Innovation is tricky because it means different things to different people. And it should. But if we can at least agree that innovation is about being able to recognize the need for and implement change effectively, then there is virtually no bank or credit union it doesn’t apply to. Given that, who inside of these institutions are the custodians of that change?

At the largest banks, it is usually a chief innovation officer. Some smaller institutions take this approach, as well. Other times, such duties might fall to the chief strategy officer or to the chief technology officer. Many institutions don’t have someone in this role at all — not formally. The problem with that last approach is that, if innovation applies to everyone in some capacity, and no one is responsible for it, how is it to be successful?

The banking industry is in a state of flux and has been for the last few years. The innovation pendulum — which swings between enthusiasm and reluctance based on market conditions — is probably on its third swing, back toward enthusiasm. And competition continues to be fierce nationwide. Regardless of a bank or credit union’s specific approach to innovation — maybe you’re a progressive firm, always at the forefront, or maybe you are a small community bank who doesn’t need bells and whistles — being able to stay on top of that pendulum and absorb change is critical.

I talk to a lot of banking executives, on both sides of the spectrum: the most enthusiastic and the wariest. Rarely, though, do I come across anyone who doesn’t believe change is necessary today. Not only when it comes to technology, but also when it comes to business strategy — executives understand they need to think differently. Those who are doing this most effectively, from what I’ve seen, are the ones who have a champion.

This champion can come in many forms. It doesn’t have to be a chief innovation officer, although it could be. But it should be someone who can be an agent of change within the organization, someone who understands that embracing change matters when it matters and doesn’t matter when it doesn’t. It should be someone who can see the opportunities in the chaos and navigate a path toward them. And, more than anything, it should be someone who can articulate what innovation means to your business.

That last part is the most important because an inability to articulate what innovation means to their business is what leaves so many organizations feeling stuck. Moving forward — at whatever pace works for your bank or credit union — is an exercise in strategic vision combined with the right people to shepherd it.