JEL Classification: D21, D81, G30, G34
Poltorak Anastasiya, candidate of Economic Sciences, Associate Professor of the Department of Finance, Banking and Insurance, Mykolayiv National Agrarian University, Mykolayiv, Ukraine
FINANCIAL MECHANISM OF CRISIS MANAGEMENT OF INDUSTRIAL ENTERPRISE
Introduction. Crisis conditions of industrial enterprises are mainly related to macroeconomic factors, the neutralization of which will contribute to financial improvement of economic entities and their further development. Among the relevant macroeconomic factors it is expedient to distinguish between: exchange rate and inflation risks; low level of bank security; transit and trade restrictions; corruption risks and other, the synthesized incarnations of which are insufficient level of investment attractiveness of industrial enterprises, insufficient level of their financing, considerable expenses on capital, crisis phenomena and bankruptcy. The financial mechanism of the crisis management of industrial enterprises in the modern conditions was ready for the existing challenges and, accordingly, needs reformation.
Purpose. The main objectives of the study are to analyze the appropriateness of reforming the financial mechanism of crisis management by industrial enterprises, to identify relevant macroeconomic factors of influence on the financial condition of industrial enterprises, analysis of the dynamics of financial results before taxation in industrial enterprises of Ukraine and the share of loss-making and profitable industrial entities for the period of 2010 -2016, Improvement of the financial mechanism of crisis management at the industrial enterprises.
Results. The article highlights the actual macroeconomic factors influencing the financial condition of industrial enterprises and presents an improved financial mechanism of crisis management by an industrial enterprise, which is based on the purpose, tasks, methods, principles, information provision, which, through the complex of anti-crisis management functions of an industrial enterprise, is directed by its subject to the object. The specific functions of crisis management and a set of methods of crisis management by an industrial enterprise are systematized.
Conclusions. The financial mechanism of crisis management by industrial enterprises must be adapted to the existing internal and external conditions of the financial crisis and, as appropriate, the continuous improvement of anti-crisis methods, technologies, regulatory and legal legislation in the field of regulation of the processes of financial rehabilitation of industrial enterprises is considered justified.
Keywords: crisis management, financial mechanism, industrial enterprise, crisis management strategy, bankruptcy.
- Almashii, Ya. I. (2015), “Crisis financial management now: the nature and mechanisms of implementation”, Naukovyi visnyk Mizhnarodnoho humanitarnoho universytetu. Seriia : Ekonomika i menedzhment, vol. 12, pp. 66-69.
- State Statistics Servise of Ukraine [Online], available at: http://www.ukrstat.gov.ua/
- Melnychenko, O. O. (2016), “Оrganizational and economic mechanism of crisis management at the enterprise”, Problemy i perspektyvy rozvytku pidpryiemnytstva, vol. 3(2), pp. 99-103.
- Pohrebniak, A. Yu. (2015), “Еssence of constituents mechanism crisis management at industrial enterprises”, Ekonomichnyi visnyk Natsionalnoho tekhnichnoho universytetu Ukrainy «Kyivskyi politekhnichnyi instytut», vol. 12, pp. 300-310.
- Poltorak, A. S. (2017), “Anti-crisis strategy and its place in the system of crisis management by an industrial enterprise”, Ekonomika i upravlinnia, vol. 3.
- Proskura, V. F. and Shkyrta, E. V. (2012), “In the reference to the principles and mechanism of anti-crisis management of an enterprise”, Naukovyi visnyk NLTU Ukrainy, vol. 22.3, pp. 300-334.
- Sirenko, N. M. and Holota, I. M. (2015), “Role of innovation in support sustainable socio-economic development of Ukraine”, Ekonomichnyi forum, vol. 1, pp. 164-167.
- Tereshchenko, O. O. and Pavlovskyi, S. V. (2016), “Improving financial mechanism of crisis management”, Finansy Ukrainy, vol. 6, pp. 108-123.
- Terletska, Yu. O. and Ivaniuk, V. V. (2010), “Anti-crisis management: requirements to the system, mechanism and management process”, Visnyk Chernivetskoho torhovelno-ekonomichnoho instytutu. Ekonomichni nauky, vol. 2, pp. 181-188.