Independent banks to form data processing operation

by Melissa Wilson

SBJ Staff

Twenty-five independent banks in the Springfield area, including Liberty Bank, Mid-Missouri Bancshares Inc., Village Bank, The Bank, Bank of Urbana and Ozark Bank have formed an alliance to serve their data-processing needs, according to Jay Burchfield, Trust Company of the Ozarks chairman.

Burchfield who began Trust Company of the Ozarks in March 1998, and served as chairman and chief executive officer of Boatmen's Bank of Southern Missouri before it became NationsBank is serving as the coordinator of the task force for the project.

"We're finding out that independent banks, while still competing with each other, can do some things together to benefit everybody," Burchfield said, referring to the fact that many of the banks involved in the alliance are also shareholders in Trust Company of the Ozarks. "In talking with a number of independent bankers, I found out along the way that another area they were having problems with was meeting their data-processing needs."

Burchfield said the more he talked with independent bankers, the more he thought there could be a strategic alliance between area independent banks to form a regional data-processing operation that would serve their needs.

The task force, made up of representatives from six of the 25 banks, is considering locations, working out the legal aspects, interviewing vendors and talking with prospective employees to staff the yet-to-be-named company, which Burchfield said should be in operation by early 2000.

Because some of the independent banks in the alliance must fulfill contracts with other service bureaus and will most likely not all come on board with the new company at once, staffing will occur in stages, Burchfield said.

"We might have one or two or three or five banks that would come on when we open the company, then a few more each year. Therefore, the staff would increase as needed. I would think we'll start off with less than 10 employees the first year," Burchfield said.

Burchfield, who is also a shareholder in The Bank and coordinated the application of the Great Game of Business principles to its and Trust Company of the Ozarks' operations, said the key to conquering employee turnover, especially in data-processing jobs, is communication, involvement and making all employees feel that they play an integral part in the profitability of the company.

"For example, at The Bank, everyone's a stockholder. All the associates here at Trust Company of the Ozarks have the opportunity to be stockholders. Sharing the wealth of the company, and having the associates involved in planning the company's objectives[[In-content Ad]]