Improved Methods of Evaluation of Financial Security for Companies in Ukraine

Abstract

In the article the main approaches to the estimation of the level of financial security of the companies (on the basis of the component of economic security, indicated, financially-oriented, resource-functional, minimizing-criterial, integral, on the basis of determining the probability of bankruptcy) are analyzed, summarized and detailed of the specifics of its level calculations according to the data of financial coefficients. The main indicators of the financial condition of the enterprises, for which normative values are established in accordance with official domestic methods are given. The leading methods of systems of financial security analysis of the enterprise are investigated, the advantages and disadvantages of their practical application for domestic enterprises are mentioned. The experience of the integrated estimation of the financial state according to the financial coefficients is described, on the basis of which the method of calculating the volatility of prices as a measure of the degree of financial risk is proposed. The suggestions of applied value for the use of general scientific methods of cognition are given. it is established that the analyzed methods and methods of protection will enable the management of the enterprise to choose the most suitable for them and economically justified in a particular situation model.

Financial Security of the Enterprise: An Alternative Approach to Evaluation and Management

“…Authors, which assessing the financial security of the enterprise based on the overall financial state of an enterprise, that is calculates and analyses key groups of financial indicators: profitability, business activity, solvency, financial stability, the efficiency of cash flow management (Blank, 2004;Delas et al, 2015;Yeletskykh, 2017;Pera, 2017;Kharchuk et al, 2020). Ganushchak (2017), Khudoliei (2018), Azarenkova et al (2018), Kosaynova et al (2019), Kharchuk et al (2020) offer to assess the financial security of the enterprise based on the definition of a generic integral measure of the financial security of an enterprise, based on the use of the different set of financial indicators and the determination of the relevant weights (limit values) for each of them. Valaskova et al (2020) and Sylkin et al (2018Sylkin et al ( , 2019Sylkin et al ( , 2020 use to diagnose the financial security of the enterprise classical methods of assessing the probability of bankruptcy, but modify and improve them.…”

“…Scientific works are devoted to the justification of modern methodological approaches to the assessment of the level and position of the financial security of an enterprise are: Azarenkova et al (2018), Britchenko et al (2018), Khudoliei (2018), Hryhoruk et al (2019), Kosaynova et al (2019), Drobyazko et al (2020), Franchuk et al (2020), Kharchuk et al (2020), Kondratenko et al (2020), Sylkin et al (2020).…”

“…The main approaches to estimating the level of financial security of the enterprise, which are currently presented in the professional literature -are the coefficient, which involves the calculation of a set of financial indicators (Delas et al, 2015;Yeletskykh, 2017;Pera, 2017;Kharchuk et al, 2020); integrated, based on the definition of an integrated indicator of financial security (Ganushchak, 2017;Khudoliei, 2018;Azarenkova et al, 2018;Kosaynova et al, 2019;Kharchuk et al, 2020); based on the diagnosis of the probability of bankruptcy (Valaskova et al, 2020;Sylkin et al, 2018Sylkin et al, , 2019Sylkin et al, , 2020Koleda & Lāce, 2008;Bilomistniy et al, 2017;Britchenko et al, 2018;Nguyen & Nguyen, 2020;Franchuk et al, 2020). There are also several author's methods for assessing financial security: Hryhoruk et al (2019) -model for assessment of the financial security level of the enterprise based on the desirability scale; Zwolak (2017) -empirical model based on the Cobb-Douglas power function.…”

Financial Security Risk Detection in Colleges and Universities Relying on Big Data Clustering Center Scheduling Algorithm

“…If an enterprise is insolvent and has an unbalanced financial situation, it can only go bankrupt. However, colleges and universities may have difficulties in daily operating capital turnover, such as arrears of faculty and staff wages, school quotas, quota reimbursements, and migrant workers blocking schools, which seriously affect daily financial payments and lead to failure of normal operation [3].…”

System for evaluation of financial security of operational activity of oil-and-fat industry enterprises

“…Основні підходи до оцінки рівня фінансової безпеки підприємства, які нині представлені у фаховій літературі, передбачають або розрахунок певного набору фінансових коефіцієнтів (коефіцієнтний метод) [12; 16; 18-20], або визначення інтегрального показника (інтегральний метод) [13; 21], або на основі визначення рівня безпеки окремих складників фінансової безпеки чи факторів впливу [21][22][23][24][25], або на основі визначення загального стану фінансової діяльності підприємства [26; 27], або діагностику ймовірності настання банкрутства підприємства [21; 28]. Тоді як питання забезпечення саме фінансової безпеки операційної діяльності підприємства як основної передумови формування фінансової безпеки підприємства в цілому є недостатньо розкритими.…”