From raising over $1.5 million through our Go Hawaiian for Hospice fundraiser since 2013 to supporting rural families with our Child Care Grant, our commitment to service is woven into everything we do. In 2024 alone, our employees volunteered 5,365 hours, and through impactful partnerships like the Federal Home Loan Bank of Des Moines, we donated over $628,000 to nonprofits across North Dakota.

Our Wishing Well initiative continues to grant heartfelt wishes to those in need, while our pledge to the Great Plains Food Bank helps provide 60,000 meals annually. These efforts reflect our belief that banking should be about building stronger, more connected communities.

“At Choice Bank, we believe that banking should be a force for good,” said Brian L. Johnson, Choice Bank CEO. “Receiving the NOBEL Prize is a humbling recognition of our team’s unwavering commitment to putting people first, whether it’s through volunteerism, financial support, or community partnerships. This award belongs to every employee who shows up each day with a heart for service and a drive to make a difference.”

We’re deeply honored by this recognition and grateful to the South Dakota Bankers Association for celebrating our work. Most of all, we thank our communities for inspiring us to keep putting People First every day.

Choice Bank is dedicated to enhancing the quality of life and economic viability of families and businesses in the communities we serve. Learn more about how we live out our #PeopleFirst promise.

The post Choice Bank Honored with 2025 NOBEL Prize for Community Impact appeared first on Choice Bank.

Presented by MinnesotaCIO and supported by the Minneapolis/St. Paul Business Journal (MSPBJ), the ORBIE Awards honor technology leaders who drive innovation, transformation, and impact across Minnesota’s leading organizations.

Shikhar’s leadership has been instrumental in our evolution into a Hybrid Bank, blending Traditional banking with Banking-as-a-Service (BaaS). His commitment to modernizing our technology, strengthening risk and compliance frameworks, and deepening strategic partnerships reflects the heart of our hashtag#PeopleFirst culture.

In Shikhar’s words: “This award is a reflection of the dedication, hard work, and passion shown every day by the entire Choice Bank family. I am simply the one receiving it, but it truly belongs to our employees who make our vision a reality. Their commitment inspires me, and they deserve all the recognition.”

Beyond Choice, Shikhar is recognized in the financial services industry, contributing to forums like Alloy Labs and speaking at global conferences. He collaborates with Microsoft and other banks to advance data analytics strategies.

In the community, Shikhar mentors future leaders and supports Arya Samaj Kid’s Academy, teaching Math and Computer Science. His leadership style inspires growth, innovation, and lasting impact.

Congratulations, Shikhar! Your vision and dedication continue to inspire us all.

Learn more about how Shikhar and Choice Bank pursue innovation with a #PeopleFirst mindset here.

The post Shikhar Singh Receives Minnesota ORBIE Technology Leader of the Year Award appeared first on Choice Bank.

“At Choice Bank, we believe that modernization isn’t just about adopting new technology—it’s about reimagining how we serve our customers and communities,” Shikhar Singh, Chief Technology Officer, said. “Our Hybrid Banking Platform is the result of bold thinking, deep collaboration, and a relentless focus on delivering value. Being named a finalist for the Banking Tech Awards USA is a proud moment for our team and a reflection of the innovation that’s possible when purpose meets technology.”

Introducing the Hybrid Banking Model

Our unique strength as a bank lies in our dual identity as both a community bank and a technology bank through our BaaS services. This combination not only sets us apart in the market but also contributes to a more resilient deposit base.

As a hybrid community bank, we believe having access to financial services is a human necessity. Since 2017, Choice Bank has provided Banking as a Service (BaaS) solutions, in which we directly integrate our digital banking services into the products of other non-bank businesses that serve underbanked populations. We build strong and scalable relationships through this direct integration model. This approach offers greater flexibility, allowing partners to customize and tailor their product and service offerings by working directly with Choice as both the bank and BaaS service provider.

By investing in Information Technology, Operations, and Risk Management, we laid the groundwork for a scalable, resilient, and customer-centric platform.

Building the Future with Purpose

At Choice Bank, our commitment to innovation is driven by a simple but powerful goal: to better serve our customers, wherever they are and however they choose to bank. Over the past few years, we’ve taken deliberate steps to modernize our operations and technology, ensuring we remain agile, resilient, and responsive in an ever-evolving financial landscape.

We’ve invested in building the right teams, refining our internal capabilities, and rethinking how we deliver services. By embracing a platform-first mindset, we’ve been able to adapt quickly to changing market dynamics and customer needs, ensuring that our solutions remain both relevant and reliable.

