Financial Shared Service, Digital Transformation and Corporate Value Creation

The trend of Chinese enterprises has defied the hard-hit international investment and trade activities of recent years. The scale and globalization of local enterprises continue to develop, and the enterprise management efficiency has become increasingly prominent. This paper delves into the strategic importance of FSSC in augmenting corporate value, and examines the link between digital transformation and the formation of FSSC. The introduction of FSSC and its accompanying digital technology marks a new juncture for corporate reform. Based on RBV and DCV, this paper studies the strategic significance of FSSC to enhance corporate value, and deconstructs the relationship between digital transformation and the development process of financial shared service centers. Based on the time-varying DID, 335 listed companies were selected for a quasi-natural experiment. The results showed that: (1) financial shared service centers can significantly promote the improvement of corporate value. (2) Digital transformation can promote the establishment and development of financial sharing service centers, thus promoting the improvement of corporate value. (3) The effects of FSSC and digital transformation are characterized by heterogeneity. The worth of financial shared service centers for non-state-owned and manufacturing companies is substantial. Digital transformation has a noteworthy positive moderating effect on them but has no considerable moderating effect on state-owned and non-manufacturing companies. The government ought to bolster policy direction, keep up the digital transformation of businesses, and aid them in achieving rapid financial transformation; senior executives should remain cognizant of their strategic position and strive to execute a satisfactory job of both internal and external coordination, as the research findings suggest.


