Business department and business loan: Minsheng Bank "two Take-off" exhibition Wings

January 12, 2011, China Minsheng Bank ushered in the 15 birthday. For more than 15 years, this "private bank" has set off a number of financial reform and innovation waves in China's banking sector.　　With the unique division of the system and strategic clear market positioning, this innovation as the soul of private banks are ushered in the "two Take-off" stage. Started in the second half of 2007, the overall implementation of the reform of the Ministry of Minsheng Bank completed the first round of transformation.　　More than three years since, in the industry's questioning eyes, Minsheng banking division reform Bold innovation, cautious forward, with the performance of speaking, professional convincing. Today, the Minsheng banking division not only has not appeared in some industry people "expected" the loss of staff, business decline, management chaos phenomenon.　　On the contrary, with the help of professional sales, professional management and professional evaluation, the great success of the department has become the main reason why the net interest rate of Minsheng Bank is the first of the national banks and listed banks, and the non-interest income occupies the top of the joint-stock bank. "In the specific business boundaries to co-ordinate customer financial services, to provide customers with a real one-stop service, the division has become a real customer-oriented, market-orientated organizations for the Minsheng Bank to create new competitiveness."　　"This is the goal of the reform of the Business department proposed by Dong Wenpei, chairman of Minsheng Bank, and the current direction of the department."　　Professional and efficient "division reform has greatly embodied the institutional advantages and professional advantages", Minsheng Bank governor Hongzia pointed out. According to the understanding of Liang Yutang, vice president of Minsheng Bank in charge of company business, the so-called institutional advantage, is able to focus on the professional talent market system planning, rational research, the whole line of marketing, "focus on the power to do great things"; the advantages of the system also bring the advantages of specialization, based on the industry business model, customer demand for systematic research,　　Division can thoroughly understand the market, for industry customers to provide more targeted services, so as to achieve good returns. Indeed, the most direct advantage of the division system focusing on specific industries is the specialization of division of labor, and the ability of banking specialization has been improved a lot.　　This is particularly prominent in the three years ' development of the Financial affairs Department of Minsheng Bank. Take the real estate finance division as an example, "the country in less than 3 years of time to the real estate market in two rounds of regulation and control measures, but Minsheng Bank real Estate Finance Department in response to the adverse situation of regulation has achieved a very good performance, it is the division system has played a professional advantage."　　"Yang Yi, president of the Real Estate finance division, said. This first performance in the "thorough" industry: the Real Estate Finance Division has established the President-led, the line participation industry research, the business plan and the resource allocation system, and takes the research plan as the backing, will the limited resources in "the region, the customer, the business state, the financial product" four dimensions carries on the dynamic combination configuration. Second, reflected in marketing customers: Real estate Finance Department in cooperation with the large group of clients operating across the region, the "total to the general" strategic cooperation and "door-to-door" landing services, to work together to expand the national market, but with the local developers in the region to cooperate, according to its development stage and demand characteristics, to provide personalized,Full-service, the heart without distractions to support its growth. "We are called the group Customer Line strategy and regional quality customer line strategy, which is not easy to replicate under the traditional system." "Yang Yi said.　　Data show that as of the end of June 2010, the Real Estate Finance Division 282 of the stock of assets customers, 90% is the establishment of new customers after the division, private enterprise loans accounted for more than 75%. This kind of achievement not only occurs in the real Estate finance division.　　Specialization of the Division of labor system allows the department to truly based on market focus and Target customers to develop a unified national market planning, accurate capture of policy and market opportunities, rapid response to industry adjustment and volatility of risk factors, flexible adjustment of business strategy, so as to truly operate an industry. More than three years of time, the various divisions in the restructuring of the initial formation of characteristics. Department of Energy implementation of "Back to the coal" strategy, in the coal credit market has obtained the differentiated market competitive advantage, and has formed the strong in the regional market; The Ministry of Communications "Back to the road into the railway, into the car", the layout of the industrial chain in the high income link; Metallurgy in view of the characteristics of low income level of industry assets, the implementation of　　Short-term debt business scale growth, trade finance department "go out" business development strategy is the professional advantage of the true portrayal of the division. "Specialization determines the difference, do other people can not do products and services." "In the Minsheng Bank Transportation Finance Division President Han Feng, it changed homogeneity, the bank can really grow." The deepening of the reform of the Department has also made the people's Livelihood Bank staff management awareness greatly increased, the business scale significantly improved. In the coal credit market, the Ministry of Energy has achieved the differentiated competitive advantage of the national banking industry.　　