Monitoring as a Vector of the Management Cycle of Financial Activity of Business Entities in the Context of War Challenges
Authors: Shalimov Volodymyr ,   Donetsk State University of Internal Affairs, Guzenko Olena ,   Donetsk State University of Internal Affairs
Published: July 2024

The purpose of the study is to examine the monitoring segment from the standpoint of the management cycle of financial activity of business entities in the context of war challenges, with the aim of modernizing the content of the conceptual apparatus of this process and the directions for improving its functioning. The conducted research allowed the author to conclude that the financial activities of business entities in the context of war challenges lead to a negative impact of external and internal factors that disrupt and reduce a certain level of achievement of the intended performance. It is substantiated that there is an urgent need to revise the existing components of the cycle of management of financial activities of business entities in order to make them more adaptable and protected from the impact of war challenges. To improve the quality of management of financial activities of business entities, it is advisable to introduce a monitoring segment which will expand the functional responsibilities of responsible persons and ensure a more substantive accumulation of information resources for making management decisions. For this purpose the attention is drawn to the existing scientific positions on the interpretation of the conceptual category “monitoring”. The key segments that included to characterize its essential content are disclosed. The necessity of improving the quality level of management of financial activities of economic entities by modernizing the conceptual apparatus is substantiated. It is proposed to adapt the conceptual category of "monitoring segment of financial management" in the management cycle, which is understood as a complex interaction of responsible persons of the management cycle, aimed at carrying out the process of supervision and control on the basis of systematic or continuous collection of financial information on the parameters of evaluation of the financial activity of enterprise, its processing by certain methods and techniques to determine the trends of their change for the reporting period. It is substantiated that this process should be the basis for the preparation and formation of a comprehensive information flow for making informed management financial decisions. The advantages of the author's position of the essential content of this category are determined: the implementer of the monitoring segment of financial management is taken into account; the purpose of the supervision and control process based on systematic or continuous collection of financial information, its processing by certain methods and techniques is outlined. The author outlines the direction of work of the responsible persons, namely, establishing the behavior of the parameters for assessing the financial performance of an enterprise, to determine the trends in their change over the reporting period. The final stage of the responsible persons' work is indicated, namely, preparation and formation of a comprehensive information flow for making informed financial management decisions.