Introduction
The rise of populism, protectionism and unilateralism in recent years has hit international investment and trade activities hard, and the global economy is facing unprecedented downward pressure.Chinese companies are facing a changing international environment and are adapting to a new phase of globalization.According to the report on the Globalization of Chinese Enterprises (2020-2021), the COVID-19 pandemic has reduced international investment exchanges, with global foreign direct investment (FDI) falling 35% in 2020, the lowest level since 2005.However, China's outbound direct investment flow bucked the trend and ranked first in the world for the first time, reaching 153.71 billion US dollars, an increase of 12.3% year-on-year, accounting for 20.2% of the global share, accounting for 9.8 percentage points higher than the previous year.
During the epidemic, global economic development suffered a severe setback, and international investment and trade activities were hit hard by the adverse economic environment.However, Chinese enterprises bucked the trend, mainly thanks to the government's rapid and effective prevention and control of the epidemic, quickly resumed industrial production, and large enterprises were able to gain a firm foothold.Many overseas enterprises are in financial and operational difficulties, which provides a good opportunity for well-run Chinese enterprises to acquire and merge; On the other hand, the epidemic has also created a need for medical infrastructure.In recent years, the advantages of Chinese enterprises in overseas infrastructure construction have further expanded, creating a foundation for related products and services to go global.
Premier Li Keqiang suggested: "The pace of internationalization of Chinese enterprises is accelerating.All industries are laying out in the global market and looking for opportunities, and the internationalization of Chinese enterprises is entering a new normal."As more and more local Chinese enterprises move towards scale and globalization, they are placing higher demands on the efficiency of their business management: the many branches of multinational organizations make the escalating costs and financial risks, the complex corporate management structure and system, and the low efficiency of financial decision-making constrain the further development of enterprise groups [1].In the field of accounting, FSSC is a new paradigm to improve the efficiency and effectiveness of auxiliary accounting activities [1].A worldwide examination has revealed that more than 80% of businesses have set up a shared service hub to facilitate the handling of accounts receivable and accounts payable [2].
Since 2005, China's FSS have sprouted and evolved with the development of emerging technologies, playing different roles at different times.In the era of Great Wisdom Propelling Clouds, the application of underlying digital technologies such as Artificial intelligence, Block chain, Cloud computing, and big data (ABCD) has enabled enterprises to usher in a new digital transformation.According to the 2022 China Shared Services Sector Survey, China's financial shared service centers are moving from transaction processing centers to data centers.Of the surveyed companies that have formulated long-term development plans, 83.58% have made exploring digital technologies and strengthening data empowerment a key enhancement direction in their shared service center strategic planning.At the same time, shared service centers are actively expanding their global service capabilities.Roughly 30% of the surveyed firms have already supplied services to their foreign subsidiaries.
Despite the increasing development of financial shared service centers theoretical research still needs to be improved.Research into financial shared service centers can be divided into three distinct areas: exploring the impetus behind the implementation of service centers, analyzing the system construction of businesses that have implemented such centers, and exploring the application effects of service centers.Internal and external elements exist: IT, such as the IT systems that help [3], process, such as process management, design, and standardization [4], and management, such as the quality-of-service level contracts and the communication between the shared service center and business units [5].Resource factors, such as access to external resources, internal capacity exchange, and adequate resource inputs [6], are all considered.External factors include competitive pressures between companies, globalization trends, isomorphic pressures, etc. [7].Research on system development for implementing financial shared service centers in enterprises is mainly based on case studies of a particular type of enterprise and lacks quantitative analysis, as well as research on a wider range of listed companies and multinational enterprises, making it difficult to draw more representative and constructive conclusions.
Academic circles are in agreement regarding the utilization impact of financial shared service centers, which can be mainly broken down into three points: (1) cost reduction: economies of scale, integration, standardization, and automation of processes can reduce overhead costs, thereby enhancing efficiency and enhancing service quality.(2) Strengthen internal control: standardized and automated processes and integrated information reduce information costs between departments, production, and operation.(3) Support strategy: process re-engineering frees finance staff and senior management from a large amount of redundant business accounting work, allowing them to focus on strategic issues and customer needs.The amalgamation of business and finance is advantageous in the gathering of wisdom and furnishes a basis for strategic choices [7,8].
Past research has focused more on the fundamental role of financial shared service centers in reducing costs.The international economic climate and technological advances have caused financial shared service centers to experience considerable transformation.In fact, these centers are undergoing considerable transformations due to the alterations in the international economy and technological progress.In the era of the Great Intelligence and Cloud, big data technology will drive new changes in financial shared service centers, and we should study them more from a strategic perspective.The role of financial shared service centers at the cost and internal control management level cannot be explained solely by established theories, such as transaction cost theory [9] or the administrative structure framework of the company.Richter (2017) [10] views companies as a conglomeration of assets and capabilities dispersed throughout the organization (Fig. 1).The Resource-Based View of the firm (RBV) and Dynamic Capability View (DCV) posit that if firms can effectively utilize and cultivate their assets and capabilities, superior performance can be achieved [11,12].
Therefore, this paper will take the digital transformation era as the general background.This paper empirically investigates the influence of a FSSC on the corporate value of Chinese listed companies, taking into account cost, internal control and strategy through a time-varying DID model.In addition, it deconstructs the connection between digital transformation and the formation of FSS, and furnishes a theoretical basis for the building and growth of financial shared service centers in the digital transformation era, based on RBV and DCV.This paper furnishes a theoretical basis for FSSCs in the digital revolution.The contributions of this paper include three levels: first, using a time-varying DID model, it makes up for the empirical study of the role of FSS on the firm value of enterprises while reducing the endogenous impact.Qualitative quantitative research, in contrast to qualitative case studies, can offer more accurate conclusions and recommendations; furthermore, it expands the examination of financial shared service centers to encompass the digital transformation era and provides a thorough analysis of the connection between digital.Moreover, this study not only underscores the importance of government guidance but also highlights the necessity of strategic and digital thinking by managers at the practical level, providing theoretical support and suggestions for promoting the digital construction of finance and the major changes in the volume of financial integration.The emergence of the Internet has resulted in a more advanced milieu for software engineering.The management of companies' financial information became a necessity of the time.The FSSC of the Great Wisdom Propelling Clouds era has become a new financial accounting management model.It can be combined with mobile Internet, big data and other information technologies.ABCD and other emerging technologies will inject new vitality into FSS [13,14].
From the sample of listed companies compiled, we can see that there has been a precedent of building financial shared service centers in China since 2000.Since 2017, our government has included "digital economy" in the government work report and proposed in the outline of the 14th Five-Year Plan that "digital transformation will drive changes in production, lifestyle and governance as a whole", which has elevated digital transformation from the enterprise (organization) level to a national strategy.It has Fig. 1 Framework of relevant literature studies on financial sharing been elevated to a national strategy.According to Fig. 2, the number of companies building digital transformation has gradually increased since 2017 and has since maintained a general upward trend, with an annual average of 25 companies building digital transformation in 4 years since 2011.

