The Establishment And Application Of Balanced Score Card In The Risk Management Of LH Educational Corporation

With the promotion of quality education and artificial intelligence,the STEAM education industry has flourished.And in fact,the industry is still new,most of the enterprises are micro,small and medium scale,which face various difficult problems of survival,development and growth;and the competition is increasing more and more fiercely,so the risk management is so essential and urgent for this industry.However,the whole STEAM education industry is short of systematic application guidance of risk management.The need for support and guidance from theoretical research is urgent.Whatsmore,China is in the period of economic downturn;the various risks faced by enterprises have increased sharply,which require a higer level of the risk management.In 2017,the new framework of “Enterprise Risk Management – Integrating with Strategy and Performance” released by COSO clearly requires enterprises integrate the risk management with strategy and performance.However,how to integrate is still inconclusive and has become a realistic and urgent problem in enterprises' risk management.This thesisn applies the case study method.Firstly,it analyses the applicability and feasibility of the Balanced Score Card(BSC)in enterprise risk management,based on the risk management theory,the strategic management theory,and the system theory.Secondly,the thesisn applies LH as an example,which is the first list company of Science and Technology Enterprises in education industry in China,comprehensively analyses the main problems existing in the current risk management of LH from the aspects of organization system,the goal setting,identification and assessment,response,monitoring and performance appraisal of risk management.Furthermore,it points out that the main issues of LH include the absence of risk management in cultural development,the disconnection between risk managementand corporate strategic management,the lack of professional risk management personnel and management methods,so the risk management is relatively rough,scattered and unsystematic,which has been obviously cannot adapted to the company's new strategical objectives,and urgently requires to improve.Thirdly,in view of the four levels of environment-strategy-behavior and process,and based on the BSC,the LH risk management framework is established based on the four dimensions of finance,customer,internal operation,and learning and growth.Furthermore,the risk management index system of LH is established,the key risk indicators of each dimension are identified,the key risk list is formed,a new risk assessment system of "three layers-four dimensions-five classes" is constructed,and the risk assessment of LH is carried out.Finally,the corresponding risk response strategy and monitoring scheme are proposed,and suggestions of applying BSC into LH are offered,in order to improve the risk management performance appraisal.The main innovation of this thesis is the two aspects as following: Firstly,closely adhering to the core concept of the new COSO enterprise risk management framework in 2017,introducing the four dimensions of the BSC performance management tool into the risk management of the LH,which was a beneficial attempt to integration of risk management with strategy and performance.This is not only expanding the application field of BSC,but also broadening the research field of the STEAM education and risk management.Secondly,the new risk management framework of LH based on BSC,providing direct guidance for the risk management for LH,in addition,providing reference of risk management for K12 robot education enterprises and other STEAM education enterprises.