Mid-Year Strategic Review: Driving Excellence in Banking and Financial Services
By Matt Slonaker

As we hit the midpoint of 2025, it’s time for us to take a hard look in the mirror. The banking and financial services landscape is as dynamic as ever—rising interest rates, evolving regulatory pressures, and shifting customer expectations are reshaping how our lending and servicing teams operate. A mid-year strategic review isn’t just a box to check; it’s a critical moment to recalibrate, refocus, and ensure we’re delivering value to our customers, shareholders, and teams. As C-suite leaders, we set the tone. Here’s my take on why this review matters, the best practices to make it count, and the self-assessment questions we need to ask ourselves to lead with clarity and impact.

Why the Mid-Year Strategic Review Matters

In banking, the mid-year mark is a pivotal checkpoint. For lending and servicing teams, it’s where we assess whether our strategies are keeping pace with market realities—be it credit risk, digital adoption, or customer retention. This isn’t about tweaking a few KPIs; it’s about ensuring our teams are aligned with the broader economic environment and our institution’s long-term goals. A disciplined review helps us identify gaps, double down on what’s working, and pivot where needed. Done right, it’s a chance to reinforce accountability, boost team morale, and sharpen our competitive edge.

Top Best Practices for an Impactful Mid-Year Review

Over the years, I’ve seen what separates a perfunctory review from one that drives real change. Here are the best practices I lean on for lending and servicing teams:

1. Ground the Review in Data, Not Assumptions
   Numbers don’t lie, but they can be misinterpreted. Dive into loan portfolio performance, delinquency rates, and customer satisfaction metrics. For servicing teams, look at call resolution times, escalations, and digital channel adoption. Use predictive analytics to spot trends—whether it’s rising defaults or shifts in borrower behavior. The goal is to anchor every decision in hard data, not gut feelings.
2. Engage Frontline Teams for Real Insights
   Our loan officers and servicing reps are the eyes and ears of the organization. They know what customers are saying and where processes are breaking down. Bring them into the review process through focus groups or direct feedback sessions. Their insights can reveal operational bottlenecks or customer pain points that don’t show up in a spreadsheet.
3. Stress-Test Your Risk Management Framework
   Lending is inherently about balancing risk and reward. Mid-year is the time to reassess credit policies, stress-test loan portfolios against economic scenarios (e.g., rate hikes or recession risks), and ensure compliance with evolving regulations like Basel III or CFPB guidelines. For servicing, evaluate how well your team is handling distressed borrowers—empathy and efficiency are non-negotiable.
4. Prioritize Digital Transformation
   Customers expect seamless experiences, whether they’re applying for a mortgage or resolving a payment issue. Review your digital platforms—lending apps, self-service portals, and AI-driven chatbots. Are they delivering? If your online loan origination system has a 20% drop-off rate, that’s a red flag. Use the review to prioritize tech investments that drive efficiency and customer loyalty.
5. Align Incentives with Long-Term Goals
   Are your team’s incentives driving the right behaviors? For lending, bonuses tied solely to loan volume can lead to risky underwriting. For servicing, metrics focused only on call speed might erode customer trust. Revisit compensation structures to ensure they reward quality, compliance, and customer outcomes, not just short-term wins.
6. Communicate with Transparency
   A review isn’t just for the C-suite. Once you’ve set the course, share the outcomes with your teams. Explain what’s working, what’s not, and why changes are happening. In banking, trust is everything—both with customers and employees. Clear communication builds buy-in and keeps everyone rowing in the same direction.

Key Self-Assessment Questions for C-Suite Leaders

As leaders, we can’t just point fingers at the numbers or the teams. We have to hold ourselves accountable. Here are the questions I’m asking myself this mid-year to ensure I’m leading effectively:

1. Am I Anticipating Market Shifts?
   Have I stress-tested our strategies against macroeconomic trends like inflation, rate changes, or geopolitical risks? Am I relying too much on last year’s playbook, or am I pushing my team to innovate for what’s coming?
2. Are We Truly Customer-Centric?
   When was the last time I spoke directly to a borrower or sat in on a servicing call? Am I confident our processes put the customer first, or are we cutting corners to hit internal metrics?
3. Is Our Culture Driving Performance?
   Do our lending and servicing teams feel empowered to raise red flags or propose new ideas? Am I fostering a culture of accountability and collaboration, or are silos creeping in?
4. Are We Leveraging Technology Effectively?
   Are we investing in the right tools—AI for credit scoring, automation for servicing workflows—or are we falling behind competitors? What’s stopping us from closing the gap?
5. Am I Balancing Short-Term Wins with Long-Term Stability?
   Am I pushing for quick loan growth at the expense of risk management? Are our servicing metrics prioritizing efficiency over empathy? How am I ensuring we’re building a sustainable future?
6. Am I Investing in My People?
   Have I given my teams the training and resources to navigate today’s challenges—be it new lending regulations or advanced CRM tools? Am I actively developing the next generation of leaders?

Closing Thoughts

The mid-year strategic review is our chance to course-correct and double down on what makes us great. In banking and financial services, where trust and precision are everything, we can’t afford to coast. By grounding our review in data, engaging our frontline teams, and asking ourselves the tough questions, we can LEAD with purpose. Let’s use this moment to ensure our lending and servicing teams are not just meeting expectations but setting the standard for the industry.

Let’s get to work.

Matt Slonaker