The Studies On State-owned Banks Restructure Under Opening-up Condition

With the globalization of financial industry and the entry of foreign banks into Chinese financial market, Chinese state-owned banks are facing increasing challenges and also opportunities. How to keep and improve core competence, consolidate and enlarge market shares become the crucial issues for all the Chinese banks. As a new reform theory and efficient management method, the process optimization, organization efficiency improvement has been adopted and lead to the new phases of development of Chinese state-owned banking industry.Since 1960s, the bank reengineering has brought enormous economic benefits and creativities in western banking industry. Four of the five State-owned banks have been incorporated and listed in the stock market, though great improvements have been made , there are still gaps between foreign banks, other shareholding banks and state-own banks in terms of standardization of process restructuring, scientific and professional management, the depth and versatility of restructuring. Proposals and recommendations have been made with respect to the future reform of Chinese banking industry based on the analysis of bank reengineering theories, the Chinese banks situations and foreign banks experiences.Based on the methods of quantitative and qualitative analysis, the paper researches the process restructuring, management system restructuring and system restructuring of Chinese state-owned banks, the differences between Chinese banks and foreign banks in terms of restructuring theories and practices are also discussed based on the horizontal and vertical comparative analysis, proposals and recommendations are also given based on the research.the paper can be divided into five parts, the first part briefly introduces the background and theories of bank reengineering, the second part analyzes the significance, content, internal and external motives and practices of bank reengineering, the third part proposes the model, methods, strategies of bank reengineering and emphasis are put on the model selection of state-owned banks, the fourth part discussed the methods of banking process optimization, corporate structure efficiency so as to develop a full functional modern banks based on the case studies of Chinese banks. Strategies and feasible methods are given following the case studies of ICBC banks of Anhui branch in fifth part, Solutions and proposals are recommended as to the future development and direction of bank reengineering.