Discussion on Application of Green Financial Management in the Enterprise

Abstract. In this new century， the new green economy growth development pattern is gradually raised. As the expanding of development background， green management pattern has gradually been listed in many enterprises. This allows companies to conduct exploration deeply， and takes advantage of sustainable development of the green economy plans； so as to make the call of national energy-saving emission to be responded， environment-friendly and resource-saving society to be constructed， also can make the healthy and green corporate culture to be created.

Key words： Green financial management； Enterprises； Management

1. The connotation of the green financial management

Due to the rapid development of the world economy， it makes people pursuit of economic interests excessively， while ignoring the protection of the ecological environment. Social， ecological problems are becoming more and more serious. It also makes people realize more and more damage to resources and the environment， which will cause serious consequences. In 1990， the western developed countries have carried on the positive research to the environmental protection combined with enterprise management problems， and environmental protection initiatives and environmental accounting standards have not only been launched at the United Nations， many other governments have also been successively responded， the green management thoughts have infiltrated in the enterprise business management. Limited natural resources are fully utilized through capitalist movement， the survival and development of mankind of social benefits have been developed， and maintaining ecological balance and considering the profitability of companies is another premise， this is the green financial management， the protection and improvement of ecological environment is its purpose， and it also can maximize the value of enterprise development and coordinate enterprise and social development.

2. Necessities for application of the green financial management in the modern enterprise

2.1 Help enterprises to participate in domestic and foreign market competition

In these years， continuous improvement and development of Laws and regulations make many domestic enterprises develop more smoothly； also make many obstacles to be avoided. In spite of this， the developments of the times bring some business problems； green berries are difficult to overcome. Now the international level of competition has become increasingly brutal， in order to get the chance of survival and become more powerful， the need of green reform improves competitiveness.

2.2 Conducive to promoting the healthy development of enterprises

In today's society， green management pattern praise highly in the world， not only in china. In the process of globalization of economic development， it is more important to reform and innovate the financial management of enterprise. Only in this way， can it make the enterprise to the healthy and rapid development channel.

2.3 Help enterprises to adapt to the development trend of green consumption

The customer is god， this sentence reflects the purpose of the enterprise， as long as it can cater to consumer psychology， then the business will be successful. In today's society， due to the continuous growth of people's knowledge level， rising living standards， the green lifestyle has become the pursuit of more and more people. According to this， the psychological demands of consumers have also become an important factor in investment and financing of the financial management in the enterprises. Only in this way， can the green consumption trends adapt in the enterprise.

3. The plight of implementing green financial management in Chinese enterprises

3.1 Immature in the theory of green financial management

On the higher development levels of foreign green finance management theory， our country is still in the initial stage， the green accounting in China has not yet researched deeply， weak interoperability makes some basic theory cannot be applied， such as the meaning and concept of the application， as well as the goal， the content and system. Only studied in a simple financial accounting level， the coordination of the relationship between the green financial management and financial accounting has not been implemented； it lacks of normative operation， system build is not often from the point of view of the actual needs of the green financial management system research， so that the formation of the theory and method system cannot be recognized in many ways， such as the measurement of environmental benefits， environmental accounting system， green financing management， green investment management， green operations management， green distribution management， green financial reporting system and green performance evaluation.

In the implementation of green financial management， theory plays an irreplaceable role that can accurately and effectively guides the practice. Immature green financial management theory that makes the enterprise development is not smooth in the implementation of the green financial management behavior.

3.2 The enterprise itself pays little attention to the green financial management

Today， there is no strong environmental awareness， only a few enterprises over the initial stage of market economy development. That is to say the vast majority of enterprises lack of the green consciousness in production and operation， it makes the enterprises start short-term profit of financial management objectives and management behavior. Under the control of seeking profit motive， deficiency in a rigorous and effective external oversight mechanism makes many enterprises use external economic sacrifice to increase the internal self interests. A lot of enterprises know the importance of the green financial management； however， because the green financial management needs a certain cost， and future earnings are not a definite value， maybe there is a big risk. Those reasons make the green financial management of social and economic benefits unpredictable. Therefore， enterprises have no strong enthusiasm to implement the green financial management. Another reason is that advanced science and technology can promote the green financial management of enterprises， its normal operation need enterprises to hire the technical strength of the scientific research departments， which leads to a large number of spending， it requires that the enterprises must have the corresponding economic strength， so the consciousness of implementation of the management pattern of green finance management is not strong.

3.3 The market failure of the ecological and environmental protection

Acts of self-reliance and interest subjects was particularly important in the market economy， the price mechanism of free market completely guide the products and services of production and sales. The people who support the market economy tend to think that the best interest of the community is the pursuit of self-interest. The definition of shared ecological environmental resources is the overall structure of various ecosystems biomes and non-living natural factors， its property rights are not strictly defined， so there are many contradictions in the social and individual enterprise production efficiency of social and ecological environment in China. It cannot compare the environmental factors with economic assessment indicators that caused enterprises to promote green financial management difficultly.