Our transformation has always centered on people—our customers and our employees. We’ve introduced new tools and digital capabilities that make banking more accessible and intuitive, while also streamlining internal processes to enhance efficiency and service quality.

A Recognition of Purpose and Progress

Through thoughtful integration of technology and operations, we’ve created a more unified experience that empowers customers to bank on their terms. Being named a finalist for the Banking Tech Awards USA is more than an accolade—it’s a testament to our team’s vision, resilience, and relentless pursuit of excellence. We’re honored to be recognized among the best and brightest in banking technology, and we remain steadfast in our mission to build a better, more inclusive financial future.

Choice Bank is dedicated to enhancing the quality of life and economic viability of families and businesses in the communities we serve. Learn more about how we live out our #PeopleFirst promise.

The post Choice Bank Named Finalist for Banking Tech Awards USA appeared first on Choice Bank.

Retail business leaders should monitor these developments closely and adjust their operations and risk management practices accordingly to safeguard their financial stability, preserve their reputations, and address ethical and legal considerations pertinent to their operations.

Increased Focus on Cybersecurity

As e-commerce grows, cybersecurity has become a rising concern in the retail industry. Point-of-sale systems, consumer-facing websites, mobile applications, increased reliance on digital payments and other software used in retail transactions hold a wide range of sensitive customer data (e.g., financial details and contact information), making them attractive targets for cybercriminals and various data-stealing schemes, including ransomware attacks. Additionally, insider threats—in which employees intentionally (e.g., retaliation against a company) or unintentionally (e.g., through a phishing attack) release secure data—remain a concern.

Cybersecurity events can have significant consequences. According to a 2024 report from IBM, the global average cost of a data breach in the retail sector was $3.48 million, up 18% from 2023. In addition to the financial impacts, these events can cause lasting reputational damage. Cyber incidents can erode the trust of vendors, customers, and the general public, and they can negatively affect employee morale and a company’s ability to attract and retain new talent. Furthermore, retail business leaders may be held accountable for their cybersecurity failures if they do not follow evolving data privacy regulations at the federal, state, and international levels.

Amid this evolving risk landscape, retail companies that don’t adopt effective cyber incident prevention and response measures could encounter serious consequences, such as lost or damaged technology and data, prolonged business disruptions, reputational erosion, stakeholder litigation, and significant penalties from regulators.

To mitigate these risks, retail businesses should implement strong cybersecurity measures, including advanced data protection protocols like multifactor authentication, encryption, and endpoint security. Regular software updates, network segmentation, and employee vetting can further strengthen defenses. Training employees on cybersecurity best practices and conducting routine penetration testing help identify vulnerabilities before they are exploited. Additionally, establishing a dedicated cyber incident response team, partnering with vendors that prioritize security, ensuring compliance with evolving data privacy laws, and securing adequate cyber insurance coverage can help retailers navigate the growing cyberthreat landscape.

Supply Chain Challenges

The retail industry continues to grapple with supply chain challenges for several reasons, including heightened demand for various goods, rising costs, and an increased reliance on global suppliers and just-in-time inventory systems. Further complicating matters are various international incidents, such as global port congestion, geopolitical tensions, extreme weather events, and labor shortages. Collectively, these issues have contributed to bottlenecks in the supply chain, leading to slowed shipment and delivery times for some high-demand products and materials.

Supply chain disruptions can severely impact a business’s profitability, consumer prices, and product availability. To reduce the impacts of supply chain risks, retailers should leverage automated technologies, predictive analytics, and real-time monitoring tools to track inventory and shipments. Diversifying suppliers, strengthening relationships with multiple vendors—especially domestic ones—and staying informed about market trends can enhance supply chain resilience.

Human rights issues are also a major concern in retailers’ global supply chains. Retailers must ensure they are procuring their materials and products through ethical suppliers free from situations that involve forced labor, child labor, or working conditions that are unsafe or violent. Retailers can help protect individuals who provide products for their businesses and safeguard their reputations by promoting supply chain transparency, developing relationships with trustworthy partners, and ensuring suppliers, manufacturers, and third-party vendors adhere to ethical practices.

AI and Automation Risks

The growth of AI and automation has revolutionized the retail industry. AI helps process data, enhance customer support, and manage inventory. Similarly, automation increases operational efficiency, improves customer experiences, and reduces costs. Overall, the use of technology continues to expand. As augmented reality (AR) and virtual reality (VR) alter customer experiences, 7 in 10 retail executives plan to use AI to personalize experiences in 2025, according to a survey conducted by Deloitte. Retail employers have also been incorporating AR and VR in their operations. For example, VR can be used to train employees in a digital setting; in fact, a survey from professional services firm PwC found that VR learners were four times faster to train than classroom learners. As technology progresses, consumers may increasingly be able to connect and engage with products in the digital world or shop virtually. This type of interaction has the potential to change customer experiences and allow retailers to grow their brands outside of the physical world.

Although these technologies offer many benefits, they come with risks. For example, AI technology operates based on human-generated algorithms and inputs, which means it may contain mistakes and biases. AI can also give rise to compliance risks as regulations evolve to address emerging technology and its uses. Additionally, automation can lead to customers’ frustration that they cannot interact with a person to resolve their issues, and employees may feel that this technology threatens their jobs.

To address these concerns, retailers should provide comprehensive employee training on new technologies and establish ethical guidelines for AI usage. Transparency regarding AI implementation, routine algorithm audits, and compliance reviews with legal counsel are essential for minimizing risks. Regular software updates and security measures can also help ensure AI and automation function reliably and securely.

Physical Security Concerns

Physical security is an issue across the retail sector, and a primary cause of safety concerns is violent behavior from shoplifters. According to the Council on Criminal Justice, shoplifting increased by 14% in 2024 compared to 2023. Moreover, a 2024 survey from the NRF found that 73% of respondents said shoplifters exhibited increased violence and aggression compared to the previous year. These actions place the safety of employees, clients, and others at risk.

Additionally, vandalism and organized retail crime (ORC) continue to be a significant concern. The National Retail Federation (NRF) describes ORC as a large-scale theft or fraud activity intended to convert illegally obtained merchandise into financial gain. Through this tactic, criminals steal goods off store shelves and resell them to unsuspecting online shoppers at reduced prices. They may also try to return them to the store fraudulently. Some criminals may infiltrate retail companies’ supply chains and steal merchandise before it reaches store shelves to redistribute these items on the black market. ORC impacts physical security and can compromise the safety of personnel.

To improve security, retailers should train employees to detect theft and respond safely, maintain adequate staffing levels, and conduct pre-employment background checks to prevent internal theft. In-store surveillance, AI-driven monitoring systems, and security cameras can deter crime, while access controls help secure high-value merchandise. Employers can further enhance safety by strengthening partnerships with law enforcement, using impact-resistant materials to prevent vandalism, and engaging with the community through business watch programs. Implementing fraud prevention policies, such as stricter return procedures, can help curb retail crime.

By monitoring these trends, responding appropriately, and mitigating their associated exposures, retail businesses can effectively position themselves to maintain long-term growth and operational success.

You work smart and so should your money. Our business banking options are designed to serve a broad range of organizations, from start-ups to non-profits and corporations. Learn more here!

This Risk Insights is not intended to be exhaustive nor should any discussion or opinions be construed as legal advice. Readers should contact legal counsel oran insurance professional for appropriate advice. © 2025 Zywave, Inc. All rights reserved.

The post Top Retail Industry Challenges for 2025 appeared first on Choice Bank.

Adapting to these shifts is crucial for nonprofits to maintain operational success and uphold their commitments to stakeholders this year. This article explores these trends in detail and provides practical strategies to help nonprofit organizations navigate them effectively.

Cybersecurity and Data Privacy

Like many other organizations, nonprofits have leveraged technology for strategic growth. The role of digital platforms in fundraising, improving sustainability, communicating, and managing financials continues to impact this sector significantly. However, the use of these tools and the accumulation of personal data can introduce cybersecurity concerns.

Since nonprofit organizations have relatively limited IT resources and process sensitive data from donors and clients, they are an attractive target for cyberattacks. In fact, according to the 2024 Data Breach Report from the Identity Theft Resource Center, the nonprofit/nongovernmental organization sector experienced 146 data compromises in the United States in 2024, up from 102 in 2023 and 72 in 2022. Nonprofit organizations are particularly vulnerable to cyberattacks due to their reliance on third-party vendors that hackers may exploit to infiltrate a nonprofit’s network.

Additionally, staff and volunteers with access to sensitive data may not be adequately vetted or trained on data security. These factors may lead to intentional or unintentional data compromises.

Cyberattacks that compromise data can cause significant reputational damage and erode donor and client trust. Malicious actors may also render systems inoperable, or nonprofit organizations may be forced to shut down to contain and investigate the cyber incident, making it difficult for them to provide services, process donations, or otherwise carry out their missions.

Furthermore, cyberattacks can lead to compliance issues related to the Health Insurance Portability and Accountability Act (HIPAA), the Children’s Online Privacy Protection Rule (COPPA), the Family Educational Rights Privacy Act, and various other local, state, and federal laws. Organizations that fail to meet these regulatory requirements may face significant fines, legal liabilities, and lasting damage to their public image.

To reduce these risks, nonprofit organizations should implement strong cybersecurity measures, including multifactor authentication and data encryption. They should also ensure their systems are current with software updates and patches. Conducting background checks on staff and volunteers and regularly training them on cybersecurity best practices can improve cyber defenses, as can routine penetration testing, which helps identify vulnerabilities before they are exploited. Additionally, partnering with trusted vendors that prioritize security, ensuring compliance with evolving data privacy laws, and securing adequate cyber insurance coverage can help nonprofits navigate the growing cyberthreat landscape.

The Use of AI

Machine learning and generative AI can provide various benefits for nonprofit organizations. For example, machine learning can analyze data to make predictions, and generative AI can create new data from data inputs. According to a 2024 article from BusinessWest, around 70% of nonprofits believe generative AI will assist them in achieving their sustainable development goals through enhanced productivity, improved information access, and increased awareness to drive policy change. These technologies can also be utilized in grant applications as well as to engage current and potential donors and understand donor preferences and behaviors.

However, the leaders of nonprofit organizations must balance these benefits with the ethical concerns of AI, including those regarding informed consent, transparency, and algorithm biases. Additionally, AI tools are subject to cybersecurity issues. Nonprofits should also consider risks such as AI-generated misinformation and intellectual property concerns. These concerns can make nonprofit organizations vulnerable to liabilities, regulatory penalties, and reputational damage due to inappropriate utilization.

To mitigate these risks, nonprofits should prioritize the ethical use of AI by establishing and adhering to strict governance policies regarding responsible utilization. Organizations should also conduct regular audits of their systems to identify and remedy biases and implement policies that promote transparency. Staff and volunteers should be trained on proper AI use, and AI systems should be regularly audited for accuracy and fairness. These measures can help ensure data privacy, protect the organization from damaging misuse claims, and demonstrate a commitment to social responsibility.

Workforce Challenges

A tight labor market and ongoing labor shortages have increased talent competition, creating staffing challenges for many nonprofits. Nonprofit organizations may find it difficult to offer competitive salaries and benefits, and they may lose employees and candidates to higher-paying jobs in the for-profit sector.

Nonprofit organizations also face high turnover rates and burnout among volunteers and employees. According to the Center for Effective Philanthropy’s State of Nonprofits 2024 report, 95% of surveyed nonprofit leaders expressed some level of concern regarding burnout. The report also noted that over one-third of the respondents indicated that staff burnout was “very much” a concern in the previous year.

Inadequate staffing may result in service delays or the complete inability of a nonprofit to provide its services. It can lead to financial instability, communication difficulties, cybersecurity incidents, reputational damage, and board member liability issues. Overworked employees and volunteers may also experience decreased morale.

To help attract and retain staff, nonprofits can offer enhanced pay and benefits, improved professional development opportunities, upskilling events, workplace flexibility, and mental health resources. Nonprofit organizations can also expand recruitment efforts by partnering with universities, engaging with retirees, or tapping into underrepresented communities. Furthermore, creating and promoting a positive organizational culture can help nonprofits attract and retain staff and volunteers.

Regulatory and Compliance Challenges

The nonprofit sector must continue to monitor and adapt to rapidly evolving compliance requirements this year. For example, Oregon and Delaware are implementing laws in 2025 requiring several nonprofit organizations to follow more stringent privacy standards. Moreover, potential policy shifts under the new U.S. presidential administration could impact nonprofit tax-exempt status, donor disclosure rules, and data privacy regulations.

This evolving landscape presents significant risks to nonprofit organizations, as failing to adhere to laws and regulations may result in costly fines and penalties and jeopardize their nonprofit status. Not meeting applicable regulations could also negatively impact their reputations and reduce donors’ trust in their organizations.

To manage these risks, nonprofit leaders should ensure they are conducting regular compliance audits while staying informed about regulatory changes. Leveraging external expertise and consulting legal professionals can help ensure adherence to applicable laws and requirements. Additionally, nonprofit organizations should have internal controls in place for compliance. Clear and comprehensive policies and procedures for compliance management can help mitigate regulatory risks.

Several trends will impact the nonprofit sector this year. By monitoring these developments and taking action to mitigate their associated exposures, nonprofit organizations can effectively position themselves to continue to fulfill their missions and maintain operational success.

You work smart and so should your money. Our business banking options are designed to serve a broad range of organizations, from start-ups to non-profits and corporations. Learn more here!

This Risk Insights is not intended to be exhaustive nor should any discussion or opinions be construed as legal advice. Readers should contact legal counsel oran insurance professional for appropriate advice. © 2025 Zywave, Inc. All rights reserved.

The post Nonprofit Sector Trends to Watch in 2025 appeared first on Choice Bank.

Hiring Strategies for 2025

Modernizing hiring practices enhances an organization’s ability to attract, recruit, and retain top talent in a competitive environment. As job seekers’ expectations shift and many leverage technology to find their next job, employers can consider these eight tips for modernizing their hiring process this year:

1. Consider retirees. Many aging employees are staying in the workforce longer, so employers have an opportunity to engage with retirees looking to work again. A ResumeBuilder survey revealed that 1 in 8 retired adults are likely to return to work in 2025. The majority of older adults are unretiring because of the increasing cost of living.
   Most retirees returning to the workforce are interested in part-time roles and favor remote work. Age bias is a concern of this demographic, but employers can focus on looking for transferable skills and highlighting learning opportunities when pursuing retirees. Flexibility can help attract retirees, so employers may consider offering part-time employment, remote work, or reduced hours. Since many retirees are concerned about finances, matching 401(k) plans may also be attractive to those with inadequate retirement funds. These candidates can bring experience and a fresh perspective to today’s workplaces. Amid a tight race for talent, retirees can provide access to a large group of potential workers for employers who are struggling to fill roles.
2. Emphasize skills over educational degrees. Skills-based hiring isn’t just an aspirational idea; some employers are already taking note and prioritizing finding the right fit for open positions based on skills rather than education or experience. Organizations can take time to review which positions have a legitimate need for a four-year degree or certification and which ones need the appropriate skills. This hiring practice can help expand the talent pool and decrease hiring time.
3. Embrace artificial intelligence (AI). Employers can leverage the power of AI to streamline their hiring processes. AI-driven tools can analyze resumes, assess candidate fit, schedule interviews with online applicants, and complete mundane onboarding tasks. By automating routine tasks, HR professionals can focus on strategic aspects of recruitment, fostering a more efficient and insightful hiring process. AI can also help personalize candidate engagement by sending tailored messages and recommended or relevant job openings. While AI has its advantages, it’s also important to be aware of the technology’s risks and dangers (e.g., bias and discrimination).
4. Utilize data-driven decision-making. Employers can harness the power of people analytics to inform their hiring decisions. This strategy can help analyze recruitment data to identify trends, optimize sourcing strategies, and enhance the candidate experience. By leveraging data-driven insights, hiring teams can make informed decisions that better contribute to the overall success of their hiring efforts.
5. Incorporate gamification into skills assessment processes. Gamified assessments provide a more engaging and interactive experience for candidates, allowing hiring teams to assess candidate skills in a dynamic and real-world context. This can enhance the evaluation process and showcase the organization as forward-thinking and innovative.
6. Enhance the candidate experience with technology. Technology can help streamline communication, provide timely feedback, and offer transparency throughout the hiring process. A positive candidate experience not only attracts top talent but also enhances the employer brand, creating a ripple effect in the talent market.
7. Leverage the right online portals. Virtual recruiting can help employers find the applicants they’re looking for. Furthermore, online platforms—such as LinkedIn, Indeed, Handshake, and more—can make it easy for applicants to apply directly.
8. Offer incentives with employee referral programs. Employers can empower their current employees to become brand ambassadors. Millennial and Generation Z (Gen Z) candidates generally trust and value word-of-mouth referrals, whether for employment or shopping, so employers could amp up referral efforts to attract this demographic. Employee referral program incentives aren’t new, but they can be modernized to appeal to millennial and Gen Z candidates. As such, employers may consider offering monetary bonuses, paid time off, learning and development opportunities (e.g., covering the cost of attending a conference or training), or charity donations that may motivate younger workers.

While perhaps not applicable to every open role, these strategies can give employers new tools to revamp their hiring approaches.

As the digital age progresses, staying ahead of the latest HR trends and technologies is imperative for modernizing hiring strategies and processes. By embracing AI and other technologies, considering and including retirees, and leveraging data-driven insights, employers can gain a competitive edge to win talent in 2025.

This HR Insights is not intended to be exhaustive nor should any discussion or opinions be construed as professional advice. © 2025 Zywave, Inc. All rights reserved.

The post 8 Tips for Modernizing Hiring appeared first on Choice Bank.

Professional services firm Deloitte reported that construction spending in manufacturing—funds invested in building new or improving upon existing manufacturing facilities—reached $238 billion in June 2024, representing an all-time high. This increase in spending could lead to further industry growth in 2025. Nevertheless, there are still many potential risks that, left unmanaged, may threaten the sector’s stability going forward. As such, manufacturing businesses should monitor several emerging developments that could impact the industry this year—including technological innovations, cybersecurity threats, supply chain concerns, and regulatory and compliance challenges—and adjust their risk management programs accordingly.

Technological Innovations

The manufacturing sector has experienced rapid technological advancements over the past few years, and there is no sign of this stopping anytime soon. According to a recent survey conducted by business advisory firm Eide Bailly, the majority (94%) of manufacturing companies plan to increase their technology spending to further enhance their operations. The sector’s latest innovations primarily center around Industry 4.0 technology, which refers to a variety of digital solutions that can help automate certain manufacturing processes, streamline workflows, promote sustainability, and maximize productivity. Examples of such technology include artificial intelligence (AI), smart machinery, digital sales systems, equipment monitoring software,e and analytics platforms.

This technology can collect and assess vast amounts of information in minutes, giving manufacturing companies the resources and knowledge necessary to make more data-driven decisions. From there, manufacturing businesses can accomplish goals such as simplifying certain aspects of the production line, reducing operational waste, limiting carbon emissions, and optimizing energy consumption. This technology can also evaluate equipment performance in real-time and conduct predictive maintenance as needed, minimizing the risk of potential breakdowns and disruptions. In addition to these technological advancements, the emergence of the metaverse—an immersive online environment—has empowered some manufacturing companies to test new and innovative software and train production robots in virtual scenarios before launching them in the real world. In some cases, metaverse-based tools can even assist frontline manufacturing workers in performing their job duties through hands-free operations and voice commands.

As technology continues to advance throughout the industry, manufacturing companies should stay on top of the latest innovations and adjust their operations as needed to incorporate these solutions. Failure to do so could cause them to fall short among their competitors and miss out on possible business opportunities. It’s worth noting that these innovations are not without challenges. Implementing new technology requires substantial capital investment, workforce training, and ongoing maintenance. Further, such technology may expand potential attack surfaces and avenues for cybercriminals. As a result, manufacturing companies must carefully weigh the costs and benefits of adopting these solutions and ensure they have the resources necessary to manage associated risks before implementation.

Cybersecurity Threats

As previously mentioned, advancing industry technology, although beneficial, comes with additional cybersecurity exposures. What’s worse, some of the sector’s latest technology is evolving so quickly that it’s outpacing the software being developed to protect it, leaving it susceptible to cyberattacks. Especially as manufacturing businesses grow more reliant on technology to conduct essential operations and their digital supply chains become increasingly interconnected, cyberattacks have the potential to cause devastating disruptions and contribute to costly losses.

One of the most prevalent cybersecurity threats impacting manufacturing companies is ransomware. These incidents—which entail cybercriminals compromising a device or server and demanding a large payment be made before restoring the technology (as well as any data stored on it)—are one of the most damaging cyberattack methods, incurring an average of $353,000 in total losses per incident, according to a recent report from security service provider Coalition. Because manufacturing companies play an integral part in many global supply chains, cybercriminals often target this industry when launching ransomware to cause more widespread losses. These incidents have been on the rise for nearly a decade, and this trend is likely to continue in 2025 and beyond, paving the way for additional losses across the sector.

To help combat ransomware threats and other cybersecurity risks in the year ahead, it’s best for manufacturing businesses to bolster their digital defenses. In particular, manufacturing companies should prioritize strong cyber hygiene practices. This may include providing employees with routine cyber training, enabling multifactor authentication for access to all workplace accounts and devices, leveraging endpoint detection and response solutions, installing advanced antivirus and malware protection software, utilizing patch management systems to ensure regular software updates, segmenting and segregating critical networks, developing end-of-life software management policies, implementing email authentication technology, conducting frequent data backups and establishing cyber incident response plans.

Supply Chain Concerns

While the large-scale supply chain disruptions that occurred throughout the COVID-19 pandemic have dwindled, certain manufacturing inventory shortages and sourcing issues for raw materials will likely press on for the foreseeable future. These supply chain difficulties are tied to several factors, including global transportation delays due to widespread geopolitical tensions, cyberattacks, and extreme weather. The impacts of these difficulties on the manufacturing sector are twofold. First, raw material scarcities can minimize supply chain transparency, potentially causing communication breakdowns regarding available inventory and creating confusion amid production processes. Second, derailed deliveries for raw materials may prolong production timelines and delay the transportation of finished goods, thus elevating total logistics costs and compounding operational expenses.

In light of these concerns, it’s imperative for manufacturing businesses to reduce their risks by fostering supply chain resiliency. This may entail implementing more advanced inventory management policies, maintaining an adequate reserve of essential materials, building strong supplier relationships, diversifying supply chains by working with trusted vendors located across different geographic areas, investing in tracking technology to better monitor material shipments and uphold supply chain visibility, and developing contingency plans to help manage possible disruptions. In some cases, manufacturing companies may also want to consider offshoring or nearshoring. The former strategy involves moving production processes to a different location (typically out of the country), while the latter involves shifting these processes to a nearby area. Depending on a company’s unique operations, these strategies can sometimes help diminish supply chain disruptions, boost operational efficiencies, and lower production costs.

Regulatory and Compliance Challenges

The legal landscape for the manufacturing industry is ever-changing. The last few years have seen increased regulatory scrutiny at the local, federal, and international levels, particularly as it pertains to AI, data privacy, and environmental sustainability. For example, the U.S. Securities and Exchange Commission recently created new standards for publicly traded companies on AI-related and environmental disclosures, requiring additional reporting on their AI development and usage, carbon emissions, operational waste, and green initiatives. At least 15 states have also implemented their legislation on AI usage in various work settings and enforced stricter data privacy laws, affecting any manufacturing businesses that utilize this technology or make data-driven decisions. Moving forward, it’s certainly possible that other states will follow suit.

While the European Union’s General Data Protection Regulation has been in place for several years, the rising popularity of AI has motivated some regulators to reinforce that this legislation also applies to any sensitive information collected, processed, and stored via such technology, ultimately impacting any manufacturing businesses that leverage AI within their international operations. Additionally, upcoming changes to global tax laws, tariffs, and trade policies could have considerable effects on manufacturing companies’ existing sourcing issues for raw materials and related production processes, especially those with supply chains that extend overseas. Altogether, manufacturing businesses that neglect to keep up with these shifting regulations and modify their operations as needed could face serious noncompliance fines and penalties. With this in mind, manufacturing companies should consult trusted legal counsel to review applicable local, federal, and international laws and ensure their policies and procedures remain compliant.

Several trends are currently impacting the manufacturing sector, emphasizing the importance of staying informed and adaptive. By tracking these developments and mitigating any associated exposures, manufacturing businesses can effectively position themselves to promote long-term growth and boost operational success.

You work smart and so should your money. Our business banking options are designed to serve a broad range of organizations, from start-ups to non-profits and corporations. Learn more here!

This Risk Insights is not intended to be exhaustive nor should any discussion or opinions be construed as legal advice. Readers should contact legal counsel or an insurance professional for appropriate advice. © 2025 Zywave, Inc. All rights reserved.

The post Manufacturing Trends to Watch in 2025 appeared first on Choice Bank.

Understanding the Risks

Theft and vandalism manifest in various ways. For example, theft may involve shoplifting or employee dishonesty, while vandalism can include smash-and-grab incidents, graffiti, or property damage like broken windows. The risk of these crimes is growing; according to a July 2024 report from the Council on Criminal Justice, shoplifting rose 24% during the first half of 2024 compared to the first half of 2023. Repairing vandalism can cost thousands of dollars and disrupt business operations, further compounding financial losses and potentially harming a business’s reputation.

Prevention Strategies

To minimize the likelihood of theft occurring, employers should adopt robust prevention measures, such as the following:

• Establish anti-theft policies and effectively communicate them.
• Secure valuable items by storing them near registers or in locked cases.
• Thoroughly vet employees and have monitoring procedures in place.
• Train employees to identify suspicious behavior and respond appropriately.
• Ensure adequate staffing levels during high-risk times and engage customers proactively.
• Use technology like security cameras, motion detection lighting, and electronic identification tags for high-value items.
• Implement access controls, especially in areas with high-value goods.
• Use signage that publicizes the consequences of stealing.

Strategies to prevent vandalism include:

• Install physical deterrents, including fences, durable materials like impact-resistant glass, proper lighting, and strong locks and doors.
• Strengthen community ties by organizing a business watch program and collaborating with law enforcement.

Responding to Incidents

In the immediate aftermath of a theft or vandalism incident, employers should notify the proper authorities, document the damage, and file an insurance claim. They should clean up promptly to resume operations and minimize disruptions, analyze what went wrong, and update security measures accordingly.

All small businesses face the risks of theft and vandalism. Taking proactive steps to prevent these incidents from occurring and mitigate their impacts is crucial to protect your business and its finances.

You work smart and so should your money. Our business banking options are designed to serve a broad range of organizations, from start-ups to non-profits and corporations. Learn more here!

This document is not intended to be exhaustive nor should any discussion or opinions be construed as legal advice. Readers should contact legal counsel or an insurance professional for appropriate advice. © 2025 Zywave, Inc. All rights reserved.

The post Preventing Theft and Vandalism appeared first on Choice Bank.

As part of our continued dedication to serving local small businesses, we are excited to offer the SBA 7(a) Working Capital Pilot Program, which expands access to credit and supports small business growth.

What is the SBA 7(a) Working Capital Pilot Program?

The SBA 7(a) Working Capital Pilot Program (WCP) is designed to provide small businesses with flexible and affordable lines of credit.

• Purpose: The program aims to help small businesses manage their working capital needs efficiently, supporting both domestic and international transactions.
• Loan Structure: It offers monitored lines of credit with a new annual fee structure, allowing businesses to pay only for the time they need the credit.
• Types of Loans:
  • Transaction-Based Loans: These allow businesses to access working capital earlier in their sales cycle, funding individual projects or orders.
  • Asset-Based Loans: These provide working capital against assets like accounts receivable and inventory, helping businesses manage cash flow and support supply chain resiliency.
• Loan Terms: The maximum loan size is $5 million, with up to 85% SBA guaranty for loans up to $150,000 and 75% for larger loans. The maturity can be up to 60 months.

“The benefits of this program are structured to provide more working capital to a business than they would qualify for conventionally,” said John Hicks, SBA Business Development Officer.

If you would like to learn more about the Working Capital Pilot Program and how it can benefit your company, please reach out to John Hicks, SBA Business Development Officer at Choice Bank at (612) 916-0165 or j.hicks@bankwithchoice.com, or Cristen Purdy, SBA Market President at (763) 398-5817 or c.purdy@bankwithchoice.com.

Every business is unique, and so is our financing. At Choice, we recognize small businesses impact the culture and economy from our local communities to nationally. An SBA loan can provide the long-term funding you need to take your small business to the next level. Learn more here!

The post SBA Launches Working Capital Pilot Program appeared first on Choice Bank.

Pay transparency is when an employer openly communicates pay-related information to current or prospective employees through established practices. Requirements vary by locality, but this information generally includes the pay scales or salary ranges for specific positions. Employers can provide this information through various channels, such as online job sites and postings or during an interview. Employees value pay transparency because it can help them avoid applying for jobs they wouldn’t accept due to low pay, negotiate for better salaries, and build trust with their employers.

Although there is no comprehensive federal pay transparency law in the United States, around a quarter of all U.S. workers are covered under pay transparency laws. The number of employees covered by such laws continues to grow each year. Not all organizations are covered by these rules, but more employers are pursuing transparent job postings to stay ahead of requirements and win over workers. In fact, studies consistently show that workers are more likely to apply for jobs that provide a pay range.

Back in 2021, Colorado was the first jurisdiction to enact pay transparency laws regarding job postings. Since then, over 15 states and localities have enacted their own pay transparency laws, with even more set to go into effect. Most recently, requirements were enacted in the District of Columbia on June 30.

Notably, Illinois has pay transparency rules going into effect on Jan. 1, 2025. Under the law, postings must include the wage or salary range as well as a general description of the benefits and other compensation the employer reasonably expects to offer for the job. These amounts may be set by reference to any applicable pay scale, the previously determined range for the position, the actual range of others currently holding equivalent positions or the budgeted amount for the position. With Illinois having one of the largest populations in the United States, this state law is set to impact a growing number of employers—and add momentum to the practice.

Whether to stay ahead of compliance requirements or keep up with current employment trends, expect more employers to refine their pay transparency practices in the remainder of 2024.

This HR Insights is not intended to be exhaustive nor should any discussion or opinions be construed as professional advice. © 2024 Zywave, Inc. All rights reserved.

The post More States Prepare for Pay Transparency appeared first on Choice Bank.