Study On Operational Risk Of The State-owned Commercial Banks Based On Principal-agent Theory

In this paper, the operational risks in the state-owned commercial banks has been analyzed based on the principal-agent theory in this article and some measures to solve the above problems has been proposed.Specifically, the main work and related conclusions include: it is analyzed that Chinese banking operational risk has main features of the amount of loss, a high proportion of internal fraud, and multiple in the grass roots, higher frequency losses in state-owned commercial banks, principal-agent relationship of the state-owned commercial banks is discussed, and conclusion is that in the state holding, the original principal-agent problem can not be essentially solved; Two Game models of operational risk of internal fraud are build, the first model shows that the probability of operators fraud is decided by ratio of shareholders supervision costs and the loss of fraud to shareholders, if cost of supervision is lower, or losses to shareholders with internal fraud is more, the probability of fraud is lower, the second model describes in the premise of supervision costs, losses and gains of parties being established whether optimal probability of fraud or supervision of the optimal probability is directly decided by the probability of effective supervision. If the probability of effective supervision is higher, the probability of fraud is lower, and the contrary has also been set up. On this basis, it is analyzed that the state-owned commercial banks virtual home ownership, too much agency levels and internal control system defects lead to operational risk, which are the deeper level causes leaded to internal fraud operational risk of the state-owned commercial banks. On the basis of analyzing the causes, some corresponding solving measures are proposed from flat management, internal control system, and supervision mechanisms. In addition, a special study on the reform measures of the state-owned commercial banks to introduce strategic investors impacting operational risk management had been done and it had the conclusion that introducing strategic investors has positive influence of operational risk management of the state-owned commercial banks.