Research On YALY Financial Risk Early Warning Model

Since the reform and opening up,the pace of urban construction has accelerated,and the rapid development of real estate,construction and other industries has driven the development of furniture and other related industries.The scale of furniture industry is increasing year by year,the output value is getting higher and higher,and the competitiveness among enterprises in the industry is becoming increasingly fierce.Enterprises with small scale,simple equipment and extensive management have been gradually eliminated.More enterprises applying modern management ideas and methods have a place in the competitive market.It is an extremely important work in the modern enterprise management system to build an enterprise's financial risk early warning model.In this paper,YALY Company is selected as the research object to build a financial risk early warning model suitable for YALY Company.On the basis of summarizing relevant academic research and achievements,combining with the characteristics of YALY Company and the risk characteristics of furniture manufacturing industry,this paper starts from four aspects of YALY Company's solvency,profitability,operation ability and development ability.First of all,identify the police sources that will affect the financial risks of YALY Company,analyze the police sources,find the ways to affect the financial risks of YALY Company,and obtain financial indicators that can clearly express the risks.Then,the obtained financial indexes are calculated by entropy method,and weights are given.According to their correlation,YALY's financial wind warning model is constructed.Finally,the improved efficiency coefficient method is used to calculate the secondary weighted financial indicators,and the financial risk warning score of YALY from 2014 to 2018 is obtained,and the financial risk situation of YALY is comprehensively evaluated.According to the overall operating situation of YALY,and based on the financial risk warning model,the useful financial risk prevention measures for YALY are put forward.