Rearch On Financial Early Warning Of F Group Company On The Base Of Performance Evaluation

The F Group Company Limited ("F Group") was form by tertiary industry of M Power Supply Bureau, it has 25 subsidiary companies. After years of development, F Group’s core businesses are electric power project construction, electric power project design and electric power materials manufacture. Supplemented by electrical services, IT, hotel and property management, the F Group has become an integrated enterprise. During the development process, the F Group has had to face a variety of risks. Hence, the early warning system of finance becomes vital and one of the managerial measures, to reinforce and enhance the corporate competiveness and flexibility of the F Group.The paper summarized the study of current financial early warning system, based on the thorough study of current financial early warning system both at home and abroad. Together with the analyses of the current environmental situation of the F Group, the paper brings up the F Group’s financial early warning based on performance evaluation. The main contents of this thesis are as follows:Firstly, under the literature analysis of the F Group’s managerial pattern and financial risks, the financial early warning indicators are set up to serve the corporate strategy and manage the financial risks of the 25 subsidiary companies. The financial early warning indicators formed by traditional financial indicators and key performance indicators. It includes indicators for profitability, liquidity, productivity arid development ability. Secondly, the thesis using YFG company, one of the subsidiary company of F Group as a sample of study, by setting up the Fuzzy Synthetic Evaluation Model and followed up with Analytic Hierarchy Process, it verifies the financial early warning based on performance evaluation can reflect the financial risks of F Group effectively and efficiently. Finally, through the financial risks assessment on YFG Company, the thesis suggests some measures for financial risks precaution for YFG Company and then the F Group exclusively and strategically. These measures are in respect to profitability, liquidity, productivity and development ability.Through the analyses of the current environmental situation and the financial risks, the financial early warning system based on performance evaluation for F Group was set up. The paper finds out the financial early warning system based on performance evaluation is effectiveness, with the purpose of providing useful references to the management of the F Group. Hope for other companies of the same nature in the aspect of the construction of financial early warning system provides a useful reference.