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Citi Bank Case

Presented by :- Faridabad centre.
Kapil Mitra
Anurag Aggarwal
Sanjay Saxena
Jayant Mohanty
Umesh Sharma

Banking – Industry structure - Pre restructuring  It was multi divisional structure – M form
 Decentralised on the basis of geographies.
 Decentralised unit performance varied on the geographical market conditions and the ability of the geographical team .

 Corporate office governance had limited visibility to control, evaluate and forecast the business growth .
 Since the operations were locally marketed & controlled with locally available skill set ,it was easy for the competitors to copy or even excel .

Necessity is the mother of invention or change .
 With Citi Bank into crises due to losses and uncertainties in the real estate lending it was going through a tough time and immediate corrective action was required.
 This required Better control and accurate forecasts to take correct decisions wrt to commercial implications of the decisions.
 Thus needed centralized structure allowing multi-geographical spread and further globalization.
 This also meant that experts were required to standardize the processes.

Change of approach- Customer
Focused
 Earlier Market segmentation was based on geographies.
 New approach was more Neiche segment with customers either global or have potential to go global . Customer list was prepared for focused 1400 customers . Broadly GRM and emerging Markets were created as 2 main divisions.  Customers were divided into industries and restructuring was done to accommodate domain experts to understand the needs of each industry and accordingly customize the product. Further the products and processes were standardized.
 Customer Opportunity Identification- Later even the customer market expansion ,thus institutional investors and other potential investors

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