Financial management goal is the expected result of enterprise financial management activities, and it is the basic standard to evaluate whether enterprise financial management activities are reasonable. It is of great theoretical and practical significance to establish reasonable financial management objectives. The author puts forward his own views on the financial management objectives of Chinese academic circles at present, and thinks that maximizing the value of enterprises is a realistic choice for the financial management objectives of Chinese enterprises.
1. The main viewpoints existing in academic circles at present
China's financial management goal has gone through the stage of maximizing output value before 1978 and the stage of maximizing profit in the early stage of reform. Practice tells us that neither of these two goals is the ultimate goal of financial management. At present, there are five main views on financial management objectives in academic circles.
(1) Maximizing shareholders' wealth: refers to bringing the most wealth to shareholders through reasonable financial management. Scholars who hold this view believe that the purpose of shareholders to establish enterprises is to expand wealth. They are the owners of the enterprise, and the value of their investment is that they can bring future returns to the owners, including getting dividends and selling shares in exchange for cash. Under the condition of share economy, the wealth of shareholders is determined by the number of shares they own and the stock market price, so the maximization of shareholders' wealth is finally reflected in the stock price. They believe that the stock price represents the objective evaluation of the value of the company by the investing public. Expressed by the price per share, reflecting the relationship between capital and profit; Affected by earnings per share, reflecting the size and time of earnings per share; It is influenced by enterprise risk and can reflect the risk of earnings per share.
(2) Maximizing the enterprise value: It refers to maximizing the total value of the enterprise by adopting the optimal financial policy, fully considering the time value of money and the relationship between risk and reward, and on the basis of ensuring the long-term stable development of the enterprise. Scholars who hold this view believe that financial management objectives should be related to multiple interest groups of enterprises. It can be said that the goal of financial management is the result of the interaction and mutual compromise of these interest groups. In a certain period and environment, an interest group may play a leading role. However, in the long-term development, we should not only emphasize the interests of one group, but also ignore the interests of other groups, let alone focus on the interests of one group. In this sense, the maximization of shareholder wealth is not the optimal goal of financial management. Theoretically speaking, all interest groups can compromise the long-term development of enterprises and the continuous improvement of the total value of enterprises, and all interest groups can achieve their ultimate goals. Therefore, the long-term stable development of enterprises should be put in the first place, and the interests of all parties should be satisfied in the growth of enterprise value. Taking the maximization of enterprise value as the financial management goal. (1) emphasizes the balance between risks and benefits, and limits risks to the range that enterprises can bear; (2) Establish a harmonious interest relationship with shareholders and strive to cultivate stable shareholders; (3) Caring for the vital interests of employees in this enterprise and creating a beautiful and harmonious working environment; (4) continuously strengthen the contact with creditors, invite creditors to participate in the discussion of major financial decisions, and cultivate reliable capital suppliers; ⑤ Really care about customers' interests, have a high investment in the research and development of new products, and constantly meet customers' requirements by launching new products as much as possible, so as to maintain the long-term stable growth of sales revenue; ⑥ Pay attention to reputation, corporate image building and publicity; ⑦ Pay attention to the changes of relevant government policies, strive to participate in relevant government decision-making activities, and strive for the introduction of favorable policies or regulations. However, once it is promulgated and put into practice through legislation, it must be strictly implemented whether it is beneficial to itself or not.
(3) Maximize the rate of economic added value of enterprises. Scholars who hold this view believe that the goal of enterprise financial management should be systematic, relevant, operable and efficient, and at the same time put forward the best choice of enterprise financial management goal to meet the above four characteristics of financial management goal-maximizing enterprise economic added value. The target mode of maximizing the economic added value of an enterprise refers to that the enterprise pursues the maximization of the ratio of the economic added value created and the invested capital in a certain period of time on the basis of ensuring the long-term stable development of the enterprise by rational financial management and adopting optimized financial policies. Economic value added (EVA)=EBI-T×( 1-T)-Kw×C, where EBIT is the income before interest and tax; T is the income tax rate; Kw is the weighted average cost of capital ratio; C is the average capital invested by the enterprise. Generally speaking, EVA can be approximately equal to the sum of the book value of interest-bearing debt and equity through certain technical adjustment. Enterprise economic growth rate (EVAR) can be measured by the following formula:
In the above formula, EVAR[, t] is the annual economic added value of the enterprise, k is the discount rate suitable for risks, C[, t] is the average capital investment of the enterprise in t years, t is the specific time of EVA and c, and n is the duration of the enterprise's operation. It can be seen that EVAR is directly proportional to EVA and inversely proportional to K and C. The level of K is mainly determined by the risk of the enterprise. In other words, the economic added value of an enterprise is directly proportional to the expected income and inversely proportional to the expected risk. Only when the risk and reward reach a good balance can the economic added value of the enterprise reach the maximum.
(4) The sustained and effective appreciation of enterprise capital. Scholars who hold this view believe that the sustained and effective appreciation of enterprise capital is a rational choice of enterprise financial management objectives, which can be reflected by the above financial index system. Then, through this series of index analysis, evaluate the operating conditions of the enterprise, so as to judge whether the enterprise has reached the goal of financial management or the level of financial management.
(5) Optimize capital allocation. Some scholars have pointed out that the emergence of the new economy has had a huge impact on enterprise finance, and the economic system, enterprise organization form and financial management concept have all changed.