Comparative Study On Operational Risk Management Between Chinese And Foreign Commercial Banks

According to "the new capital framework agreements", which released by Basel Committee on banking supervision in June 1999, bank should carry out the quantitative analysis on the operational risk, operational risk only then starts to be valued by the international commercial banking circles. In June 2004, Basel Committee issued "New Basel Capital Agreements", listed credit risk, market risk and operational risk as 3 big risks and brought operational risk into the lowest capital request of commercial banks. So the operational risk has become the focus of concern for solid service operation departments of commercial banks and supervisors in various countries in recent years. Compared with the foreign banks, Chinese banks paid attention to the operational risk later, the managements of the operational risk has just begun and been really concerned just in recent years. Therefore, there is not an overall, systematic understanding to the operational risk.The purpose of this paper is to improve the management of operational risk by comparative research between foreign commercial banks and domestic commercial banks under the premise of basic knowledge about operational risk managements. And reduce the distance to the international advanced banks through innovations.The first part is a brief introduction of the background and purpose of this thesis, which presented the research ideas and framework of the thesis. The second part is the theoretical analysis about causes of operational risk of commercial banks. The third part is the analysis about present situations and causes of operational risk of Chinese commercial banks. The fourth part is the comparative analysis about operational risk managements of Chinese and foreign commercial banks, which starts from major components of operational risk management framework, including comparisons of risk management culture, operational risk management organizational structures and operational risk management flows, we find some shortcomings in the operational risk managements of Chinese commercial banks by the comparisons, then gets some enlightenments. The fifth part is to improve operational risk management proposals of Chinese commercial banks from the operational risk management culture, operational risk management organizational structures and operational risk management flow on the basis of drawing on the international experiences and Chinese actual situations.