Research, Cash Flow Management Based On The Value Chain

With the world economics developing day by day, the cash flow becomes the most important resource in the enterprise, and it is the blood vessels for the modern enterprise survival and development, the linkage between enterprises cannot leave it. The significance of the management is to optimize the enterprise, decrease the cost of the organization and operation, increase the competition, and realize to make the enterprise's value maximization. So it is the most important to the modern enterprise to use these two advanced management thoughts in the enterprise's management. The management of the value chain and the cash flow have the inseparable relations. The management of the value chain provide the good management foundation for the cash flow; the cash flow has became the criterion for evaluating the validity of value chain management, both of them aimed at the goal of maximizing the realization of increment enterprise value.This article altogether is divided by four chapters. The First chapter is the introduction, it introduces this article's research goal and the significance, the research technique, and carries on the simple review to the value chain management theory and its the development, it focus on the describing of cash management theory based on value chain, and probe into the relation of cash flow and value chain. At the same time, also has carried on the summary to the A Corporation's basic situation. The Second chapter mainly was to the cash flows budget based on the value chain. It proceed with the mainly factors to cash chain budget, designed a table about cash flow based upon value chain theory. And it takes A Corporation 2006's first quarter data as the example, established A Corporation to flow the budget table based on the value chain cash theory. Third chapter is the article's key chapter, narrated the cash flow control about A Corporation. This chapter assign the goal of cash flow management which based on value chain , to the inner or external value activities, through the optimize and control to inner value circle, and the buildup of external league, it discusses the control influence of every step in value chain to cash flow. This chapter, From a different point of view , annotates the control approach of cash flow management. The Fourth chapter has formed the correspondence with the second chapter, mainly discusses the afterwards appraisal in anticipation. This chapter compares two cash flow management criterion: one is the traditional cash flow criterion, the other is based on the value chain cash theory. This contrast stress on merit of the latter in a Enterprise which adopt value chain management. and It has carried on the analysis and the appraisal to the A Corporation's first quarter budget implementation situation. The appraisal result had happen to proven the impression: the enterprise which adopt the cash flow management method based on the value chain, will promote cash flow to run in a positive cycle, and can realize enterprise value increment maximization effect.This article's innovation rest with: it takes a practical enterprise's management condition as a background, and tries to address the cash flow management's target, essence, control method based upon value chain .It start from the beforehand budget ,accompany matter control, and afterward appraise. Through the investigation of every step's effect to cash flow in the circle of value chain, it deems that value chain is the import factor for buildup enterprise cash flow's fluidity, insure the security, and strengthen benefit, and it also deem that value chain can make sure of enterprise's favorable cash flow, and broaden enterprise's value increment mode. The value chain management provides the organizing framework and control method for cash flow management, and via verse, cash flow management provides the criterion to the value chain's analysis and the appraisal. Along with the business management level unceasing enhancement, the cash flow management theory based on the value chain will gradually mature, and will certainly become more and more perfect.