The Role of Value Based Management in Resolving the Contradictions of Property Relations: the Model of Hired Manager Motivation

2019 ◽  
Vol 2019 (5) ◽  
pp. 15-39
Author(s):  
Marina Ilyina ◽  
Marina Botnaryuk
Keyword(s):  
Industrial Relations ◽  
Qualitative Change ◽  
Business Value ◽  
Value Management ◽  
Property Relations ◽  
Value Based Management ◽  
Partial Transfer ◽  
Top Manager

The development of productive forces in time predetermines qualitative change of industrial relations that creates a basis for contradictory property relations involving the division of the range of powers of the owner and their partial transfer to an additional subject of ownership or a hired top manager. The article describes the conflicting interests of a hired manager and owner in relation to ownership object and the implications while realizing these interests which entail the emergence of “agency problem” or “agency relations”. We study the concept of “agency costs” and their essence. We propose to use the method of business value management as a basis for a model of long-term motivation of the top manager and, thus, try to reconcile the interests of the owner and the top manager in the course of company expansion.

scholarly journals The Significance of Derivatives in the Management of the Value of Non-Financial Enterprises in Poland on the Age of Financialization

2019 ◽  
Vol 6 (1) ◽  
pp. 7-12
Author(s):  
Alina Rydzewska
Keyword(s):  
Global Economy ◽  
Value Management ◽  
Short Term ◽  
Central Statistical ◽  
Decision Making Processes ◽  
Central Statistical Office ◽  
Operational Activities ◽  
High Level

The turn of the 21st century is a period of the growing importance of finance in the global economy. The domination of the financial sphere about the real sphere is defined as financialization. The inflation of financial instruments, derivatives, in particular, is indicated among the symptoms of financialization. Financialization about companies is associated with the growing importance of financial motives in the decision-making processes of enterprises. The enlarging pressure of financial markets and investors forces transformations in the value management process. Companies raising capital from share issues are evaluated by investors (shareholders). In turn, management is entrusted to hired managers whose evaluation depends on the current results. To meet the requirements of the owners (shareholders), they stop taking into account the long-term development of a given undertaking and focus on achieving the required rate of return in the short term. Therefore, they limit their operational activities, and in particular long-term investment activities, in favour of short-term financial activities. They use derivatives as one of the forms of short-term profit generation. Their use is characterized by a relatively high level of risk resulting from the use of leverage in their construction. It also results in potential profits (or losses) many times higher than the capital employed. The purpose of this paper is to examine whether non-financial enterprises operating in Poland use derivatives in value management. The research was based on the analysis of indicators identifying the role of derivatives in the enterprise and determining their impact on the ROE ratio as a measure of value for shareholders. For this purpose, the financial statements of non-financial enterprises published in Poland by the Central Statistical Office for the years 2010-2017 were used.

scholarly journals BUSINESS VALUE MANAGEMENT ON THE BASIS OF ACTUARIAL CASH FLOW BALANCE

2021 ◽  
Vol 71 (3) ◽  
Author(s):  
Yulia Manachynska
Keyword(s):  
Cash Flow ◽  
Agricultural Sector ◽  
Dimensional Space ◽  
Cash Flows ◽  
Business Value ◽  
Value Management ◽  
Accounting System ◽  
Value Based Management ◽  
Flow Balance ◽  
Agricultural Enterprise

Approaches to business value management based on the accounting and analytical content of actuarial reporting are considered. This study is conducted to identify the information interdependence between the system of value-based management of the company, actuarial accounting and actuarial reporting management in a crisis in the economy of Ukraine. It is established that in order to build an effective management system of a domestic agricultural enterprise, actuarial accounting and actuarial reporting should be actively implemented. This gives the chance to form an image of the investment attractiveness of the country’s agricultural sector through a prism of administrative actuarial reporting forms in the international arena of agrarians. The author proposes a method of constructing a transformation table for filling in the Actuarial cash flow balance (form No.3-a), based on the traditional report on cash flow (form No.3) and some forms of actuarial reporting in 5D format on the example of a domestic agricultural enterprise. This will contribute to the construction of an effective system of value-based management of agribusiness through the prism of the concept of modern multidimensional actuarial accounting. The expediency of such a transformation from the point of view of value-based management is proved. The information necessary to compile the Actuarial cash flow balance is contained in the Actuarial balance (Statement of Financial Position), the Actuarial Profit and Loss Statement, and the traditional financial statements. To this end, the article developes a special transformation table, on the example of a domestic agricultural enterprise. The expediency of keeping an accurate accounting by a modern agricultural enterprise is substantiated because this accounting system generates information about changes in the economic value of business and cash flows in n-dimensional space and creates the necessary information content for management decisions for real and potential suppliers of temporarily free financial resources.

