Research On Risk Evaluation Of Credit Card Service Outsourcing In Bank H

Financial service outsourcing has become a strategic means for commercial banks to optimize resource allocation and improve their core competitiveness.It is also widely introduced to the credit card business.Bank H,as one of the national joint-stock commercial banks,has introduced outsourcing activities in the early stage of its credit card issuance in2007.At present,outsourcing activities have covered all stages of credit card business,which have been bringing many benefits to Bank H,and corresponding risks as well.In 2019,Bank H had two major outsourcing interruption events,which happened in the area of application data entry and phone check.This paper believes that the events are due to the lack of identification and evaluation of institutional concentration risk in outsourcing risk management.Focused on the outsourcing process of H bank,this paper attempts to sort out the risk factors that may affect credit card outsourcing,build a comprehensive risk evaluation system,and provide corresponding improvement suggestions for H Bank as well.This research is based on the theory of risk management,and the research outcomes of Basel Banking Supervision Committee on the risk management in financial service outsourcing as well.This study is consisted of the following four steps: Firstly,it analyzes the problems and summarizes the shortcomings in the outsourcing risk management in Bank H.Secondly,based on the current situation and personal experience in outsourcing risk management,the author identifies the risk factors and proposes risk evaluation system for Bank H.Thirdly,industrial expert interviews and questionnaire investigations are used to calculate the weight of each risk index and identify its significance.AHP fuzzy comprehensive evaluation method is also adopted to propose a risk evaluation.Finally,based on the results of risk assessment,this paper puts forward corresponding improvement suggestions and measures for the outsourcing risk management.Combining theory with practice,this paper attempts to propose a comprehensive and targeted outsourcing risk evaluation system,which is supposed to improve the theory of outsourcing risk management for Bank H,and serve as a model for other domestic commercial banks in their outsourcing risk management as well.