Financial Diagnosis Of SL Company Based On Harvard Analysis Framework

At present,China is in the final stage of the 13 th Five-Year Plan,the development totally is booming,people's quality of life continues to improve,maintaining a sustained and healthy economic operation and social stability.Market-oriented economy promotes the development of enterprise organization towards standardization and scale,and the necessary degree of financial analysis in enterprise integrated management system is obviously improved.And financial diagnosis is based on the overall upgrading and expansion of financial analysis system,which not only breaks the stereotype image of traditional financial analysis,but also has both objective and scientific characteristics.Therefore,the importance of financial diagnosis to modern enterprise management is self-evident.To ensure the accuracy and reliability of financial diagnosis,it is necessary that the diagnosis system has applicability,integrity and feasibility.The Harvard Analysis Framework is based on the strategic perspective to ensure that the quality of accounting information meets the requirements,at the same time,it analyzes the business performance and makes a reasonable prospect,which not only considers the internal and external factors of the enterprise but also is easy to be applied in practice,and fully meets the needs of the construction of the financial diagnosis system.With the continuous development of China's medical and health undertakings,the gradual deepening of institutional reform,the establishment of residents' health concept and the gradual enhancement of consumption ability,the change of relevant regulatory policies also directly affects the development of the whole biomedical industry.For the blood products enterprises,one of the subdivided industries of biomedicine,it is not only full of development opportunities but also faced with various challenges.Therefore,financial diagnosis is the only way to improve the comprehensive management strength of enterprises.The case study object selected in this paper is Company SL,which is mainly engaged in the production and sale of blood products.It uses Harvard Analysis Framework to make financial diagnosis of Company SL,through the diagnosis,it finds out the defects and deficiencies in the operation and management of Company SL,and puts forward corresponding improvement and optimization measures.From its own perspective,it will continuously improve its management efficiency,consolidate its position in the industry,gradually expand its scale and realize its development goals.Firstly,it introduce the basic situation,equity structure and operation status of Company SL,then introduce the Harvard Analysis Framework,and analyzes Company SL from four steps of strategic analysis,accounting analysis,financial analysis and prospect analysis.In the part of strategy analysis,PEST analysis,Porter five forces analysis model and SWOT analysis are used to analyze the macro environment,industry environment and competition environment of company SL;The accounting analysis part mainly identifies the accounting policies and estimates of the key accounting statement items of Company SL and evaluates them through comparative analysis;The financial analysis part mainly includes financial statements and financial ratio analysis,the former mainly uses trend and structure analysis,while the latter analyzes the financial management activities of Company SL from five aspects: solvency,operation,profitability,cash flow and development ability;The part of prospect analysis is mainly rely on the analysis of the first three steps to predict the industry and future development of Company SL.Based on the above four step analysis,the diagnosis conclusion of Company SL is obtained.The diagnosis conclusion of Company SL mainly includes two parts: advantage evaluation and the existing problems.In view of its existing shortcomings,such as heavy historical burden,few product types,poor management of accounts receivable,weak debt repayment and profitability,etc.,should be improved from the perspectives of strategy,accounting and finance respectively.And put forward optimization measures for the company's development prospect.To improve the company's management process and promote its healthy development,as well as provide reference materials for peers and stakeholders or obligors.