Building Enterprise Financial Risk Management Study

The research on the enterprise financial risk management in our country is needed to be further systematically developed at present. Different enterprises in different industries have different financial risks, and industry character is an important factor that cannot be neglected in enterprise financial risk management. The construction enterprises have many characteristics, such as big investment scale, high liquidity, and long operating cycle and so on, financial risks exist in the whole building procedure of the project, and the management of its financial risks is more complicated. So study the financial risk management of construction enterprises is very significant to both the theory development of financial risk management and the improvement of the business operation level.In the paper we firstly define the concepts of risk and enterprise financial risk, and explain the theoretical base of financial risk management. We examine the current situations of the Chinese construction enterprises financial risk management on the bases of the industry characteristics and the operating cycle of construction enterprises, find that the Chinese construction enterprises are all facing relatively higher financial risk while with a lower ability to control financial risk. We analyze the various financial risks and its reasons of the construction enterprises, and classify them into financial risk in bidding stage, contract signature stage, project building and accounts settlement stage, and profit forming and distribution stage, and also put forward specific counter measures to control and prevent the financial risks facing construction enterprises. Considering the technique methods, regulation and control systems, human resources and culture background, we constructs the total risk management system to enhance the risk management of the construction enterprises.