Research On Risk Management In Ningxia Electric Power Company

With the more importance of the enterprise risk management, many world-renowned companies, multinational corporations unprecedented put emphasis on risk management and governments, regulators have put higher forward on control corporate risk prevention system. Under this background, in order to achieve a stable, fast and healthy environment, the implementation of a comprehensive risk management becomes more and more important for the enterprise. Furthermore, with the widespread use of enterprise management and further development of a comprehensive risk management, comprehensive risk management will become the backbone of enterprise management process. State Grid Corporation of China have important role in maintaining and strengthening national energy security and the development of the national economy, at the same time, the State Grid Corporation has attached great importance to comprehensive risk management. Papers on the basic of theory of risk, risk management, and comprehensive risk management, combined with the enterprise-wide risk management system of our country, and the COSO-ERM framework and risk management guidelines, discusses the objectives, organizational system, risk management information systems, enterprise risk management culture,basic process and validity testing of comprehensive risk management. Ningxia Electric Power Company as a wholly owned subsidiary of State Grid Corporation, it provides the power supply and services for the economic and social of Ningxia. Based on the State Grid Corporation, the paper combined with the corresponding theory, the main risk status of Ningxia Electric Power Company, existing problem and their management build a comprehensive risk management system. Take Ningxia Electric Power Company for example, the company set up the basic processes suitable for the enterprise goal setting, organizational system, risk management information systems, enterprise risk management and comprehensive risk management culture based on COSO-ERM framework. For the basic process, the paper describes the collection of risk management, risk assessment, risk response and supervise. Through the implementation of comprehensive risk management, the author puts forward the corresponding suggestions, and enterprise takes the appropriate strategies and measures in order to improve risk management, control capabilities and keep enterprise developed healthy and sustainably. At last, the paper summarizes the achievements of comprehensive risk management for Ningxia Electric Power Company, and prospecting the future of the power company’s comprehensive risk management.