FSSC and Corporate Value
The amalgamation of personnel, procedures, and technology into a shared service center for processing [13] is known as FSS, which centralizes financial operations with economies of scale and scope, diminishing superfluous support processes and non-strategic activities [15], thus facilitating enterprise process re-engineering and financial transformation.Finance Shared Services is an organizational concept of a customer-focused, independent organizational unit, where the service center consolidates and processes business processes and provides internal services to multiple organizational units simultaneously [16].The service center's resources, ranging from human to equipment, data to IT, and beyond, form the basis of the internal services; the core of which is the sharing of processes [13].Divided into three main categories, financial shared service centers strive to improve accounting efficiency and reduce associated costs; enhance financial working quality and bolster internal control; and offer higher quality services to the enterprise, thus boosting its competitiveness and augmenting its value.
Shared services have the following characteristics: (1) operate as a stand-alone unit that should be run like a business and should be considered an internal outsourcing partner; (2) help create a flatter organizational structure, a step towards globalization; (3) provide process-oriented, nonstrategic and business-focused support; (4) are driven by market competitiveness; (5) share services leverage investment in technology, where cutting-edge technologies that a single cutting-edge technology that cannot be afforded by business units will be enabled by sharing resources with other departments; (6) they focus on continuous improvement.management levels.Standardized process management and business orientation are key components of this, enterprises can deploy resources and competencies more rationally and efficiently, which is strategically important for large companies to cope with the changing external environment.Therefore, hypothesis 1 was formulated for this study: H1: The FSSC can help an enterprise company improve its value.

The Moderating Effect of Digital Transformation on the Creation of Corporate Value in FSS
With the development of digital technology on the base of ABCD, etc., enterprises have opened a new era of digital transformation.2022 SASAC issued the document "Guidance on Accelerating the Construction of a World-Class Financial Management System for Central Enterprises", which emphasizes "responding to the requirements of financial transformation, deeply elaborating the meaning of change in terms of concept, organization, mechanism and functional means, and In the Guidance Opinions, it is emphasized that "in response to the requirements of financial transformation, the meaning of transformation is deeply elaborated in terms of concept, organization, mechanism and functional means, and the two keys of transformation, namely, the digital construction of finance and the integration of industry and finance, are incorporated into it".In the high line, we should output multi-dimensional operation analysis reports based on various types of information to support strategies and decisions.
From the perspective of the long-term development of financial sharing services, digital technology also plays an important role.Financial sharing can be divided into three stages of development: process, automation and intelligence.Process based on cloud computing technology, mainly to solve the traditional accounting machinery, redundant pain points.Using the characteristics of process automation and standardization, the financial sharing platform of the Internet and "cloud" is built to realize the integration of financial information and business information.Automation based on data analysis and blockchain technology, data analysis on the basis of massive data to further mine valuable potential information to assist decision-making, blockchain technology on the basis of decentralization to provide shared, reliable distributed ledger technology, so that all transaction information can be traced and traceable; Intelligent based on artificial intelligence technology, based on its strong deep learning capabilities, financial sharing services can also make business decisions on their own.This paper, therefore, delves into the evolution of digital transformation and FSSC, considering the characteristics of the digital transformation era and the SASAC's guidance on the digital construction of finance and the amalgamation of industry and finance.First, this paper argues that digital transformation is an abstract strategic guidance and development requirement, a corporate transformation concept that emerged with the development of underlying digital technologies, such as ABCD; the FSSC is a tangible physical financial management center, and should even be regarded as an independently operated service company or department, a management tool to address redundant group processes and resource management as multinational companies develop.
In terms of overall development, digital transformation and financial shared service centers have their own paths of development.Digital transformation is divided into two levels: the digital level and the transformation level.Digitalization is the premise and foundation of transformation, solving the problem of updating technical tools; transformation is the difficulty and key, solving the problem of reconstructing the production relationship of the enterprise-that is, realizing process reconfiguration and interest pattern reconfiguration.The key to digital transformation is how to use digital technology to reconfigure the upstream and downstream relationships of the enterprise to adapt to the dynamically changing external environment.The FSSC also needs to move from business support to a strategic support orientation, as mentioned above.
From a resource-based and dynamic capability view of the enterprise, technologies such as ABCD break down organizational boundaries and empower enterprises to grow across borders, with the application of intelligent devices increasingly spreading.The expansion of the performance of intelligent devices and the data they generate redefine user value, competitive models, and competitive boundaries [18].To remain the preeminent force in the sector, companies must strive for fresh alterations to bolster their competitiveness, such as process re-engineering and financial transformation.The integration of enterprise resources through the financial shared service center, with its technical support of "digitization", transforms structured business data into semi-structured decision support information, thereby increasing the value of enterprise resources and application efficiency.However, due to the strategic requirement for "transformation", the construction and development of such centers have become an unavoidable trend.This is because digital transformation is a very complex and massive project involving the reconfiguration of the entire enterprise value chain, which necessarily involves process reconfiguration and requires the support of basic business and capital information flows.In other words, financial sharing provides the necessary business-financial integration for digital transformation, and digital transformation provides digital technology to support the decision-making services of financial sharing (Figs.3,4,5).
Therefore, this study proposes hypothesis 2.

