Key words: nonferrous metals; risk assessment; risk management
Part 1 Related theoretical basis and research methods 1.1Research methods
The research methods of this paper are as follows:
1. Literature research method: trimming research through searching relevant information from library and the Internet, comparative analysis of the subject from different angles through the information, make use of historical research and the existing research to find a comprehensive understanding of the object, and a method facilitating own research.
2.Case study: through the analysis of the actual case of China Railway Resources Corporation, analyze the company's business management to carry out in-depth research on the company's trade risk, and also put forward feasible suggestions and strategies for the avoidance control of the company's trade analysis.
3.Comparative analysis: through the analysis of strategic risk management of China Railway Resources Corporation, compare the internal control of enterprises with other similar enterprises, and analyze the characteristics of the enterprise risk.
1.2Related theoretical overview
1.2.1Risk management
Enterprise risk management is a scientific management method to identify, measure, analyze and evaluate various risks that may be generated within the enterprise, and take timely and effective methods to prevent and control, and use the most economical and reasonable method to deal with the risks in order to achieve maximum security. The practice and theory of risk management first appeared in US insurance industry in the 1930s, and developed into a management science in the 1950s. In the 21st century, Enterprise Risk Management (ERM) has formed a specific concept, which comes from the "Enterprise risk integration framework" issued by the US National Anti-False Financial Reporting Committee Initiator (COSO Committee) in September 2004, which systematically provides a logical framework based on internal control for modern enterprise management (including boards of directors, management, executive and other employees), it is applied to the multi-dimension of the enterprise strategy, and the risk process management. It provides an effective guarantee for enterprises to achieve business objectives. In addition, ISO 31000 standard issued by the International Organization for Standardization (ISO), that is"risk management - principles and guidelines",also provides a set of effective standardized process for enterprise risk management. In 2006, in order to guide the central enterprises to carry out comprehensive risk management work, to further improve the enterprise management level, enhance the competitiveness of enterprises and promote the steady development of enterprises, the State-owned Assets Supervision and Administration Commission of the State Council formulated and issued the "Central Enterprise Comprehensive Risk Management Guidelines", which established an important framework system for all central enterprises. The so called
"comprehensive risk management" refers to around the overall business objectives,
136
through all aspects of business management and business processes in the implementation of the basic process of risk management, cultivate a good risk management culture, establish and improve a comprehensive risk management system,including risk management strategy, risk management measures, risk management organization functions system, risk management information system and internal control system, so as to provide a reasonable guarantee of the process and methods to achieve the overall goal of risk management.
1.2.2Risk assessment
With the rapid development of economy, the demand for internal control risk assessment of Chinese enterprises and the whole management field is becoming stronger and stronger. At the same time, under the constant experience of foreign experience and painful lessons, our relevant departments and nonprofit organizations have formulated and implemented regulations and policies on enterprise risk assessment testing related internal control. The "accounting basis work norms"
promulgated by the Ministry of Finance in 1986, clearly defined the internal control risk. Zhang Yalai (2014) puts forward the risk assessment of virtual enterprises in the paper "Credit risk and control research of SME financing guarantee business". They think that risk assessment and management is an important guarantee for the successful operation of virtual enterprise. Quantitative analysis of risk is virtual prerequisites for risk management. In this paper, he proposed a virtual enterprise risk assessment model based on matter-element analysis, which provided a new way for virtual enterprise risk assessment. Liu Jinying designed integrated evaluation method to guide the enterprise risk assessment in the "Internet P2P loan model risk control research" in 2014, the risk factors of the enterprise are determined by calculating the weighted average score of the various risk factors of the enterprise, and the comprehensive evaluation of the enterprise risk situation is obtained by determining the respective measures of the risk factors of the enterprises which are not related to each other. Li Xiaoya, Su Ming (2012) conducted a preliminary study on the internal control risk assessment in "safety risk control in production and operation", and discussed enterprise risk assessment, risk prevention and information disclosure, and put forward some valuable opinions: Risk assessment information needs disclosing;
Risk assessment criteria should be formulated; Risk assessment evaluation norms should be formulated so that auditors can evaluate enterprise risk assessment;
Enterprise risk early warning index system should be established; (5) To make a definition of enterprise risk assessment and evaluation; Put forward recommendations on the construction of enterprise risk prevention system. Based on the review of the relevant strategic risk research at home and abroad, in "Safety production risk management system in the application of substation operation analysis", Zhong Qingzhi（2014）redefines the connotation of strategic risk, and points out that the strategic risk comes from the various factors. And then he puts forward the strategic risk identification factor model composed of the elements of strategic management,
including strategic objectives, strategic management process and strategic environment. Then, the strategic risk of each factor is analyzed and elaborated. In
"Build a world-class precious metals investment and management of banks," Ma Xiong (2014) presents that the risk of enterprise control has increasingly become a major part of business management activities, its analysis and management has become the first task of modern enterprises. In this paper, he discusses the various risk
137
identification, analysis, measurement and continuous management of enterprise management, which provides the basis for enterprises to improve their own risk control ability and management level.
