scholarly journals MANAGEMENT OF FINANCIAL SUSTAINABILITY OF THE ENTERPRISE

2020 ◽  
Vol 2 (47) ◽  
pp. 147-155
Author(s):  
Masalitina V ◽  
◽  
Gorobinska I ◽  
Mykitko V ◽  
◽  
...  
Keyword(s):  
Financial Stability ◽  
System Analysis ◽  
Cash Flows ◽  
Management Policy ◽  
Financial Sustainability ◽  
Financial Condition ◽  
Analysis And Synthesis ◽  
Object Of Study ◽  
High Level ◽  
Constituent Elements

The article is devoted to the development of a mechanism for managing the financial stability of an enterprise, to determine its constituent elements and stages of its formation. The topicality of the chosen topic is explained by the fact that financial stability is one of the main conditions of vital activity, development and ensuring a high level of competitiveness of the enterprise, it affects the stability of the financial condition, the ability to fulfill their obligations; lack of financial sustainability can lead to loss of solvency of the enterprise, destruction of strategic potential and threat to its financial security. The object of study is the financial sustainability of the enterprise. The purpose of the study is to develop directions for improving the management system and measures to improve the level of financial stability of the enterprise through the study of theoretical and practical aspects of the problem. Research methods are the method of cognition, the method of system analysis, the method of analysis and synthesis, as well as the method of comparison. In the course of the research the mechanism of management of financial stability of the enterprise is developed, its main constituent elements are determined, the stages of its implementation are analyzed, specific tools that can be used in its implementation are studied, the main tasks of financial stability management are summarized and the indicators of evaluation of the degree of their fulfillment are summarized. The process of implementation of the mechanism of ensuring the financial stability of enterprises should be aimed at the solution of the main goals and objectives: ensuring the balance of assets and liabilities implies sufficient capital, flexible capital structure, organization of capital movements, provision of own capital to finance current assets; ensuring a balance of income and expenses implies a sufficient level of profitability, changing the structure of the expense of the economic process, increasing the volume of turnover; ensuring cash flow balances involves ensuring solvency, self-financing and creditworthiness, reducing receivables. Conclusions - the need for constant balancing of assets and liabilities, income and expenses, positive and negative cash flows is at the heart of the financial stability management policy. Solving the issue of financial stability will allow you to make effective management decisions on the choice of strategy for financial development and will lead to the stabilization of the economic situation and increase the efficiency of the enterprise. KEYWORDS: FINANCIAL SUSTAINABILITY, MANAGEMENT OF FINANCIAL SUSTAINABILITY, MECHANISM OF MANAGEMENT OF FINANCIAL SUSTAINABILITY.

scholarly journals THEORETICAL ASPECTS OF ASSESSMENT OF FINANCIAL SUSTAINABILITY OF AGRICULTURAL ENTERPRISES

2021 ◽  
Author(s):  
Oksana Pavlenko ◽  
◽  
Diana Kogushko ◽  
Keyword(s):  
Financial Stability ◽  
Agricultural Development ◽  
Legal Framework ◽  
Normative Values ◽  
Financial Sustainability ◽  
Agricultural Enterprises ◽  
Financial Condition ◽  
Agricultural Enterprise ◽  
The Absolute ◽  
High Level

The article examines the essence of the concept of “financial stability of the enterprise” and different views on its interpretation by domestic scientists. The methodical bases of an estimation of financial stability of the enterprise to which calculation and the analysis of absolute indicators and relative indicators most often belong are considered. Their explanations, formulas for calculation and normative values of these indicators are given. Theoretical aspects of the influence of factors on the provision of financial stability are also given, because this is one of the most important conditions for life, development and further stable provision of a high level of competitiveness of the enterprise. Namely, the factors that are divided into independent of the enterprise and those that directly depend on the internal situation and development of the enterprise were considered. The existing methods of analysis of financial stability of the enterprise are considered and explained. The main ones are aggregate, coefficient, margin, point, balance, integral and factorial methods, as well as the most suitable methods for determining the financial stability of the agricultural enterprise. The application of the main indicators of financial stability of an agricultural enterprise as an indicator of financial stability of the enterprise and solvency is given and substantiated. The main types of financial stability of the enterprise are also given and explained, namely the absolute type, normal, pre-crisis and crisis. The main tasks and prospects of agricultural development are determined. In addition, the main problems in the calculation of indicators and the overall assessment of the financial condition of the agricultural enterprise are identified. The issues that need urgent solution and improvement are proposed to further improve the financial stability of the agricultural enterprise. The main ones are the improvement of the legal framework of Ukraine, to improve the regulation of relations between participants in agriculture, the development of new indicators for assessing the financial condition of agricultural enterprises and revision of regulatory values of these indicators in connection with the specifics of this industry.

