Financial process reengineering theory

The theory of enterprise financial process reengineering is one of the most important innovations in management theory in the last 20 years of the 20th century. It refers to integrating the existing resources of enterprises through various business restructuring methods, and finally achieving the purpose of improving efficiency. 1993 Professor Hammer's "Re-engineering Enterprise-Revolutionary Manifesto of Enterprise Management" holds that enterprise re-engineering is "to fundamentally rethink and completely change business processes, so as to achieve significant improvement in key indicators for measuring performance". In enterprise reengineering, financial process reengineering plays a very important role. The so-called financial process reengineering is to reshape the financial management process and financial decision-making system and improve the efficiency of financial operation. Enterprise financial process reengineering is of great practical significance for improving enterprise operation efficiency and establishing and perfecting modern enterprise system.

According to the company's relevant information, it is necessary for enterprises to carry out financial process reengineering. Over the past 30 years of reform and opening up, most enterprises have made great progress in financial management activities, and initially established a financial management system with General Principles of Enterprise Finance as the core and Internal Management Measures as the supplement. However, in practice, a considerable number of enterprises still have insufficient understanding of the important role and position of financial management in enterprise development, and the financial management system and process of enterprises are very unreasonable, which seriously affects and restricts the development and growth of enterprises. The disadvantages of financial management in most enterprises are mainly manifested in the following aspects. First of all, the concept of financial management is weak. In the eyes of some business operators, finance is equivalent to bookkeeping and reimbursement, completely ignoring the decision-making function of financial management. Therefore, from leaders to employees, there is a general lack of basic understanding of the importance of financial management. In the investment decision-making that concerns the life and death of an enterprise, the decision-making is often based on leadership experience; The financial system is imperfect, nonstandard and unscientific, and even has big loopholes.

Secondly, the financial management function of enterprises is single. The contents and methods of traditional finance are relatively simple. In the rapidly changing domestic and international markets, the financial department of an enterprise should not only undertake the functions of financing, investment decision-making, cost control, etc. And it plays an important role in quality management, value chain management and supply chain management. Finally, it is an inevitable trend for ~JJn.h.WTO to connect with the international economy, and it is also an inevitable requirement for the development of the times to learn from the advanced financial management concepts and methods of western developed countries. Therefore, the implementation of enterprise financial process reengineering and all-round enterprise financial innovation are the important contents of establishing and perfecting modern enterprise system and promoting the rapid, stable and healthy development of national economy. 2 Target of Enterprise Financial Process Reengineering Enterprise's financial process reengineering is a complex system engineering, and its basic goal is to improve the efficiency of enterprise's financial management, thus improving the overall operational efficiency of the enterprise. The objectives of financial process reengineering include the following aspects.