Statistical analysis of structural changes in agriculture

2020 ◽  
pp. 54-62
Author(s):  
Maria Vyacheslavovna Kagirova
Keyword(s):  
Time Series ◽  
Structural Changes ◽  
Agricultural Sector ◽  
Industrial Relations ◽  
Land Resources ◽  
Agricultural Enterprises ◽  
Russian Economy ◽  
Low Efficiency

Digital transformations in the Russian economy lead to significant internal changes in the formation of industrial relations in all types of activities and, in particular, in the agricultural sector. This arouses particular interest in the study of structural shifts in agricultural sectors that have occurred under the influence of external economic factors and changes in applied technologies. The study, based on the analysis of long-term time series and panel data, revealed significant structural changes in the production of agricultural products in general and by types of products in the context of producer categories and regions of the Russian Federation. Methods for identifying trends in time series made it possible to establish the increasing role of large and medium-sized agricultural enterprises in providing food to the country’s population during the redistribution of land resources towards the household sector with low efficiency of their use. In agricultural production, the use of digital technologies is currently of a point nature, which leads to the emergence of leading regions with innovative large-format production identified in this study. The analyzed structural changes will make it possible to determine the directions in clarifying the system of indicators for monitoring digitalization processes in agriculture.

THE UNIONS — PARTNERS IN EXPLORATION?

1984 ◽  
Vol 24 (1) ◽  
pp. 130
Author(s):  
J. P. Scoble
Keyword(s):  
Oil And Gas ◽  
Industrial Relations ◽  
Free Enterprise ◽  
Political Climate ◽  
Oil And Gas Development ◽  
Long Term Stability ◽  
Union Movement ◽  
Petroleum Drilling

Industrial relations has been a 'sleeping giant' in the petroleum drilling industry in Australia. This is changing. Spurred on by successful militancy in Bass Strait and a growing awareness of the strategic significance of oil and gas to Australia's balance of payments, the unions are becoming more active in the drilling industry.The Northwest Shelf is representative of the oil and gas development projects which should provide long-term stability for the industry. The extent of their contribution to stability will depend on many factors, not the least of which is the industrial relations climate within which the developments take place. Unity among employers will be essential if important issues such as comparative wage justice, compulsory unionism and safety are to be successfully addressed. There is an urgent need for improved industrial relations planning at industry level.At the forefront of free enterprise, the petroleum drilling industry has discouraged the involvement of unions at every opportunity. This approach, appropriate in many parts of the world, may no longer be viable in Australia. A majority of Labor Governments, whose policies are strongly influenced by trade union attitudes, will provide a political climate conducive to an expanded union profile in the industry. It is time for the industry to re-examine the role of the union movement in its project developments and to accept the unions as necessary and interested participants in the development of Australia's resources.

Abusive head trauma (AHT) outcome at long-term follow-up and the role of elective neurosurgical approach: A report of 22 cases

2013 ◽  
Author(s):  
Francesca Menegazzo ◽  
Melissa Rosa Rizzotto ◽  
Martina Bua ◽  
Luisa Pinello ◽  
Elisabetta Tono ◽  
...  
Keyword(s):  
Head Trauma ◽  
Abusive Head Trauma ◽  
Long Term Follow Up

The Second Start of Transformation in Ukraine?

2014 ◽  
pp. 30-52 ◽  
Author(s):  
L. Grigoryev ◽  
E. Buryak ◽  
A. Golyashev
Keyword(s):  
Economic Growth ◽  
Armed Conflict ◽  
Political Crisis ◽  
Investment Climate ◽  
Institutional Reforms ◽  
Personal Consumption ◽  
Governance Quality ◽  
Political Turmoil

The Ukrainian socio-economic crisis has been developing for years and resulted in the open socio-political turmoil and armed conflict. The Ukrainian population didn’t meet objectives of the post-Soviet transformation, and people were disillusioned for years, losing trust in the state and the Future. The role of workers’ remittances in the Ukrainian economy is underestimated, since the personal consumption and stability depend strongly on them. Social inequality, oligarchic control of key national assets contributed to instability as well as regional disparity, aggravated by identity differences. Economic growth is slow due to a long-term underinvestment, and prospects of improvement are dependent on some difficult institutional reforms, macro stability, open external markets and the elites’ consensus. Recovering after socio-economic and political crisis will need not merely time, but also governance quality improvement, institutions reform, the investment climate revival - that can be attributed as the second transformation in Ukraine.

Thoughts on the Long-Term Strategy, Science and Democracy

2006 ◽  
pp. 4-19 ◽  
Author(s):  
L. Abalkin
Keyword(s):  
Strategy Development ◽  
Russian Science ◽  
Global Trends ◽  
The World ◽  
World Development ◽  
Crucial Condition

The article covers unified issues of the long-term strategy development, the role of science as well as democracy development in present-day Russia. The problems of budget proficit, the Stabilization Fund issues, implementation of the adopted national projects, an increasing role of regions in strengthening the integrity and prosperity of the country are analyzed. The author reveals that the protection of businessmen and citizens from the all-embracing power of bureaucrats is the crucial condition of democratization of the society. Global trends of the world development and expert functions of the Russian science are presented as well.

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