The budgets development of international projects in the context of improving the efficiency of foreign economic activities

Abstract

Introduction. Effective management of international projects in modern conditions of globalization and ever-increasing competition is becoming an important success factor for many enterprises, requiring, at the same time, large intellectual, resource, and financial costs. One of the key elements of successful project implementation is a properly formed budget, which determines financial resources and costs necessary to achieve the set goals. However, despite the fact that budgeting, the result of which is the formation of the budget, is not a new practice of domestic organizations, difficulties and problems still arise in its implementation. The purpose of the paper is to identify the problems of the budget development of international projects by domestic enterprises in the context of increasing the efficiency of foreign economic activity and to develop recommendations for their solution. Results. The budget is the result of budgeting, which is an integrated management technology that is directly implemented at the first stage of the management process and forms the basis for its implementation. In the process of developing the budgets of international projects, a detailed analysis of the effectiveness of the use of financial resources, formed sources after the completion of the project and the ineffective use of information in the field of risks is often not carried out, which often leads to an increase in the expenditure part over the revenues in the budgets of international projects. In order to ensure optimal use of resources, improve the budgeting process and make better management decisions, the management staff of domestic enterprises is recommended to implement post-project analysis as the last stage of developing international project budgets. It is a post-completion evaluation of the project, analyzing actual and projected budgets for time, cost, and quality. And also to include the stage of risk management in the process of developing the budgets of international projects. This phase will involve justifying resource allocation decisions and carrying out an assessment of the cost of the measures to be taken to minimize, accept, eliminate or transfer risks. Conclusion. In conditions of uncertainty, recommendations for domestic enterprises to carry out post-project analysis to obtain information about existing advantages and disadvantages in the formed preliminary budgets and the introduction of a risk management stage in the development of the budget at all stages of the implementation of an international project will allow domestic companies to be more efficient in the implementation of foreign economic activities and to use your finances rationally.