Research On The Operational Risk Management Of Commercial Banks--Based On The Perspective Of Internal Control

The commercial bank is the main financial subject in modern economy, plays a very important role in the allocation of resources, financing and social service. For the commercial banks, the business object is "money and credit", and the operation of commercial banks property also has extensive sociality. And its" hidden"," complexity" and relative yield losses" lag" also decided that the bank industry must undertake the risk of. The bank risk, is now generally recognized to have nine kinds, respectively is the credit risk, market risk, liquidity risk, country risk, compliance risk, strategic risk, legal risk and operational risk. Relatively speaking, to bank credit risk and market risk, western commercial bank has formed a relatively complete management concept and pattern, but to the operational risk’ importance they have less awareness. With the dispersion, cross and hidden features, the operations risk itself has been neglected in a long time, and the academic research on operational risk also relatively lag.To continue to expand the market, commercial banks must take the loan business in prominent significant position. In recent years, bank personal credit business especially the individual housing loan business has been rapidly developing, but in the process of rapid development, the loan business also appeared many risks, which can not be ignored. In general, commercial bank credit risk mainly includes credit risk, market risk, liquidity risk, industry risk and operation risk. For a long time, China’s commercial banks personal credit risk management mainly focuses on the credit risk and market risk, the bank loan business research of operational risk management is still at the primary stage. With loan business processes becoming increasingly complex, the operational risk in Chinese commercial bank loan business also frequently occurs. And the consequences also are very serious. Therefore, to strengthen our country’s individual credit operational risk management is a pressing matter of the moment. At the same time, strengthen the bank personal credit operational risk management research has very important significance.From the angle of the internal control,This paper mainly research our country’s commercial bank credit operation risk, take the CMB bank as an example, firstly exposing the question of internal control for CMB bank credit risk in the present stage, then proposing the corresponding internal control, and providing practical and workable solutions for our country’s commercial bank developing personal credit operational risk management, so as to effectively reduce our country’s commercial bank credit operation risk.This paper take CMB bank personal credit business operating risk as the research object, based on the perspective of internal control, firstly summarizes the present research results of the bank operational risk, elaborate the connotation and specific performance of the operational risk,then analyze the causes of bank operational risk, and summarize the related laws and regulations, including the Basel Committee on banking supervision released" Basel new capital agreement", and the China Banking Regulatory Commission promulgated the" commercial bank operational risk management guidelines"," Interim Measures for the administration of personal loans" and other related file system, besides, this paper elaborate the connotation of the internal control, and the elements and relevant specification is also analyzed, on this basis, the paper evaluate the CMB bank’s personal loans operational risk,analyze the Reasons, based on the bank’s internal control framework and CMB bank’s specific situation, put forward corresponding operational risk management internal control system.This paper can be divided into six parts:The first chapter, introduction. These parts mainly state the research background and the purpose and significance of research, and explain the research methods and structure.The second chapter, domestic and international research overview.The third chapter, operational risk and internal control theory. This part firstly explain the concept and the specific performance of the operation risk, then describe the internal control content, factors and relevant specification, finally analyses correlation of the operational risk and internal control. The fourth chapter, the CMB bank credit operational risk analysis. Firstly introduce the CMB bank personal credit business profiles and expose the existing risk point, at the end the harm of the operation risk are analyzed.The fifth chapter, the internal control countermeasures of CMB bank credit operational risk. It is the focus of the paper. To effectively prevent and control the operating risk of bank loan business, commercial banks must perfect the internal control system. To establishing and perfecting the internal control system of commercial banks, the CBRC promulgated the" guidance to commercial banks internal control", according to the guidance, the internal control system of commercial banks shall include five elements:the internal control environment, risk recognition and assessment, internal control measures, information communication and feedback, supervision. The commercial bank loan operational risk internal control system must, reflect the five elements. This part’s core is trying to set up the corresponding internal control systemThe sixth chapter, conclusion.The main contribution of this paper lies in:(1) Based on the representations of the specific connotation of operating risks, analyze the specific manifestations and causes of the operating risks, and analyze the effective function of internal control for operation risk containment, providing a theoretical basis for commercial banks controlling operation risk.(2) From the bank’s internal control perspective, take the CMB bank loan as an example, according to the internal control framework, this paper raise a series of prevention measures, management method and control strategy. It always focuses on how to apply an internal control system of bank personal credit operational risk and provides an inspiration point for commercial bank credit operation risk management in our country.The main innovation of this paper lies in:firstly, in view of our country’s commercial bank loan business operation risk prevention, the paper attempts to construct a perfect internal control system. From the horizontal view, the internal control system contains five elements:internal control environment, internal control measures, risk identification and assessment, supervision, information exchange and feedback; from the longitudinal view, it contains an technological process:control target determination, risk identification and assessment, specific risk point, the risk control measures, risk measurement and risk report (feedback), which will be a organic combination for loan business operational risk and internal control theory,providing certain theoretical basis for operational risk’s controlling and prevention. Second, the paper pays attention to the combination of theory with practice, specifically take the CMB bank as an example, first of all, based on the actual business process,disclose the main operational risk prone points for CMB Commercial Bank, and according to the" guidance to commercial banks internal control", with COSO internal control theory, in relation to the personal credit business process, put forward specific measures for internal control, and provides some practical guiding significance for the commercial banks’ effective operation risk management in China.