Risk Research Of Ping An Bank’s Automobile Supply Chain Finance

The supply chain is a collection of suppliers that focus on the core enterprises,through the control of logistics,capital flow and information flow,from the procurement of raw materials,the production and processing of intermediate products and final products,and the use of sales channels to deliver products to consumers.A functional network chain of manufacturers,vendors and users.From the initial supplier to the end user,it is not only the logistics chain,the capital chain and the information chain connecting the two,but also a value-added chain.The raw materials are added value through the processing,packaging and transportation of the supply chain,thus giving the supply chain Related companies bring revenue.As an important pillar of China’s economic development,the automobile industry has a very significant effect on the economy and is one of the more mature industries in China’s supply chain finance.Ping An Bank develops automobile supply chain finance business through the "prepayment financing" model.This article analyzes the current status of Ping An Bank’s automobile supply chain finance business in detail,and summarizes the three major risks:first,the risk of theft and damage of stock vehicles;second,operational risk;and third,dealer entry risk.There are two major loopholes in the dealer entry risk assessment: first,the evaluation indicators are not comprehensive.The bank only analyzes the entry conditions from the dealer’s basic conditions,business conditions and financial statements,ignoring the over all relevance of the automobile supply chain.The dealers are an important part of the automobile supply chain,and the financing risks are not only related to their own operations.It is also closely related to the credit of upstream core manufacturers and is susceptible to the overall macroeconomic policies.Second,there is a lack of a specialized risk assessment and quantification system.The indicators for the bank to investigate the dealers’ entry have qualitative and quantitative indicators.The qualitative indicators have strong subjectivity,which maylead to the objective and inaccurate decision-making results.Ping An Bank currently lacks a system that combines qualitative and quantitative indicators to comprehensively assess dealer entry risks.For the risks of Ping An Bank’s automobile supply chain financial business,this article puts forward risk prevention measures one by one.Based on the two shortcomings of dealer access risk evaluation,combined with the characteristics of the automotive supply chain,comprehensive consideration of the supply chain core manufacturers,dealers’ own operations,supply chain stability and other factors,based on the scientific,comprehensive,hierarchical and risk assessment indicators The principle of operability construction,the risk evaluation index system of financial dealers in Ping An Bank’s automobile supply chain was constructed,and the weight of each indicator was determined by AHP.Combined with expert scores,the final risk score model of dealers was established and verified.The analysis verifies the scientific and effectiveness of the established risk assessment and quantitative system,and finally puts forward suggestions to improve financial risk management of Ping An Bank’s automobile supply chain.