The construction of conceptual model of working capital management based on SCM

With the development of the supply chain management (SCM) theory, more and more enterprises integrated it into their business management practice, and do researches on the supply chain and financial management integration, in order to improve the operation efficiency. Working capital management is an important part of financial management, which has direct effect on the turnover and utilization rate of the capital. This paper, based on SCM, give the full consideration of the factors may affect working capital management in the business processes of supply chain, builds conceptual model of working capital management based on SCM, enhances working capital management with the system point of view, and opens up new ideas of research on working capital management.