Y Company Financial Management Improvement Scheme Base On ERP System

In recent years, ERP(Enterprise Resource Planning) has been developed very fast for the management in Chinese enterprises. It is the trend and image of the advanced enterprise management. It looks like ERP system is a miraculous tool to solve all of management problems and reallocate resource reasonably. Therefore, many companies have nothing but ERP setting up. They don’t really pay attention to how ERP to help them to solve the problem, whether or not suitable to their companies or the benefit to gain. Meanwhile the ERP application failures that make the confidence lost and doubtfulness on ERP implementation. As the matter of fact, ERP is a tool to implement the advanced management concept, which will play an important role to compromise financial management to ERP for the enterprise with ERP using and to be used.Most research focus on ERP promotion and implementation in China and very few combining ERP to the financial management. Furthermore, only part of the financial management is considered on those research articles. Actually the financial management is the core of the enterprise management, because every ERP module goes to the financial module finally. Therefore it is very important to comprise the financial management to ERP as a key part and to improve the financial management.The article introduce the concept of the financial management with elaboration. It gives the profile of Y company and finds out the lag idea, separate between financial and business management, influent data flow, isolated data island, weak financial management, no so high level internal control, lagged cost accounting and data distortion etc. Base on implementation of ERP project, we can use ERP system to perspective business from finance view and give supporting to operating decision-making; to achieve sharing data between different departments by using ERP system, eliminate isolated information island; to replace actual costing method by activity-based costing; using ERP system to achieve rolling budget base etc. To provide specify implementation method. The financial management has been improved with ERP system.