Applied Mathematics and Nonlinear Sciences
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Journal

Applied Mathematics and Nonlinear Sciences


Volume
& Issue

Volume 9, Issue 1


Published
on

February 26, 2024


Pages


DOI

Article

Digital Transformation Strategy for Financial Management of Entity Enterprises in the Information Age

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Authors

Meng Huang Affiliation:
School of Management, Wuhan University of Light Industry, Wuhan, Hubei, 430022, China.
and Sen Gao Affiliation:
School of Management, Wuhan University of Light Industry, Wuhan, Hubei, 430022, China.


Abstract

This study is dedicated to exploring the effectiveness of digital transformation of financial management of real enterprises in the information age. The annual reports of enterprises are collected from 2011 to 2022 by web crawler technology, and text mining algorithms, such as TF-IDF and LDA theme model, are used to establish a measurement index system of digital transformation of financial management, which is calculated by entropy weight-TOPSIS method. The results show that keywords related to digital transformation, such as “informatization” and “intelligence”, appear frequently, and the importance of the theme changes significantly in different transformation stages. During the rapid transformation period, the frequency of words such as “industrial internet” and “smart grid” exceeds 400 times. Some companies have seen significant improvements in debt servicing, operations and profitability. Digital transformation of financial management is efficacious in improving operational efficiency and profitability. Still, it is a dynamic process that requires enterprises to choose appropriate strategies based on their characteristics. The study emphasizes that enterprises should pay close attention to integrating and applying emerging digital technologies and optimize their internal governance structure to promote sustainable performance improvement.


Keywords

Web crawler technology, Text mining algorithm, LDA topic model, Entropy weight-TOPSIS, Corporate financial management, 05C85


Citation

Huang, M. & Gao, S. (2024). Digital transformation strategy for financial management of entity enterprises in the information age. Applied Mathematics and Nonlinear Sciences, 9(1). https://doi.org/10.2478/amns-2024-0533
3 Total citations
1.97 FWCI
2 Recent citations
(2 years)
18 References
Open Access Yes
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Published by: Engineering Journals

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