Research On Internal Control Of Small Micro-finance Business Of ZX Jinan Branch

Since the eighties of the last century, China government began taking economic construction as the first task, deepening economic reform, the development of the socialist market economy, to support and encourage the development of SMEs, small and micro enterprises have become an important economic and social component. However, the problem of financing small and micro enterprises still exist, in order to help small and micro enterprises solve the problem of financing as well as seek new profit growth point, ZX bank financial grasp the direction of development in the new situation, the gradual development of small micro-finance business with distinct characteristics. Although in recent years China’s commercial banks to establish a relatively sound internal control system, but in practice not been effectively implemented, there are still many problems, small micro-finance business of internal control is also a lot of problems. ZX Jinan Branch of small micro-finance industry from small micro-finance business conducted a short time, associated with small micro-finance business of internal control is not perfect, this paper studies ZX Jinan Branch of small micro-finance business internal control problems and found deficiencies, and make targeted recommendations for issues to help them improve their business small micro-finance internal control, and improve internal controls of small micro-finance business to provide reference for other banks.This article is based on detection of problems, analyze the causes, ideas, suggestions for improvements carried out, in the form of case studies, mainly taken to enhance basic reading literature on the theoretical level, through field research on small and micro ZX Jinan branch operations and its internal control over financial depth of understanding, track and analyze in order to identify the branch presence in all aspects of internal control issues, and put forward a sound proposal amount targeted to meet the needs of the actual operation.This paper consists of five part, the contents of each chapter are as follows:The first part is the introduction, which describes the background and significance of the relevant literature and research results, research methods used in this paper to study the content.The second part is related to the concept overview, mainly on small and micro enterprises Definition and characteristics of small micro-finance concepts and features, target commercial banks internal control small micro-finance business, principles and content.The third part is the ZX Jinan bank’s internal control status of small micro-finance business analysis. Introduction ZX Jinan Branch of small micro-finance business overview and business development, small micro-finance internal control relevant to the system, including: Censoring separation system, double investigation system, authorization and approval system, collateral pledged to ensure that the system, checking system, credit grading after loan system, such as asset allocation of risk.The fourth part is the ZX Jinan bank’s internal control problems of small micro-finance business and cause analysis. ZX Jinan Branch of the main problems of small micro-finance business of internal control are: not yet formed a good internal control culture, small micro-finance business team quality needs to be improved, the amount of risk indicators imperfect measure, account manager accountability and performance appraisal system is imperfect, control the execution of business processes are not in place. For the main causes of internal control problems are analyzed from the perspective of both external and internal.The fifth part is the recommendations for improvement of ZX Jinan bank’s internal control of small micro-finance. Including the optimization of the internal control culture, perfect line of credit risk calculations, strengthen credit control staff, and improve small micro-finance business process control and optimize information systems and communication, strengthen small micro-finance internal audit. By using the above improvement measures to improve internal controls ZX Jinan Branch of small micro-finance business, reduce the risk of small micro-finance business, improve business competitiveness.