Research On Financial Risk Management Of YG Non-ferrous Metals Company

Under the environment of the world economy becomes more integrated and domestic economy tends to be more market-oriented,companies pay more and more attention to financial risk identification and control.Due to the weak management awareness and poor financial risk management techniques,some companies lack the ability to resist financial risk in the face of the deterioration of the external environment and operating difficulties,which even threatens the survival and development of the enterprise.Under the condition of overcapacity,slumping price,financing difficulties and thin margins,YG non-ferrous metals company,as a typical enterprise of the non-ferrous metal industry,it is necessary for it to strengthen its financial risk management to help enterprise to survive.This study is helpful to scientifically identify and assess financial risk of non-ferrous metals enterprises and also contribute to build a financial risk management system whether in theory or practice to a large degree.Firstly,this article combs theory about enterprise financial risk theories and methods;Then has an analysis on the YG non-ferrous metals company's financial risk.In addition,it analyzes the financial risk management problems existing in the YG non-ferrous metals company.Thirdly,it identifies the financial risk and build the YG non-ferrous metals company financial risk evaluation index system from the perspective of internal factors and external factors and evaluate its financial risk by the analytic hierarchy process(AHP).In the end,it puts forward the financial risk management framework based on the COSO-ERM.The conclusion of this paper is as follows:YG non-ferrous metals company can set the financial control strategic goal and improve the capital management system,build a financial risk early warning mechanism,establishing the risk guidance monitoring mechanism,building perfect information communication system,cultivating enterprise risk management culture,improve the management of corporate governance structure and other COSO-ERM frameworks to strengthen financial risk prevention and control.