Application of Financial Sharing in Financial Management of Group Enterprises

Abstract

Financial shared service is a new management mode established on the basis of financial system reform. Under this mode, independent financial organizations are stripped off and financial information of company’s branches is merged into financial shared service center. The center is responsible for simple and repetitive, common and standardized operations for each branch in order to realize the centralized management and accounting. It greatly improves the efficiency of enterprise management, reduces management costs, and improves customer satisfaction and the service quality. As a new emerging thing in financial management, financial shared service center has turned into reality rather than a concept, and there are more and more enterprises benefit from it. This new financial management model is emerging and being adopted by many multinational companies and large domestic enterprises.