Construction of Financial Risk Management and Control System for Shipping Companies

Abstract

Bai, N. and He, Z., 2020. Construction of financial risk management and control system for shipping companies. In: Gong, D.; Zhang, M., and Liu, R. (eds.), Advances in Coastal Research: Engineering, Industry, Economy, and Sustainable Development. Journal of Coastal Research, Special Issue No. 106, pp. 490–493. Coconut Creek (Florida), ISSN 0749-0208.This paper attempts to study the financial risk management and control system of shipping companies for improving their operation and investment efficiency. To this end, selecting Z shipping company as an example, this paper analyzes the current status and influencing factors of financial risk management in Z shipping company on the basis of financial risk management-related theories. The financial index analysis was also adopted. The research results show that Z shipping company has different degrees of risk in terms of financing, investment, capital recovery, and income distribution; in the financial risk management of Z company, there exist problems such as the lack of a financial risk management atmosphere and the awareness of financial risk management for all employees, an irrational postsetting of risk management agency, the lack of a scientific financial risk management system, and absence of financial risk professionals. In response to these problems, control measures were proposed from four aspects: financing risk, investment risk, capital operation risk, and establishing a supervisory agency and improving the operating mechanism. The research findings enrich the theoretical research content of financial risk management in shipping companies and play a certain guiding role in the construction of a financial risk management and control system.