1.2.3Import and export trade risk
The meaning of import and export trade risk
The risk of import and export trade refers to the change of economic loss caused by the natural existence in the process of import and export trade and in special environment and special period. The occurrence of import and export trade risk is inevitable and complex.
The constituent elements of import and export trade risk
Import and export trade risk is composed of factors such as import and export trade risk factors, import and export trade risk events and loss of import and export- trade risks.
1．Import and export trade risk factors. It refers to a certain obstacle may appear in the process of import and export trade, a factor that threats the smooth progress of international trade, which are the conditions and causes of the risk of import and export trade.
2．Import and export trade risk events. It refers to the occurrence may lead to economic losses of one or both sides as the role of import and export trade risk factors,which is the reason for the occurrence of risk loss of import and export trade.
3．Import and export trade risk loss. It refers to the import or export trade risk factors that lead to the occurrence of import and export trade risk events, resulting in the reduction economy, reputation or other aspects of unintentional, unplanned and unanticipated interest of one or both sides, which includes not only direct loss, that is, property damage, loss of income or loss of costs, etc; but also corporate image, business reputation, social benefits and other losses.
1.2.4The basic type of import and export risk
According to different standards, import and export trade risk can be divided into different types.
1．Import and export trade risk is divided into natural risk, social risk, economic risk, technical risk, political risk and legal risk according to the causes.
2．Import and export trade risk can be divided into static and dynamic risk according to the nature of the risk itself, .
3．Import and export trade risk can be divided into credit risk, business risk, foreign exchange risk according to the different content of risk.
138
Part 2 Introduction of China Railway Resources Company
The parent company of China Railway Group Co., Ltd. is a large central enterprise directly under the management of the State-owned Assets Management Committee s - China Railway Co., Ltd. exclusively set up by China Railway Engineering Corporation, ranking 95 in the list of world's top 500 enterprises in
"Fortune" published in 2011.
China Railway Resources Group Co., Ltd. was established by China Railway Co., Ltd., China Railway Resources Limited was registered and established on June 25, 2008, which was reorganized as China Railway Resources Group Co.in May 2009. The current registered capital is 3 billion yuan, with headquartered in Haidian District, Beijing. Up to now, China Railway Resources Group Co., Ltd. has a total of 24 wholly-owned, holding and shareholding companies within and without the borders,three offices and two branches. China Railway Resources Group Co., Ltd. is
mainly engaged in domestic and foreign mineral resources investment and development, the current mineral varieties are mainly coal, copper, cobalt, gold, molybdenum and so on. The company's business scope includes: precious metals, nonferrous metals, ferrous metals and non-metallic resources such as mining, sales;
warehousing services; domestic and foreign natural resources development of technical research, technical advice, exploration and design; cargo import and export;
construction general contracting; project investment.
China Railway Resources Group Co., Ltd. established a management level composed of shareholders (exercising shareholders' responsibilities), board of directors, board of supervisors and managers according to the corporate governance
structure of modern enterprises, and introduced external directors, external supervisors and staff supervisors. As the main body of China's iron resources business
sector, China Railway Resources Group Co., Ltd. adheres to the enterprise spirit of
"Have the courage to cross, with the pursuit of excellence" of China Railway Co., Ltd., pioneering and innovative, determined to make progress, efforts to achieve the strategic objectives of "China Railway" in the country and global resources field.