Study Design
The main objective of this study is to assess the effect of our FSSC on the value of the company.The method used is a quasi-natural experiment, using the establishment of a quasinatural experiment of our financial shared service center.
This study aims to examine the impact of the establishment of a shared service center on firm value.Comparing the performance of listed companies only before and after the establishment of a shared service center ignores the effect of other factors that may have been present during the period; comparing the difference in firm value between companies that established a shared service center after the establishment of a shared service center and those that did not ignore Comparing only the difference in firm value between companies that have established a shared service center after the establishment of the service center and those that have not ignored the possible unobservable differences in individual characteristics between the two before the establishment of the service center.Therefore, this study uses the establishment of a shared service center as a quasi-natural experiment, taking into account the differences in the timing of the establishment of the shared service center by individual listed companies, and uses a time-varying DID to eliminate the effects of many unobservable factors on firm value.

Sample Selection and Data Sources
This study collated the typical financial shared service centers from the 2018 China Shared Services Sector Survey Report while crawling the relevant textual information from the Oriental Wealth Network, Tong Hua Shun and Ju Chao Information Network using crawler technology, and manually screened and collated 201 digitised firms that had established financial shared service centers and 134 digitised firms that had not established financial shared service centers in China, while the following screening was carried out: excluding samples with missing data; excluding foreign-funded enterprises and Chinese-foreign joint ventures; excluding financial and securities companies and ST enterprises; and excluding samples of companies listed in Hong Kong to ensure the reliability and integrity of the data sources.A total of 2,509 valid sample data were obtained by analysing the data from 2000 to 2021.The research data mainly includes the time when the target sample enterprises started to implement financial sharing services and specific indicators reflecting the enterprises' business situation and development capability.The specific time when the sample enterprises implemented financial sharing services was obtained from websites, such as Orient Wealth, Flush, Juchao and other relevant research reports; the financial data were obtained from the CSMAR database.To control the impact of extreme values on the regression results, all continuous variables were Winsorized by 1% at the top and bottom.

Model Setting
This section focuses on the design of the model used in the empirical part, a description of the various indicators and variables involved, and a description of the data sources: In this study, the construction of a FSSC is used as a quasi-natural experiment to explore the impact of establishing a FSSC on the value of a company through a time-varying DID model, in which listed companies that have established a FSSC are the experimental group and those that have not are the control group, while the year in which the FSSC is completed is used as the timepoint to quantitatively assess the net utility of the FSSC Table 2 shows: (1) where equation is the explanatory variable, indicating the value of the firm; is a dummy variable, which takes 1 for the current year and subsequent years if the listed company has built a list of financial shared service centers, and 0 for the opposite; denotes the control variable; introducing, and is the control variable; controls for time and industry fixed effects, respectively.Is the random disturbance term, i represents industry and t is time.In this model, the double difference term coefficient of is positively significant or not is the focus of the empirical analysis in this study, and when is significantly greater than 0, it indicates that the FSSC effectively contributes to the improvement of the firm value of the enterprise.

