The Group Company’s Financial Management Research

With the establishment of the socialist market economy, improvement and development, Formed many group companies with considerable scale and good development prospect. However, with the group company’s scale continuous expansion and the organization structure complicated, the lack of effective financial management group enterprise has been a difficult problem for health development and getting the maximizing enterprise economic benefits maximization.Severe change of the market environment, make a lot of group companies met the bottleneck in financial resources development, utilization and planning etc for the further development. The material weakness in financial management system, personnel development, investment and financing decision, budget accounts management, seriously affects group companies’ the sustainable and healthy development. The group company lacks the financial management work from a strategic height.In this paper, domestic and foreign financial management theory mainly summarized based on the view, introduces the current academic theories:the financing flow theory, the contract theory of the firm, principal-agent theory, the motivation theories and the game theories and their main views. Corporate governance is a set of institutional arrangements including a series of managements, company financial management, the operational management, the personnel management and so on. The company financial management is the core of the company governance. The effect of corporate governance is embodied in financial interests, the corporate governance goal is finished through the company’s financial management in the largely. They have consistency in management objectives, governance subject, etc. And there is a close relation between them. At the same time, they have bigger difference in governance key, operation mode and incentive emphases and constraint key aspects. The reasonable and effective Distributions of the company property is the core and the basis for achieving the target of melt into financial management, and is the necessary conditions to promote the company’s financial management efficiency. In the company’s financial management process, the company should distribute it’s corporate property reasonably, and should make all the stakeholders can get incentive, in order to realize the effective cooperation between them for the company to create more "cooperation surplus" to realize the maximization of enterprise value. In this paper, aiming at the financial characteristics and the group company’s financial management features, I analyse the main problems deeply that are existing in the group company’s financial management at present and put forward some ideas for improving the group company financial management conception. At present, the main widespread problems of the group company’s financial governance are:the group company’s ownership concentration is high, the controlling shareholders’irrational behavior exists generally, business managerial stockholding level is low,"Internal control person" problem exists generally, complex agent relationship and low efficiency result the financial monitoring non-existing, the board of directors’and the board of supervisors’function are weaken, Creditors’and small and medium shareholders’financial supervision for the group company are slack, etc. In view of the above problems, I put forward some suggestion to strengthen the group company’s financial management. Such as using strategic management ideas to conduct the group company financial management, using integration of information technology and advanced information management methods to generate and perfect the financial information submitted mechanism, arranging an reasonable arrangement of incentive compensation plan to promote business managers and shareholder interests convergence, perfecting the system construction to strengthen external stakeholders shareholder financial supervision, etc. At last, I Suggest the group company should focus on the financial management’s systematicness, practicality and the choice of the financial management mode to ascend it’s financial management efficiency.