ANALYTICAL TOOLS AND MANAGEMENT METHOD OF CASH FLOWS AT THE ENTERPRISE

2017 ◽  
pp. 93-105
Author(s):  
Olha NIPIALIDI
Keyword(s):  
Financial Stability ◽  
Cash Flows ◽  
Sustainable Growth ◽  
Financial Health ◽  
Traditional Assessment ◽  
Financial Condition ◽  
Efficient Management ◽  
Expert Assessments ◽  
Analytical Tools

Introduction. The most important factors for “financial health” of the company are effectively structured cash flows, precondition for sustainable growth and achievement of high end results of economic activity as a whole. Knowledge and practical use of modern methods of organization and efficient management of cash flows enables transition of the company to a new quality of economic development. Purpose. The aim of the article is the research and development of theoretical, methodological and practical recommendations concerning the organization of the management process of cash flows at the enterprise. Results. Methodology of traditional assessment of financial stability of the enterprise, its elements and the factors influencing it can significantly complement and improve through the use of advanced mathematical models that allow to analyze the accuracy and objectivity of expert assessments for determination the level of the financial condition of the enterprise. Conclusion. The system of indicators used in the analysis of cash flows at the enterprises is investigated and systematized. It is advisable to choose those indicators from the total aggregate of indicators that are the most attracted to specific users of accounting information. Methods for analyzing cash flow is supplemented as regards the determination of the integral index of financial stability, which makes it possible to install ranked of the investigated enterprise. Proposals for amendments the methodological approaches to estimating of future cash flows will allow more effectively increase usefulness and reliability of accounting and analytical information for making management decisions.

scholarly journals System of financial sustainability management of forestry enterprises of southern Ukraine

2021 ◽  
pp. 205-211
Author(s):  
I. Diadchenko ◽  
L. Sakharnatska
Keyword(s):  
Financial Stability ◽  
Steppe Zone ◽  
Financial Sustainability ◽  
Economic Potential ◽  
The South ◽  
Sustainability Management ◽  
Financial Condition ◽  
Forest Enterprises ◽  
Forest Lands ◽  
Southern Ukraine

The article considers the possibility of more efficient use of forest resources of the steppe zone of Ukraine, including by improving the level of financial stability of forestry enterprises in the South of Ukraine. For this purpose, on the basis of well-known principles of process algorithmization, a conceptual model of formation of the financial stability management system of forestry enterprises of the South of Ukraine is proposed. The presented model is based on the economic, social and environmental components (subsystems) of forestry enterprises and in each of them the necessary directions (possible effects) for improving the financial condition of economic entities are identified. The main reasons of normative and organizational nature, which make it impossible to increase the economic potential of forestry enterprises in the South of Ukraine, are highlighted. The directions of cooperation of forestry enterprises with local self-government bodies are offered, in particular: conclusion of commercial agreements on reconstruction of existing and creation of new parks and squares, construction of sanatoriums, cultural and entertaining, development of water purification and water-preserving functions of forest plantations. The mechanism of realization of the system of management of financial stability of the forestry enterprises which is based on realization by the forestry enterprises of a complex of the corresponding organizational and technical and administrative actions is presented. which consists in the implementation of the relevant stages of the enterprise, in particular: capitalization of own assets, identification of sources of funding and diversification of activities. It is substantiated as one of the directions of diversification of forestry enterprises, creation of energy crops on forest lands that cannot be used for other needs, and production of pellets from them for further sale. In particular, based on the calculations, it is proved that the proposed direction of diversification of forest enterprises in the South of Ukraine will not only improve their financial condition, but also attract low-value lands that are unsuitable for growing forests and crops, eventually improving their structure and content.

scholarly journals Influence of financial sustainability of households on default risks of regulated banks

2020 ◽  
Vol 159 ◽  
pp. 05015
Author(s):  
Zuhra Yergasheva ◽  
Saltanat Kondybayeva ◽  
Ryszhan Kabylkairatkyzy ◽  
Gulmira Yesengeldiyeva
Keyword(s):  
Financial Stability ◽  
Financial Sector ◽  
Financial Sustainability ◽  
The Real ◽  
Household Sector ◽  
Financial Condition ◽  
Credit Risks ◽  
Default Risks ◽  
The Republic ◽  
The Impact

