2024 Journal of Community Bank Case Studies

FIRST PLACE: Commonwealth University of Pennsylvania THIRD PLACE: Southeastern Louisiana University

acknowledges the need for the data but Melville expressed concern about the potential for the regulations to commoditize customer data (personal interview, 21 Mar 2024). Compliance versus maintaining personalized customer service may lead to tension between the bank and regulators. Bank Examination Preparation and Anticipated Adjustments b1Bank specifically prepares for regulatory examinations through a detailed and systematic process to ensure compliance and demonstrate sound financial management. b1Bank conducts a thorough self-assessment, involving internal audits to identify and address any potential compliance issues or operational risks (Robertson et al, personal interview, 21 Mar 2024). The process includes a comprehensive review of findings from previous examinations to verify the effective implementation of all recommended changes. b1Bank examines the risk management framework to certify adequately addresses the risks faced by the bank—credit, market, operational, and liquidity. Testing includes inspecting risk assessment models and verifying that the risk management processes comply with regulatory guidelines (“Examination Policies Manual”). As part of the preparation for the examination, b1Bank conducts training and briefing sessions for staff integral to the visit. The training includes procedure reviews, role clarifications during the examination, and staff updates on regulatory changes. b1Bank maintains open lines of communication with regulators, which include preliminary meetings to discuss the examination’s scope and focus

The bank uses a LinkedIn profile to connect with

businesses, recruit new employees, and build camaraderie with its current employees.

areas. Through these extensive preparations, b1Bank demonstrates its commitment to regulatory compliance and operational integrity. Part III: Social Media The Role of Social Media in the 2023 bank failures b1Bank’s marketing team believed that the role of social media was significant in shaping public perception and reaction in the 2023 bank run. On March 8th, 2023, SVB issued a press release announcing the raising of $2.25 billion in capital and the sale of $21 billion in securities with a $1.8 billion loss (SVB Financial Group). This announcement, intended to stabilize the bank’s financial situation, unfortunately, led to widespread panic across social media platforms. Instead of engaging with the public to address their concerns, SVB remained silent for 24 hours, a period during which doubts about the bank’s stability quickly spread. This absence of effective crisis communication allowed the situation to

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