Study On Operational Risk Management Of Bank Of China Shaanxi Branch

Followed along with the progress of global economic and financial integration, the working area of the commercial bank is continuously expanded, and the derived financial products continuously launch. In consequence, the perfection of the operation risk management system becomes more and more important. Because of the great loss in Bahrain Bank and Societe Generale, the world financial sector is shocked, and then they discover that they have to pay more attention on their internal control and operation risk management system. The Basel II, which was officially published by The Basel Committee on Banking Supervision in 2004, established the importance of the operation risk in the risk management system, and the provision of the capital allocation for the risk management system gave the commercial bank a higher requirement. From 2006, CBRC has established lots of regulations for the operation risk management; it indicates the startup of the domestic bank' development on building their own risk management system. In recent years, many cases about operation risk happened in domestic banks, the loss is inestimable, and the loss is not only about money, it is also about reputation. By the progress of the internationalization, "how to effectively prevent the operation risk" becomes a requirement for domestic commercial banks' self-development, and it is also a crucial guarantee for a healthy development of financial sector which is the core of the economic system. This essay is a study of the operation risk management, and the subject is Bank of China Shaanxi branch. It links theory with practice; uses both qualitative and qualitative analysis; infers by inductive reasoning; proceeds with the theory of operation risk management; introduced the advanced international experience of bank operation risk management. All the description is based on my research and practice; all the problem I found out is based on my analysis; all the suggestion I provided is based on the knowledge I got from this course, my research and others' experience.