The International Comparison Of Banks’ Operational Risk And The Revelation For ’A’ Bank

According to the New Basel Accord, operational risk is what caused by imperfect or uncontrolled programs, people, system or external events that probability threat to loss. Legal risk is contained but strategic risks and reputation risk is not included. Operational risk has become top three risks of commercial banks that can be matched with credit risk and liquidity risk as many great risk events have occurred in domestic and abroad.Many mature management theories and rich practical experiences have established already since much more attentions have been paid to operational risk. But due to establish relatively late, China has fall behind in operational risk management these years. So it has some realistic significance to contrast research operational risk of domestic and international commercial banks completely, find out the problems that China’s banks encounter in practical operational risk management, and finally give out reasonable countermeasures and suggestions.Actual demonstration analysis and comparative analysis are major study methods in the article.The author chose A bank as object of study. The paper is divided into seven chapters as following.The first part is introduction, which focuses on raising question, illustrating the background of the paper’s topic choosing and its significance, and putting forward its framework. Secondly, operational risk is defined, and the detail definition of international theories about it is also given. Chapter three is the data characteristics and the cause of comparison of risk loss. The fourth part is the comparison of operational risk management, which means to conclude advanced experience like Deutsche Bank and City Bank and find out the problems that exist in most of domestic banks. Part five introduce operational risk status of A Bank, and management frame and its drawbacks are also involved in. Part six is what the solving way to promote the operational risk of A Bank, which contains internal constraint and external supervise. Chapter seven is the final conclusion which gets by the former analysis.