Research On Financial Risk Management Of Construction Enterprises Based On AHP

Under the background of China’s New Normal,the growth of the national economy is slowing down.The construction industry is in a critical period of transformation and upgrading.Its market competition has changed from the past expansion of quantity and price competition to quality and differentiated competition.Enterprises cannot ignore the impact of financial risks in the process of survival and development.With the continued deepening of the reform to streamline administration,delegate powers,and improve regulation and services in the construction industry,the threshold for enterprises to enter the industry is reduced.Under such a huge impact,enterprises need to have a clear understanding of their own financial risks and strive to control the financial risk to a reasonable range.Suitable measures must be taken to reduce economic losses of enterprises due to the financial risks.The financial risk management of construction Company L as is analyzed based on reading the relevant documents both at home and abroad.Firstly,the dissertation needs to identify the financial risks by internal and external conditions of Company L.What’s more,establishing the Company L’s financial risk assessment model through the analytic hierarchy process(AHP).According to the questionnaire issued by the experts,the scores of the experts are obtained,and then each index in the model is assigned.After calculating the weight of each risk factor,it can objectively evaluate the financial risk status of Company L.There are some problems in its financial risk management,such as a low cost control,high financing risk,low inventory and accounts receivable management level etc.To solve these problems,risk control measures are applied to propose financial risk control measures for Company L.Improving financial risk management also provide references for other enterprises.