Group decision-making method of commercial bank risk monitoring based on PCbHA iteration

Article type: Research Article

Authors: Cui, Chunsheng | Che, Libin^{; *} | Wei, Meng

Affiliations: School of Computer and Information Engineering, Henan University of Economics and Law, Zhengzhou, China

Correspondence: [*] Corresponding author. Libin Che. 876397199@qq.com.

Abstract: The steady development of commercial banks plays a key role in maintaining the healthy development of the economy. The ability to judge financial risks is a reflection of the comprehensive risk management level of a commercial bank, and it is also an important criterion for measuring its competitiveness and operational stability. Based on the analysis of economic development laws and reference to relevant literature, this paper screened out the eight most representative risk evaluation measurement indicators of commercial banks, ranked these indicators in preference according to expert opinions, established a group decision-making model, and then obtained the consensus ranking by using the least divergence method. The PCbHA method was used to check the consistency of the results, modify the expert opinions, iteratively calculate, and finally construct the importance ranking of commercial bank risk indicators. This paper discusses the construction of an evaluation system based on the perspective of risk management to enrich and improve the risk management content of commercial banks, enhance the risk prevention and control ability, and provide suggestions for the prevention and management of risks in commercial banks.

Keywords: Iteration, group decision-making, PCbHA, commercial bank, risk monitoring

DOI: 10.3233/JIFS-222508

Journal: Journal of Intelligent & Fuzzy Systems, vol. 44, no. 4, pp. 6293-6302, 2023