NFCU

Assessment of the Process and Structures of National Federal Credit Union (NFCU)

Elizabeth Wallio

Abstract

This research seeks to establish the organizational structure of Navy Federal Credit Union, and the purpose behind its formation. The history of Navy Federal Credit Union is also investigated, and the way this union has undergone several changes is outlined. This research utilizes a comparative case study as the methodology due to the availability of information related to the topic of discussion. The significance of this research is that it sheds information regarding the formation of the credit union and the services provided by Navy Federal Credit Union. It also educates members of the public as well those of the department of defense regarding their rights in dealing with the credit union.

Table of Contents

Abstracti

Introduction1

The Background of the Organization1

Navy Federal Credit Union Structures2

Navy Federal Credit Union Processes3

Comparison with “Hatch” Metaphor3

Hatch metaphor 1: “The Sentinel Tree Stands Guard At the Gate”3

Biblical Support4

Outcomes4

Findings5

Recommendations5

Conclusion6

References7

Assessment of the Process and Structures of National Federal Credit Union (NFCU)

Introduction

Navy Federal Credit Union is the largest credit Union globally. This is estimated in terms of its asset ownership and membership. Navy Federal Credit Union has its headquarters at Virginia, and the National Credit Union Administration, which is mandated by the United States government, regulates the activities of Navy federal Credit Union. The Navy Federal Credit Union receives its charter from NCUA, and the department of defense acts as its sponsor. This union has collaborated with organizations such as CGI and Darden Education Center to improve the efficiency of the organization.

The Background of the Organization

Navy federal Credit Union became incorporated in 1933. It commenced through issuing of ten thousand shares, which were price at $10 each. The President of the Navy department who was William L. Harrison was the only person allowed to preside over its meetings. Navy Federal Credit Union was faced with many challenges during the first years of its operations, but these did not deter it from expanding (Books Group, 2010). After the First World War, the Union embarked on hiring professionals to monitor its activities, which saw the election of William A. Hussong as the first office manager. Initially, its membership was only restricted to members individuals residing in Washington, but this was changed in 1951 when the Union decided to extend its membership. By the close 0f 1988, the Union boasts of an increase in assets ownership, which clocked $2 billion from the initial $1.5 billion. In the same year, the company also managed to start issuing loans, which was an expansion from their loans and savings services (Emmons, 2002).

NFCU underwent a major expansion in the 1990s. It boasted of 56 local branches while 26 were situated abroad. Brian McDonnell took over the operations of the union in 1996 after Hughes and utilized $60 million for the expansion of the union's headquarters. NFCU also experienced an increase in its membership during 1990s with the number hitting two million, and an increase in assets to $11 ...