Research On Tiandong Company Financial Risk Management Improvement

Heilongjiang province Zhaodong Tiandong Limited (referred to as tiandongcompany) is located in Zhaodong City, Heilongjiang Province, belonging to theagricultural product deep processing industry, the backbone of large enterprises. Inthe rapid development of enterprises at the same time, need to deal with nationalinfluence in food, such as tax macro-control policy, also need to face the increasinglyfierce competition in the market, Tiandong company to maintain industry leadershipposition, expand the product’s market share, the company production plant expansionproject investment is imperative. In the process of project management and how toavoid the project financial risk, in order to guarantee the smooth implementation ofproject construction, completed on schedule to produce economic benefits, therealization enterprise profit maximization. This paper will take this as the maincontent, research discusses the improvement in chemical enterprise financial riskcontrol of Engineering project.First of all, combined with the actual situation in the project financial riskmanagement process, finds out the existing problems in the process of financial riskmanagement, analyzes the reasons leading to risk failure. The analysis identified fiverisk points: one is the lack of perfect project management system; two projectengineering change management efforts lacking; the three is the material managementof project is not in place; four is the project claim management deficient; five is thepayment settlement of the project control is not strong.Secondly, based on the identified Tiandong company financial risk control risk,the improvement of risk management and control, one is to establish a sound projectmanagement system: set up the project organization chart, supporting the clear departments and personnel responsibilities, the establishment of project investmentcontrol system; two is the project of whole process tracking Management: projectmaterials management aspects of project material procurement plan, strict control ofmaterials into and out of procedures, strict audit submitted to the examination andapproval process and the division of responsibilities, a clear economic visamanagement rules and economic visa management, design change managementaspects of a clear classification, design changes the design change the examinationand approval procedures, design change cost definition and confirmation, projectmanagement aspects claim to set up a special working group, formulate claim claimmanagement business process; three is the project funds payment management: setthe project funds payment proportion, develop project completion settlement paymentprocess.Finally, to illustrate the Tiandong company in the construction of the project inthe reference and the implementation of financial risk control solutions, achievedgood results. At the same time, expounds the measures to ensure the financial riskmanagement improvement and application in the process of implementation, one isthe financial risk of self-examination mechanism: the project financial riskmanagement work done beforehand,; two is the establishment of system security:with the project analysis, training, performance incentives and other means of support;three is the application of management idea and technical information.The main purpose of this paper is to standardize and promote the projectTiandong company financial risk management, improve the beforehand, financial riskcontrol of project audit efforts, to avoid the project payment risk, effective control ofproject investment, improve the operational efficiency of the organization. Also hopethat through the study on improving day project east company financial riskmanagement and control, to be able to face the same problem of chemical enterprisemanagement to reflection and reference. In addition, to provide reference and comparison function to other industries in the large project finance risk management,in order to facilitate the proper financial risk management system.