The purpose of the article is to assess the financial sustainability of the household sector of the Republic of Kazakhstan and its impact on the real and financial sector in the context of minimizing the credit risks of the regulated banks of the Republic of Kazakhstan. The paper analyzes various points of view on assessing the financial sustainability of the household sector, makes a successful attempt to assess at a macroeconomic level the financial sustainability of households and the drawing potential of households in Kazakhstan using the OECD and IMF methods. The work made a holistic analysis of the financial condition and solvency of households in Kazakhstan, a forecasted VAR-model for assessing the impact of household financial sustainability on the state of the real sector of the economy has been developed; a regression model for assessing the impact of financial stability of households on the financial sector of Kazakhstan has been developed.

scholarly journals Management of enterprise’s financial sustainability and improvement of its methods

2018 ◽  
Vol 2 (1) ◽  
pp. 1-14
Author(s):  
Galyna Azarenkova ◽  
Olena Golovko ◽  
Kateryna Abrosimova
Keyword(s):  
Mathematical Modeling ◽  
Sustainability Assessment ◽  
Financial Sustainability ◽  
Relevant Issue ◽  
Financial Status ◽  
Modeling Analysis ◽  
Priority Task ◽  
Analysis And Synthesis ◽  
High Level ◽  
Enterprise Activity

The article is dedicated to the solution of the relevant issue, concerning management of enterprise`s financial sustainability. Financial sustainability assessment is one of the most important principles of enterprise`s activity, which provides information about financial capabilities of the company at the time of its evaluation and for the future. It is a requirement for the enterprise activity, which provides a high level of competitiveness, efficiency and intensity. Thus, the restoration and strengthening of financial sustainability is a priority task for the enterprise, a basic precondition for its effective functioning. The purpose of the research is to analyze financial sustainability and to improve the methods and approaches of its evaluation. The following methods were used in this research: financial and economic analysis, economic and mathematical modeling, analysis and synthesis, comparison. The main results of the study are following: the theoretical and essential characteristics of enterprise financial sustainability has been determined; the financial status of PJSC “Turboatom” has been analyzed; the taxonomic index of financial sustainability has been calculated and the forecast of its significance has been made, the approaches to increase enterprise financial sustainability have been proposed.

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 Minimizing risks of integrating Ukrainian industry into global value chains

2021 ◽  
pp. 64-75
Author(s):  
Оksana Kushnirenko ◽  
Olga Zarudna
Keyword(s):  
Supply Chains ◽  
World Trade ◽  
Financial Stability ◽  
System Analysis ◽  
Global Value Chains ◽  
Risk Identification ◽  
Value Chains ◽  
Technological Gap ◽  
Development Levels ◽  
High Level

Relevance of the research topic Global value chains (GVC) are the dominant element of world trade, which incorporated various stages of processing into global supply chains of different development levels countries. The potential to include of Ukrainian producers into the GVC is very high, but not fully exploited now. Only innovative, technologically equipped, certified companies with a reliable business reputation have a chance to enter GVC. Formulation of the problem. The challenges of the coronavirus pandemic increase the importance of justifying new approaches to opportunities for Ukrainian industry, in particular, for successful integration into the GVC. Selection of unexplored parts of the general problem. Changes in the organization of world trade have occurred in the context of the coronary. This is due to disruption of intermediate processing supply chains, shifting to shorter chains and control increasing over the quality and safety of products in compliance with sanitary standards. This opens up new opportunities for Ukrainian producers, while the problem of reducing risks and removing obstacles remains insufficiently studied. Setting the task, the purpose of the study. The study aims to highlight key risks and development of a set of measures to minimize them while integrating Ukrainian industry in GVC. Method or methodology for conducting research. The work used general scientific methods: system analysis, abstract logical, expert assessments, as well as special research methods: statistical comparisons, groupings, sampling (to risk identification in the GVC integration process). Conclusions. Analysis of the development of GVC in the context of post-pandemic constraints made it possible to identify key risks and obstacles for Ukrainian producers, included among them are a high level of vulnerability was established from tightening control conditions and strict restrictions on supplies; The digital and technological gap in accordance with world standards; excessive concentration of the import component in selected product categories, causes dependence on foreign suppliers; a huge shortage of capital; decrease in profitability; deterioration of financial stability and solvency.

scholarly journals Competitiveness management to ensure financial sustainability

2021 ◽  
Author(s):  
Inna Dimitroglo ◽  
Keyword(s):  
Financial Management ◽  
Financial Stability ◽  
Competitive Environment ◽  
Management Decision ◽  
Financial Sustainability ◽  
Business Activity ◽  
Managerial Decision ◽  
Operating Cycle ◽  
Financial Cycle ◽  
High Level

