Research On Financial Diagnosis And Improvement On RST

Due to the fast investment growth in past years,there are lots of overheating problems obviously in some industry investment,embodied in real estate,steel and other industries which demand growth is far lower than supply expansion speed,leading to a serious mismatch between investment rate and consumption rate.In this case,the building materials industry is facing serious challenges.A good way for the enterprise to survive and develop in the current economic situation is to optimize the financial management and find the potential financial problems.Compared to the traditional sense of the financial,the financial diagnosis is a improvement scheme,which is based on the internal conditions and external environment as the starting point of the enterprise’s financial analysis,in order to discover the hidden problems,and corroborated by financial data fully,coming out a feasible improvement scheme to help enterprises solve financial problems.At present,there are few researches on the financial diagnosis of building materials industry in our country,so it is of great significance to carry out financial diagnosis for building materials enterprises.In this paper,based on the Harvard Analysis Framework the research will be carried out in the study of the company’s strategy,accounting,finance,prospect analysis successively.In the strategic dimension,the internal and external environment of the enterprise will be combined.In the accounting dimension,we should focus on the management level of the company’s accounting policies and accounting estimates.Among them,the comparative analysis,factor analysis,and the advanced Palepu analysis system are used in the financial analysis;In the prospect dimension,we will use the financial early-warning model to judge.After the above four steps,it can be found that lots of problems in internal control,enterprise product structure,business,sale mechanism and other aspects.In view of the diagnosis results,in the aspect of strategy,accounting management,the financial management puts forward the improvement measure.This paper argues that,due to failure to understand the information of competitors in the same industry outside the annual report,in the analysis of RST,it is not reasonable to take the strategic status of competitors into the account on he impact of strategic change on the development of RST.And in the analysis of the RST the improved F value model used to analyze is based on the listed companies in China,and it is possible to predict the deviation of an industry.