Variable Definitions
(1) Explanatory variables Tobin's Q measure of firm value logged and calculated as the ratio of market capitalization to total assets, was the explanatory variable of this study. (

2) Explanatory variables
The core explanatory variable, the establishment of a FSSC is in the form of a dummy variable, i.e., for listed companies, it is set to 1 for the year in which the FSSC is established and subsequent years, and 0 for the remaining years. (1) (3) Adjustment variables The annual report, a summary of the company's work for the current year and a strategic planning document for the future, is a reflection of the implementation process of Digital Transformation (Digital) as a major corporate strategy.This study has chosen Digital Transformation as the moderating variable to investigate the moderating effect on the main effect and the moderating mechanism.First, we crawled the annual reports of the sample companies on the Juho Information Website and converted them into text format.We refer to existing literature and policy documents to identify keywords that reflect the digital transformation of enterprises, such as "underlying technology" and "digital technology application" related to the digital transformation of enterprises in practice.We then summarize and collate these terms into five categories, including "artificial intelligence technology".Finally, the frequency of digital transformation keywords appearing in the annual reports of listed companies was summarized and collated and then legalized as a measure of digital transformation.
(4) Control variables Eight control variables, chosen from pertinent studies and taking into account corporate financial structure and internal management, are depicted in Table 1 with their respective symbols, names, measurement methods, and descriptive statistics.

Descriptive Statistics
The results of the descriptive statistics for each variable are shown in Table 2.

Identification of the Condition Test
This section examines the identification conditions of the double difference model to ensure that the classical assumptions of the time-varying DID of this study are met and that the results are robust.

Test the Randomness of the Selection Process for the Establishment of the FSSC
To guarantee randomness in the selection of companies for the FSSC's establishment and the year of its establishment, this research incorporated time-fixed effects into the baseline model to counterbalance potential discrepancies between Page 9 of 14 157 years, and industry-fixed effects to counterbalance potential disparities between industries; in addition, control variables were incorporated into the baseline model.No longer were the differences between the treatment and control groups significant when the propensity score matching part of the robustness test was conducted, with the relevant characteristic variables being tested.

Parallel Trend Test
One of the most important assumptions of the differential model is to satisfy the parallel trend assumption.In other words, before the implementation of the policy, the enterprises that have established the FSSC and the enterprises that have not established the FSSC have the same trend of change.To assess this parallel trend, a two-way fixed effects model was created in this study: Before the FSSC was established, there was no noteworthy disparity in the firm value of FSSC and non-FSSC establishments.This result provides sufficient evidence that the model above satisfies the parallel trend assumptions, and (2)

Regression Results
After demonstrating that the above two hypotheses are satisfied, the model is estimated in this study and the results are shown in Table 3. Controlling for both time-fixed and industry-fixed effects, column (1) stands out; columns (2-4), however, incorporate control variables, such as gearing ratio, operating income growth rate, equity concentration and equity attributes, internal management, and financial position, all while taking into account time-fixed and industryfixed effects.Table 3 reveals that the core explanatory variables in columns (2)(3)(4) have coefficient estimates that are all significantly positive, with columns (3) and (4) being notably positive at the 1% level, thus confirming hypotheses 1 and demonstrating the FSSC's significant positive effect on the company's value.The FSSC, through standardized business processes and collaborative processing of business documents, obviates a great deal of superfluous work, leading to economies of scale and cost savings; meanwhile, at the group control level, it attains flat and unified management, thereby augmenting corporate value: flat management enhances communication proficiency between different management levels, and effectively reduces information costs.The consistency of objectives between principals and agents is enhanced through integrated management, thus cutting down agency costs [19].The integration of business and finance at the strategic support level brings to light the "three streams" of information flow: cash flow, logistics, and finance, thus providing more efficient decision-making information to the strategic financial and company management levels, with finance at the core, allowing enterprises to make sensible strategic choices in real-time.This has even greater significance for the operations of conglomerate multinational enterprises: as Richter (2017) [10] argues, financial shared service centers actually solve the problem of outsourcing for multinational companies.has the potential to provide significant economic benefits and create new competencies-the FSSC not only allows companies to add value through simple cost-cutting such as outsourcing but also allows them to add value by transforming business support activities into core activities, which facilitates the development of corporate capabilities.

