scholarly journals Features of application of the forecasting simulation model in the planning process in the enterprise

2021 ◽  
pp. 25-32
Author(s):  
Dinara Olzhabayeva ◽  
Maria Petrovskaya Vladimirovna
Keyword(s):  
Simulation Model ◽  
Financial Risk ◽  
Planning Process ◽  
Financial Risks ◽  
Key Factors ◽  
Managerial Decisions ◽  
Railway Industry ◽  
Multi Level ◽  
The Cost ◽  
The Impact

This article discusses the features of using a multi-level simulation model of financial and economic forecasting when planning the activities of an enterprise operating in the railway industry, in particular in the segment of national and international freight transportation. The authors set a goal to show how, through the use of a multi-level simulation model of forecasting, it is possible to significantly increase the reliability of organizational and managerial decisions and ensure a more efficient allocation of resources and reduction of financial risks. The model constructed by the authors can be used to optimize costs, improve the quality of settlements with debtors and creditors, plan the cost and other indicators of financial and economic activity, the ability to build various forecast scenarios allows you to choose the most acceptable option for the company, taking into account the impact of key factors on the financial result and the level of financial risk.

Financial Risks of the Bank: Assessment and Mechanism of Neutralization

2020 ◽  
Vol 22 (1) ◽  
pp. 6-12
Author(s):  
Nelia Volkova ◽  
◽  
Alina Mukhina ◽  
Keyword(s):  
Risk Assessment ◽  
Financial Stability ◽  
Financial Risk ◽  
Stable Operation ◽  
Financial Risks ◽  
Negative Consequences ◽  
Conceptual Approach ◽  
Relevant Today ◽  
Banking Institution ◽  
The Impact

Abstract. Introduction. The issue of financial risk management of commercial banks is quite relevant today, because the activity of banks is the most risky of all. The presence of risks in banking can lead to unexpected losses, namely the loss of own resources. That’s why for the stable operation of the bank without loss the priority is to assess the financial risks, which is the basis for their further neutralization. Purpose. The purpose of the article is to develop conceptual provisions for assessment financial risks and justifying the need to neutralize them. Results. The article analyzes the impact of risks on the financial stability of a banking institution. The main methods of bank risk assessment are considered. All these include the statistical method, the analytical method, the expert method, the analogue method and the combined method. The necessity of neutralization of financial risks in order to avoid negative consequences is substantiated. Also the methods of bank risks neutralization are considered. It should be noted that these methods of neutralization can not only be used, but also supplement the list with new methods must be done, which in the future will protect the bank from the influence of undesirable factors. A conceptual approach to the assessment and neutralization of financial risks is proposed. This conceptual approach aims to ensure effective assessment of the level of risk with their subsequent neutralization Conclusions. Use of a conceptual approach will allow an effective risk assessment and decision-making to avoid or accept risk. Thanks to using this approach, the banking institution will be able to react swiftly to the presence of financial risks and to prevent the occurrence of negative consequences, which may lead to a violation of the financial stability of the bank.

scholarly journals PARAMETRIZATION OF THE MECHANISM OF FINANCIAL RISK MANAGEMENT IN THE DIGITAL SECURITIES CIRCULATION

2019 ◽  
pp. 77-83
Author(s):  
Oleksandr Volodmyrovych Lutskevych ◽  
Keyword(s):  
Risk Management ◽  
Social Life ◽  
Financial Risk ◽  
State Regulation ◽  
Securities Market ◽  
Financial Risks ◽  
Negative Consequences ◽  
Management Mechanism ◽  
Financial Risk Management ◽  
The Impact

Urgency of the research. Digital technologies are transforming all spheres of social life, and the financial sphere is no exception. In general, such trends cannot but leave an imprint on approaches to managing the financial risk of digital securities. Target setting. Currently, scientific and methodological support for the formation of a mechanism for managing the financial risks of digital securities is in the early stages of development, while the quality of state regulation and supervision of participants in digital securities directly depends on the effectiveness of the current mechanism for managing such risks. Actual scientific researches and issues analysis. Theoretical and applied aspects of the securities market, features of the impact of financial innovations and financial risk management in the field of securities circulation, are researched by V. Bodrov [1], O. M. Kovaleva [2], I. V. Krasnova [3], N. V. Tkachenko [4], Yu. B. Kolupaeva [5] and others. Uninvestigated parts of general matters defining. The methodology of formation the mechanism for managing the financial risks of digital securities needs more precise research. The research objective. Deepening the scientific understanding of the term "financial risk management mechanism for the circulation of digital securities" will ensure to outline ways of increasing the efficiency of this financial instrument usage. The statement of basic materials. This article analyzes the essence of the term "financial risk management mechanism". The construction of the mechanism has been adapted to the specifics of digital securities risk management. Conclusions. The essence of the mechanism of financial risks management of digital securities circulation is improved due to application of a set of methods for identification, quantitative and qualitative analysis, measures to prevent realization and / or reduction of negative consequences of financial risks of digital securities circulation, ways of control over some events.

