Deutsche Bank to overhaul IT systems and review its Italian business
Published 27/10/2015 | 09:44
Deutsche Bank chief executive officer, John Cryan, looks set to perform an overhaul of the bank's computer systems after it was revealed that a member of its foreign exchange team accidentally sent $6bn to a client.
According to a report in the Financial Times, Mr Cryan will change the way in which the bank operates after he was alarmed by the "Horlicks" the bank had made of its technology.
The bank allows teams and traders to operate individually in a bid to pit them against one another to create a competitive atmospehere. However, this has led to teams working with incompatible platforms all across the bank.
The move to change systems comes not long after Mr Cryan's appointment in July and since then there has also been intense speculation of job cuts in the company.
Deutsche Bank is also considering scaling back its Italian retail operations by selling branches and cutting jobs as its new chief executive overhauls the company to keep pace with rivals according to a report from Reuters.
The chief executive has been tasked with reducing costs and increasing the bank's profitablilty. Deutsche's valuation fell after significant fallout from the Asian market.
With 4,000 staff and 300 branches, Italy is second only to Germany as Deutsche Bank's biggest European retail business.
Deutsche Bank employs roughly around 400 people here in Ireland and it is still uncertain as to whether or not those jobs will be effected as part of looming cuts.