OPTIMIZATION METHODS OF FINANCIAL SUSTAINABILITY OF THE ENTERPRISE DURING THE CRISIS

2021 ◽  
Vol 1 (21(49)) ◽  
pp. 88-93
Author(s):  
Ievgeniya Pozhar
Keyword(s):  
Working Conditions ◽  
Financial Stability ◽  
Scientific Progress ◽  
Optimization Methods ◽  
Optimal Level ◽  
Financial Sustainability ◽  
Main Task ◽  
Internal Factors ◽  
Actual Problem ◽  
Factors Influencing

The article considers different approaches to the definition of "financial stability". The financial stability of the enterprise characterizes and reflects the result of current investment and financial development, contains the necessary information for investors and reflects the ability to be responsible for its debts and liabilities. The main task of the analysis of financial stability of the enterprise as well as the stock of financial stability and its limits is defined. It also defines stages of sequences of the analysis of enterprise. The modern working conditions of small and medium business along with the problems enterprise faces are analyzed. At the present stage, it is extremely important to be clearly oriented in a complex system of market relations, the correct assessment of production and economic potential, the strategy of future development, the financial condition of enterprise and partner companies. This makes it necessary and important to systematically assess the financial stability of enterprise. With the help of assess the correct strategy and tactics of enterprise development are developed, plans and management decisions are substantiated, the implementation is controlled, solvency and liquidity are assessed and financial stability is strengthened. The activity of the enterprise is negatively affected not only by environmental factors, but also by lack of proper management of financial stability of the enterprise. Currently, the main task of any enterprise is to ensure the optimal level of financial stability of the enterprise. The financial strength is always calculated during the analysis of financial stability of the enterprise, as it shows what allowable percentage the revenue can be reduced for the company to be unprofitable. The actual problem during the current economic crisis remains increasing the optimization of financial sustainability of the enterprise. Various factors influencing the financial stability of the enterprise are investigated, minimization and neutralization methods of these factors are offered. Ways to optimize the financial stability of the enterprise in a period of difficult financial and economic situation in the country are formed. The globalization of the economy has led to a close interdependence of external and internal factors influencing the enterprise. Given that external factors are uncontrollable and unpredictable, it is possible to achieve the required level of financial stability for the company by identifying the most important internal factors and minimizing or neutralizing them. It is necessary to manage financial stability taking into account the risks caused by scientific progress, the instability of the political situation, the growth of competition in commodity and financial markets. Now, companies must be flexible and ready to adapt to new working conditions that dictate the realities of today.

The financial stability of corporations: theoretical aspect

2018 ◽  
Vol 34 (1) ◽  
pp. 161-165 ◽  
Author(s):  
M. V. Zhukova
Keyword(s):  
Financial Market ◽  
Financial Stability ◽  
Theoretical Aspect ◽  
Financial Sustainability ◽  
Effective Demand ◽  
Internal Factors ◽  
The Many

Financial sustainability of corporations is an important multifactorial phenomenon that determines the competitiveness, solvency and capacity of the corporation to innovation and expanded reproduction. In connection with the complex and multipartite financial stability of corporations, the many writers who studied in this field, have different conceptual approaches to the interpretation of this financial category. The financial stability of corporations depends on external and internal factors, priority of which are: competition in the corporate segment, as effective demand for the products, factors and tendencies of development of the financial market.

scholarly journals ESTIMATION OF FINANCIAL STABILITY OF AGRARIAN ENTERPRISES IN UKRAINE

2021 ◽  
pp. 40-52
Author(s):  
Nadia Davidenko ◽  
Natalia Wasilewska
Keyword(s):  
Risk Management ◽  
Financial Stability ◽  
Financial Sustainability ◽  
Enterprise Integration ◽  
Financial Decisions ◽  
Agricultural Enterprises ◽  
Factors Influencing ◽  
Governance Systems ◽  
The Face ◽  
Strategic Goals

