MS Co.,Ltd.Financing Model And Risk Management

With the wide application of risk management theory in practice,especially in the context of frequent risk events in large enterprises in the past two decades,many large and medium-sized enterprises hope to effectively control corporate governance and strategic management through risk management strategies.As a holding company of a large central enterprise and one of the top 100 auto parts enterprises in China,MS company has developed its main business rapidly in recent years,its investment has increased significantly,and the scale of financing has also grown rapidly,and the financing risk has also increased.Based on the reference and analysis of financing models and risk management theories,this paper conducts an in-depth analysis of the financing model and risk management of MS company,finds the financing management strategy suitable for MS company through the identification,evaluation and management strategy analysis of financing risk,and puts forward an implementation plan for the effective implementation of the strategy.Firstly,this paper introduces the research background of MS company’s financing model and risk management,reviews the research status and related theories of financing mode and risk management.Secondly,the current situation and financing mode of MS company are studied,and the financial situation and financing mode of MS company in the past three years are analyzed and studied.It is found that the main problems in MS company’s financing management are the single financing method,the financing source is limited to shortterm bank loans,the financing structure is unreasonable,the asset-liability ratio is high and the debt scale is large.Short-term debt repayment pressure,financing costs out of control,affected by short-term interest rate fluctuations.On this basis,the research methods such as Delphi method and Analytic Hierarchy Process are used to identify the main risks of MS company’s financing,and quantitative evaluation is carried out on the identified four types of financing risks: market risk,technical risk,operational risk and financial risk.Finally,according to the results of risk identification and evaluation,combined with the actual situation of the enterprise,the corresponding risk coping strategies and specific implementation plans are proposed for the main risks,and it is pointed out that most of the traditional manufacturing enterprises similar to MS company are facing the same financing mode problem,which can be used for reference to the analysis and research path of this paper.In order to improve the enterprise financing risk response measures,formulate the corresponding safeguard measures.