Based On Company Y’s Financial Diagnosis Under The Framework Of Harvard Analytics

In recent years,due to the gradual transformation of China’s economic and social development trend,the geological prospecting industry has ushered in a painful period of deepening reform,which has made the geological prospecting economy continue to decline.However,with China’s "14th Five-Year Plan" period,the construction of ecological civilization has been raised to a new height,which has also brought a new development direction for the industry.Y Company is a geological prospecting institution under the management of the State-owned Assets Supervision and Administration Commission(SASAC),which has been in the middle position among many geological prospecting units.Although science and technology have been vigorously developed in recent years,its development problems have not been well solved.Facing the new period of the "14th Five-Year Plan",Y Company not only needs to diagnose the past and present financial situation,but also needs to diagnose its current operating situation and development strategy.Only in this way can it survive in the brutal competition and achieve high-quality development.Under this background,this paper makes a comprehensive financial diagnosis of Y Company.Using Harvard analysis framework to diagnose four levels,and selecting PEST analysis,Porter’s five forces analysis and SWOT analysis in strategic analysis level,the external environment and internal development strategy of Y company are comprehensively diagnosed.At the level of accounting analysis,the accounting subjects that have the deepest influence on the balance sheet and income statement are analyzed,and the related key accounting policies and quality are diagnosed.At the level of financial analysis,select various financial indicators that can reflect the company’s financial situation,and make a vertical analysis of the company’s solvency,profitability,operation ability and development ability,and make a comprehensive and systematic diagnosis of the current financial situation of Y company.At the prospect analysis level,it combines the development prospect of geological prospecting industry with the company’s own development prospect,and diagnoses the future development trend and possible risks.Finally,the financial diagnosis results show that this enterprise has achieved some success in expanding its scale in recent years,but at the same time,it has some shortcomings such as unclear development strategy,unreasonable structure of assets and liabilities,poor profitability,etc.At the same time,it is also suggested that during the 14 th Five-Year Plan period,the enterprise should stabilize the present situation before expanding its business,establish an asset and liability management system,strengthen the cost control and strengthen the talent team construction.