Research On Fund Centralized Management Of China Petroleum Corporation

With the continuous deepening of China's economic system reform,enterprise groups in China are growing in number and growing in scale,which proposes challenges to the financial management of the business groups.Centralized management of funds is the core of financial management,which has gradually gained the attention of various enterprise groups.With the practice in previous years,It has become the consensus of most enterprise groups to implement centralized capital management for enterprise groups.Enterprise groups in China have complicated organizational structures,long capital chains,and low efficiency in the use of funds.Many enterprise groups are constantly exploring a centralized fund management mode that suits their needs.They hope to achieve capital efficiency,optimize the allocation of resources and reduce operating costs and financial costs,improve the efficiency of enterprise groups.In recent years,the international oil prices continued to slump.With the gradual implementation of the national oil and gas reform program,the state has liberalized the restrictions on oil imports and relaxed the qualification restrictions on oil and gas exploration and development.As a result,the existing large petroleum groups weakened their advantages and the pressure continues to increase.As profits continue to drop,the demand for capital efficiency continues to increase.With the implementation of the international business strategy,the speed of "going global" for Chinese enterprises has accelerated significantly.Many enterprise groups start to conduct overseas mergers and acquisitions.They set up overseas branches and actively participated in the construction of overseas projects.The internationalization business continued to increase and the degree of internationalization deepened.The flow of funds is more and more complicated,and the risk is more and more difficult to control.The liquidity risk,the interest rate risk and the exchange rate risk are prominent,putting forward higher requirements on capital settlement,investment and financing and risk management of enterprise groups.This paper uses a combination of qualitative analysis and case studies.First of all,using the method of qualitative research to analyze and discuss the theoretical foundation of centralized management of enterprise group funds and the main mode of centralized fund management.Then,through the case of CNPC Finance Company which is a platform for centralized fund management,this paper introduces the current situation of CNPC's centralized fund management.This paper studies the experience of centralized fund management of foreign enterprise groups,and puts forward some suggestions on how to improve the centralized management of funds of CNPC.This article is divided into five chapters,the details are as follows:Chapter One: Introduction.This chapter introduces the research background and significance,research path and research methods,research framework and content.Chapter Two: Literature Review.This article reviews the necessity of funds centralized management,and the domestic and foreign research on funds centralized management.Chapter three: the current situation and problem analysis of funds centralized management of CNPC.This paper introduces the selection of CNPC on the mode of funds centralized management,analyzes the present situation of CNPC's funds centralized management,elaborates the establishment background and running status of CNPC's finance company,and points out the problems existing in CNPC's funds centralized management.Chapter four: the experience and reference of funds centralized management of international enterprise groups.It introduces the general situation of funds centralized management of international finance companies and analyzes the experience of capital management by Siemens Finance Company.Chapter five: the improvement measures of CNPC's funds centralized management.From four aspects,this article puts forward some improvement measures of CNPC's funds centralized management: strengthen the construction of financial information system,establish and perfect capital risk management system,define the strategic position of financial company,give full play to the synergetic effect of the combination between industry and finance,implement talent strategy and strengthen the accounting team building.