Study Of The Internal Management Of Working Capital Of Small And Medium-sized Dairy Industry

Under the conditions of modern market economy, competition among enterprises is more and more fierce, so that how to survive and develop are facing many difficulties in the intense competition environment. In order to enhance the cash flow and improve profits of enterprise, we need to improve efficiency in the use of corporate funds. Working capital that is the most dynamic elements of the enterprise funds is the biggest day-to-day liquidity, change the fastest and most revolving funds in the enterprise. And its management is direct impact on the survival and development of the enterprise, so strengthening the internal control and management of enterprises working capital has great significance to the enterprise.This paper is analyzed the importance of working capital, at the same time, combined with the internal control theory, described the concept, characteristics and control objectives of working capital in detailed, and then introduced the development of internal controls. Then, we descript the concepts of the COSO internal control framework and the five elements of internal control and the goal of the internal control to achieve.Combined with the previous theory, the paper analyzed the current status of the internal control over working capital of BD enterprise, pointed out the management of the working capital that exist a number of questions in the BD Corporation. After analyzed questions of the company's internal control environment, monetary funds, inventory, accounts receivables and evaluation system aspects in detailed, and then give the corresponding solutions to these questions and designed the internal control framework of BD Corporation.First, in order to solve the questions, we get start at internal control environment, to strengthen the importance in this regard the degree of internal control environment. And secondly, flowed with the framework of the internal control, we raised rectification improvement measures of the monetary funds, the inventory, the accounts receivable and evaluation system. Then, we focused on the rectification improvement measures of the accounts receivable, analyzed how to strengthen the management of accounts receivable, improve the speed and flow rate of the accounts receivable turnover, re-designed the company's accounts receivable in the credit classification, the approval of the contract, management of the sales price, and reconciliation processes and other documents in the fast-moving consumer goods industry. Finally, we used the near 3-year actual data of BD Corporation for comparison to illustrate the BD Corporation internal control management of working capital has been effectively improved. We found out that the working capital use in the BD Corporation has improved efficiency and increased the company's market competitiveness.