Research On Working Capital Management Based On Value Chain

In recent years,under the background of national macroeconomic growth slowing down,enterprises are facing more and more severe market situation.Working capital management level is directly related to the survival and development of enterprises.The profitability,debt paying ability and development ability of enterprises are all affected by working capital management level.While academic research on working capital is very rich,but the early focus on their own working capital management,more and more involved in the supply chain and channel relationship,the value chain and the combination of the research content of working capital is relatively lack,existing research has mostly focused on the theoretical level,the lack of case study,focusing petrochemical industry case studies or blank.As a traditional pillar industry in China,the petrochemical industry is highly dependent on foreign oil demand,and has been severely restricted by the international oil market for a long time due to its limited resources and weak technological foundation.Chinese petrochemical enterprises to get advantage position in the international competition,we must strengthen the management of working capital from the Angle of value chain,the management of working capital explore the micro level of refinement to value-added activities,respectively from the value chain the purchase channels,production and sales channels to raise the level of working capital management,to achieve the strategic goals of the enterprise.This paper adopts the method of combining theoretical analysis with case study,and on the basis of reviewing the research results of value chain,working capital management and the combination of the two,constructs the evaluation system of working capital management of petrochemical enterprises based on value chain,which provides theoretical and methodological support for the evaluation of working capital management effect of petrochemical enterprises.Then,Sinopec,one of the leading enterprises in the petrochemical industry,with a complete value chain,is selected as the research object to evaluate its working capital management level from the procurement,production and marketing channels of the value chain,analyze the problems existing in the current working capital management of Sinopec,and dig out the deep reasons.Based on this,optimization countermeasures and safeguard measures are proposed for the management of Sinopec’s working capital.In terms of procurement channels,the cooperation with strategic suppliers should be strengthened,the information sharing mechanism should be improved,and the VMI centralized procurement mode should be established.In terms of production channels,refining technology level should be improved to achieve large-scale lean operations.In terms of marketing channels,strengthen the control of accounts receivable,optimize the terminal sales network,and expand the sales path.This paper advocates a new mode of working capital management based on the value chain,and based on the practical problems existing in the working capital management of petrochemical enterprises,creatively puts forward optimization countermeasures and safeguard measures,in order to help Sinopec effectively improve its working capital management level,and to provide reference for other enterprises in the petrochemical industry.