banks, savings and loan associations, credit unions, trust companies, credit agencies, and lending institutions are among potential employers.

Courses vary from school to school and depend on the degree level of the program. Courses may include:

  Search for a College and/or Instructional Program

***APPRENTICESHIP OPPORTUNITIES***

There are no Apprenticeships related to this CEscript.

***MILITARY TRAINING OPPORTUNITIES***

There are no Military Programs related to this CEscript.

E-Learning Courses and Programs

OPPORTUNITIES FOR EXPERIENCE AND METHODS OF ENTRY

Applicants for positions must be bondable and have good credit records. College training or professional work experience in business administration, communications, accounting, economics, marketing, and banking is often required to become a Financial Institution Manager.

School-to-Work opportunities include:

informal apprenticeships

mentorships

job shadowing experiences

touring a local Financial Institution Manager employer

internships

volunteer work with a Financial Institution Manager employer

community service work with an agency

Summer or part-time work as a clerk, messenger, or teller provides valuable training for potential Financial Institution Managers. Post- secondary programs in banking and finance may offer co-op, internship, or related work experience opportunities.

The most common way of becoming a Financial Institution Manager is by applying directly to employers. College placement offices and newspaper want ads may help you locate job openings. In addition, you should access and search the Internet's on-line employment services sites such as:

Michigan Jobs & Career Portal

Michigan Talent Bank

BankJobSearch.com   

Careers-in-Business   

Yahoo! Careers

MONSTER.COM

Michigan Works!  

You should also enter an electronic resume on these on-line services.

EARNINGS AND ADVANCEMENT

The earnings of Financial Institution Managers depend on their ability and position and the size and type of the financial institution.

Nationally, recent college graduates with a bachelor's degree in banking and finance had beginning annual salaries between $35,000 and $47,000 in mid 2004. Their average salary was $40,906. Those with a master's degree had an average salary of $64,000 per year. Salaries of senior officers may be several times higher. In 2003, the median annual salary of Financial Managers was $52,208. The median yearly earnings of "all" workers in the U.S.    were $32,240 in 2003.

In the Detroit    area, average annual salaries (early 2004) for bank branch managers were:

In addition to their salaries, Managers may receive yearly bonuses.

Financial Managers may receive paid vacations and holidays, sick leave, pension plans, health and life insurance, and educational assistance. Managers may also receive checking accounts, traveler's checks, money orders, and the processing fee for home loans free or at reduced-rates.

Individuals with college degrees in business or related fields usually start in management training programs which may extend from 6 months to 4 years. A career ladder for Financial Institution Managers may be: management trainee; assistant manager; Financial Institution Manager; vice president; president.

Proven ability during training, as well as the amount and type of position experience and the availability of openings, determine how quickly a person advances. Education offered by the American Institute of Banking (American Bankers Association) or the Institute of Financial Education (United States League of Saving Institutions) may increase an individual's chances for promotion.

EMPLOYMENT AND OUTLOOK

Nationally, about 580,500 Financial Institution Officers and Managers were employed in 2002. Many worked for banks, savings and loan associations, personal credit institutions, mortgage bankers, and business credit institutions. Others worked for other types of financial institutions, such as agricultural, rediscount and financing institutions, and establishments closely related to banking. Employment of these Managers is expected to grow about as fast as the average for all occupations through the year 2012. About 2.9% of them were self-employed. The industry distribution for Financial Managers looked like this:

Moderate growth has been projected for Financial Institution Managers, although recent mergers in the banking industry have reduced staff size. Most staff losses occur in upper management with fewer in service delivery management. Competition for jobs should be keen because of the number of qualified applicants.

Due to changing regulations and increased government scrutiny, financial managers in financial institutions must place greater emphasis on accurate reporting of financial data. They must have detailed knowledge of industries allied to banking-such as insurance, real estate, and securities- and a broad knowledge of business and industrial activities. With growing domestic and foreign competition, knowledge of an expanding and increasingly complex variety of financial services is becoming necessary for financial managers in financial institutions and other corporations. Besides supervising financial services, financial institutions may advise individuals and businesses on financial planning. Knowledge of a wide range of financial services, as well as, data processing and management information systems technology, will increase an applicant's chances for employment.

There are approximately 15,875 Financial Institution Managers employed in Michigan    . Most worked in urban areas and were employed by banks, savings and loan associations, trust companies, finance companies, and mortgage banking companies.

Employment of Financial Institution Managers in Michigan    is expected to grow about as fast as the average for all occupations through the year 2010. An average of 440 annual openings is expected, with 200 due to growth and 240 due to replacement of those workers who retire or leave the labor force for other reason. Additional openings will occur to replace those who transfer to other jobs or occupations.

The application of electronic commerce in banks and credit unions and the expansion of financial services, should help sustain the demand for Financial Institution Managers. In addition, population growth and urban expansion are expected to create some limited number of employment openings for more workers to manage new offices. However, bank mergers and acquisitions have forced considerable down-sizing upon the banking industry. Additionally, most bankers, eager to see their customers reduce their use of high-cost branches and step up their use of electronic banking systems by phone or personal computer have greatly reduced the number of walk-in branch offices. This has reduced the need for additional bank branch office managers. Opportunities for employment will be best for women and minorities, but competition will be keen for all applicants.

MICHIGAN 'S EMPLOYMENT OUTLOOK TO 2010 

SOURCES OF ADDITIONAL INFORMATION

Printed occupational information is available upon written request from sources: