On Monday, August 13, Citigroup Inc. announced that they have restructured their Citi Bank causing its credit card chief to bid goodbye.
Stephen Bird, Chief Executive of Citigroup’s global consumer bank stated in a memo that restructuring their banks is a way that can help them bring balance to their business. Citi Bank tests its new set of services like digital products in Asia. Whenever they decide to build a new branch, their choice of location is always within the region.
The Bank has been successful in areas within Asia and Mexico. Throughout their observation, they have seen that there is a bigger chance for collaboration, better decision-making, and a lot more, not to say the least have a great benefit to them.
Therefore, the company comes to a decision to merge their business with the wealth and retail units in the United States – in hopes that they will be able to create a better strategy than what they have before. Though their decision might do them good, there are consequences that come along the way. After determining their plan, Judson Linville, who ran the world’s largest portfolio of credit card loans and the bank’s credit card chief, decided to leave the bank.
Half of the company’s revenue is coming from their consumer bank and almost 60% are coming from the United States. Merging their business in the region with Asia and Mexico might just increase their revenue and offer their customers a much better service.