In this paper the system of factors influencing the formation of financial solvency was investigated, the financial sustainability of agricultural enterprises of Ukraine was evaluated, and an approach was developed to define and help ensure the financial sustainability of enterprises in the face of contemporary economic and market challenges. According to the research, the main principles for maintaining financial sustainability are: responsiveness to internal and external changes; governance systems; risk management; analysis of financial ratios; real assessment of the financial solvency of the enterprise; integration with the overall management system; orientation towards achieving the strategic goals of the enterprise; use of qualitative methods to inform financial decisions in the face of uncertainty and risk.

scholarly journals FINANCIAL STABILITY OF A BANK - FACTOR OF STABILITY OF BANKING SYSTEM

2018 ◽  
pp. 5-11
Author(s):  
Andrii Ramskyi ◽  
Inna Budnichenko
Keyword(s):  
Commercial Banks ◽  
Financial Stability ◽  
Banking System ◽  
Development Program ◽  
Financial Sustainability ◽  
Internal Factors ◽  
Financial Condition ◽  
Stage Of Development ◽  
Banking Institutions ◽  
The Stability

The article is devoted to the analysis of the financial stability of Ukrainian banks at the present stage of development and the identification of the main factors of influence that are associated with it. The main tendencies of development of the banking system of Ukraine are considered. The present state of the banking system of Ukraine is determined. Financial stability plays a significant role in planning the activities of commercial banks. In general, its indicators reflect the level of riskiness of the functioning of the entity of the banking system. Managing financial sustainability has a significant impact on the functioning of banks. That is why it is necessary to create special control departments in banking institutions. The research of financial stability of banks is based on financial sustainability indicators developed and used by the IMF and the World Bank as the basis for the "Integrated Financial Sector Development Program until 2020". The necessity of applying different methods for evaluating the financial stability of commercial banks has been established in order to identify a wider range of problems related to the efficiency of the functioning of the banking system. The description of  two main groups of factors, under the influence of which the financial stability of banks  undergoes changes, is presented. It was revealed that external factors have a more significant impact on the financial stability of a bank. In particular, the factors of mega environment have become more important when banks enter the international financial space. Internal factors lie mostly in the management plane, and it is just the inefficient management of the bank that leads to the disruption of its stable financial condition. Specific features of management of financial stability and methods of its evaluation are considered. The analysis of economic standards of the banking system of Ukraine is carried out. The measures are proposed to minimize the risks and maintain the stability of banking institutions at the required level for normal functioning in modern conditions. It has been proved that providing, supporting, analyzing and evaluating the financial stability of commercial banks is a driving force in the development of the banking system, and hence the entire Ukrainian economy.

scholarly journals FINANCIAL STABILITY OF THE ENTERPRISE: ESSENCE AND FUNDAMENTALS OF MANAGEMENT

2021 ◽  
Author(s):  
Yelyzaveta Tkachenko ◽  
Viktoriia Fatiukha ◽  
Olena Yaryshko
Keyword(s):  
Financial Stability ◽  
Government Regulation ◽  
External Factor ◽  
Internal Factors ◽  
Financial Condition ◽  
Factors Influencing ◽  
Future State ◽  
Timely Response ◽  
Definition Of ◽  
A Company

The article considers modern approaches to defining the essence of financial stability of the enterprise, based on the analysis of which the main features of the stable financial condition of the enterprise are highlighted. The definition of financial stability has been given. The place of the analysis of financial stability of the enterprise as one of directions of complex research of a financial condition of the enterprise has been studied. The main stages of managing the financial stability of the enterprise and a brief description of their content. Much attention was paid to the study of existing approaches to assessing the financial stability of the enterprise. The study of the level of financial stability of the enterprise can be based on the implementation of the following approaches: aggregate, coefficient, margin, point, balance, integral, factor and matrix. It is emphasized that the company in the process of analysis may choose different approaches, depending on the purpose, objectives and research program. It has been determined that it is advisable for companies to form their own system of criteria, which can be used in the process of assessing the current and future state of financial stability to study the financial stability of a company. The existing classifications of factors influencing the financial stability of the enterprise have been analyzed, and the classification according to the place of their origin has been carefully considered. It has been determined that the external factor can be divided into the following groups: economic, those that characterize the state of the market environment, demographic, political, legal, technological and others. Internal factors can be divided into operational, investment and financial. It has been emphasized that external and internal factors influencing the financial stability of the enterprise differ in the mechanism of response by the enterprise. The company can not influence the action of external factors, as they do not depend on the activities of the company, but are related to the nature of government regulation and economic development in general. Therefore, they need more attention to ensure timely response and adaptation to change. Internal factors are in the area of regulation of the enterprise, are important in terms of forming the strategy of the enterprise.

