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KEYWORDS
Supply Chain Management, Working Capital Management, Payable Account, Stock Management
ABSTRACT
With the development of economy and society, there is nothing more important than the financial management in business management. As one part of financial management, working capital management is not slighting but cannot draw attention of people as well. Besides, it is inevitable for company to develop in several different regions. Supply chain management, as a competitive edge, can provide with strong support. In the end, competitions among companies will develop into competitions of supply chain. On the basis of several clear and definite concepts such as supply chain, supply chain management, working capital and contents of working capital management, the effects of supply chain management making to working capital management show on four aspects of management such as payable account, stock, receivable account and cash holdings, and there will be some suggestions of management strategies given combining with characteristics of every part. It would be better to draw attention of people to working capital management and supply chain management through the thesis, and to change the working capital management mode of the company to enhance the ability of risk response and market competition.
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1Introduction
1.1 The background
1.1.1 The importance of working capital management is not taken seriously
As one of the main contents of financial management, working capital management involves all aspects of the daily operation of enterprises. As the driving force of the whole enterprise, working capital will play a key role in the supply, production and sale of enterprises. The capital flow involved is the key to maintain the capital chain of enterprises. The enterprise assets involved in production are enterprise production Development, and create a source of profits. Therefore, the management of working capital is necessary. However, compared with the long-term financial policies, the short-term financial policies of enterprises have not been paid enough attention. Although long-term financial policies such as capital structure policy, capital budget policy and dividend policy are of great significance to the long-term development of the company, Short-term financial policies are valued and implemented to ensure that companies have the opportunity to implement long-term financial policies. At the same time, in the actual operation of the enterprise,...