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Rose, an RBS veteran, is the first woman to lead one of
Britain's big four banks. In a memo to staff on Friday, she laid
out plans to build a more "purposeful bank" that rebuilt trust
with customers as well as making money for shareholders.
RBS's third quarter results last week highlighted the challenges
Rose faces, including tackling poor trading at its minnow
investment bank NatWest Markets, which shareholders are pressing
to be further cut back.
In her memo, Rose announced that RBS's commercial and private
banking division, which she used to head up, would be split in
two, with Paul Thwaite promoted to chief executive of the
commercial bank, while Peter Flavel is confirmed as chief
executive of private banking, including Coutts.
RBS has already been radically downsized since its near-collapse
in the financial crisis forced a 45 billion pound ($58 billion)
taxpayer bailout.
"With a defining period for the banking sector ahead of us, we
will deliver a dynamic, confident response to the challenges we
face," Rose said.
She is expected to outline her new strategy in February.
Rose inherits a smaller bank that returned to profit and paying
a dividend under predecessor Ross McEwan, who will become CEO of
National Australia Bank <NAB.AX> in December.
Rose, however, will have to improve RBS's damaged reputation
after a string of scandals, with a further 900 million pound
charge for mis-selling loan insurance as part of a wider
industry scandal also denting its numbers.
Britain's biggest union Unite wrote to Rose ahead of her first
day calling on her to deliver "meaningful change" and outlining
staff concerns about job security and conditions.
In her message to staff Rose said she would ensure top bosses
communicated better with employees and that the bank invested
more in training.
She added: "Shared success also means playing our part to help
tackle the problems that can hold the country back, like the
threat from climate change, a lack of financial confidence and
barriers to enterprise and growth. These pillars will form part
of our strategy."
RBS is looking to boost new revenue streams in the face of
intense competition in retail banking, including with a foray
back into global payment services with Mastercard-backed
merchant services business Pollinate, nearly a decade after it
was forced to sell Worldpay in 2010.
(Reporting by Iain Withers; Editing by Susan Fenton)
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