Abstract
This contribution examines the financial security system of the economic entity, the existing risks that affect financial security, suggests a methodology for financial risks assessment, and suggests measures to reduce the negative impact of financial risks. Financial security of the economic entity is the ability to influence financial risks in order to minimize them and ensure the fact that current performance is consistent with strategic performance, and to ensure an adequate level of financial control. Basic financial security risks of the economic entity can be quantified on the basis of indicators that characterize certain economic processes. Management of financial risks should be based on the risk-oriented approach. The probability of risks depends on the quantitative interval of the indicator or on the qualitative characteristics (in the case when a quantitative measurement is impossible). Monitoring the level of financial risks, conducted according to the data of companies of the Russian Federation makes it possible to conclude that there are trends in their changes and, accordingly, the possibility of planning and changing the level of risks through management decisions.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Notes
- 1.
Decree of the President of the Russian Federation of 29.04.1996 No. 608: On the State Strategy of Economic Security of the Russian Federation (Basic Provisions). Collection of Legislation of the Russian Federation. 18, 2117 (1996)
- 2.
Decree of the President of the Russian Federation of May 13, 2017 No. 208. On the Strategy of Economic Security of the Russian Federation for the Period to 2030: Collection of Legislation of the Russian Federation. 20, 2902 (2017)
References
Belskaya, E., Dronov, E.: Features of financial security management in the company. Bull. Tula State Univ. Econ. Leg. Juridical Sci. 10, 9–15 (2013)
Blank, I.A.: Upravlenie finansovoj bezopasnost’ju predprijatija, Kiev (2013)
Brigham, E.F., Ehrhardt, M.C.: Financial Management. Theory & Practice, 14th edn. European Convention on Certain International Aspects of Bankruptcy, Istanbul (2013)
D’Amico, G., Scocchera, S., Storchi, L.: Financial risk distribution in the European Union. Physica A: Stat. Mech. Appl. 505, 252–267 (2018)
Hlaing, S.W., Kakinaka, M.: Financial crisis and financial policy reform: crisis origins and policy dimensions. Eur. J. Polit Econ. 55, 224–243 (2018). https://doi.org/10.1016/j.ejpoleco.2017.12.005
Kirichenko, O., Kim, Yu.: Influence of inflation processes on financial security of the company. Econ. Country 1, 23–25 (2014)
Naumova, O.A.: Financial security of an enterprise. In: Ashmarina S.I. (ed.) Problems of Enterprise Development: Theory and Practice. Materials of the 13th International Scientific and Practical Conference, pp. 235–236. Samara, Russia (2014)
Nkeki, C.I.: Optimal investment risks and debt management with backup in the financial crisis. J. Comput. Appl. Math. 338, 129–152 (2018). https://doi.org/10.1016/j.cam.2018.01.032
Papekhin, R.S.: Indikatory finansovoi bezopasnosti predpriyatiya [Indicators of Financial Security of the Enterprise]. Volgogradskoe nauchnoe izdatel’stvo, Wolgograd (2007)
Parfenova, T.A.: Financial security of the company: a system approach. Consultant 15, 14–18 (2010)
Zaporozhtseva, L.A.: Financial security of the company in the transition to IFRS. Int. Acc. 36(186), 46–51 (2011)
Zhe, L., Ke, L., Kaibi, W., Xiaoliu, S.: Research on financial risk management for electric power enterprises. Syst. Eng. Procedia 4, 54–60 (2012)
Author information
Authors and Affiliations
Corresponding author
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2019 Springer Nature Switzerland AG
About this chapter
Cite this chapter
Naumova, O.A., Svetkina, I.A. (2019). Monitoring the Financial Security of the Economic Subject on the Basis of Financial Risk Assessment. In: Ashmarina, S., Vochozka, M. (eds) Sustainable Growth and Development of Economic Systems. Contributions to Economics. Springer, Cham. https://doi.org/10.1007/978-3-030-11754-2_26
Download citation
DOI: https://doi.org/10.1007/978-3-030-11754-2_26
Published:
Publisher Name: Springer, Cham
Print ISBN: 978-3-030-11753-5
Online ISBN: 978-3-030-11754-2
eBook Packages: Economics and FinanceEconomics and Finance (R0)