Research On The Small Enterprises Credit Business Process Reengineering Of Commercial Bank Based On Activity-based Costing Management

With the deepening of the domestic banking strategic transformation, small enterprises’financial services get more attention from the commercial banks. Especially the largeenterprises’ direct financing channels widening gradually, the commercial banks’ bargainingpower to large enterprises have become weaker, which the profits of small enterprises creditbusiness still can be guaranteed. And compared to large enterprises, the number of smallenterprises is bigger and industries widely distributed, so small enterprises financial serviceswill become an important growth point of commercial banks profit, banks are developing thebusiness actively. Faced with increasingly fierce competition, how to find their ownpositioning and reengineer business process have become the problem for commercial banks.In this paper selecting Bank X for the study, to try analysis and reengineer the Bank X’s smallenterprises credit business process by using business process reengineering and activity-basedcosting management as the theoretical basis.Business processes of bank express as a series of interrelated activities collection.Because of the remarkable achievements of activity-based costing management, this articlecombines it with the business process reengineering, and uses time costs as Bank X’sactivities costs to analysis. The paper uses the field survey, literature survey and networkplanning method as the research methods. To find out the relevant information and data ofbank X through the field survey. To make clear the percentage of time the activities cost bydrawing a network diagram of Bank X’s small enterprises credit business process. Then, findout the problem existing in the Bank X’s small enterprises credit business process. The mainproblem are the process takes too long, failed to make the jobs connect effectively, a longtime qualifications review and human resources issues. Due to Bank X’s problem, try to learnfrom the advanced experience of other banks in dealing with the similar problems by readingthe literature.In this paper, measures to reengineer the Bank X’s small enterprises credit businessprocesses are proposed: to increase the small business center functions, to market batch ofclients, to use of external resources reasonable, to set up professional credit audit mode, to improve human resource management mechanism. After taking the above measures, Bank X’ssmall enterprises credit business processes improve from30days to16days to complete.