Research On Working Capital Management Of Haier Group Based On Channel

Working capital is closely related to business activities such as purchasing,production and sales.Effective working capital management can not only guarantee the capital consumption of enterprises and maintain the normal turnover of capital flow,but also help enterprises improve their profit margin and consolidate their market position.Its role in enterprise management is increasingly apparent,and many large groups pay more attention to the management of working capital.At present,China’s domestic manufacturing industry is facing the challenge of transformation and upgrading.As an industry closely related to people’s lives,household appliance manufacturing industry is also facing various pressures of industry development.Working capital,as an internal factor available for enterprise management,should also play its due value and role.This paper selects Haier Group,which is the leading manufacturer of household appliances,to analyze.Firstly,it briefly introduces the meaning,characteristics and classification of working capital management from the perspective of channel,which is the basis of the following discussion.In the case description part,after an overview of the overall situation of Haier Group and its working capital,taking the channel as the starting point,this paper focuses on the current situation and methods of working capital management of Haier Group and evaluates and analyzes the effect from three perspectives of liquidity,profitability and risk.By comparing with similar enterprises in the industry,it is concluded that Haier Group’s working capital management has certain advantages in purchasing channels and production channels,but there are certain debt repayment and credit risks,and there is a backlog of finished products.On this basis,the corresponding enlightenment is summarized: good management and informatization of procurement channels help the group to effectively control working capital;The production channel takes the demand as the center,and uses the advanced technology to improve the turnover efficiency;Marketing channels strengthen retail,cooperate with efficient logistics,strengthen capital management and control,and speed up product and capital turnover;Based on the channel to carry out working capital management.At the same time,this paper puts forward some suggestions: balance the enterprise income and risk,maintain the relationship between enterprises in the channel,and actively use the emerging online marketing channels to drive turnover.Studying working capital management from the perspective of channel,and can be able to grasp the working capital situation as a whole.And different from the simple performance analysis,this paper selects the enterprises with effective working capital management to analyze and summarize the corresponding experience and enlightenment,in order to provide reference for other enterprises in the home appliance manufacturing industry.At the same time,in the selection of evaluation index,the relevant profitability index is added to make the evaluation and analysis more comprehensive.