Costly, Risky, Threatening - And Vital

“Citigroup Inc. is selling or closing some retail branches and consumer-finance operations in Europe, Asia and Latin America as part of a push to devote its energy and capital to businesses with higher profit potential...

“The steps provide the latest glimpse of how Vikram Pandit, who became Citigroup's chief executive in December, is looking to overhaul the giant banking company…

“Some investors are agitating for radical action, including a breakup of Citigroup…

“Among Mr. Pandit's top priorities is to make Citigroup more efficient in its allocation of capital... To accomplish that, Mr. Pandit last month said that Citigroup will shed ‘non-core assets that are misaligned or do not adequately support our growth strategy.’

“The hope is that by reducing the bank's presence in countries with particularly slow growth or weak economies, Citigroup can shift more capital to places with blossoming middle classes and less competition. Such locales include Thailand, Russia and the Middle East.

“The same thinking this year prompted executives in Citigroup's U.S. retail-banking group to scale back their growth plans and to abandon some of the U.S. markets that the bank recently entered…

“In an interview, George Awad, a Citigroup executive in London overseeing some of the pullback moves, said the bank is showing increased determination to deal with businesses and markets where results have been lackluster.

“‘You have to take some action’ said Mr. Awad."

(“Citi's Focus: Out With Old, In With Profit Drivers; Move to Jettison Flagging Businesses Shows Pandit's Aim.” David Enrich and Carrick Mollenkamp. Wall Street Journal: February 20, 2008. pg. C.3)

WE KNOW that change is a vital part of survival; living is a flow of changes, and change is inherent in learning, growth and progress. Then why resist? Why wait?

When do we let go of hope vested in long-held strategies? When do we reconcile ourselves to abandoning existing modes of operations? When do the costs, risks and apparent threats of changing fade for the hope within the new?