Bank Management of Commercial Banks

Author: Peng Jianguang
Publisher:
Publish Date: 2004-02-01
Features: Under the market economy conditions, commercial banks, like general industrial and commercial enterprises, operate independently, bear risks themselves, assume profits and losses on their own, self-restrain, seek balance on their own, and self-develop. At the same time, due to the operation of money as a special commodity, it determines that it also has its own special operating rules. The goal of commercial banks is to maximize profits while maintaining the balance of the "three properties" of credit fund security, liquidity, and profitability. Since the 1970s, the external environment of commercial bank operations has undergone profound changes: financial regulation has been relaxed, the process of financial globalization has accelerated, market competition has become increasingly fierce, cross-industry operations have become the mainstream model, information technology has developed rapidly, and new regulatory agreements are about to be introduced. These changes have brought broad development space to commercial banks while also presenting unprecedented challenges. Commercial banks are the mainstay of China's financial industry and play a crucial hub role in national economic development. Currently, the reform of China's commercial banks is deepening, and the introduction and innovation of various financial instruments are in full swing, now able to provide most of the financial services that commercial banks in developed countries can offer. After joining the WTO, the development pace of China's commercial banks will further accelerate. However, in the process of integrating into the international financial market, relying solely on past financial management knowledge and methods is no longer sufficient to adapt to the needs of external environmental changes. It is necessary to adopt internationally recognized modern commercial bank management principles, methods, and tools to better participate in international competition. Based on the above objectives, we have compiled this textbook. This book is guided by theories of modern finance, economics, and management, providing a comprehensive and systematic exposition of both internal and external management of commercial banks. Commercial bank management includes its own capital management, asset and liability management, liquidity management, financial management, and human resource management, as well as customer credit analysis, customer economic benefit tracking management, loan recovery management, and marketing management. According to the characteristics of modern commercial bank operations, security investment management, intermediary business management, international business management, comprehensive asset-liability management, and total quality management have all become important content in the study of commercial bank management. The features of this book are reflected in: first, systematicity, providing detailed discussions on various business operations and related organizational management issues of commercial banks; second, practicality, taking operability and practicality as the starting point, selecting a wealth of rich and vivid cases from recent commercial bank practices, so that readers not only have guidelines to follow but also examples to learn from in terms of commercial bank operations and management; third, constancy, this book elaborates on the many new changes in commercial bank operations and management but places greater emphasis on introducing the unchanged principles and methods of commercial bank management, emphasizing the teaching of fundamental principles and methods; and fourth, forward-looking, this book aligns with the practices of international commercial banks, demonstrating the latest development trends in modern commercial bank management, which can promote the management of China's commercial banks to quickly align with international practices. This book can serve as a textbook for undergraduate students in financial majors and related fields in higher education, as well as a reference for postgraduate students, professionals in commercial banks, and other financial institutions. This textbook is guided by theories of modern finance, economics, and management, providing a comprehensive and systematic exposition of both internal and external management of commercial banks. The features of this textbook are reflected in three aspects: first, emphasis on fundamentality, while introducing and analyzing the many changes in commercial bank operations and management, it places greater emphasis on elaborating the fundamental principles and methods of commercial bank management; second, highlighting practicality, while systematically introducing relevant principles and guidelines, it takes operability and practicality as the starting point, selecting and analyzing typical cases from the practical management of commercial banks; and third, reflecting forward-looking, keeping pace with the development of international commercial bank practices, it explores the latest development trends in modern commercial bank management to promote the management of China's commercial banks to quickly align with international practices. This textbook can be used by students in economic and management majors in higher education, as well as for business training and self-study by employees in the commercial bank system.