In a highly competitive environment, it is very important to maintain a high level of business activity. To make a management decision in the field of marketing, a complex indicator of turnover is important - the duration of the operating cycle in days. And for making a managerial decision in the field of financial management, it matters - the duration of the financial cycle in days, since the level of financial stability of the enterprise depends on this.

scholarly journals System for evaluation of business entities financial sustainability under global challenges conditions

2021 ◽  
Vol 71 (4) ◽  
pp. 20-32
Author(s):  
M. Tatar ◽  
◽  
O. Hrebenikova ◽  
Keyword(s):  
Financial Stability ◽  
Cash Flows ◽  
Normative Values ◽  
Scoring Method ◽  
Metallurgical Enterprise ◽  
Financial Responsibility ◽  
Integrated Method ◽  
Financial Condition ◽  
Global Challenges ◽  
Business Entities

The need to ensure financial stability of businesses under global challenges conditions is highlighted in this paper. The company financial stability is one of the most important characteristics of the company financial condition, associated with the level of dependence on creditors and investors and is characterized by the ratio of equity and liabilities. The existing methodological approaches for the evaluation of the enterprise financial stability are analyzed. The evaluation of financial stability on the example of metallurgical enterprise by coefficient, score and integrated methods is carried out. The coefficient analysis shows that the most of financial stability coefficients in the dynamics have decreased and are not within the normative values. While analyzing the financial stability type, it is determined that the enterprise in 2018–2020 had unstable financial condition, which indicates solvency violation. The results of the financial stability analysis by scoring method, according to which the coefficients are assigned the appropriate score depending on the approximation to the normative indicator, led to the conclusion that PJSC «AZOVSTAL» in 2018–2020 was included to the fifth class, i.e. crisis enterprise of the highest risk, practically not solvent. The evaluation of financial stability by the integrated method, according to which the value of the integrated indicator should be closer to one, showed that the enterprise financial stability in 2018 was bad, in 2019 very bad, and in 2020 satisfactory. The measures to increase the enterprises financial stability depending on the financial stability level are proposed, particularly, for the investigated enterprise it is proposed to improve financial flow planning, implementation of real payment calendars, creation of financial responsibility centers and strengthening control over them by the holding, which always make it possible to have reliable information about the company's cash flows and increase the controllability of current payments, reduce losses from the funds misuse. It is also proposed to accelerate the turnover of enterprise resources, which will improve the overall efficiency of activities.

scholarly journals Overcoming ambiguity in assessing the financial sustainability of Crimean hospitality companies for anti-crisis management

2021 ◽  
Vol 11 (2) ◽  
pp. 36-56
Author(s):  
V. A. Malyshenko ◽  
K. A. Malyshenko
Keyword(s):  
Crisis Management ◽  
Financial Management ◽  
Financial Stability ◽  
System Analysis ◽  
Financial Analysis ◽  
System Development ◽  
Unstable System ◽  
Financial Condition ◽  
Macroeconomic Indicators ◽  
Strategic Program

The subject of the research is the system of methods of financial management of a company, in which a contradictory situation of conflict of goals of its development has developed, with the obligatory occurrence of systemic crises on the one hand, and the rule of constant preservation of a low risk of financial destabilization, on the other. The relevance of the study is due to the significant distance of system analysis in its categories from strategic financial analysis. Systemic destabilization of active investment outwardly looks the same as the end-of-life bankruptcy crisis, which significantly distorts the perception of potential investors in the industry in general. The scientific novelty lies in the substantiation of a method that makes it moving from a simple identification of the transitional (crisis) development stages of an unstable system (company) to the substantiation of the parameters of a strategic program, including within the framework of anti-crisis management. The aim of the research is to adapt analysis methods of the system’s crisis states to the provisions of the most system-oriented financial analysis techniques have being applied to disclose the unstable states of the “system-enterprise”. The system analysis has been chosen as the research method in various areas of its manifestation: from a general philosophical description of unstable system with characteristics of a company’s life cycle to a model for assessing the company’s financial stability for strategic purposes. The result of modeling the financial condition of such unstable companies taking into account provisions of the system analysis, was the formulation of a new category of strategic financial management — the Strategic zone for the financial stability transformation, which serves as the basis for a long-term program for the transformation of the financial condition. As a conclusion, it can be noted that applying of the financial analysis method for strategic purposes (“Fregat” model) in a single connection with the system analysis provides the possibility to identify the most dangerous crises from the standpoint of the identification complexity and consequences of the cochirid stage crises of the system development. Also, this allows to separate the investment (justified) destabilization from instability which could be the cause of wrong actions of the company’s management. All this makes it possible to objectively assess the macroeconomic indicators of the hospitality industry in general.

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