Research On The Impact Of Internal Control On Financial Performance Of Listed Commercial Banks In China

Commercial banks as the core of the financial system of the country's economic security has an important influence,the international financial crisis triggered a global financial reform,China's commercial banks are expanding towards internationalization and comprehensive development,the banking industry is increasingly fierce competition,in order to enhance the competitiveness of the commercial bank,the Bank of China the industry began to reform,especially the huge manpower and investment in the construction of internal control and resource.But because of imperfect internal control of banks suffered huge losses or even bankruptcy case or one after another occurred,therefore,facing the financial crisis of the economic situation,the influence on the performance of the internal control of listed commercial banks,to improve the construction of the internal control of commercial banks,improve the competitiveness of commercial banks,commercial banks to ensure the safe and stable operation is of practical significance important.This paper focuses on the impact of internal control on financial performance of listed commercial banks in china.Firstly,the paper expounds the research background,significance,content and methods and innovation,summarizes the existing literature research methods and research results,and introduces the basic theory of internal control and financial performance,analyzes the impact on the financial performance of the internal control mechanism.Secondly,starting from the five elements of internal control and the overall effectiveness of internal control,this paper analyzes the impact of internal control on financial performance of listed commercial banks in China,and puts forward the following six hypotheses.According to the "basic norms of internal control",corporate annual reports,internal control self-assessment report as the basis to quantify the five elements of internal control,combined with the characteristics of China's listed commercial banks,choose the rate of return on net assets,non-performing loan ratio,earnings per share growth rate as the dependent variable,select the five elements of internal control and internal control system effective as independent variables,choose the scale of bank assets and asset liability ratio as control variables,and select the relevant data of listed commercial banks in China,SPSS22.0 using descriptive analysis,correlation analysis and regression analysis,using dipop internal control index to carry on the robustness test,to verify the impact on the financial performance of the internal the control of China's listed commercial banks.Finally,according to the results of the empirical analysis,the paper gives the corresponding countermeasures and suggestions.The results show that: the overall effectiveness of internal control has a significant positive effect on bank financial performance;in the five elements of the internal control,the internal environment,risk assessment and internal supervision both have a significant positive impact on bank financial performance;control activities on bank financial performance index earnings per share growth rate but also have positive effects.Only partially verified information and communication;influence on bank financial performance is not significant.