Financial monitoring of the port industry companies on the basis of risk-oriented approach

  • Released On
    Monday, 08 May 2017
  • Author(s)
  • DOI
    http://dx.doi.org/10.21511/imfi.14(1-1).2017.05
  • Article Info
    Volume 14 2017, Issue #1 (cont.), pp. 191-199
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The paper determines that the need in financial monitoring of Ukrainian companies of the port sector is caused by financial consequences related to the need to protect the environment, the existence of a dominant part of payments in foreign currency (foreign exchange risk associated with currency fluctuations), the possibility of cash outflows into the shadow sector of the economy and the possibility to use transport for smuggling. In addition, in the recent years there is a tendency of diminished financial stability of the seaports of Ukraine, which is a signal to determine the factors that have an impact on this situation, the consequences of risky operations and the optimal structure of sources for the formation of assets. An important aspect of financial monitoring is the necessity to identify the data about the objecton the basis of insignificant and relevant information, which makes it possible to avoid non-essential features and parameters and to speed up the decision making process at the lowest cost of expenditures and time. The study offers a methodical approach to financial monitoring of the port industry companies on the basis of the risk-based approach that takes into account the conditions for the functioning of port companies and their business characteristics, making it possible to implement the appropriate measures to prevent and avoid risky financial transactions and, consequently, to increase/preserve the competitiveness of the port sector companies. Regarding the need in further studies of the practical realization of financial monitoring of the port sector companies, there is a choice and substantiation of aggregate indicators of the financial monitoring system, their listing with a view to specific features, types and scale of activities.

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    • Fig. 1. Methodical approach to financial monitoring of the port industry companies on the basis of a risk-based approach
    • Table 1. Cargo turnover of sea ports (with a volume of more than 100 thousand tons) of the Black Sea-Azov basin, mln. tons
    • Table 2. Financial indicators of public stevedoring companies in Ukraine in the period 2014-2015, mln. UAH