Research On Financial Risk Early Warning Of Western Aluminum Company

With the introduction of “Industry 4.0” and “Made in China 2025”,Chinese Manufacturing met a large number of development opportunities.Subsequently,Universal Equipment Manufacturing participated in this industrial revolution,which was largely advocated and encouraged by the government.However,considering the insufficiently efficient demands and continuously renewed policies of relative industries,the enterprises of Universal Equipment Manufacturing were likely to experience financial risks.Therefore,this thesis explored the financial risk warning of universal equipment manufacturing company,which is the Western Aluminum Company.By referring to relevant literature on financial risk warning in the world,the thesis utilized the financial data of Western Aluminum Company from 2015 to 2019 to make an analysis on financial risk and financial risk warning in terms of related theory.Afterward,the problems such as the incompleteness of financial risk warning policies,the drawbacks of the risk warning model,and the inefficiency of risk warning results could be detected and a financial risk warning index system was set up through Entropy Method and Correlation Analysis.Then,the total score of the company financial risk warning level during the past 5 years could be calculated through the Improved Efficacy Coefficient Method,which implied that it reached the middle-risk level in 2019.Based on 5-year history of financial data,the financial risk level of2020 and 2021 could be predicted by Grey Prediction.Finally,the thesis came up with some useful suggestions on the financial risk warning system of the Western Aluminum Company to make it better respond to future financial risks.It is hoped that the research of financial risk warning and the suggestions in this thesis could help Western Aluminum Company improve the capability of financial risk warning and maintain its sustainable green development.The thesis contains 17 figures,31 tables and 50 references.