Trofimchuk Serhii, graduate student of the third level of higher education of the Department of Finance and Economic Security, National University of Water and Environmental Engineering, Rivne, Ukraine

ORCID: 0009-0006-0360-8443
e-mail: s.m.trofimchuk@nuwm.edu.ua

Determinants of Financial and Economic Security Management of Enterprises Producing Building Materials in Conditions of Dynamic Cyclical Equilibrium of the Business Environment

Abstract. Introduction. The article investigates the determinants of financial and economic security management of enterprises producing building materials in conditions of dynamic-cyclical equilibrium of the business environment. An integrated approach to the formation of an adaptive system for ensuring financial stability and risk tolerance of enterprises producing building materials in conditions of dynamic-cyclical equilibrium of the business environment is substantiated and developed. 

Purpose. The purpose of the study is to substantiate the development of an integrated approach to the formation of an adaptive system for ensuring financial stability and risk tolerance of enterprises producing building materials on the basis of systematization of determinants of financial and economic security management in conditions of dynamic cyclical equilibrium of the business environment.

Results. An integrated approach to the formation of an adaptive system for ensuring financial stability and risk tolerance of enterprises producing building materials in conditions of dynamic cyclical equilibrium of the business environment has been substantiated and developed. Modern changes in economic processes have been identified that are determined by the instability of macroeconomic parameters, fluctuations in the demand for construction products, and the growth in the cost of energy and financial resources. These changes present new challenges to ensuring the financial stability of entities in the construction industry. The dialectical features of systematizing the determinants of financial and economic security management have been studied. These determinants include capital structure and financing sources, liquidity and solvency, investment efficiency, internal and external risks, management decision quality, legal stability, and strategic flexibility. It has been proven that the effective provision of financial and economic security is possible only if financial, management, and risk instruments are integrated into a single adaptive management system.

Conclusions. An integrated approach to the formation of an adaptive system for ensuring financial stability and risk tolerance of enterprises has been developed, which is based on risk identification, monitoring of key indicators of financial stability, scenario modeling of the impact of external and internal factors and the functioning of the feedback loop mechanism. A cyclical mechanism for supporting financial and economic security has been proposed, which ensures the continuity of coordination of management decisions and the adaptation of enterprises to changes in the phases of the economic cycle. Depending on the level of risks, the limits of the financial and economic effect have been determined, which allows for the timely identification of the transition from a crisis state to the stable development of enterprises in the construction industry during periods of economic instability.

Keywords: financial and economic security, management determinants, financial stability, adaptive management system, dynamic-cyclical equilibrium, business environment, risk management, strategic flexibility.

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