Research On Accounts Receivable Management Of DS Aluminum Foil Company

Deepening supply-side structural reform,working on the five priority tasks of cutting overcapacity,reducing excess housing inventory,deleveraging,lowering costs,and strengthening areas of weakness are crucial strategic decisions,which require industries to reduce ineffective supply and improve independent innovation capacity.As the basic industry of national economic development,the non-ferrous metal industry is deeply involved in this reform.Aluminium is the largest non-ferrous metal by volume,but aluminium rolled products(aluminium foil),which account for 60 percent of the aluminium processing industry’s capacity,are disproportionately affected.Under the guidance of policies,backward aluminum foil production capacity has been gradually eliminated,but the effective promotion of technology is slow,and the aluminum foil industry with unbalanced production and sales is increasingly difficult to sell.Therefore,in order to expand the scale of sales,credit sales in aluminum foil industry is widely used.Credit sales is a kind of sales guarantee mechanism,but too loose credit sales policy leads to the continuous accumulation of accounts receivable,the impact on the enterprise’s liquidity and operating ability can not be underestimated.Therefore,from the perspective of accounts receivable management,this paper discusses the aluminum foil company accounts receivable management methods,and puts forward optimization suggestions.This paper takes DS aluminum Foil Company as the research object.DS Aluminum Foil Company is a leading enterprise in aluminum processing industry.Affected by the industry environment,credit sales is the mainstream sales mode of DS aluminum foil company.This paper first describes the current situation of accounts receivable of DS aluminum Foil company from the aspects of scale,turnover,structure and so on.Next,it expounds the receivables management process of DS Aluminum Foil Company from three aspects: credit system,credit selling system and collection system,and then points out various problems existing in DS company’s receivables management,such as company management defects,imperfect system and irrational use of receivables financing.In view of these problems,the reasons are explored from the Angle of enterprise management and industry characteristics.Finally,this paper puts forward relevant optimization suggestions: improving the accounts receivable management system,adjusting the enterprise strategy and adopting reasonable accounts receivable financing methods,to provide inspiration for the traditional manufacturing industry accounts receivable management.