Study On Operational Risk Management Strategy Of Bank Of China LN Branch

The Basel Committee on Banking Supervision launched The New Basel Capital Accord in June 26,2004, and first will bring operational risk into bank risk management framework. China Banking Regulatory Commission issued Guidelines for the Operation Risk Management of Commercial Bank in June 2007, and require that the domestic commercial Banks establish the professional quality, the scale and complexity of operations to adaptation of the risk management system, effect to identify, evaluate, monitoring and control/slow-release operating risks. It marks the domestic commercial Banks operational risk management has entered a new stage。In order to adapt to the international bank supervision development trend, and satisfied with the regulation of operation management requirements, the subsidiaries within the BANK OF CHINA(BOC) was official extend implement operational risk and control assessment work in august 2007. As the longer in the BOC, and the construction bank assets and liabilities with larger scale of the branch at province level, LN branch of BOC also is experiencing operational risk management mode of the painful process of change. How to set up as soon as possible and complete the actual operational risk management system, and overall recognition and control bank operation process all kinds of operational risk, has become the future development of LN branch major issues, and must be seriously attention and solve.The first, this article describes operational risk management theory. The second, based on explaining relations on operational risk management and internal control, compliance management in briefly, this article comprehensively research and analysis operational risk management status and highlight problem on LN branch, from control environment, risk assessment, control activities, information and communication, and check and supervision on COSO five elements. The last, this article reference advanced experience on aboard operational risk management,and put forward suggestions and strategies on LN branch.