Research On Risk Management Of Sinochem Fertilizer Company Limited

Since 2008, the world economic situation appear(has been appearing) many variables.The international financial crisis led to the world economic growth pattern and the process of change is extremely complex.The domestic economy is facing the(a) reform and adjustment stage, directly affecting the survival and development of the industry. As one of the China(one of China's) main industry which is beneficial to the people's livelihood, the fertilizer industry faces(is facing) the same challenge(challenges) such as the industry's nonstandardized(it's barbarism), low barriers to entry, overcapacity and vicious competition, etc. All of these have continued to worsen. Inaccurate of predict risks is shocked(It is shocking of the inaccurate of predict risks).Higher industry risks affect subsequent development of the fertilizer industry all the time. Meanwhile,some forward-thinking enterprises with managerial experience are seek(seeking) greater development and looking for a way of sustainable development to avoid the risk through continuous self-improvement. Therefore, the research on the risk of fertilizer industry is extremely important and pivotal(it is extremely important and pivotal to research the risk of fertilizer industry).This paper taking the Sinochem Fertilizer Company Limited (hereinafter referred to as the Sinofert) as the research object, identifies the main risks of Sinofert in the management process, and establishes the risk evaluation index system of Sinofert. The fuzzy comprehensive evaluation method has been applied to get the safety risk level of Sinofert in the management process, and put forward the corresponding risk response measures.Firstly, this paper briefly introduces the background and significance of the research, discussing and reviewing the present situation of domestic and foreign risk research.Secondly, it introduces the basic concepts of risk management,and the process of risk management are explained one by one:risk identification,risk evaluation and the main risk response measures.Then, the paper taking the Sinofert as the research object, mainly introduces the basic situation of Sinofert. The management risk of Sinofert is divided into internal and external risks to identify and the risk index system is established according to the results of identification.Thereinto, the internal risk mainly includes inventory risk, financial risk, business risk and personnel risk.The external risk includes market risk, credit risk, policy risk and other external risk(risks).According to the experts'suggest, this paper establishes risk classification principle, evaluates(evaluating) the internal and external risk of Sinofert with the fuzzy comprehensive evaluation method, summarizes(summarizing) the risk level of Sinofert according to the risk of the maximum membership degree principle,obtains(obtaining) comprehensive risk level of Sinofert combined with various indicators.Finally, according to the results of risk assessment, this paper puts forward the corresponding risk response measures on different levels of risk.