Research On Financial Management Model Based On Financial Sharing Service Perspective

With continuous development of economic globalization and the Internet technology, large enterprises have set up branches around the world, paying higher overhead costs, which caused the enterprises'financial costs rising continuously under their continuous expansions as well as complex internal governance structures. Financial management is important for a company, which is an indispensable part in it. Due to the pursuit of a more optimized financial management model, many companies have practiced and searched an innovative financial management model, the financial shared service, emerging in 1990s, based on information technology, namely a process of reengineering for the financial management model. In a company, it follows the core concept of fine management of refining management and creating benefits so that the business processes, its reengineering making the separation between financial accounting and management financial accounting, have been standardized, enhancing the efficiency and quality of work with accuracy and timeliness through concentration processes of financial settlements which are simple, numerous and of high repeatability. This model perfectly fits the concept of a refining management in companies, efficiently optimizing the financial management model in large companies as well as their management costs being greatly reduced. By using the method of case study, the theory of process reengineering and the financial shared service, from the view of business process reengineering, which is the essence of implementing financial shared service model, the thesis studies the process reengineering of Industrial and Commercial Bank of China (ICBC) financial management model based on financial shared service model. The thesis also analyzes the basic situation of ICBC and the status quo of the financial management model, and elaborates the implementary process of financial shared service model and the construction of financial shared service center in ICBC. The success of process reengineering of the financial management model also brings the expected results for ICBC and achieves its goals. Through researching and summarizing the successful schemes of optimizing financial management model, the thesis hopes to provide a valid reference value for other enterprises when they implement financial shared services, and promote Chinese enterprises to reduce management costs and improve their working efficiency.