Improve Internal Control And Operational Risk Management

With the rapid economical development, commercial banks are being faced the challenges in systems, business and other aspects. As the pioneer of Chinese economic development, the commercial banks for its business outlets, large scale, capital strong advantages pay a important role in our country’s economy.Today it is a good chance for commercial banks to develop, which also facing enormous management issues, especially in operation risk.Our study just started now in operation risk management. We have to improve ourselves in many areas.In western developed countries, commercial banks have experiences in operation risk management. It’s good for us to learn.Recent year many events happened in our country due to internal control problems. More and more employees, more and more products provided, commercial banks face more and more risk issues. A little operation error may cause "the butterfly effect". It’s harmful for all the society.The western developed countries have a long history in operational risk management, their research and practice are earlier than China. In the western developed countries many commercial Banks already build effective internal control system to enhance operational risk management’s level. On the other hand, Chinese commercial banks are lack of experiences of operational risk.So we seek the relationship between operational risk and internal control, analyzing its internal control systems, combined with China’s national conditions, in order to improve the internal control to strengthen our country commercial bank operation risk management.