A Review Of Constructing The Financial Shared Service Center In Beijing Automotive Group Co.,Ltd

In the 1980s,the Financial Shared Service Center,which mainly provides services to large companies,was established to handle some basic financial business.The rapid advance of globalization has brought trans-regional and cross-industry cooperation among enterprise groups,and enterprise groups have established more and more branches and subsidiaries,resulting in bloated organizations and inefficient operation.At the same time,the rapid expansion of the company’s business and the delay of the delivery of instructions have also caused such problems as the decrease of the overall operating efficiency of the group and the increase of internal management costs.Under such a general trend,more and more foreign enterprises are trying to set up Financial Shared Service Centers to solve the above problems and improve the overall profits of the group.Over the years,foreign enterprises have achieved good results in the construction and operation process,which is worth learning from Chinese enterprises.The successful application of financial shared model in foreign countries has attracted the attention of domestic enterprises,which are also thinking about the cost and benefit of introducing this management model.After the exploration and construction of zte,huawei and other enterprises,it is found that if this innovative management mode is effectively and correctly promoted in China,it will certainly shine brightly.In recent years,Chinaese car companies,like most corporate entities,is facing many problems,such as the sluggish market and fierce competition lead to a drop in sales,enterprises have to reduce the selling price in order to survive to compress the profit space,enterprise management personnel in the profit year in this dilemma,shall not be breakthrough.Therefore,the automobile industry is actively seeking a new management mode to break this situation,break through the encirclement,and open the way for its innovation and development.At the same time,Chinaese automobile enterprises have greater advantages and necessity in building such institutions because of their large organizations and wide branches.On the whole,because the introduction of new ideas is too short,domestic development is not mature enough,there is still a lot of potential for progress,but also a long way to explore.Chinese companies can learn from foreign companies or multinational enterprises with successful experience,taking the essence and discarding the dregs.One point we should pay attention to is that blind copying is prohibited.We need to arrange corresponding implementation plans according to our own characteristics and make steady progress.Then,in the next fewyears,this new financial management mode can certainly make good progress in our country.In view of the above considerations,this paper uses the method of case analysis to discuss the establishment of the Financial Shared Service Center.Based on a thorough study of domestic and foreign literature,the concept,organizational structure,operation mode and operation characteristics of the Financial Shared Service Center are expounded by applying the theory of scale economy,process reengineering and flat management,and the balanced scorecard theory is used to explain the indicator system for evaluating the construction effect.In the case analysis section,the case of Beijing Automotive Group Co.,LTD.(hereinafter referred to as Beijing Automotive Group)is selected for analysis.This case is selected because it is representative of the industry and has research value.Based on its construction background,this paper summarizes the organizational structure construction,business process construction,business process standardization construction and information platform construction of the Financial Shared Service Center of the case company.The balanced scorecard theory is used to analyze the effect and guarantee measures of the Financial Shared Service Center construction of the case company from four dimensions.After analyzing the construction of the Financial Shared Service Center of the case company,specific suggestions are given for Beijing Automotive Group and other enterprises in China after a comprehensive understanding.This paper is mainly elaborated from five parts: the first part is the introduction,including research background and significance,literature review,research ideas and methods,the basic framework of the paper.The second part is a theoretical overview,introducing the concept,organizational structure,operation mode and operation characteristics of the research topic.At the same time,the following theories are explained,including the basic theory and the evaluation method of construction effect.The third part introduces the case of Beijing Automotive Group’s construction of the Financial Shared Service Center,including its construction background,organizational structure construction,business process construction,business process standardization construction and information platform construction.The fourth part is the case analysis,analysis of the effect and safeguard measures produced by the case company.The fifth part is the research conclusion and suggestion.Through the case analysis of the fourth part,it is concluded that: Firstly,the key to its construction is the standardization of the process;Secondly,its construction must rely on process reengineering;Thirdly,theconstruction process needs the attention and support of the leadership.At the same time,specific suggestions are given to Beijing Automotive Group and other enterprises in China.Firstly,It’s not just the server,it’s the management;Secondly,jointly study the financial shared service plan with each business unit;Thirdly,enhance applicability;Finally,improve the information platform.