Research On Operational Risk Management Of Commercial Banks' Grass-roots Branches

Commercial Banks are the lifeblood of the real economy.They play an irreplaceable role in China's economic development.The operational risk management of commercial Banks directly affects the healthy development of commercial Banks,and the healthy development of commercial Banks is directly related to financial security and economic stability,so to strengthen the commercial Banks operating risk management is particularly important.In recent years,the cases of operating risks of commercial banks occurred in China are alarming to us that operation risks may lead to enormous losses.Accordingly,China's commercial banks need to control over operational risks,improve the operational risk management,safeguard the financial order and promote the healthy development of commercial banks.Starting off from the research that has been done about operation risk management of commercial banks,this paper focuses on the analysis of current domestic and foreign studies on operation risks,discusses the importance of operational risk management of commercial bank,introduces concepts,characteristics,classifications,measurement and identification of operation risks.The paper makes the J bank as a research object,generalizing its ranges of services,introducing thoroughly the present roles and responsibilities of the branch of J bank,showing the current situations of operational risk management in branches,and listing the risks existing in various positions.The case study in the paper reveals the issues in operation risks management,and hopefully,helps J bank identify faults and avoid risks from happening.Through SPSS data analysis of operational risk management situation and summarization of existing problems,the paper explores in-depth reasons of the operational risk issues,sets up reasonable appraisal weight with the use of AHP analysis of the J grass-roots branches in operation risk management problems.The paper also establishes a risk warning model,proposes solutions for operational risk management including cultural guidance,capacity and position matching,and provides suggestions for improvement of operational risk management.I genuinely hope that it can make a contribution to the operational risk management of commercial banks in China.