Research On Financial Risk Identification And Countermeasures Under The Reform Of Institution A

The reform of public institutions has been carried up since the 1980 s.By the end of 2020,we had basically transformed public institutions into enterprises.After that,such enterprises have to face the competition of fair market and all kinds of financial risks to the same extent.Due to the lack of financial management which regulated by the original unit,there will be many non-standard links in the transformation.The financial risk management system is not perfect,and the corporate governance system and equity setting are not scientific enough,which aggravates the financial risks in such enterprises and the management system of enterprises are unable to achieve fundamental transformation.Accordingly,it is difficult to them to adapt to the changing market competition.After the enterprise transformation,new enterprises still have a long way to go.For such companies,transformation is an opportunity and a challenge at the same time.It is not only an opportunity to improve the management system and the development level,but also a test of whether they can improve the financial management level and help enterprises get through the transformation period.Therefore,how to effectively prevent and reduce financial risks,improve financial risk management and enhance the comprehensive competitiveness of enterprises after transformation has been a content which is worth studying.This paper extract the financial data of Company A from 2016 to 2020.This data covers the whole process of transformation from 2018 to 2020.In this paper,the author also quotes the same listed enterprises after enterprise transformation,using its financial data to analyze and compare with Company A,and finds the financial risks of Company A in financing,investment,operation and other aspects through the analysis of its financial indicators.Then,after the financial risk has been identified,the risk assessment model is constructed,the index is assigned according to the scores of the company’s management and relevant financial experts,the corresponding weight is determined,and the efficacy coefficient method is used to analyze and evaluate the financial risk.The comprehensive evaluation index analysis coefficient of Company A is obtained,indicating that the company is in a state of great alarm and faced with major risks.Finally,according to the above research conclusions,we can find that business institutions are faced with financial risks in the process of transformation,and correspondingly put forward the countermeasures and suggestions on financial risks in the development of such enterprises after transformation.According to the analysis results of this paper,it can be seen that the effective construction of financial risk management system,including improving financial management,improving investment and financing strategies and changing management concepts,will not only help Company A find its own financial risks and resolve them,making the countermeasures more targeted and reasonable,but also help similar construction enterprises with financial risks after enterprise transformation find common ground,putting forward ideas to them to solve financial risks,improving their financial risk management,and develop the attention of managers,so that it can be available for reference to the other similar enterprises in the future development.