Research On The Working Capital Management Of Sichuan Changhong On Supply Chain

After 40 years of reform and opening up in China,the economy has developed rapidly,the quality of life of the people has been greatly improved,and the quality of the demand for home appliances is also increasing,so the competition in the home appliance industry is becoming increasingly severe.At present,most enterprises in China’s home appliance manufacturing industry have formed certain economies of scale by mastering core technologies,and have stable supply chain upstream markets and downstream supply chain sales customers.Therefore,to study how to strengthen the working capital management level of enterprises from a supply chain perspective The methods and methods have injected new vitality into the development of home appliance enterprises and have very important practical significance.Working capital is the basis of business activities and value creation,and is an important part of enterprise financial management.The supply chain is an important information network system that connects all aspects of the business development of the enterprise.Working capital management based on the supply chain is an important way to revitalize the enterprise.The efficiency and working capital of the entire supply chain can be improved from the perspective of the supply chain and the whole process fluidity.Therefore,combining the supply chain with working capital management,optimizing the allocation of enterprise resources,and integrating financial and business processes can enable upstream and downstream enterprises to share information,share benefits and risks,and improve working capital management through complementary advantages And competitiveness.This article takes Sichuan Changhong’s working capital management performance as the research object,and analyzes the company’s working capital turnover efficiency from the procurement link,production link,sales link and financial management link from the perspective of the supply chain.Comparative analysis of the average data to find out the problems in Sichuan Changhong’s working capital management:relatively small accounts payable,large inventory and poor sales,long turnover of accounts receivable,and large short-term borrowings.The main reasons for these problems are that the company failed to make full use of supplier resources,inventory backlog,great industry competition,imperfect account receivable management,and product research and development errors led to a lack of working capital.To this end,this article proposes that the company should optimize inventory management,promote sales progress,optimize upstream and downstream links in the supply chain,broaden financing channels,strengthen budget management,improve core technology research and development capabilities,and enhance corporate competitiveness,thereby enhancing corporate working capital management performance.