But the real estate industry brand Enterprise, is the real estate Business department's main customer. At the same time, due to the homogeneity of the division's customers and the department's overall marketing planning and management throughout the country, the new business model to achieve the fastest speed to promote.　　For example, the real Estate department actively develop mergers and acquisitions loans, lead syndicated and other emerging market operations, the Department of Energy in the coal industry chain financing and other segments of the formation of strong, the Ministry of Transport to form a "shop loan", "Ship-ship" and other business models, the Ministry of Trade and Finance in　　Wind control strengthening for banks, risk management is always the soul. At the beginning of 21st century, Minsheng Bank used its unique independent credit evaluation system to break the curse of the huge non-performing assets of China's banking industry.　　After the reform of the Department, the "16 words" risk management system of "vertical leadership, professional assessment, independent monitoring and hierarchical management" was further strengthened. After the reform of the department, Minsheng Bank tries to establish a balance mechanism while maintaining the relative independence of the risk system. The concept of risk management changes from avoiding risk to operating risk and managing risk. Minsheng Bank Risk Management Department general manager Zhao Jixin said: "The Risk Management Committee is responsible for the identification of risk policies, validation and distribution of risk limit indicators, review of risk management rules, review of major issues of disposal program, the Director of Risk licensing and professional assessment." In the PeopleHealth banking division, clear and independent reporting line to ensure the independence of the risk system.　　At the same time, the risk director of the division is stationed by the Risk Management Committee to carry out the risk policy, while the Director of the Division carries out checks and balances on the risk control of the risk controller. It is the goal of Minsheng Bank's risk management to manage the bad assets of others and dispose of others ' bad. To this end, Minsheng banking division around the "16 words" policy, gradually establish multi-level risk control system, the initial unified risk management standards, the realization of the risk of the defense line forward, the rapid rise in the level of risk awareness, the market demand response to increase significantly, the industry risk factors quickly reflected, credit approval speed significantly improved, Risk decision-making is more scientific and reasonable.　　The embedded risk management system strengthens the market and the risk team's collaboration, the business model innovation impetus and the ability obtains the enhancement, in the new business model, the high Income project aspect has carried on many beneficial exploration and the attempt, the active management risk idea gradually carries out the implementation. Since 2007 the establishment of the Department, the various business departments of credit, almost no non-performing assets. As Li Zhiyi, president of the Energy Finance Division, pointed out that in the eve of the 2009 Shanxi Coal Consolidation, the Energy division studied the system's response plan, dispatched special working groups, and therefore recovered the accounts receivable well.　　In addition, despite the US financial crisis since 2008 and the European sovereign debt crisis since 2010, the energy sector has achieved a good record of 0% per cent non-performing loans, after a roller-coaster of energy prices.　　The superiority of the transformation system is especially obvious in the strategic transformation, so is the reform of Minsheng Bank's business department.　　Beginning in the second half of 2009, Dong Wenpei proposed that Minsheng Bank should realize "two Take-off", "Private enterprise's bank, small micro-enterprise bank, high-end customer's bank, build" characteristic and benefit type Bank. Such a refinement of market positioning to pursue the characteristics of business, in the industry is still a precedent. Therefore, the industry has been placed a considerable concern and expectations.　　And the Department of Business around such a strategic transformation of the key force, and "business lending" together to become Minsheng Bank to achieve two Take-off "two wings." By the end of 2010, in less than two years, Minsheng Bank small micro-enterprise loans "business lending" balance of more than 150 billion yuan, Minsheng Bank has become the world's largest small micro-enterprise financial services organizations.　　According to the planning of Minsheng Bank, 3-5 years later, microfinance services will be "one of the three parts of the world." Widely circulated "business and credit" The origin of the story is: June 2008, Dong Wenpei to Minsheng Bank Chengdu Branch Inspection, suddenly found in the deserted branch network opposite the Lotus Pond market flow.　　"Here will be our business", with more than more than 20 years of banking experience, Dong Wenpei keenly feel that there must be banking services business opportunities, put forward to vigorously develop small micro-enterprises, the realization of merchants into the branches, merchants into the counter, to do strong branch of the idea. Thus, since 2009, the vigorous "business lending" strategy inMinsheng Bank spread out all over.　　Deputy Governor Mauxiao led the project team, the domestic banks often in the Enterprise Loan Department for SME loan business, defined as merchant financing products, transfer to the individual departments for processing, approval focus for personal credit. The results are naturally astonishing. Since February 2009, Minsheng Bank accumulated to the loan demand in less than 5 million yuan small micro-enterprises, self-employed, private owners issued 200 billion yuan loans, the cumulative loan for more than 1.12 million, household loans in the amount of 1.5 million yuan.　　In the next three years, the bank plans to increase the small micro-enterprise loans to 400 billion ~5000 billion level. "They are strategies, we are strategies."　　