scholarly journals FACTOR ANALYSES OF FINANCIAL STABILITY OF ECONOMIC SECURITY OF JOINT AGRICULTURAL ENTERPRISES

2017 ◽  
pp. 255-260
Author(s):  
Victoria Petrenko
Keyword(s):  
Financial Stability ◽  
Economic Security ◽  
Financial Sustainability ◽  
Financial Security ◽  
Negative Effects ◽  
Logical Scheme ◽  
Internal Factors ◽  
Agricultural Enterprises ◽  
Economic Entity ◽  
Conditions Of Stability

Introduction. The article deals with the issues of the relationship between financial sustainability of an enterprise and its level of economic security. The content of financial stability is considered. The author's definition is presented in this research. The main conditions of stability achievement are investigated. A logical scheme is presented. This scheme reflects the place of financial stability and financial security in ensuring economic security of the economic entity. The system of external and internal factors influencing financial stability and threatens financial stability and financial safety of the enterprise is considered. Purpose. The article aims to carry out the factor analysis of financial sustainability for the economic security of joint agricultural enterprises. Results. It has been established that internal factors, such as the availability of financial resources and financial position, the structure of capital, the ability of an enterprise to generate profits determine the level of its economic security and the ability to withstand the negative effects of external and internal threats. It has been substantiated the necessity to increase the financial stability with the purpose of growth of level of economic safety of the enterprise. On the basis of the conducted research, it has been proposed a matrix of risks that influence the financial stability and economic safety of the enterprise. It allows determining the probability of their manifestation and degree of influence. We have determined the economic, social, human resources, financial, organizational and economic, and innovative and production tools for improving the stability and financial security of the economic entity. The list of typical measures that have been considered in this article will allow making a plan to minimize adverse impacts and enhance financial sustainability and security.

scholarly journals PROBLEMS OF FUNCTIONING OF THE DEPOSITS GUARANTEE SYSTEM IN UKRAINE AND ITS APPROXIMATION TO EU REQUIREMENTS

2019 ◽  
pp. 86-92
Author(s):  
Nadia Yurkiv ◽  
Bohdan Danylyshyn
Keyword(s):  
Development Strategy ◽  
Financial Stability ◽  
Banking System ◽  
Main Task ◽  
The European Union ◽  
Financing System ◽  
Internal Factors ◽  
Bank Deposits ◽  
Guarantee System ◽  
Definition Of

The relevance of the publication is due to the need to analyze the effectiveness of the Deposit Guarantee Scheme developed in Ukraine in the context of identified problems related to the clearing of the banking system of Ukraine by withdrawing from the market «schematic» and under-capitalized banks that had poor credit portfolios. The purpose of the article is to investigate the problems of the activity of the Deposit Guarantee Fund in Ukraine and to substantiate recommendations and measures for the improvement of this system. Research methods: terminological and statistical analysis, comparison, logical generalization, analysis, synthesis. The limits of the study: the analysis is limited by the study of internal factors for the period 2013–2018, as well as the available statistical information as of November 2019.The analysis of the main problems of the DGF activities has allowed to identify the key ones, which are currently: incorrect definition of the objectives of the Deposit Guarantee Scheme in Ukraine, which are enshrined in the DGF Development Strategy for 2013–2017; the lack of adequate interaction of the deposit guarantee system with other elements of the system of ensuring financial stability; limited resources of the Fund and lack of tools for profitable placement of own funds; a small amount of the guaranteed deposit amount for bank deposits and a limited number of claimants for reimbursement.The results of the analysis suggested ways to ensure approximation of national banking legislation to guarantee deposits to the requirements of the European Union, in particular to Directive 2014/49/EU and 2014/59/EU: clarification of legal terminology (definition of terms «unavailable contribution»; «contributory contribution»; «guarantee»; «target level»; «low risk assets», etc.); attribution to the main task of the Fund the protection of the rights of all contributors, including legal entities, financial institutions, etc. with the corresponding extension of the Fund's powers; changes to the Fund's financing system and investment principles of the Deposit Guarantee Scheme in line with EU standards, etc.The findings and recommendations obtained from the analysis will have a positive effect on improving the efficiency of the deposit guarantee system in Ukraine and bringing it closer to EU requirements.

