Value Chain-oriented Research On Working Capital Management Of Haier Zhijia

Working capital management is related to the survival and development of enterprises,but under the traditional working capital management system,enterprises tend to pay attention to the core business links,ignoring the management of other business links.Considering the enterprise as a whole and decomposing enterprise activities,we need to explore how to make use of these individual activities and their relationships to add value to the resources,capabilities and competitive advantages owned by enterprises in the value chain,so as to improve the competitive advantages of enterprises.Based on this,the optimization of working capital management on the basis of value chain can enable enterprises to better play their own advantages and strengthen their own market competitiveness.This paper studies the theory of value chain and working capital management,combining the theory of value chain with the working capital of household appliance enterprises is helpful to optimize the working capital structure of enterprises and improve the utilization rate of funds.From the perspective of value chain management,this paper first introduces the value chain composition and working capital of Haier Zhijia.Then,based on the value chain theory,channel management theory and customer relationship theory,the working capital management in the value chain is analyzed.Then,starting from the internal value chain and external value chain of the case company,the current situation of its capital is analyzed through the analysis of accounting statements and other materials.Better understand the enterprise’s internal value chain(procurement,production,sales)and external value chain(suppliers,customers),and according to the needs of the enterprise’s future economic development,effectively manage and monitor the fund,in order to promote the sustainable development of the enterprise.Through in-depth analysis of Haier’s working capital,it is found that its internal value chain has problems such as rising inventory ratio,low input-output rate and serious backlog of finished products,and external value chain has problems such as excessive occupation of accounts payable in the supplier link and insufficient strict management of accounts receivable in the customer link.Based on the chain principle of the value chain,the root causes are explored.Propose effective working capital strategies for Haier Company,such as establishing information sharing system,implementing effective employee assessment and incentive mechanism,developing e-commerce marketing mode,building online cooperation platform,and establishing credit management institutions,so as to improve the efficiency of capital use and enable enterprises,suppliers and customers to obtain greater benefits in the value chain.This paper aims to break through the traditional working capital management mode,and put forward a series of effective strategies to provide more effective working capital management for household appliance enterprises,so as to improve their operating benefits.