scholarly journals The Impact of Government Subsidies on Private R&D Investment in Different Markets

2020 ◽  
Vol 2020 ◽  
pp. 1-21
Author(s):  
Jinglve Wang ◽  
Guohua Zhou
Keyword(s):  
Private Investment ◽  
Key Factors ◽  
Government Subsidies ◽  
End Products ◽  
Game Theoretic ◽  
The Cost ◽  
The Impact ◽  
The Relationship ◽  
D Investment ◽  
Governmental Subsidy

In contrast to the econometric models that have been commonly used throughout a large portion of the literature, we develop six game-theoretic models to analyze governmental subsidy strategies in different market environments and to investigate the question of whether government subsidies crowd in or crowd out private investment in R&D activities. Based on realistic situations, we classify governmental subsidy strategies into three types, namely, no subsidy provided, subsidies provided based on the price of the end products, and subsidies provided based on the cost of R&D. In addition, according to whether competition exists in the market, we classify markets into monopoly markets and duopoly markets. Our research shows (a) that the relationship between government subsidies and private R&D investment is deeply impacted by the form of the subsidies used; (b) that the characteristic value of the R&D project and the competitive environment of the market are the two key factors that should be considered when governments decide which form of subsidy to employ; and (c) the optimal amount for each type of subsidy.

The Patient-Centered Medical Home in Oncology: From Concept to Reality

2015 ◽  
pp. e82-e89 ◽  
Author(s):  
Ray D. Page ◽  
Lee N. Newcomer ◽  
John D. Sprandio ◽  
Barbara L. McAneny
Keyword(s):  
Medical Home ◽  
Cancer Care ◽  
Financial Risk ◽  
Cost Curve ◽  
Patient Centered Medical Home ◽  
Financial Risks ◽  
Fee For Service ◽  
Payment Reform ◽  
Patient Centered ◽  
The Cost

In recent years, the cost of providing quality cancer care has been subject to an epic escalation causing concerns on the verge of a health care crisis. Innovative patient-management models in oncology based on patient-centered medical home (PCMH) principles, coupled with alternative payments to traditional fee for service (FFS), such as bundled and episodes payment are now showing evidence of effectiveness. These efforts have the potential to bend the cost curve while also improving quality of care and patient satisfaction. However, going forward with FFS alternatives, there are several performance-based payment options with an array of financial risks and rewards. Most novel payment options convey a greater financial risk and accountability on the provider. Therefore, the oncology medical home (OMH) can be a way to mitigate some financial risks by sharing savings with the payer through better global care of the patient, proactively preventing complications, emergency department (ED) visits, and hospitalizations. However, much of the medical home infrastructure that is required to reduced total costs of cancer care comes as an added expense to the provider. As best-of-practice quality standards are being elucidated and refined, we are now at a juncture where payers, providers, policymakers, and other stakeholders should work in concert to expand and implement the OMH framework into the variety of oncology practice environments to better equip them to assimilate into the new payment reform configurations of the future.

scholarly journals Impact of relative and absolute financial risks on share prices: a Zimbabwe Stock Exchange perspective

2020 ◽  
Vol 17 (1) ◽  
pp. 1-14
Author(s):  
Atanas Sixpence ◽  
Olufemi P. Adeyeye ◽  
Rajendra Rajaram
Keyword(s):  
Financial Risk ◽  
Stock Exchange ◽  
Accounting Standards ◽  
Low Risk ◽  
Equity Valuation ◽  
Risk Category ◽  
Financial Risks ◽  
Share Prices ◽  
Equity Ratio ◽  
The Impact

The impact of financial risks on share prices concerns investors, company executives and accounting standards developers. Investors need this information in delineating their equity valuation models while company executives need the information to make appropriate capital structure decisions. Accounting standards developers use this information in their policy to make accounting standards contemporary. The authors examine the link between relative and absolute financial risks and share prices using a dynamic panel of non-financial listed companies on the Zimbabwe Stock Exchange after dollarization. Equity investors incurred losses before dollarization, which prompted this investigation into the sphere of financial risks in order to explain share price movements so that investors can use it to minimize losses in the future. Absolute financial risk is measured by the total debt, while debt/equity ratio measures relative financial risk. Market capitalization as a proxy for equity and debt is measured by total liabilities. An average debt/equity ratio greater or equal to one qualifies a firm into the high-risk category while ratios below one imply low-risk firms. Results from two-step System Generalised Method of Moments (GMM) show negative and significant connection between relative risk and share prices across risk categories. The impact of absolute risk on share prices differs by risk category. Firm managers are advised to keep total liabilities below market capitalization in order to enjoy the benefits of low-risk categorization. Debt ratio is a reasonable indicator of value and investors can use it in equity valuation. Mandatory reporting of debt ratios should be considered by accounting standards developers.

