Tesco chief executive Philip Clarke is overhauling its £4bn retailing services division which includes its banking, mobile and online operations.
Its online operations will be integrated into the grocer’s UK stores business, led by Richard Brasher, according to The Times.
Senior executives Per Bank and Ken Towle will look after non-food and food respectively.
Bank will take charge of telecoms while Towle, who formerly ran Tesco’s Chinese operations, will take on a group strategy role for online retail.
The move by Clarke is seen as a signal that he wants integrate the grocer’s online and stores businesses more closely.
The overhaul comes after August’s announcement that chief executive of retailing services Andrew Higginson will stand down next year. Higginson will stay on as chairman of Tesco Bank and Dunnhumby, the company which the grocer owns which analyses loyalty card data.