Research On Working Capital Management Of JX Company Based On Channel Theory

In the financial management of enterprises,the management of working capital is one of the most critical parts,which is closely related to each link in the production and operation of enterprises,including procurement,production,warehousing,logistics and export sales.Paying attention to the management of working capital can not only improve the efficiency of the use of funds,but also help to ensure the reasonable consumption of funds,reduce financial costs,improve the ability of enterprises to obtain profits,and obtain a dominant position in the market competition.Equipment manufacturing industry is closely related to policies and production technology level.In order to better adapt to the rapid development of today,enterprises should quickly integrate internal resource elements and play their due value and role.In particular,working capital,as a key link of enterprise management,should be highly valued.Since 2018,the main financial business income of JX Company has been increasing year by year,and the total profit before interest and tax has also been increasing year by year,showing a good development situation.However,there are also hidden dangers in the development.The fund situation of JX Company has been relatively tight,and there are problems such as arbitrariness and blindness in working capital management.In order to further study the working capital management of JX Company,this paper start from the perspective of channel theory,through the analysis of the financial data of JX company,combined with the actual situation of JX company,the working capital management of JX Company will be analyzed and studied.According to the channel theory,the internal working capital is divided into three channels: procurement,production and sales.Firstly,the financial situation of JX Company is analyzed,and then the working capital management of JX Company is analyzed one by one based on the perspective of channels.Through analysis and research,it is found that in terms of working capital management,JX company has such problems as too high proportion of payables in procurement channels,other payables in production channels,large proportion in product inventory and large proportion of working capital in sales channels being occupied by other purposes.According to the above problems and the current situation of the enterprise,the improvement suggestions and corresponding solutions are put forward to help the enterprise achieve high-quality development.The research object of this paper is JX Company,the weapon equipment manufacturing industry.Due to the particularity of this industry,this industry is relatively rare in the previous related research literature.The author has the courage to explore new research fields,and the research content is analyzed based on his more than 5 years of work experience and job problems.He has a certain understanding and professional foundation for the development of the weapon equipment manufacturing industry and the management of working capital.