Global IT Case Analysis
After the turn of the millennium in 2000, Citibank found itself being pushed along with the web driven culture that grew out of the prior decade. In response to these pressures Citibank made a concerted effort to deliver innovative solutions integrated within its current corporate framework to enable corporate customers with efficient transactional processing and web-based banking. Thus, Citibank’s e-business strategy began to take fold as they developed web-enabled services that were able to reach global markets. This originated with CitiDirect, an information technology (IT) corporate banking platform that launched in 2000 and was refined in 2003 when they introduced TreasuryVision. This push into e-business was developed within the framework of Citibanks’ corporate strategy, which is to differentiate itself from other global banks by utilizing an “embedded bank” strategy, where Citibank establishes roots within a country/locality as if it were a neighborhood establishment, and leveraging its brand-known offering of superior customer service. Citibank’s e-business strategy was seen as a means to deliver on its vision to “connect, transform and extend” its customer offerings in a global world.
Citibank’s IT-based e-business was able to connect its customers through web-enabled services that automatically processed and streamlined global banking activity without the need for delay. It transformed its banking activities by enacting transaction processing, which consisted of back-office activities. Additionally, Citibank was able to extend its customer base by delivering e-products quickly and efficiently through its new global infrastructure. The goals of “connect, transform and extend “ were embedded in CitiDirect and allowed Citibank to retire its electronic banking systems all while supporting its corporate strategy of customer service and localism.
Citibank’s competitive landscape can be analyzed using Porter’s five forces....