Institutions are taking part in this reform wave as government reform advances. To be more precise, institutions' organisational structure and range of operations have changed. The reform of financial management has been further sparked by the socialist market system's ongoing development. In contrast to businesses, institutions now have outdated financial management systems and inadequate subjective financial management, which falls well short of what is required for reform and progress. As a consequence, financial management needs to adjust to the requirements of reform and development and follow the trend of reform in order to improve the efficiency of the use of money in institutions. The notion of financial management should also evolve along with the times, and the financial management system should do the same. Furthermore, the management of the day-to-day operations of the grassroots institutions is becoming more and more unpredictable as a result of China's political system reform and the fast-paced expansion of the market economy, which increases the pressure on local financial management. As a result, the shift from manual income and expenditure management to information technology has become a necessary trend in order to increase the effectiveness of grassroots financial. Fixed assets serve as the crucial material foundation for corporate units to carry out their public tasks. The issues with fixed asset management in institutions have grown more and more evident in recent years as the share of fixed assets in total assets of the society has increased. These issues include focusing on the management of budgetary funds while ignoring the management of fixed assets, irregular basic work, a disconnect between business and financial management, unbalanced allocation, low efficiency in use, low activation rate of fixed assets, and even low activation rates for some fixed assets. Evaluation of the performance of financial management has produced some research and useful outcomes.