CREDIT ASSEMBLY-LINE AS A WAY TO REDUCE THE UNFAIR BEHAVIOR RISK OF BANK EMPLOYEES

Abstract

Summary. One of the most important characteristics of the unfair behavior risk is a circle of people influencing the risk’s probability: bank staff, a customer or a third party. The article deals with this issue (bank staff’s participation in cheating). It is given the statistics of the losses caused by the bank staff participation in facts of unfair behavior. According to the author, the improving package for work with the risk of unfair behavior must be implemented to solve this problem within the lending of borrowers - small and medium enterprises (SMEs). Developing stages of the model of a lending process and its deals with SME are devised as part of these measures, the content and objectives of a stage are defined as well. In author’s opinion the first stage of this betterment is a development and adoption of a new mechanism – a credit assembly-line. It is given the definition of a credit assembly-line in the network of SME lending, the purposes of the mechanism’s adoption are defined. The result of credit assembly-line adoption concerning each credit transaction of probable forms of unfair behavior is presented. One of the reasons for the staff’s participation in the realization of unfair behavior risk is the presence of different motives (including material) and a measure or a sense of responsibility. The author offers the system of motives of players in credit process to solve the problem. As the conclusions of the article the author gives recommendations in relation to the regulatory framework improvement and to give more attention to the staff motivation system in case of the probability of the unfair behavior risk.