The Operational Risk Management Of China's Commercial Banks

Bank as the center of today's social and economic life, its healthy development and stability is essential, in particular, with the banking business has become an increasingly widespread across the area, increasing the size of the operation, the complexity of the business, gradually make the bank's operations Risk management to be became a increasingly urgent and serious problem. This has all the advanced international management institutions and commercial banks, all the way through a series of operations by adding to the risk management team.However, China's commercial banks, both in theory or in practice, operational risk and the true meaning of the content is still relatively unfamiliar. All along, China's commercial banks on operational risk awareness, management, control, prevent the lack of comprehensive, systematic and standardized knowledge. As a result, when faced with increasing international competition and its own reforms, improve the operational risk management has become a top priority of China's commercial banks to resolve problems.In this paper, as far as possible, clear and systematic communicate operation of commercial banks on the risks, analyze its characteristics and expressions, and tracking the causes behind. The article more or less, including four parts, the first part of the operation on risk management is background and significance of the study and research at home and abroad to carry out an overview and analysis.The second part of China's commercial banks is to introduce operational risk as a result of the formation of the root behind, and the new Basel Capital Accord framework, combined with China's national conditions, China's commercial operation of the risk of re-identification and definition. On this basis, and then put forward in order to fundamentally prevent the risk of the operation, it is necessary to "system" of the two aspects, to improve corporate governance, organizational structure and internal controls, risk and strengthen the cultural building and staff training.The third part in the operation of the risk is of the formation mechanism and identification based on the model of stress management, advanced through the foreign banks operating example, the establishment of China's commercial banks operating risk management model put forward proposals for reference.In the fourth part is to identify and assess risk based on the risk of the bank into a comprehensive risk management system, set up in the "line" management style at the same time, stressed the "three lines of defense", as well as the Cooperation with compliance and Internal audit. Finally, regulatory constraints from the external supervision, and the proposed changes in regulatory philosophy is also important which means to further improve the supervision and so on.In this paper, based on public information and media in-house bank, China's commercial banks to operate the reality of risk management conducted an in-depth analysis. At the same time, based on the idea from advanced foreign management institutions and the management techniques, I made a more comprehensive and systematic Views and suggestions to China's commercial banks which including the management framework, the management tools and other point of view.