Paul Scully didn’t start his banking career right after college; he started it as a part-time teller at Arlington Five Cents Savings Bank while he was still in college. There, he made his way through the ranks and into the C suite. Today he is president and CEO of Country Bank, a $1.5 billion institution based in Ware. Here, he talks about his career, the prospect of a casino in Central Mass. and the banking industry’s fight to keep up with the times.
Title: President and CEO, Country Bank, Ware, Mass.
Age: 55
Experience: 15 years at Country Bank, 35 years in banking
Q: Were you a beneficiary of a management training program early in your career?
A: It was a small bank. At its largest point, it was about $400 million, so we had opportunities to go through all the departments. I started as a teller, then into accounting, and into lending. Then I was the CFO and the chief operating officer.
Q: How have things changed in the Massachusetts market in those 35 years?
A: It’s become much more competitive. There’s the compliance side of life, but from a market penetration point of view, and market growth, the level of competition is so much more significant. In the mid-‘70s, when I started, if there was a savings bank in the next town, well, that was kind of their town, and they kind of had this gentlemen’s agreement where they didn’t go after each other’s customers. And the electronic piece is making a huge difference, especially with Gen Y. The Gen Y generation isn’t going into buildings. They’re doing everything right now on their electronic devices.
Q: How do community banks balance the need to be out there for Gen Y with the need to be careful about what they do and how they spend?
A: It is a balance, but you really need to be looking at what the emerging generations are going to be looking for. You’ve got to stay current with your products and services, you’ve got to look at the electronic deliveries, but don’t jump in too fast. You really need to fully explore and understand all the security issues related to them. It definitely is a time right now when size will matter for banks. Clearly, it costs a lot of money.
Q: The area that Country Bank serves was relatively hard hit in the recession.
A: Yeah. It doesn’t really heat up in the peak of the economy. It doesn’t heat up, but the level of job loss and unemployment is really significant because there aren’t more jobs being created. And whether you’re for it or against it, if a casino is approved for the Central Massachusetts district, that at least should provide some job growth. What we’re seeing now is people still hurting. They can’t find jobs. The jobs don’t exist. So, if you’re looking at a 60- or 65-minute commute on top of a $60 tank of gas, that’s a real challenge. We’re seeing a small amount of real estate sales right now, and we’re optimistic that it’ll pick up.
Q: What are some of the other challenges specific to the Central Mass. market?
A: The challenge is always: What will the emerging industries be? Historically, this area was always manufacturing, mill towns, and it’s tough right now. It really is tough.
Q: For a bank, does that go hand-in-hand with how the bank can be ready for whatever those next industries are?
A: You always have to be thinking of what’s next. What’s the next industry going to be? What’s the next economic cycle going to bring? What’s the next regulation, and all those pieces together. The advantage of the Central Mass. area is we’re so well positioned with highway infrastructure, it’s easy to get from one place to another, but employment costs are expensive, energy costs are expensive, and there’s got to be some attraction there to create the jobs.
Q: What other areas does Central Mass. compete with economically? Is it Boston? Hartford? Upstate New York?
A: Probably more of the Connecticut market. Down (Interstate) 91 is really the draw, especially from the Springfield marketplace.
Scully’s 5 favorite things about being a bank teller:
- You are the point person representing the bank
- You have the opportunity to interact with people of all different ages
- You get to feel real, live cash that isn’t yours
- You get to sharpen your math skills
- You have the chance to help people with products and services
