CEO Christian Sewing’s controversial 2020 “reset” plan – involving 18,000 layoffs and €5B in cost cuts – has finally borne fruit, with Q1 efficiency ratio improving to 62% from 73% in 2024.
Cost Transformation
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Staff Reductions: Headcount down to 72,000 (from 90,000) with €1.9B annual savings
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Real Estate: Sold 43% of global offices, implemented hoteling for 28K employees
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Tech Savings: Mainframe costs cut 52% through cloud migration
Cultural Shifts
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“DB Way” System: Reduced decision layers from 11 to 5
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Bonus Changes: 60% now based on team performance
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Failed Ventures: Exited 19 countries including Chile and Malaysia
Leadership Challenges
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Investor Pressure: Activists pushed for investment bank spin-off in 2023
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Talent Exodus: Lost 37% of managing directors during restructuring
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Compliance Costs: Still 22% higher than U.S. peers