3.4 Less support from society

The society does not give firm support in the implementation of the green financial management， on the basis of summarizing the experience of western countries； the paper found the supervision of the government plays a very important role in the operation. The way of implementation of green financial management in western developed countries is the financial subsidies or the development of green tax， so that enterprises are encouraged in the implementation of the green financial management， and the green financial management of enterprise can be realized by the green procurement of government； the implementation of green financial management of enterprises will be formed by the green certification logo and green audit which established by the government.[5]

However， under the legal force， there is no large-scale announce to the society and the public in the management information， which proves that the implementation of green management efforts are far from enough， it makes that the information management in many enterprises is not true， the power of execution cannot be fully reflected in the environment. In addition， the punishment was not strict， existing legal and effective policy support was lacking， it makes enterprises pursue short-term profits， low cost in violation of environmental protection also restrict the green financial management of enterprise.

4. Countermeasures of green financial management in enterprise application

When the social from all walks of life strengthens the attention to the environment， the implement of the green financial management will be imperative， an enterprise is an important part of society， and it should make some efforts in the aspects of environmental protection. However， the implementation process of green financial management is a complex system， it needs not just to change the business philosophy， and also needs personal efforts and active participation， and good social atmosphere is also indispensable. The specific efforts are as follows：

4.1 To strengthen the theoretical research of green financial management

Practice knows from theory， the correct direction of the practice perfects the theory. The green financial management can be established based on a variety of theories， such as the green management theory， green accounting theory and the theory of sustainable development. Their management is often very complex， the use of the intersection of many disciplines can be able to solve a variety of problems， and crack the difficult problems of measurement and analysis. Research on green financial management in China is relatively young， so it should be active in learning outstanding research achievements of western developed countries based on the course premise. This can reduce the problem of green financial management， and coordinate with the combination of the development of green financial management theory and practice. In the course of the development of green financial management， firstly， the accounting standards and accounting system in terms of the green financial management problems are remedied， the green financial management system will be perfected gradually， it can provide accurate conditions； secondly， in the green financial management index design， enterprises should follow the principle of science， and can proceed in the amount of pollution generated by the operation of the project and the green operating consumed cost； Thirdly， in order to considerate the quality of implementing the green financial management， it can establish many indexes such as green goodwill and the contribution rate of the green system considerations.

4.2 To encourage enterprises to implement green financial management by the government

The government should play a greater role when the market cannot effectively protect the social and ecological environment， the government should take encourage policy to the implementation of green financial management of enterprises. We can do as follows； firstly， the legal system should be more and more perfect. Though the laws in resources and environmental protection are more and more perfect， many problems cannot be ignored， such as the blank law， therefore， the legal system building in the green financial management is our urgent task， and using effective laws to implement green financial management is also important. Then， the implementation of enterprises’ green financial management should be supported by the government's effective policy. For example， the German government does not levy the corporate taxes of low harmful gas corporate taxes in 5 years， which makes many benefits for the environmental protection of industry policy. Moreover， the government can carry out various preferential policies in the credit and investment to encourage the implementation of green industry. In addition， the government can provide subsidies， so that enterprises can reduce the difficulty of green investment. The implementer obtains strong support and encouragement with relaxing restrictions， when implementing the green financial management in production and operation， the enterprises will get more preferential treatment， so that the economic benefit and market reputation would be enhanced.

4.3 To implement the enterprise's own financial management activities

Enterprises play a great role in the implementation of green financial management. Enterprises should be aware of their responsibility and not be confined to their own benefit. In order to the blind pursuit of interests， they do not care about the environment and resource protection. Such high profits might be able to get a moment of joy， but it will make the enterprise into a desperate straits. The green financial management is a kind of long-term interests and also a kind of the interests of society， the enterprises should view the overall situation to implement the green financial management， and it can be a long-term development. Enterprises should focus on training and strengthening the staffs’ education to improve the related quality of green financial management. The green enterprise culture is also an indispensable condition in the enterprise development； it can make the green financial management for the enterprise employees and make them increase the awareness of protects resources and the environment gradually.

4.4 To support the implementation of green financial management by the industry

On one hand， through sharing the successful experience enterprises which implement the green financial management， it makes others see the benefits， and thus enterprises can actively imitate to learn to follow. Based on the industry standards， we should actively praise the green financial management in enterprises and give some substantial reward based on performance； on the other hand， we have even announced not to seriously implement the green financial management of enterprises， consumers and investors are paid more and more attention to those enterprises， and make the enterprises promote green financial management activities. The industry may also hold the knowledge research in the green financial management， mobilize the enthusiasm of enterprises and make enterprises obtain the effective theory guidance， at the same time， the application of science and technology assists the enterprises to carry out the green management policy， also can be substantial to actively promote green financial management of the enterprise with high attention and support.

5. Conclusion

There are differences between the traditional financial management methods and the green financial management， social responsibility and environmental benefits are combined in the green management， they will become the new goal of enterprise financial management. Enterprises fully consider the time value of money and the relationship between risk and return in the long-term enterprises’ development， maximize to increase green economy within the fixed time， and reduce into comprehensive green capital in the basis of improvement of the total value in the enterprises， that is to say， the rate of economic risk return and the rate of social responsibility risk return will be raised as far as possible.

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