The Research On The Optimization Of ZC Holding Group Corporation Management Control

In this era of economic internationalization, globalization, integration and the domestic market economy under continuous development, private enterprises play an important role. Along with the increasingly large scale, private enterprises present a development trend toward operation diversification and organization conglomeration. When private enterprises grow from simplification toward diversification, from monomer companies to group companies, how to establish a parent-subsidiary corporation management control system to satisfy development needs and how to improve the parent company’s operation and management efficiency for subsidiaries so as to face the increasingly fierce market competition need to be urgently solved by Chinese private-owned enterprise groups, especially those at the stage of rapid development.Through a series of equity restructuring, ZC Holdings Group was formally established in October2012and it is currently dealing with architectural engineering, comprehensive development of real estate, financing guarantee, project investment, decoration, etc. Although ZC Holdings Group preliminarily established the parent-subsidiary corporation management control system in its early days, there exist several problems such as extensive management control mode on the whole, ambiguous management control ideas and pattern, absence of effective management control means and incomplete management control system. In the critical period and adjustment stage for ZC Holdings Group to start a new undertaking, its diversification strategy needs to be further improved and the relationship localization and power delineation between the group company and its subsidiaries remain to be further clarified. Since various subsidiaries and sub-subsidiaries have different characteristics, it is of urgent need to establish a set of complete group management control system so as to achieve the profit maximization and sustainable and healthy development of the Group.With the relevant theories of parent-subsidiary corporation management control as the guidance and according to the actual situation of ZC Holdings Group, this research analyzes and summarizes the status quo of the Group’s management control and the problems existing in its management. On the basis of the requirements of the Group’s strategic development, this research further optimizes the design ideas of the Group’s management control system, the organizational settings of the Group’s headquarter and the specific management control mode for the Group’s subsidiaries, and also comprehensively optimizes the concrete implementation measures and safeguard mechanism of management control mode, including strategies, human resources, finance, informatization and business information.