The Research On Shanhe Intelligent Cash Flow Management Based On Value Creation

Cash flow management is one of the important contents of enterprise financial management.Good cash flow management can help enterprises identify market risks in advance,take measures in time,obtain competitive advantages,and ultimately create value for enterprises.Under the background of economic prosperity in the past,the strategic positioning of most manufacturing enterprises in the early stage was " emphasizing development and neglecting management",especially the management of cash flow.Although many enterprises have some problems in cash flow management,but these problems and defects are covered by the rapid development of business,so that cash flow management has been ignored by enterprises for a long time.With the implementation of "Made in China 2025 " action program,China’s manufacturing industry began to transform to intelligent manufacturing from 2015.These changes inevitably impact on the traditional management mode of enterprises,resulting in the previously covered cash flow defects of enterprises increasingly exposed.At this time,if the enterprise does not pay attention to the management of cash flow,once the cash flow management disorder,turnover is not effective,it is likely to make the enterprise into a financial crisis.So for machinery manufacturing industry enterprises,especially those who do not have the advantage of financing of small and medium-sized manufacturing enterprises,want to gain first mover advantage in 2025 program,must innovate cash flow management method,attaches great importance to the management of cash flow to the enterprise sustainable development and the influence of enterprise value,Through cash flow management to obtain source power and create value for the enterprise.This paper based on the free cash flow value creation driving factor model,takes cash flow management as the starting point,analyzes the cash flow management status of the typical small and medium-sized manufacturing enterprise Shanhe Intelligent Company from 2016 to 2020,and analyzes the qualitative and quantitative relationship between cash flow and enterprise value.Through the analysis,it is found that the key driving factors affecting the value of Sanhe intelligent enterprise are sustainable development ability,weighted cost of capital and cash flow turnover.and it has problems in cash flow management,such as slow cash turnover,high cash flow debt repayment pressure and so on,which are not conducive to the creation of enterprise value.Finally,in order to optimize its cash flow management,this paper takes some targeted measures such as:innovative financing methods,optimize the capital structure,improve the investment of enterprise R&D,enhance the ability of enterprise sustainable development,value chain management and other suggestions from the operation,investment,financing,and other aspects,trying to create value for the enterprise.