FINANCIAL CONTROLLING IN THE SYSTEM OF FINANCIAL MANAGEMENT

2018 ◽  
Vol 28 (1) ◽  
pp. 137-141
Author(s):  
Petya Yordanova – Dinova
Keyword(s):  
Comparative Analysis ◽  
Financial Management ◽  
Financial Stability ◽  
Business Environment ◽  
Innovative Approach ◽  
Financial Sustainability ◽  
The Common ◽  
The Difference ◽  
Effective Use ◽  
And Control

This paper explores the comparative analysis of the financial controlling, who is a result from the common controlling concept and the financial management. In the specialized literature, financial controlling is seen as an innovative approach to financial management. It is often presented as the most promising instrument of financial diagnostics. Generally speaking, financial controlling is seen as a process of managing the company`s assets which are valued in monetary measures. The difference between the financial management and the financial controlling is that the second covers all functions of management, analysis and control of finances, aiming at maximizing their effective use and increasing the value of the enterprise. Financial controlling is often seen as a function of the common practice of financial management. Its objective is to preserve the financial stability and financial sustainability of enterprises operating in a highly aggressive business environment.

Financial Sustainability and Infrastructure Finance

2018 ◽  
Author(s):  
Felipe Carvalho de Rezende
Keyword(s):  
Financial Institutions ◽  
Financial Stability ◽  
Global Financial Crisis ◽  
Financial Sustainability ◽  
Infrastructure Finance ◽  
Strategic Role ◽  
Development Banks ◽  
The Global Financial Crisis ◽  
Capital Development

Among the lessons that can be drawn from the global financial crisis is that private financial institutions have failed to promote the capital development of the affected economies, and to dampen financial fragility. This chapter analyses the macroeconomic role that development banks can play in this context, not only providing long-term funding necessary to promote economic development, but also fostering financial stability. The chapter discusses, in particular, the need for public financial institutions to provide support for infrastructure and sustainable development projects. It concludes that development banks play a strategic role by funding infrastructure projects in particular, and outlines the lessons for enhancing their role as catalysts for mitigating risks associated with such projects.

scholarly journals Delay in payment effects on productivity of small and medium construction companies in Oman: exploration and ranking

2021 ◽  
Author(s):  
Mubarak Al Alawi
Keyword(s):  
Cash Flow ◽  
Questionnaire Survey ◽  
Financial Stability ◽  
Construction Project ◽  
Internal Factors ◽  
Construction Productivity ◽  
Construction Companies ◽  
Productivity Rate ◽  
Delay In Payments ◽  
Productivity Factors

AbstractMaintaining a stable productivity rate in a construction project is a challenge. Many external and internal factors influence it. Delay in payment is one of the factors representing the project cash flow and mirrors the company’s financial stability status. This study explores the delay in payments effects on the construction productivity of the small and medium construction companies in Oman. Also, it ranks the delay in payment among other productivity factors. Sixty-five small and medium construction companies registered in Oman Tender Board participated in the questionnaire survey. The results showed that delay in payment significantly affects the financial stability of the companies. The delay in payment was ranked third out of 21 influencing productivity factors. The results were compared with a previous study that covered large construction companies in Oman. It was found that the rank of delay in payment in the small and medium construction is significantly higher than what was found in large companies.

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