scholarly journals The cost load regulation and management of electrical energy by directions of impact on the components of total price

2021 ◽  
Vol 295 ◽  
pp. 02001
Author(s):  
Alexey Pleshkov ◽  
Aleksey Kopylov ◽  
Petr Ulyankin
Keyword(s):  
Electrical Energy ◽  
Energy Resources ◽  
Managerial Decisions ◽  
Regional Features ◽  
Cost Of Energy ◽  
Load Regulation ◽  
Kaliningrad Region ◽  
The Cost ◽  
The Impact ◽  
Total Price

The issues of optimizing regional pricing are especially acute for the Kaliningrad Region due to its exclave features. At the same time, the cost of energy resources has become one of the main issues in making managerial decisions. Recently, the so-called Technoparks have become one of the new forms of organizing the production process in a certain branch of industry, or a process that is at the junction of several branches. There are a variety of descriptions of the indisputable advantages of this work format for a specific technological process, however, the possibilities in the field of reducing the costs of consumed energy resources that arise with such a local siting of production are not discussed that often. According to the authors of the article, based on the structure of the tariff, it is possible to classify methods of reducing the cost price by the impact on the components of the final cost of energy supply services. It should be noted that the classification sign of saving methods will be precisely the component of the tariff, while the methods themselves can be aimed both at reducing the price expression of each component of the tariff and at the volume of services for this component. The authors have also identified regional features of the pricing processes in the energy industry.

scholarly journals Toolset for financial risk strategic assessment in corporations based on stochastic modeling

2020 ◽  
Vol 9 (28) ◽  
pp. 451-464
Author(s):  
Viktoriya Manuylenko ◽  
Denis Ryzin ◽  
Natalia Gryzunova ◽  
Olga Bigday ◽  
Olga Mandrytsa
Keyword(s):  
Risk Assessment ◽  
Risk Management ◽  
Financial Risk ◽  
Assessment Model ◽  
Financial Risks ◽  
Financial Leverage ◽  
Financial Risk Management ◽  
Environment Factors ◽  
Target Values ◽  
The Impact

The study substantiates the need to develop and test a model for assessment of strategic financial risk level in corporations. It implies modeling for two indicators: relative (financial leverage) and absolute (external capital of indicators). The model should also take into account influence of emergent environment factors and most stakeholder groups’ interests when building scenarios for their behaviors in the financial markets –Implementation of the model allows establishing financial risk target values considering deviation calculations between the indicators’ modeled and actual values simultaneously determining both tactical and strategic guidelines for Financial Risk Management Policy in corporations, which should involve stakeholders into financial risk-taking process. The model implementation also should be the basis for development and improvement of risk-based forecasting tools, business planning and stress testing. The toolkit for assessing level of current and strategic financial risks in corporations based on simulation modeling was developed and implemented with attraction of general scientific and special methods. Direct results of the study are as follows: in theoretical block of the research – essentially, main attributes of financial risks classification for corporations are identified; they are recognized by time as retrospective, current and strategic financial risks, and correct classification of the latter allows their identification, evaluation and regulation; in practical block of the research – evaluation of financial risk in corporations reveals that the risk apart from other internal factors is highly affected by the level of financial leverage, where its high value increases financial risk; still, corporations do not take into account the influence of environmental factors on its level; the role of tax risk as a part of financial risk is not significant, still it is unfortunate that the Russian legislation system allows double taxation on income tax in the form of dividends, and dividend policy of Russian corporations is unstable; in methodological block of the research –financial risk assessment model for corporations was developed and tested on a platform of a special new software product that determines the target level of financial risk; the model differs from standard approaches to financial risk assessment as it carries strategic forecasting nature and takes into account the impact of emergent environment factors; thus it promotes new areas in strategic financial risk management.

scholarly journals Debt Component of Ensuring the Sustainability of Public Finances in Ukraine: The Status and Trends

2021 ◽  
Vol 7 (522) ◽  
pp. 178-186
Author(s):  
T. A. Koliada ◽  
◽  
L. Y. Bench ◽  
N. D. Rybina ◽  
◽  
...  
Keyword(s):  
The State ◽  
Financial Risks ◽  
Medium Term ◽  
State Budget ◽  
Public Finances ◽  
Managerial Decisions ◽  
The Status ◽  
Debt Security ◽  
Us Dollar ◽  
The Impact

