Research Of Micro Credit Operational Risk Management In Postal Savings Bank ZS Branch

The micro-credit is strategic asset business of the Postal Savings Bank of China.After several years of development, the micro-credit has been widely familiar amongindividual business and small business owners, and the “micro-credit expert” and “morehonesty, more loan” have had great reputation, then the brand image of Postal SavingsBank micro-credit has been established gradually. As the second-level branch of PostSavings Bank, ZS Branch has a tremendous progress in business development. Due tothe emerging of past due loans and bad loans, ZS branch experienced a process of rapidexpansion, standstill and redevelop.The market positioning of micro-credit of Postal Savings Bank is providing pettyfinancing service for individual business and small business owners. The micro-credit islabor-intensive business because of its characteristic, which need a large number ofhuman to do more business. So the focal point of risk management is operational riskmanagement. In context, the study on operational risk management of ZS branchmicro-credit is particularly important.This paper has six chapters. Chapter1is introduction, which introducesbackground and significance of the subject, research method, content, and innovation.Chapter2is theories and literatures of bank operational risk management, whichintroduces definition, classification and characteristic of operational risk management,and research achievement of institution and scholar domestic and overseas. Chapter3isabout the operational risk management practice by commercial banks domestic andoverseas, it introduces experience of Citibank, HSBC, ICBC and CCB. Chapter4analysis the current situation of ZS branch micro-credit operational risk management,then propose problems, and do attribution analysis through the case. Chapter5is aboutsolutions of ZS branch micro-credit operational risk management, which proposeimprovement measures through recognition, assess, monitor and control of operationalrisk. Chapter6is conclusion and shortage.