The Research Of Total Risk Management In G Investment Co.Ltd.

With deepening of the economic system reform in our country,the central government is continuously intensifying the reform of state-owned enterprises and strengthening the state economy.Now,developing a mixed ownership economy becomes important measures for the reform of state-owned enterprises.Private Equity fund(PE)has been the focus of promoting the reform of the mixed ownership of state-owned enterprises.In recent years,more and more SASAC of the central or local governments set up various state-owned enterprise reform funds through state-owned capital operation platform companies.Through these funds some state-owned enterprises carry out equity investment and operation,so as to achieve the target of deepening state-owned enterprise reform,optimization and reorganization of state-owned capital.As the size of such funds is large,with more and more SASAC and state-owned enterprises are involved in PE,the total risk management of such state-owned enterprises must be emphasized and strengthened.G investment co.,LTD.(hereinafter referred to as G company)is invested by SASAC of Shan Dong province municipal government.The company is a platform company committed to task about the reform of state-owned enterprises such as the state-owned capital operating,promoting a mixed ownership economy,reorganization and optimization of state-owned capital.G company's core business is through funds to carry out the equity investment and operation and promote reform of state-owned enterprises.However,the company was set up in 2016,with a short period of establishment,it has not enough time for fund investment,and is insufficient risk management experience.Therefore,it is necessary to strengthen the research on total risk management.Using literature study,this thesis studied the PE,state-owned enterprise reform fund,total risk management and internal control of the relevant theoretical knowledge;The thesis interviewed 29 employees at each management level in G company by the methods of on-the-spot interview survey.Then the thesis summed up 6 main problems about the total risk management of G company by the method of analyzing G company's environments and the current status of the risk management:(1)It is the lack of investment and m&a risk management system;(2)The corporate governance mechanism is not perfect;(3)The risk management organization system is not perfect,and it is the lack of total risk management system for the ownership units,especially the fund management company;(4)It is the lack of human resource planning and risk management training;(5)It is the lack of the relevant institutional mechanisms of post-investment evaluation and assessment;(6)Group company control is weak in control the ownership units.In order to improve the risk management of G company,to improve the effect of total risk management,in accordance with the COSO risk management process,the collected information obtained from interviews with 29 employees of the company.This thesis combined qualitative analysis with quantitative analysis,and identified risk of the company comprehensively.By evaluating the risk from the two dimensions of risk loss and risk probability,this thesis has been clear about the company's 8 key risks:(1)The investment risk;(2)Merger and acquisition risk;(3)Risk management after investment is lack;(4)The risk of talent strategy;(5)The risk of group company control;(6)Corporate organizational structure is not perfect;(7)Liquidity risk;(8)Financing risk.Aiming at these 8 key risks,this thesis analyzed the causes of various risks and puts forward the corresponding countermeasures.Finally,this thesis put forward three measures to strengthen the total risk management of G company.First,to increase the total risk management work to the strategic level of the company,all employees establish a total risk awareness and set clear risk management objectives for employees at each management level.Secondly,optimizing the corporate governance structure by matching the board of directors and managers,so that the operation of the company can achieve effective checks and balances,strengthening the leadership of the company,improving the company's risk management system by setting up risk management department and part-time risk manager.Thirdly,through the establishment of various risk management systems and clear business processes,clear the risk management responsibilities of each unit,to strengthen the company risk management.