Financial management as the main means of increasing the competitiveness of the firm

Abstract

The movement of capital underlies the movement of financial resources. Enterprise finance is a relationship, both monetary and economic, that arose as a result of the movement of money. These relationships need management. Management is a set of techniques and methods of purposeful influence on the object in order to achieve certain results. The purpose of the paper is to identify the impact of financial management on the general state of the enterprise and its competitiveness. Determining the main features of the material condition of the enterprise. Development of a system of gradual and effective implementation of financial position management of the firm. The main problems and features of financial management are considered in the article. This topic is relevant, because making a profit for the company is the main goal, and without the skillful coordination of this unit, it is unattainable. The paper identifies the main aspects, objectives, problems and levers of financial management. The scheme of key stages of implementation and effective recommendations on gradual changes in the financial sphere of the enterprise is offered. For effective research such sources were used as: scientific works, various Internet-sources, materials from profile and periodicals. A systematic approach, generalization methods, dialectical analysis and synthesis were also used. In the current environment, financial management is a system of optimal and rational use of funds, a mechanism for managing cash flows, which is aimed at increasing financial resources, investment and increasing capital. First of all, the management staff of the enterprise must be able to realistically assess the financial condition of the enterprise as a whole and its competitors. This will ensure the survival of the enterprise and increase its competitiveness. Financial management as financial resource management is very dynamic. It contains a system of principles, methods, forms and techniques of regulating the market mechanism in the field of finance in order to increase the competitiveness of the enterprise. To a large extent, the effectiveness of its activities depends on the speed of reaction to changes in financial market conditions, the situation in it and the financial condition of the enterprise. Financial management is a science based on knowledge of basic management techniques, the ability to quickly and correctly assess the situation, the ability to quickly find a way out of a difficult situation. There is no universal algorithm of actions, but if you correctly use the methods, techniques and methods of solving standard problems, you can significantly increase the efficiency of the system.