Research on Enterprise Financial Management Strategy and Framework for Digital Transformation

Abstract

In the wave of the information age, enterprises must undergo digital transformation in order to respond to and implement the national development strategy and improve their core competitiveness. This paper constructs a strategic framework for enterprise financial management in digital transformation and evaluates the effects of digital transformation on profitability levels and operating costs. A theoretical model is created for the impact of digital transformation on enterprise financial management; research hypotheses are proposed, research variables are established, and research hypotheses are tested for authenticity. After the implementation of digital transformation, the subject enterprise M Group has not maintained its net profit growth for a long time. However, it has been on an upward trend from 2014 to 2016. The growth rate of net profit is expected to be within 20% from 2017 to 2023, with room for further development. In the benchmark regression of the model, it was found that there is a significant positive correlation between the index of financial digital transformation and the financial performance of businesses, with a coefficient of 0.0154 at the 5% level. This means that the more businesses digitize their finances, the better their financial performance.

Keywords

• impact theoretical model
• research hypotheses
• benchmark regression analysis
• financial management strategy
• 68v35