The Research On Working Capital Management Issues Of Zoom KHan Coatings

With the development of economic situation today, working capital managementbecomes increasingly important for enterprises. It is closely related to the company’ssurvival and sustainable development. Traditional working capital management,which focused on structural optimization and amount holding, is difficult to guideenterprises to make timely and effective management decisions in the midst of theeconomic environment. In recent years, the new management strategy that combinedworking capital management with channel management and business processmanagement provides a new research perspective. It considers optimizing the channelstructure and improving channel relationships as a starting point. But the widespreadintegration of existing theory into enterprise working capital management practice isstill worthy of further research.Zoom kHan Coatings is a small-medium-sized paint company, which wasestablished not long ago, It is in the period of development. This paper takes acomprehensive, systematic research on the performance improvement of its workingcapital management. Firstly, This paper describes the basis of the theory of workingcapital management, analyzes the limitations of traditional working capitalmanagement theory, followed by the introduction of working capital managementtheory based channel management. Secondly, the company capital individualoperating projects, operation management between projects as well as an operatingentity etc. to analysis the company operating funds management present situation andthe existing problems, and then points out the causes of these problems. Finally, itproposes countermeasures from the four aspects. First is to raise awareness ofmanagement. Second is to perfect company management information system. Third isto strengthen the management and control of accounts receivable. Last is to optimizethe channel structure of the procurement, production, and sales, and to improvechannel relationships.This paper combines theory and practice. Through data analysis, performanceevaluation, it applies channel management theory into the research on working capitalmanagement issues, in the hope of providing some valuable suggestions andimprovements for Zoom kHan Coatings and other enterprises to solve the problem ofworking capital management.