Financial Supply Chain Analysis And Decision-making

Finance has always been regarded as an inherence part of supply chain management in the development of SCM, but the great opportunity lying in the finance management of supply chain has been ignored. As the practice on integration of material, information and finance carried out by the advanced enterprises both in foreign countries and China, the concept of financial supply chain has been put forward and researched abroad. Financial supply chain management is a system which integrates material, information and finance by using all kinds of service and product and by information sharing, coordination and organization cooperation to achieve the goal of lowering finance cost and creating value for supply chain.Although the concept of financial supply chain management was first put forward by foreign countries and the practice and theory has been developed in recent years in China, the system research is not enough.This paper studies the financial supply chain in a system manner following sytem structure analysis, optimization and appraisal. It analyzes the organization, process, function and decision problem, and it models and optimizes three elements of system including financing, payment and procurement. The main content is:(1)It concludes the modes of financing, standardizes the products, applies it to the large medical equipment supply chain and gives the price model of inventory financing. (2)It concludes the ways of payment, advances development strategies of Chinese bankcard industry, and gives the EOQ and credit time under pemissible delayed payment. (3)It constructs the framework of finance problem in procurement using dynamic programming, and then researches the decision support system using simulation. (4)It analyzes the risk of finacing product and finance risk in procurement. At last, it analayzes appraisal of financial supply chain through evaluating the cost of capital in supply chain based on ABC and constructing the KPIs.These researches can not only enrich the content of its study, but also promote the practice in FSCM in China through analysis of three important elements. For example, it helps the standardization and popularization of finacing product through researches on financing; it helps the popularization of bankcard and payment terms setting through researches on payment; it helps reduce the cost and avoid the finance risk in procurement through researches on procurement.