"More than one people's livelihood bankers explain this, in their view, this is the Minsheng bank to do small micro-enterprises and other banks to do the biggest difference between SMEs." Within the Minsheng Bank, business and business loans are becoming the two wings of Minsheng Bank to complete the strategic transformation and achieve two take-off. The implementation of the company's business concentrated operation and the reform of the Division, so that more than 400 branches are no longer engaged in the company's business, for the full expansion of the business lending platform.　　And the success of the commercial credit to the branch to find the direction of transformation, will not be thinking of the customer from the hands of the division to retake. Since the reform of the Department has been running for more than three years, the advantages of the industry division has been remarkable, the performance growth is unprecedented strong, but an unavoidable fact is: branch asset size and customer strength is weakened, business resources and pioneering kinetic energy is insufficient. "The introduction of the business of the loan, the branch is busy, one is on the shop." "One of the reasons why business loans are classified among retail banks, branch promotion and marketing," said the president of Minsheng Banking, a business unit.　　Because in business and credit, Minsheng Bank has given the business the obvious preferential treatment of resources, personnel, cost tilt. "The business loan solves a contradiction between the Division and the branch, which is unexpected before." But this is the superiority of the system of the Department, and can fully cooperate with the strategic transformation.　　The President of Minsheng Bank branch. On the other hand, centering on the strategic orientation of "the Bank of the private enterprise", the business department becomes the main body of the private enterprise strategy of Minsheng Bank. Various business departments have increased the implementation of the strategy of private enterprises, through with the National Federation of Commerce, civil society, trade associations of cooperation, bulk selection, the development of high-quality private enterprises customers. Data show that in the first half of 2010, Minsheng Bank in the head office and operating agencies at two levels of joint choice of strategic cooperation private enterprises target 407 households, the cumulative number of private enterprises to invest 168 billion yuan.　　Next, Minsheng Bank will provide the strategic private enterprise customers with a more comprehensive, a package of financial services. Deepening reform as the first crab-eating initiative, Minsheng Banking division reform is not smooth sailing.　　This noisy "separation" movement will be questioned by the industry today, the internal interests of the conflict is one of the most critical and most acute contradictions. At the beginning of the reform of the Department of Business, how to mediate the interests of all parties, at the same time promote the reform of the Division, Minsheng BankLayer painstaking: Both drastic reform, innovative operation mechanism, but also outreach, patiently listen to the views and reactions.　　With the gradual deepening of the reform of the Department, the reform method of the Department of Business is more flexible, for example, for different regions, different branches, different types of business operations, to create a unique balance of interest system; In view of the weakened branches, a flexible compensation mechanism has been adopted to balance the interests and establish a new system of interest balance. "Specialization is certainly good, division between the Division is also certain." "In the Minsheng Bank Metallurgy Finance Department President Yu Huabin, because of the different business strategy, the cooperation between the Division may have a certain interest dispute, but" the end is consistent, is the Minsheng Bank's customer service is good.　　Yu Huabin pointed out that under this kind of thinking, the cooperation of the Department is a big trend. "The understanding of the Division has been in the process of deepening." "Minsheng Bank Transportation Division President Han Feng that the deepening of understanding not only exists in the front marketing department, but also in the back-end wind control, credit management department."　　And with the reform in the background gradually in-depth, the front and back of the interaction will become increasingly flexible and mature. "The reform of the business sector to this, the coercive measures for institutional reform to gradually gradually, the flexible measures to resolve the conflict to gradually follow up, and this requires the adjustment and improvement of the mechanism." "Hongzia said.　　In fact, with the compensation mechanism and interest in the division mechanism in the reform of the Division constantly improve, so that the division between the Department, the people and departments of the conflict of interest gradually reduced, the various business departments, branches of business development by each other's interests are gradually reduced, business development is not tied hands and feet. It is understood that the next Minsheng bank will also deepen the reform of the Division, will further enhance the professional financial services and comprehensive financial services, further become the main role of Minsheng Bank to implement the strategy of private enterprises, further expand the relevant authority of the Department to further improve the operational efficiency of the division, around the main line,　　A series of major new initiatives are coming soon.　　As early as 2006, people in the industry said that the most important value of Minsheng Bank is not its own asset value, but the new signposts and the spirit of exploration that it provides for domestic financial reform.　　In fact, China Minsheng Bank, as the experimental trial of China's financial reform, is a history of financial innovation reform, it can be said that innovation and change is the biggest characteristic of Minsheng bank, and also the core guarantee of the rapid and healthy development of Minsheng Bank 15. It can be foreseen that the "promotion version" of the business department and the "promotion version" of the business loan, the successful launch of the forecast, Minsheng Bank's "two Take-off" is just around the corner. Under the leadership of Chairman Dong Wenpei and President Hongzia, Minsheng Bank has a broad and wide road to characteristic banks and efficient banks.