Research On The Influence Of X Bank Internal Control Process Optimization On The Profitability Of Branch Bank

With the deepening reform of financial system after China joining into to the WTO,the competition among banks becomes more and more intense since most of foreign capital entering the domestic market.In particular,in recent years,regulators have gradually enhanced their controlling in financial risks,and many banks have started to expose a huge number of bad debts,fake financial cases and other serious cases.Many banks face huge penalty,deficit financing and a collapse in profitability.This is not only caused by external environment,but also the bank's internal control process has great potential risk.On the other hand,the traditional internal control process is too stylized,the management mode is stubborn,and the complicated reporting and approval requirement makes the operation process extremely complex,this result in the poor customer experience and corporate reputation,lossing of employees and customers,what leads to reduced profitability.This article summarizes the internal control process and their profitability of domestic and foreign banks,and then starts from the internal process framework,combining the status of the banking profit model,to clarify the existing problems in the current internal control process of commercial banks.Then,analyses the impact and index conduction to profitability of enhancing internal control process.This article analyzes the organizational structure,internal control process and profit model of bank X,finds out the existing problems of the internal control process,compares the changes of the indicators affecting bank's profitability,and gives the optimization plan and countermeasures.Through the actual data tracking,it is confirmed that the optimization of internal control process of X bank has positive effects on the profitability of A sub-branch.The operation efficiency of the branch was improved,the asset size and quality were improved at the same period,and the profit increased and the profitability was improved.Profitability is an important indicator of bank performance.Under the regulatory control,we can find the balance between the optimized internal process and the business expansion,which is of great theoretical value and practical significance for commercial banks to improve their profitability.Therefore,this article suggests that taking bank X as an example commercial banks should focus on the optimization of internal control process,established comprehensive database base on collecting various business data from each department,improve a convenient and effective management and operating process system.