The article is aimed at evaluating the State debt and the State-guaranteed debt as components of ensuring the sustainability of Ukraine's public finances, identifying trends and factors that determine debt security and affect the pace of development of the country's economy. The article discloses the indicators of measuring the sustainability of public finances; indicators of effectiveness of the policy of ensuring the sustainability of Public Finances of Ukraine until 2030 are presented; the role and importance of debt security in ensuring the sustainability of public finances is determined. A factor analysis of the State debt and the State-guaranteed debt is carried out on the main grounds – the average US dollar exchange rate per year, GDP, revenues and expenditures of the State budget – in order to identify trends in changes in its structure and volumes for the period 2016-2020. The main financial risks and the degree of their impact on debt security are defined, a forecast of the State debt and the State-guaranteed debt of Ukraine for the medium term for 2021-2023 has been developed using the polynomial trend. The likelihood of a worsening the debt situation in Ukraine by 2023 and, as a result, a deterioration in the resilience of public finances due to the unfolding of the coronavirus pandemic, which can be equated with the crises of 2008-2009 and 2014-2015, is proved. Proposals to improve Ukraine's debt security in the context of the coronavirus pandemic have been substantiated. Prospect for further research in this direction is to prove the need to make managerial decisions to ensure the sustainability of public finances, taking into account not only macroeconomic, but also political and institutional factors, the impact of which increases significantly in the context of democracy.

scholarly journals Comparison of the cost of illness of primary liver cancer between Japan and Taiwan

2020 ◽  
Vol 10 (1) ◽  
Author(s):  
Yinghui Wu ◽  
Kunichika Matsumoto ◽  
Ya-Mei Chen ◽  
Yu-Chi Tung ◽  
Tzu-Ying Chiu ◽  
...  
Keyword(s):  
Liver Cancer ◽  
Cost Of Illness ◽  
Primary Liver Cancer ◽  
Contribution Ratio ◽  
Key Factors ◽  
Mortality Cost ◽  
Technological Developments ◽  
The Cost ◽  
Foreign Exchange Volatility ◽  
The Impact

Abstract Background Primary liver cancer (PLC) is the fifth and second leading cause of death in Japan and Taiwan, respectively. The aim of this study was to compare the economic burden of PLC between the two countries using the cost of illness (COI) method and identify the key factors causing the different trends in the economic burdens of PLC. Materials and methods We calculated the COI every 3 years using governmental statistics of both countries (1996–2014 data for Japan and 2002–2014 data for Taiwan). The COI was calculated by summing the direct costs, morbidity costs, and mortality costs. We compared the COIs of PLC in both countries at the USD-based cost. The average exchange rate during the targeted years was used to remove the impact of foreign exchange volatility. Results From 1996 to 2014, the COI exhibited downward and upward trends in Japan and Taiwan, respectively. In Japan, the COI in 2014 was 0.70 times the value in 1996, and in Taiwan, the COI in 2014 was 1.16 times greater than that in 1996. The mortality cost was the greatest contributor in both countries and had the largest contribution ratio to the COI increase in Japan. However, the direct cost in Taiwan had the largest contribution ratio to the COI decrease. Conclusions To date, the COI of PLC in Japan has continuously decreased, whereas that in Taiwan has increased. Previous health policies and technological developments are thought to have accelerated the COI decrease in Japan and are expected to change the trend of COI of PLC, even in Taiwan.

scholarly journals Managing Medication Cost Burden: A Qualitative Study Exploring Experiences of People with Disabilities in Canada

2019 ◽  
Vol 16 (17) ◽  
pp. 3066 ◽  
Author(s):  
Shikha Gupta ◽  
Mary Ann McColl ◽  
Sara J.T. Guilcher ◽  
Karen Smith
Keyword(s):  
Qualitative Study ◽  
Spinal Cord Injuries ◽  
Medication Cost ◽  
Prescription Medications ◽  
Key Factors ◽  
Persons With Disabilities ◽  
Financial Status ◽  
The Government ◽  
The Cost ◽  
The Impact

Despite the abundant literature on the burden of rising costs of prescription medications, there is limited research to explore how these costs affect people and the decisions they are forced to make within the context of disability. In this qualitative study we explored strategies adopted, factors influencing, and the impact of some of these strategies to manage the burden of medication cost among persons with disabilities. We interviewed 12 adults with spinal cord injuries living in Canada, using a general inductive approach to analyze the data. We found that before cutting back on medications due to costs, participants generally tried and sought help from the government, employers, and/or their prescribers to improve their drug coverage. The key factors that participants considered while making decisions on the strategies included the cost and perceived importance of medications, their financial status, other competing needs, and their relationship with the prescribers. While some of their efforts were successful, many participants were still not able to obtain their medications as prescribed. In those cases, patients resorted to rationing strategies such as cutting back on medications, other essential needs, or selling assets. These strategies had serious implications on their health, healthcare utilization, and quality of life.

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