Research On A Company's Working Capital Management From The Perspective Of Channel Management

Affected by the COVID-19 epidemic,the growth rate of the global economy has slowed down,showing a downward trend.Risks and challenges at home and abroad have intensified,and overcapacity has led to a decline in the economic benefits of the steel industry.On the one hand,the country has actively promoted supply-side structural reforms,and steel production has maintained growth.On the other hand,due to the severe international trade friction and trade protection situation,the demand for steel has continued to decrease,making it difficult to absorb excess production capacity through exports.The market economy has made higher demands on the financial management of the steel industry.As a key element of corporate financial management,working capital affects the long-term development of the enterprise.Working capital management under the traditional perspective is only based on single-project,single-factor management optimization,ignoring the business process and external business relationships of the enterprise,and it is difficult to comprehensively improve the efficiency of corporate capital management.The working capital management under the channel theory corresponds the working capital of the enterprise to the business process,taking into account the relationship between the upstream and downstream channels,making up for the shortcomings of traditional working capital management,and is of great significance to improving the financial management level of steel enterprises.After reviewing relevant domestic and foreign researches,this paper sorts out the theories of working capital management,channel management,supply chain management and customer relationship management.Working capital management under the channel management theory is closely tied to the concept of industry-finance integration,taking into account the company ' s business process and the relationship between upstream and downstream channels in the management of working capital,and discussing the working capital management of Case A Company,and in-depth analysis of the channels The impact of management on the management of working capital in the steel manufacturing industry.Based on channel theory,this article uses a combination of case analysis and qualitative and quantitative methods to conduct a longitudinal comparative analysis of A company's working capital management from procurement channels,production channels,marketing channels and financial activities,as well as long-term investment and financing activities.From the perspective of channel management,the existing problems of company A's working capital management were analyzed and corresponding management countermeasures were put forward.The research conclusions of this paper mainly include three aspects.Through the analysis of business activities,it is found that Company A's inventory management has the problem of excessive inventory ratio in the production channels and sales channels.The reason is that the information sharing platform between it and its customers is still pending.Perfect.In addition,analyze the occupation and occupation of accounts receivable and accounts payable from the perspective of channel relationship.Enterprises have insufficient understanding of the importance of channel relationship management and fail to apply it to fund management.They should expand operations The scope of fund management includes upstream suppliers and downstream customers to strengthen working capital management between channels.Companies can enrich the sources of working capital for investment channels and make reasonable plans for idle funds to deal with the problem of the large amount of short-term borrowing occupied by the working capital of wealth management activities and the existence of some idle funds.For long-term investment and financing activities,the management strategy of a company's working capital must consider both liquidity and profitability,and cooperate with the company's strategy to achieve efficient management of working capital.The main contribution of this article is to start with the peculiarities of the steel industry,to further analyze the relationship with working capital,and to use the channel management theory to contact customer relationship management,and to further analyze the relationship with working capital.In-depth analysis of working capital,combining various factors,projects,business processes,and upstream and downstream channel relationships,putting the company in the entire market for comprehensive consideration to improve the quality of working capital management.