Construction Bank, Sichuan Branch Of The Two Branches Rating System Exploration

After having been developed for decades of years, China Construction Bank achieves significant success, such as adjusting organization structure, reforming human resources policies, accomplishing the transformation from national company into stock company, and issuing the stocks in HongKong. However, with China joining WTO, China Construction Bank is facing heavy competitions from domestic and foreign banks, and the competition is especially heavy in big and medium cities. How to implement the different management according to different situations of branches and how to evaluate the branches reasonably are very difficult problems faced by the management of China Construction Bank.This article analyzed what kind of evaluation system the Sichuan Branch of China Construction Bank should set up to evaluate the sub-branches so as to enforce the differential management. There are four parts in this article. First, the author summarized the theories relative to evaluation of commercial banks. The author compared the situations inside and outside of China, and analyzed the relationship between internal evaluation and achievement evaluation. Second, the author reviewed the change of internal management models in Sichuan Branch of China Construction Bank, and analyzed the importance of comprehensive evaluation of sub-branches. Besides, the author introduced and assessed the current comprehensive evaluation methods of sub-branches. The author also pointed out the insufficiency of current model. Third, the author advanced the new framework of comprehensive evaluation index system, including index symbolizing operation scale, liquidity of assets, security, profitability, ability of competition and internal management. The author mainly introduced the definition of different evaluation index, evaluation methods, installation of weight, and etc. This new evaluation framework can describe the situation of sub-branches correctly and offer the evidence to implement differential management. It also helps sub-branches to find out the advantages and disadvantages so that they can improve the operation by themselves. Forth, The author used the index system to analyze a sub-branch, and give the suggestions according to the results of evaluation.In sum, the author based on the experiences in management of banks, and used the theories and principles learned in MBA program to analyze and probe into the methods to evaluate the internal management of China Construction Bank. However, because of the insufficiency of knowledge and experiences, there are some mistakes or omission in the article. The author welcomes the professional experts to point out the disadvantages of this article.