Study on the Management and Control Model of Cash Flow in Enterprises

Abstract

The gradual promotion and implementation of financial transformation in enterprises has created a more perfect control environment and opportunity for entire management and control of cash flow and value management in enterprises. So this paper tries to establish the management and control model of cash flow in enterprises. The model is composed of two parts: strategic management of cash flow and tactical management of cash flow, concerning four levels: operators, managers, monitors and decision-makers. Its core contents include three parts: strategic planning of cash flow and cash value-added (objective), ‘threedimension’ balance of management and control of cash flow and cash flow budget (process) and performance evaluation of cash flow (result). It is a complete selfcontained feedback system, which is composed of ‘objective- process- result’, and the enterprise physical flow, information flow and capital flow provide the support of basic data for the model.KeywordsCash FlowCash Value-AddedManagement and Control Model