Application Of Harvard Analysis Framework In GH Power Engineering Company

In recent years,there are more and more researches on the framework of financial analysis system.Harvard Analysis Framework is a new method for the shortcomings of traditional financial analysis system.Financial analysis it is based on Harvard Analysis Framework requires analysts not only to learn to use the accounting data,but also to be good at using non-financial accounting data.It is an important method of analysis the financial situation of the enterprises.The traditional financial analysis method focuses on the analysis of financial statements,in the same time it ignores the analysis of the environment and business strategy of the enterprise.In that way itcannot accurately reflect the financial situation of the enterprise in all directions.Therefore,the application of Harvard Analysis Framework of the financial analysisin GH power engineering company has very important theoretical significance and application value.This paper uses the method of theoretical analyze and case analyze.On the basis of studying the relatedtheoryof financial analysis and Harvard analysis framework,first of all,we do rearches on the necessity and feasibility analysis of Harvard Analysis Framework in GH power engineering companyand then we can build the Harvard Analysis Framework.To reach that target:firstly,through the strategic analysis,GH power engineering company needs to combine the internal and external environment to build a better power construction project;Through the accounting analysis,it is concluded that GH company needs to strengthen its accounts receivablemanagement,inventory management and monetary fundsmanagement;Through the financial analysis,it is concluded that the financial indicators of the enterprise show an upward trendand has a considerabledevelopment prospect;Through the prospect forecast analysis,electric power construction enterprises should further change the way and adjust the structure to promote the development of the electric power construction enterprises.Secondly,we can reached the corresponding conclusions though evaluating the effect offinancial analysis by using Harvard analysis framework and comparing the results of financial analysis under Harvard analysis framework with the results of traditional financial analysis.Finally,the author puts forward some suggestions on the financial situation of GH power engineering company under the framework of Harvard analysis.It is hoped that theresearch in this paper can be used for reference to improve the financial management level of electric power construction enterprises.