Robustness Tests
(1) Robustness test based on PSM samples Considering the possible endogeneity problems associated with omitted variables in the research process, i.e., non-random selection of listed companies that establish financial shared service centers leads to biased conclusions.Therefore, this study further adopted the propensity score matching method for robustness testing.The results of the common support hypothesis test indicated that the standardised deviations of most of the covariates after nearest neighbour matching were below 5% and not significantly different according to the results of the balance test in Table 4.
On the other hand, the parallel trend test plot shows that there is a certain degree of lagged effect of the establishment of a FSSC on firm value, so the explanatory variables are lagged on this basis (TQ_1 indicates a one-period lag, TQ_2 indicates a two-period lag and TQ_3 indicates a threeperiod lag) and multiple difference estimation is conducted, and the impact of the FSSC on firm value is The estimated results are shown in Table 5.As can be seen from Table 5, the establishment of a FSSC still has a significant contribution to firm value after the propensity score matching of the study sample, corroborating the robustness of the benchmark regression results.(2) Placebo-based robustness tests In this study, the dummy experimental group was randomly selected for a placebo test with the control group, i.e., the list of companies establishing a FSSC and the implementation time were randomly generated, a pseudo-pilot dummy variable was set, and the regression simulation was repeated 500 times based on Eq. (1). Figure 6 shows the distribution of parameter estimates, from which it can be seen that the estimates of the pseudo-pilot dummy variable in both stages are concentrated around 0 and most of them are not significant at the 10% level, indicating that the empirical results of this study are relatively robust and that other unobservable factors do not interfere with the impact of the FSSC on firm value.

Moderating Effects
Table 6 presents the regression results for the moderating effect of the moderating variable on the main effect.Model (2) introduces the moderating variable DIGITAL to test the moderating effect of DIGITAL on the impact path of the FSC on firm value, and model (3) adds INTERACT, a crossmultiplicative term between DIGITAL and the FSC, to model (2).This indicates that digital transformation has a positive moderating effect on the impact path between the FSSC and the company value, i.e., digital transformation strengthens the positive contribution of the FSSC to the company value, and hypothesis 2 is verified.On one hand, ABCD and other technologies break organizational boundaries, and the industry environment becomes complex, dynamic, and blurred.Enterprises must strive for novel alterations and perpetually enhance their competitiveness through financial transformation and process reengineering; conversely, ABCD and other technologies foster the construction and advancement of financial shared service centers.The integration of industry and finance, enabled by digital technologies and the advantages of financial sharing, not only encourages the efficiency transformation of traditional enterprises, but ABCD and other technologies also foster the construction and growth of financial shared service centers.

Heterogeneity Analysis
According to the above analysis, the establishment of the FSSC presents a catalytic effect on firm value at the full sample level.This paper performs a heterogeneity analysis, sub-sampling listed companies based on their equity and industry attributes, to delve deeper into the effect of a financial shared service center.
From columns (1) and ( 2), it can be seen that the FSSC has a significant positive contribution to both SOEs and non-SOE companies, but the improvement is more pronounced for non-SOE companies.At the same time, there is no significant moderating effect of digital transformation for SOEs, while there is a significant positive contribution for non-SOEs.This may be due to the more uncertain environment and more competitive industry in which private firms operate compared to SOEs.In fact, in recent years, due to the complex, dynamic, and ambiguous industry environment caused by the spread of mobile internet and smart hardware, competitors often "emerge" from unexpected cross-border areas [17].By integrating and analyzing integrated financial information, the financial shared service centers based on big data technology can provide enterprises with more valuable, topic-oriented decision support information and assist in solving semistructured problems, thus helping enterprises to adapt to dynamic external environmental changes, enhance their competitiveness and increase company value.
From columns (3) and ( 4), it can be seen that financial shared service centers have a significant positive contribution to both manufacturing and non-manufacturing industries, but the improvement is more pronounced for manufacturing companies.At the same time, digital transformation has no significant moderating effect on non-manufacturing companies, while it has a significant positive effect on manufacturing companies.Digital transformation, while having a considerable positive effect on manufacturing companies, has no notable moderating effect on non-manufacturing companies.Emphasizing the 14th Five-Year Plan for the Digital Economy, the manufacturing industry is urged to hasten its digital transformation, creating data-driven, intelligent decision-making abilities, and allowing for a thorough development of this transformation, as the external environment has necessitated a greater financial transformation.Established for a longer duration, the financial shared service centers of the manufacturing sector have been more thoroughly developed, boasting superior management systems and a heightened risk-management capability in the face of both internal and external shifts.As a result, in the era of digital transformation, financial shared service centers are able to provide semi-structured financial decision support information in a more flexible manner, thereby optimizing decision-making and increasing company value (Table 7).

