Incentive Mechanism Research Of Commercial Bank Manager Based On Multi-task Principal-agent Model

As a pillar industry of financial industry in our country, the banking industry is facing unprecedented challenges. Interest rate marketization,and the rise of the Internet financial will continue to shake the stable status of the banking industry for a long time. At present, the country’s big banks are in a critical period of actively exploring diversified ownership transformation.In recent years, the problem of excessive executive compensation has caused controversy within the scope of the society. Banking reform has also been the important focus of China’s economic system reform. In such circumstances, our banking industry need to reasonably set economic payment, deal with the risk properly, ameliorate incentive mechanism, improve and perfect corporate governance structure and explore the transformation development way actively. Banks are also the special enterprises operating currency. It faces with more risk. The crisis of individual bank may cause the turbulence of the financial system. For the effective financial management, it is necessary to bring the risk factors into the bank incentive mechanism and perfect the incentive system of banking, which is an important direction of banking reform. Thus, do research on the incentive mechanism of bank’s senior management has important theoretical significance and application value at the present stage.For the study of how to motivate the bank manager to improve the level of the banks’ earnings and resist the comprehensive performance of the risk, we can assume managers bear two tasks: pursue benefit maximization and effectively control risks to banks. Aiming at the two conflicting goals, we can change the traditional bank pure pursuit of profit biggest single objective model,join the risk goal expressed in capital adequacy, set up a multiple nonlinear multi-task principal-agent model of target. According to the solution of the multi-objective programming ideas,through numerical simulation methods, we can use MATLAB software to solve the possible effective solution to study the different task weights to principal and the agent assume different tasks to cost and agent the marginal contribution rate of different efforts and the change of capital adequacy requirements in different share of bank’s own capital output to the agent and optimal coefficient of output of bank deposits and research conclusion to the manager of commercial banks to improve the incentive mechanism of reference value.