Research On Working Capital Management Of YF Company

Working capital,as the "blood" of the enterprise,connects the management activities of the supply,production and marketing link of the enterprise,and is the basic premise and necessary guarantee for the enterprise to carry out normal business activities.It plays an increasingly prominent role in enterprise management.In recent years,thanks to the improvement of people’s quality of life and consumption upgrade,compound condiment has driven to the fast track of development and entered the 100 billion era.The rapid expansion of market scale has brought huge development opportunities for SMEs in the industry.However,limited by management level and financing channels,some SMEs face increasing pressure of working capital turnover while improving production scale,which seriously affects the stability and autonomy of their operation.How to effectively manage the working capital of small and medium-sized enterprises in compound seasoning industry has become an urgent problem to be solved.At present,most of the research on working capital management is aimed at listed companies,and it is difficult for SMEs to learn from their management experience and improve their own management level due to the internal and external environment constraints.Therefore,this paper chooses YF Company,a small enterprise in the compound condiment industry,as a case company to fully grasp the situation of the company through field research and study its working capital management,which enriches the working capital management case study of small and medium-sized enterprises.First of all,according to the current situation of working capital and management of YF Company,it is found that the company has problems such as imperfect working capital management system,neglect of working capital safety management,low level of working capital liquidity management,blocked transmission of information needed for working capital management,etc.Combined with the analysis of the company’s management activities,it is found that the root of the problem lies in the company’s weak awareness of working capital management,the lack of budget support for working capital management,the backward management methods of channel working capital,and the lack of working capital information sharing platform.Secondly,according to the company’s business goals and management status improvement design of working capital management is proposed,by implementing the budget management of working capital,optimizing the structure of working capital financing two measures to improve the safety of working capital,and combining the theory of channel management through the establishment of supplier relationship,optimizing production processes,strengthen the customer relationship management(CRM)three measures to improve the liquidity of working capital.Finally,in order to comprehensively improve the working capital management level of YF Company,the paper puts forward the guarantee measures of working capital management from the three asp ects of organization guarantee,system guarantee and technical guarantee.In this article,through analysis of YF company working capital management problems and causes,in combination with the practical situation of the company put forward the concrete improvement design of working capital management,hope to improve the level of YF company working capital management at the same time,the science to improve the small and medium-sized enterprises in the same industry is of certain reference to the safety of working capital and liquidity.