Conclusion
This paper empirically examines how financial shared service centers affect the firm value of listed companies in the era of digital transformation through a time-varying DID model, using Chinese A-share listed companies from 2000 to 2021 as a research sample, and the following main findings.First, the FSSC can significantly contribute to the enhancement of firm value and highlights the important role of FSS at the cost, internal control and strategic levels, as well as the significance and value in addressing the survival and growth of multinational enterprises.Through several robustness tests, such as avoiding endogeneity problems due to missing variables by matching the sample with PSM and lagging the explanatory variables to enhance the robustness of the results, this paper finds that the results are still robust; second, digital transformation can promote the establishment of a financial shared service center, which in turn promotes the enhancement of firm value; furthermore, by sub-sampling listed companies according to their equity nature and industry attributes, this paper conducts In addition, the paper conducts a heterogeneity analysis according to the nature of equity and industry attributes of listed companies, and finds that financial shared service centers have a more pronounced effect on non-SOE companies and manufacturing companies and that digital transformation has a significant moderating effect.This is explained in terms of the dynamic external competitive environment and national policies on digital transformation in the manufacturing sector, respectively.
Overall, in the era of digital transformation, financial shared service centers further develop and gradually transform from the traditional business cost orientation and internal control orientation to a strategic service orientation.The application of digital technology processes and integrates integrated business information to provide valuable semi-structured information for corporate decisionmaking.Financial shared service centers in the era of digital transformation provide companies with higher quality, more efficient and lower cost resource integration services that provide value to their senior decision-making, giving them a stronger competitive advantage in a dynamic environment and in turn, creating company value.Although innovative in its contribution to financial shared service centers, this paper echoes the views of Richter (2017) [10].Exploring the role of financial shared service centers for corporate value in the digital transformation era of China, this paper delves deeper into the development of digital transformation, considering his strategic view.

Revelation
First, at the macro-system level, the government should strengthen policy guidance, continue to promote the digital transformation of enterprises can help enterprises to achieve rapid financial transformation, and combine their own characteristics to clarify the financial function positioning, "Internet + " FSSC gradually become the development trend of financial management, to maximize the development of the group to assist the development of enterprises The "Internet + " FSSC is gradually becoming the trend of financial management, maximizing its role as a platform to assist the development of the group.
Second, at the micro-organizational level, senior managers should keep up with the times and develop strategic awareness.Top managers are closely associated with the building and growth of financial shared service centers, as well as the advancement of digital transformation in businesses.Managers should be aware of the value and significance of financial transformation and process re-engineering for business, internal control, and strategic support, yet also understand that digital transformation and the formation of a FSSC will not bring about immediate financial performance growth in the beginning.We must strive to avoid "short-sightedness", execute strategic planning, organizational management, process management, and information system management with excellence, and coordinate, mobilize, and train departments, teams, and personnel to expedite the enterprise's passage through the internal and external "teething period".The company will also make efforts to coordinate, mobilize and train staff between departments, teams and personnel to help the company overcome the internal and external "settling-in" period as soon as possible.
In addition, in the era of digital transformation, executives should also pay attention to the training of digital talents.The application of ABCD technology is an important driving force for financial sharing to become intelligent.The in-depth mining and traceability management of industry and financial data can greatly improve the resource utilization efficiency of enterprises and obtain business strategy opportunities in the complex external environment.

Limitations
There are still two major limitations in this study.First, due to the limitation of the survey sample of listed companies, it is difficult to obtain the latest information on the construction of financial shared service centers.Second, the intrinsic mechanism of the financial shared service center's effect on company value needs to be further explored.The mechanism of the effect of sharing can be measured from different dimensions of company value and explored in depth.
period: some large enterprise groups launched financial shared service centers; (3) 2013-2017, the development period: technology development and policy promotion, Chinese enterprises accelerated the pace of financial sharing and paid more attention to the role of FSS in strengthening group collaborative management, risk prevention and compliance assurance; and (4) 2018 to present, the innovation and exploration period: shared services have been widely used by Chinese enterprises, with more and more of them actively exploring construction models adapted to their own management and operation characteristics and business needs.

Fig. 2
Fig. 2 Construction of financial shared service centers in selected listed companies

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Fig. 3 Deconstructing the relationship between digital transformation and financial shared service centers

Fig. 5
Fig. 5 Kernel density plot before and after matching

Table 1
Variable definition table

Table 3
Main effects regression

Table 6
Analysis of regulatory effects

Table 7
Analysis of heterogeneity