Analysis of the Management and Risk Controls Countermeasure on the Third Party Logistics for Finance Service in China

In the introduction of this paper, I elucidated synoptically the prospect and current problems of the Third Party Logistics (3PL) about finance service. The primary problem was to get a reliable risk control. 3PL may meet eight kinds of the risks: interior management risk, operation risk, technical risk, market risk, security risk, environment risk, law risk and credit risk. Therefore, I proposed seven countermeasures in the management and the risk controls of the 3PL. One is to manage well customer so as to develop the cooperative relation between the bank and the customer in risk management. Two is to enhance the credit management to the customer, and to develop the enquiry information platform of the business for effective process supervision to the risks. Third is to establish the nimble and fast system about market information collection and feedback. Four is to improve the management the business operation and the interior norm. Five is to pay attention to the national policy and laws that will affect the logistics financial development. Six is to establish the management mode of the logistics business and create the proper new logistics risk by the market capital operation. Seven is to synthetically analyze the financial service ability to optimize the service methods. Finally, one successful case of China Nationals Materials Storage and Transportation Corporation (CMST) was used to verify my proposal basically.