Designing a Working Capital Management Model: Financial Development in the Steel Industry
Designing a Working Capital Management Model: Financial Development in the Steel Industry
Subject Areas : Financial Knowledge of Securities Analysis
Mohsen Shiribabadi 1 , Allah Karam Salehi 2 , saber Mullah Alizadeh zovardehi 3 , Alireza Jorjorzadeh 4
1 - PhD Student of Industrial Management, Masjed-Soleiman Branch, Islamic AzadUniversity, Masjed-Soleiman, Iran
2 - Assistant Professor, Department of Accounting, Masjed-Soleiman Branch, Islamic Azad University, Masjed-Soleiman, Iran (Corresponding Author)
3 - Assistant Professor, Department of Industrial Engineering, Masjid Sulaiman branch, Islamic Azad University, Masjid Sulaiman, Iran
4 - Assistant Professor, Department of Economics, Ahvaz Branch, Islamic Azad University, Ahvaz, Iran
Keywords: Working Capital Management, Steel Industry, Grounded Theory,
Abstract :
Working capital as a financial strategy based on the difference between current assets and current liabilities effectively directs the functions of the operating cycle and liquidity of companies towards dynamics and develops the field for managing the financial resources of industries. The purpose of this research is designing a working capital management model to financial development in the steel industry. This research is qualitative in terms of methodology, because through the analysis of grounded theory and based on Glaser's approach, it has been determined the dimensions of the working capital management model in the steel industry. In order to collect data, research experts in the steel industry and academics in financial fields participated in this research; management and accounting. The sampling method was snowball in the qualitative part and homogeneous in the quantitative part. Therefore, based on the analysis of Grandad theory and Glaser's approach (1992) during three stages of open coding; central and selective and by determining the theoretical saturation point in the twelfth interview, a total of 276 coders; 37 themes; 6 components and two categories were determined. Based on this, two main categories under the title of bold and conservative functions of working capital management were determined, with a total of six components including the method of intertextual reporting; providing financial resources from abroad; Product market competition mechanism; pre-event reporting method (unconditional); providing financial resources from within and the mechanism of being exclusive in the market.
