With the continuous advancement of my country's urbanization process, urban infrastructure plays an increasingly important role in the national economy, and its construction level directly affects a city's competitiveness. The importance of state-owned urban investment, water investment and other enterprises as the main participants in urban infrastructure construction is self-evident. As the state and localities deepen their understanding of the importance of infrastructure and the government's financial strength increases, these state-owned investment enterprises have also gradually changed from the role of government financing platforms to urban industry boosters.
In order to promote the development of the economy from the virtual to the real, my country has continuously improved the management of local government debts, and the operations of state-owned urban investment, water investment and other enterprises have also been gradually standardized. Since 2021, under the background requirements of the government to effectively resolve the government's hidden debt risks and reduce the leverage ratio, the corporate financing environment is facing tightening, and urban investment companies in areas with high debt ratios are under increasing pressure to refinance, which will affect corporate financing. Higher requirements have been put forward for management ability.
The leading practice company in this article is a large-scale water conservancy investment group limited by a province. Faced with a situation where the operating environment of the financing platform changes greatly, scientific analysis is carried out step by step. Through the construction of the treasury management platform, improve the level of operation and management, strengthen the ability to allocate internal resources, reduce the search for external financing, strengthen the control of external financing, comprehensively prevent credit risks, and go upstream in the trend of mergers and integrations to achieve high-quality development.
1. Company Profile
The company is a large state-owned enterprise 100% controlled by a provincial government. It raises funds with assets, builds projects with funds, expands capital with operations, and builds an investment and financing platform. The enterprise focuses on investment in the water resources industry, and develops in a diversified manner with the development characteristics of "four waters under the same governance" of water resources, water ecology, water environment, and water disasters. At present, it has nearly 100 member units, the management level has reached four levels, and the management areas are all over the province. It is a multi-organization and cross-regional group enterprise.
2. Construction background
In the face of ever-changing financial markets, continuous innovation of financing channels and more and more financing varieties, enterprises urgently need to strengthen management and control of investment and financing business processes and risks. The existing financing business data of enterprises is scattered and the calculation process is complicated. Manual management can no longer effectively support financing management decision-making. It is urgent to empower management through digital means to support business development and operation. Secondly, the group and various units lack a unified financial management platform, and the efficiency and quality of financial management are low. As a result, corporate managers cannot see the data they want to see, and the data they see is inaccurate and untimely. Enterprise treasury management standardization, standardization, and process work need to be further strengthened.
3. Difficulties in construction
01. The company has large assets and many financing means
The group's corporate headquarters is mainly responsible for financing planning and large-scale financing, but does not intervene too much in the daily production and operation of the companies it holds. The number of subordinate member units is large, and the overall group assets are relatively large. Financing information is mainly collected manually by financial personnel, with heavy workload and low quality
02. High credit rating and strict debt risk management
Due to the relatively large scale of the overall assets of the enterprise and its high credit rating in the capital market, the enterprise needs to strictly control the debt risk in order to maintain the rating. Secondly, provincial-level platforms are strictly regulated by the government and the dimensions of regulatory reports are diverse, making it difficult to submit real-time reports manually.
03. The number of subsidiaries is large, and the vertical control pressure is high
The company has a large number of subsidiaries, multiple levels of investment and financing platforms, and multiple formats. It is impossible to form an effective vertical management and control mechanism, which has become a bottleneck affecting the development of the company. The group company urgently needs an effective management plan.
04. The investment recovery period is long, and capital cost is difficult to control
The state-owned enterprise has a large number of existing project investments, some of which have social welfare attributes, and the overall investment recovery period is long. How to control the cost of funds is crucial to the project's rate of return.
4. Planning and Design
1. Design thinking
In order to promote the implementation of the group's core goal of digital intelligence transformation, "a digital management platform integrating business digitalization, management digitalization, and office digitalization", and improve the ability to cope with development challenges under the new situation, a financial management platform will be built for the group. The capital management process is optimized and reengineered, the level of financial management is improved, and digital intelligence is created.
2. Planning and construction goals
(1) Build a unified financial management platform for the group, realize efficient, accurate and timely transmission of financial data, and improve financial management capabilities.
(2) Realize the three-in-one calculation of treasury business planning beforehand, settlement during the event, and post-event accounting record and analysis.
(3) Improve financing management capabilities and effectively manage and control credit risks.
(4) Realize the integration of business and finance, and effectively improve the efficiency of business operation.
3. Design blueprint
With treasury management as the core, build a smart financial management platform, including: treasury management, financial accounting, and corporate performance management; exchange information and collaborate efficiently with various business systems of the enterprise; realize efficient and automated business operations.
5. Construction content and application process
1. Construction content
(1) Build a unified financial management platform for the whole group, and manage and control business operations online. Operational business: account management, cash management; operational business: fund planning, fund scheduling, fund settlement, financing planning, credit management, loan management, guarantee management, bond issuance management, internal deposits, internal loans, financial expenses; decision-making Support: investment and financing reports, intelligent risk warning.
(2) The treasury management system and the financial accounting system are seamlessly connected on the same platform, integrated with the enterprise OA system, and opened up the bank-enterprise direct connection with multiple banking systems to improve the integrated management of business and finance.
2. Application process
(1) Financial Kanban on the mobile terminal, real-time monitoring of financial business operations
Build a group-wide treasury management platform, unify standards, obtain high-quality data, and graphically display account fund stock, account quantity, balance changes, transaction status, large-amount payment status, and financing overview.
(2) Fund plan management to realize pre-planning, in-process control, and post-event analysis
●Unify the fund plan items, and set up a unified fund plan form and fund plan analysis form, and establish a group enterprise fund plan system.
●All subsidiaries prepare, report and approve in the system according to the issued fund plan; the group conducts summary and detailed query on the reported fund plan.
●The subsidiaries can adjust the capital plan during the execution of the capital plan.
●Regularly analyze the implementation of the fund plan.
(3) The remaining balance of member unit accounts is automatically collected, and the group allocates according to the application of member units, and is controlled by the fund plan.
(4) Build a full-category financing management system
●There are nearly 20 types of financing, which are set up uniformly by the group, and data such as credit line and occupancy status can be retrieved on demand.
●Establish an internal lending market, endow internal funds with financial attributes, guide the flow to high-value and high-yield projects, and optimize the allocation of internal capital resources.
●Quantify the financial value of the group's guarantee resources, formulate a standardized price system, generate income for the group, and guide the guarantee resources to favor high-value and high-yield projects.
(5) The treasury management platform is integrated with the business system, and the bank-enterprise direct connection with the banking system
●The treasury management system is seamlessly connected with the same platform of financial accounting, directly linked with multiple banks, and the payable documents are pushed to the treasury management system to complete the external payment, and the receipt and payment settlement information is pushed from the treasury management platform to the general ledger Accounting vouchers are generated, and document processing does not come to fruition.
●Integrated with the enterprise OA system, the account management is approved in the OA, and the relevant information is synchronized to the financial management platform.
6. Application effect
(1) Unify treasury business norms and standards to obtain high-quality treasury business information. Through the treasury board and mobile application display, the group can view the panoramic perspective of treasury business in real time and make timely decisions; all-level and full-process capital plans Management, automatic control of external payments; effectively improve financial management and control capabilities.
(2) Through the treasury management platform, direct bank-enterprise connection with more than 20 banks, integration with OA system and financial accounting, improve the integrated management level of business and finance, and significantly improve work efficiency.
(3) Through full-category financing management, give full play to the value of internal capital resources, reduce external financing needs, and reduce financial costs; external financing resources are managed in an all-round and full-cycle manner to control credit risks.