Research On Improvement Of Financial Risk Alert System Of A Company

It was stated in the 12th five-year guideline that nonferrous metal is an important infrastructure industry of national economy.There are many kinds of mineral products widely used in different fields with high managing level,playing a critical role in national defense and technology industry.In such a constantly changing market today,factors like scarcity of nonferrous metal,fluctuation of global metal price,competition domestically and globally,and market and credit policy changes all bring the nonferrous metal industry inevitable financial risks.Thus,it's necessary to find methods that can precisely predict if an enterprise is in financial risk.Financial risk alert is valuable for enterprises in any industries,both theoretically and practically.This paper adopts literature research method,linking theory with practice,to study improvement of the Daye nonferrous metals co.,LTD.of Tonglushan mine(referred to as Tonglushan Mine)financial risk alert.Firstly,the paper collected and organized financial data of Tonglushan Mine to learn the company's background and structure;Secondly,it described and evaluated financial risk alert system of the company to analyze existing problems and their reasons;Finally,it listed suggestions to improve the financial risk alert system.This paper uses quantitative analysis method to study the improvement of financial alert system,namely univariate analysis using the five indicators of power Angle,plus multivariate analysis using Zhang ling Z score model,and built a simple financial alert system based on the analysis.The purpose of this article is to help Tonglushan Mine to understand and pay enough attention to financial alert system and improve previous alert system for the development of the company in the long run,of course,it can also help the company better analyze find out financial risk source,so as to evaluate and mitigate risks in nonferrous industry based on this.