Study On The Internal Control Self-evaluation Of The Rural Commercial Banks

Internal control,also known as internal control,refers to a kind of control measures taken in the company in order to achieve some kind of goal.The self evaluation of internal control is the process of checking and evaluating the operation effect of internal control according to a certain standard and system.The goal is to make the enterprise achieve the goal's degree and provide reasonable assurance.The commercial bank's internal control evaluation is a system of evaluation activities,which aims to evaluate the operation of the internal control of commercial banks,the main content of this evaluation,including the commercial bank's internal control system,internal control and the implementation effect,investigation,analysis and evaluation system.In this paper,on the basis of predecessors' research on internal control self assessment in detail in this paper,the related theory,and through the case study analysis of the selected bank internal control self assessment the status quo,combined with the risk of the bank's existing cases hazard analysis of the present situation of internal control self assessment,find out the existing problems and the cause of the problem,and puts forward related Suggestions.Eight rural commercial banks were selected as the research objects in this paper.The city of X is located in the northwest of Shandong Province.The economic development level occupies the lower level of the whole province,and the distribution of industrial structure is unbalanced.As local banks,these banks was limited by the local economic development level,the current commercial banks are widespread asset quality is not high,operating pressure,the internal control self assessment quality is lower than other banks.This paper describes the present situation of the eight rural commercial banks,and from the scope of internal control evaluation,the internal control evaluation basis,the internal control defects determination and rectification of three aspects to analysis the present situation and problems of various bank internal control self assessment.Through case analysis,we found that the bank internal control system construction is imperfect,evaluation subject,format and content is not standard,voluntary disclosure motivation is not strong,submit it to single construction,lack of self-evaluation of internal control effectiveness and to these issues in detail one by one.The causes of the problem are imperfect corporate governance structure,the incomplete and inadequate auditing,the implementation of rules and regulations,low quality of employees,local banking development,inadequate level of banking development.The article mainly adopts literature research method and case analysis method.Through the literature research method,the predecessors' theories are summarized and sorted,so as to provide an idea for the practical analysis.Obtain relevant theories by referring to relevant literatures;Through case analysis,this paper analyzes and interprets the current situation of internal control of the bank.We build a new evaluation index system by constructing the combination of quantitative indicator and qualitative indicator,the selection of quantitative indicatordraws reference to the financial enterprise performance evaluation method,and the qualitative index is selected for reference to the COSO ERM frame.The quantitative analysis and qualitative analysis adopt the efficiency coefficient method and the analytic hierarchy process respectively.After the evaluation index system was constructed,the score was analyzed by the sample of B agribusiness.The internal control level of B rural commercial bank is divided into the third level,which meansthere are weak links in the company's internal control,which should be targeted to monitor risks and improve the quality of internal control.Then the evaluation result is combined with the actual situation to verify the effectiveness of the evaluation index system.The paper analyzes the weak links in the internal control of B rural commercial bank,and sets out the countermeasures.Finally put forward the bank internal control self assessment improvement countermeasures,through the establishment of a sound system of internal control evaluation,improve the evaluation content and the evaluation index system,improve the system of execution,build characteristic methods of organization culture,improve employees' comprehensive quality,ensure the smooth implementation of B bank internal control self-assessment.As an important part of China's commercial banks,rural commercial banks are the most backward ones in internal control and risk management.Some rural commercial banks are in a state of extensive management or lack of management.Due to the small size of monomers and the weak anti-risk impact ability,the internal control management needs to be strengthened in the context of accelerating integration into the national financial market.This article studies the situation of rural commercial bank internal control self assessment in the city of X,and try to research the present situation and insufficient bank internal control self-assessment,then,put forward the improvement opinion,to found the problem as soon as possible,do a good job in risk prevention and resolve in advance.