System of Effective Financial Planning in the Sustainable Development of Agro-industrial Organizations

Abstract

AbstractThe paper develops and describes the author’s system of effective financial planning in the organizations of the agro-industrial complex (AIC). The new system allows for the most effective implementation of the organizations’ plans to reduce financial risks. The paper aims to develop a system of effective financial planning in the sustainable development of the AIC organizations. The authors apply the following research methods: monographic, abstract-logical, economic-mathematical, and comparison. The authors consider the elements of the planning system of agricultural formations, which is internally associated with the categories of unity, subsystem, relationship, hierarchy, and multilevel. Particular attention in the developed financial planning system is given to the Adaptive Situation Center, which operates based on artificial neural networks, allows one to respond to the possible external and internal economic influences quickly, and provides an opportunity to form a strategy for effective planning. The authors describe the realization of function in artificial neural networks and the training of neural networks. The authors present a scheme for training neural networks and a strategic map of the effective functioning of the agricultural organization, which allows linking the organization’s strategic and operational objectives. The main stages of planning in the AIC organizations are discussed. The authors propose methods to improve the quality of the planning system in the AIC organizations. The introduction and implementation of the author’s system of financial planning in agricultural organizations will allow organizations to function and develop steadily in current economic conditions. Moreover, it corresponds to the current economic realities, being situational and sustainable.KeywordsSustainable developmentFinancial planningAgro-industrial complexArtificial neural networksJEL codesQ01Q13P25