The Research Of Building Financial Prewarning System

Enterprise development history has proven that if enterprises can be prepared for danger in times of peace, fully aware of the importance of early warning, find a timely warning signal, and take corresponding measures, the decline of the Sanzhu Group and the Giant group would have avoided. Enterprises to gain an advantageous position in competition and to be a long alive one must continuously improve their ability of adaptation and resisting risks, must be creative and develop and upgrade their core competitiveness. A slight error or negligence in the process of management could result in a crisis. Therefore, enterprises must remain highly vigilant. Traditional theories focus on the research of successful management and on the development of enterprises, but neglect the research of negligence in risk and the prevention for self-strengthening, which leads that the enterprise is caught by surprise and volatility in the event of a major problem, even a crisis. Hence, the early discovery of the financial crisis signal is important for operators to take effective measures to improve enterprise management at the bud stage of the financial crisis. Strengthening the financial crisis prevention and control is one of the hot issues of modern financial theory and practical research. How timely and accurately monitor and forecast the level of financial risk has become the modern enterprise financial management issues. So to build a highly efficient, sensitive and practical financial risk warning system is very necessary.This paper systematically discussed the definition, function and significance of the financial prewarning system. Through the design of the structure and working mode of the financial prewarning system, it is expected to achieve the combination of the financial prewarning systems and enterprise management systems and rationally use the existing financial targets to build an early warning indicators system which can monitor and identify the financial risk. In this paper, the core content studied the business warning models, and established the early warning system with linear discriminated model based on the statistics and analysis of the financial data in the past two years of a large number of listed companies, combining the past achievements in the field, and. It attempts to make some progress in this field.Finally, this article tested the practicality of this linear model and the accuracy rate is 92% and 88% respectively which are satisfactory. I believe this model will play a definite role in prediction and prevention the financial crisis in our enterprises...