The Survey On Improving Competition Of Commercial Bank Improvincial Capital Case Study

Management system and management mechanism are the organizational forms and driving forces for enterprises to form their strategic policies and transfer their competitive strategies. They are the guarantee of completing the target tasks as well. The main operational indicator of ICBC in capital cities has declined compared with the other banks. This has already become a block for improving ICBC’s market share and competitiveness. For all these facts, we must proceed from the benefit of ICBC’s sustainable development and fully realize the importance of enhancing the institutional competitiveness in capital cities. At the same time, we must thoroughly apply and carry out the developmental strategies of the head office of ICBC in large and medium sized cites and carefully analyze the operational form that ICBC faces in capital cities. Form the scientific development view, we need to analyze the existing problems and seek new countermeasures and deeply research the developmental potential. We need to fill the gap and increasingly raise the competitiveness of ICBC in the bank field in capital cities.This paper started from the available resources and economic condition of Sichuan province and the present situation and opportunities for financial development in Chengdu. It combines the economic financial structure of Sichuan province with the present business department situation of branch of ICBC. Based on lots of statistic data, this paper analyses various problems that business department of Sichuan branch faces and ICBC confronts in other capital cities about its market competition. It also thinks about the factors that restrict ICBC to improve its market competition in capital cities based on analyzing present situations that the business department of Sichuan branch competes with other banks in the same field of banking. This paper contrasts the institutional management mode, human resource management mode, marketing service system, risk control system and resource allocation system of the major competitors with present situations of Sichuan branch of ICBC. It tries to improve the management system and mechanism of business department and deeply analyses the main problems that will be met in the process of mechanism reformation. This paper puts forward some suggestions about reformation in large-size branch business department, medium size and small size branch business department. It also includes modes about virtual branch business department and repealing branch business department. It talks about the advantages and disadvantages of the five modes. Based on this, it finally puts forward the suggestions of improving the market competition of ICBC in capital cities.This paper suggests that ICBC should use the structure managed by the business department in Chengdu district, but relevantly adjust the internal institutions that can not meet the market competition. Under the unified leadership of provincial branch, ICBC should highlight the professional function, integrating function and business function of the business department and weaken the awareness of administrative raking and administrative management. ICBC should focus on business. In other words, ICBC should consolidate the business department from the business and weaken the business department from the administrative management. On the one hand, this paper points out the way for future reformation and development of business department of ICBC and provides theoretical bases for improving the market competition of business department of Sichuan branch. On the other hand, this paper also provides reference for ICBC and other commercial banks to develope in capital cities as well as give some ideas for commercial banks in our country to reform mechanical system deeply and for their sustainable development.