Research On Operational Risk Management Of Rural Commercial Banks In China

Statistics show that China's banking regulatory system issued nearly 3,800 fines in 2018.According to statistics,rural financial institutions accounted for more than half,occupying the top of the regulatory authorities to investigate the banking sector chaos.Rural commercial banks have their particularity.First of all,the development path is tortuous and the management system has changed a lot.Secondly,rural commercial banks are changed by rural credit cooperatives.Defects of corporate governance structure.Therefore,the bank's risk management system and operational risk management have not been paid attention to.Frequent operational risk events have not only caused serious damage to the bank,but also made people question the internal control ability of the bank.Therefore,rural commercial banks urgently need to strengthen the management and research of operational risk.Taking the operational risk of rural commercial banks in A city as the research object,this paper studies the operational risk management of rural commercial banks in A city through case analysis,questionnaire survey,in-depth interview and other methods.This paper first reviews the domestic and foreign literature on operational risk.Secondly,the paper expounds the management risk theory and risk management of rural commercial banks in China.Then,combined with the actual cases of in-depth interview.Find out the problems existing in the operational risk management of rural commercial bank of A city.Finally,through the questionnaire survey data,this paper analyzes the reason of the rural commercial bank operational risk in different levels of A city,this paper concluded that the main cause of these problems in the rural commercial bank operational risk and low quality of employees,poor business process management,relatively backward construction of rules and system,imperfect internal control mechanism.At the end of the paper,some good suggestions are put forward to optimizing operational risk,improve staff quality,cultivate corporate culture,optimize business process management,establish and improve the rules and regulations related to operational risk,and establish and improve the internal control mechanism ofoperational risk.These suggestions also have certain reference significance for the same kind of rural commercial banks.