Research On Financial Risk Management And Control System Of LY Group

Since twenty-first Century,the development of the world economy has opened a new situation.Western countries due to early entry into the market economy have plenty kind of economic organizations.With the economy developed at the same time,many kinds of management theory also emerge in an endless stream,and a lot of the theories have great value.Among them,the management and control of enterprise risk,especially the theory and practice of financial risk management,has good reference value for modern enterprises.Since China’s entry into the WTO,China has inherited the impetus of the reform and opening up in 1978 with a more open stance,and the national economy continues to keep on high speed.Despite the rapid development of our society and economy,enterprises are constantly encountering new situations under new circumstances.All kinds of hidden risks of financial risks are still a major challenge for Chinese scholars and entrepreneurs.As the main driving force of the national economy,the financial risk management and control measures and financial risk control theory are also worthy of our attention.This paper mainly takes LY group as a case to study and discuss the practice of financial risk management and control of Chinese enterprises.This paper first analyzes the connotation and characteristics of enterprise financial risk,combined with the mature theory and system abroad,and then analyzes the status quo of financial risk management of enterprises in China,understand the deficiencies in China’s enterprises in the construction of the system,organizational structure design,the usual enterprise financial risk on the basis of the main points.This paper takes LY group as an example to study the financial risk in the process of building the financial risk management system;there are approximately vacuum financial risk control of the state in all aspects before the establishment of asset management,branch management,undertake the project,capital operation management practice;then from the building of financial alert mechanism,branch financial assessment,fund collection and management,investment and financing projects to undertake disbursement of funds management and financial risk management,take the research about the effectiveness of the financial risk system.At last,the suggestions for the construction and improvement of the financial risk management and control system are put forward in view of these financial risk management practices.In this paper,the research of LY group risk management practice can be achieved: introduce the history and concept of the establishment of financial risk management system of LY group,then other similar enterprises can learn from that.In addition,from digging through the financial risk management system of LY group,find some problems and give suggestions to improve the system.