Study On Working Capital Management Of Company Y Based On Channel Theory

The high position of working capital management in the enterprise is related to the survival of the enterprise and the "blood" for the survival and development of the enterprise.Effective working capital management can reduce the risk of the enterprise breaking down the financial chain.China's market tends to be saturated,household appliances manufacturing industry gradually from incremental to stock market,increasing competition.Haier,Midea and other brand-name companies stand out in the Ebb Tide,their working capital management are from the channel perspective.Most enterprises are still working capital based on factor management,the effectiveness of the evaluation of the turnover of a single element.So,in the case of safe use of funds,how to manage working capital to maximize its effectiveness so that the highest level of profitability has become a problem facing business management.In this paper,the company Y appliance industry as the research object,Y company operating funds in the past three years,the size of the structure and elements of management analysis,the channel from the perspective of re-divided working capital projects.Found that the company procurement channels accounts payable turnover is long,is not conducive to the maintenance of the relationship with suppliers;production channels,inventory occupied more working capital;sales receivables receivables long payback period.Find out the reason among them,and then put forward the optimization suggestion to the working capital management of Y company,optimize to the deficiencies of each channel.It points out that management needs to enhance the awareness of channel management,paying particular attention to the "shortcomings" in the management of working capital of each channel,promoting mutual cooperation among various departments,and promoting the integration of channels and business processes.Then build working capital evaluation method suitable for the company.In order to reduce the occupancy costs of working capital,accelerate the operation of working capital provides a strong guarantee,but also to similar businesses to provide reference.The third part is the conclusion,summarizing the article and discussing the shortcomings of this article.The traditional working capital management method of Y company is based on the evaluation of individual elements of liquid assets.The turnover rate of a single indicator is ignored by the corresponding other indicators.There are contradictions in the turnover between the elements and the balance between the elements is broken.It plays a negative role in the management of working capital.This article optimizes the working capital management,joins the channel theory,and improves the lack of correlation and isolation between the traditional project elements so that managers can strengthen the management of working capital from the overall business process.