Enterprise Security Research Articles

The mechanism of financial diagnostics: financial analysis and its place in the system of financial and economic security of enterprises

The mechanism of financial diagnostics: financial analysis and its place in the system of financial and economic security of enterprises

Анализ экономической безопасности электросетевого комплекса России на основе оценки вероятности банкротства предприятий

Natural monopolies are one of the most profitable sectors of the economy. However, due to the lack of competition, the government has to regulate prices through rigid tariffs, thereby limiting the amount of revenue. This trend plays a huge role for the end consumer, as prices are fixed by the public sector. This negatively affects the economic security of the monopolist enterprise. Improper management of an enterprise in conditions of government regulation, limited investment resources, high consumer requirements for the quality of electricity can lead to the bankruptcy of the power grid company.To identify the risk of bankruptcy in the article, calculations were performed using multiple discriminant analysis models (MDA models: Altman's two-factor model and Fedotova's two-factor model) and logistic models (Logit models: Gruzchinsky's model (2003) and Lin-Piesse's model (2004)) of the annual financial reports of enterprises of the electric grid complex of Russia (subsidiaries of PJSC Rosseti, such as: OJSC IDGC of Urals, PJSC IDGC of Center and Volga Region, PJSC Rosseti Volga, PJSC Rosseti Kuban, PJSC TRK) for the last five years (2016-2020, this period characterizes the financial situation of enterprises before and during the Covid-19 pandemic).

Financial security of enterprises from Poland, Germany, and Great Britain

Pandemics are caused by the negative impact of global threats, we put you at risk in one global world. An effective and efficient mortality tool, bringing also economic and economic successes. The world is currently struggling with the coronavirus (COVID-19) caused by SARS-CoV-2, which unfortunately already has pandemic status. Blow it off on yourself, concerned about how it will affect the global recession
 The aim of the article is to present and compare how governments of countries such as Poland, Germany, and the United Kingdom provide entrepreneurs with financial security in connection with the negative effects caused by COVID-19. At the beginning of the article, it is briefly presented what financial security is, and several measures are distinguished to measure the financial security of enterprises. Then, the financial assistance for entrepreneurs selected to the countries is described. Countries such as Poland, Germany, and Great Britain were selected for the analysis. The most attention was devoted to describing the aid for Polish entrepreneurs. The information used in the article was obtained from the Polish and British GOV portal and from the German ministry responsible for economic policy (BMWi). In the end, support from the government in the analysed countries was compared, and the country is indicated, where entrepreneurs would cope best in the current situation and have the best chance for development. It is also indicated what impact the financial aid of the government has on the development of enterprises.

METHODOLOGICAL ASPECTS OF ANALYSIS OF FINANCIAL SECURITY MANAGEMENT OF THE ENTERPRISE

The article reveals the essence and analyzes the structural and elemental content of the concept of «financial security of the enterprise». It is established that the categorical essence of financial security is mediated by the environment of the business entity and is formed by the relations into which it enters in the process of its practical activity. It is recognized that the financial security of the enterprise should be interpreted as the ability to counteract existing and possible dangers and threats that can and can cause financial damage, transform the capital structure or bring the enterprise to bankruptcy. It is investigated that ensuring the appropriate level of financial security of agricultural enterprises is possible through its management system. The structured system of financial security management of the enterprise is given, which includes the list of external and internal threats, tasks and management algorithm, as well as subsystems of methodical, normative-legal, financial, technical, informational, organizational, personnel support. The methodical tools of monitoring, analysis and assessment of the level of financial security of the enterprise are concretized and systematized. It is proved that the assessment and analysis of financial security is a monitoring of key socio-economic indicators and their comparison with the threshold values. The principles of formation of tools for assessing the financial security of the enterprise are given. The characteristic of methodical approaches concerning quantitative and structural filling of tools of an estimation of a level of financial safety of the enterprise is given. For a comprehensive assessment of the level of financial security of enterprises, it is proposed to use structured groups of indicators in the areas of financial analysis. The structural-logical algorithm of practical realization of methodical approaches of the analysis of management of financial safety of the enterprise is developed.

Consolidating Management Accounting and Economic Security System in a Business Enterprise: A Conceptual Framework

The effectiveness of business management in precarious economic conditions can decrease due to the lack of a well-established economic security system and relevant accounting information that is also an object of special protection. Accounting and security functions in a business enterprise have organic links that need to be shown in organizational measures aimed at elaborating the accounting support for the economic security system in way to achieve its integrity and efficiency. 
 The article presents the author’s framework for integrating the components of management accounting and economic security in a business enterprise, to enhance the effectiveness of management decisions procedures and protect business operation from potential economic crimes. The proposed approach to organization of the management accounting in a business enterprise, to enhance its economic security, includes a series of phases: identifying problems specific to the economic security, substantiating the economic security objectives, building up an economic security system, constructing algorithms for assessment of the economic security performance, setting up the measures for implementation of the economic security requirements, assessing the economic security performance and control of the measures involved in it. 
 It is stressed that an economic security system needs to take into consideration tax-specific risks and incorporate schemes for avoidance of these risks through formulating tax clauses and including them in business contracts. This will help reduce potential losses caused by claims work and provide a tool for protecting rights and interests of a business enterprise through restoring or recognizing the rights for the amounts of money declared in tax reports, thus assuring the proper security of business enterprises in the conditions of uncertainties and volatile tax laws. 
 It is demonstrated that this framework is capable to enhance the effectiveness of management accounting functions in a business enterprise, including compilations of management reports for control, presentation of analytical information for management decision-making, forecasting and choice of effective decisions for future development, avoidance of losses, assurance of financial viability.

ENSURING ECONOMIC SECURITY OF THE ENTERPRISE

The purpose of the article is to identify problems in the operation of the enterprise and ensure its economic security; formation of a financial risk management system as an important component of economic security of the enterprise. The research methodology is based on the use of general scientific and specific methods, in particular: analysis and synthesis, induction and deduction, modeling, systematization and generalization. The scientific novelty of the obtained results lies in the substantiated essence of the main dangers and threats, the nature of their impact on the economic security of the enterprise and the need to identify them to economic security. Conclusions. It is established that the structural composition of the economic security system is formed by domestic and non-industrial components. Many nonproduction components of economic security of enterprises are provided, which include market and information. The main components of economic security of enterprises are generalized and their essence is determined, the services responsible for them are specified. A group of principles for building a system of economic security of enterprises: legality, systematic construction, economic feasibility, efficiency of management decisions, efficiency, cost optimization, validity, complexity, balance, timeliness, continuity, continuous monitoring, activity, coordination and interaction, centralization, integration, direction on strategic goals, objectivity, efficiency and dynamism, variability, adequacy of response, adaptability, flexibility of management, development and improvement, incentives and responsibilities. Key words: enterprise, economic security, economic security system of the enterprise, external and internal threats, national security

System for evaluation of financial security of operational activity of oil-and-fat industry enterprises

Purpose. The purpose of the article is to develop a system for evaluation the state of financial security of operating activities of enterprises in oil-and-fat industry based on the coordination of the interaction of the main factors of influence and levels of its components.
 Methodology / approach. In the process of writing the article the following research methods were used: abstract-logical (at the systematization of scientific publications on the problems of management of enterprises in oil-and-fat industry, financial security of enterprises), grouping (by clustering enterprises depending on the obtained results), comparisons (by developing a model for assessing the degree of financial stability of operating activities of enterprises), coefficient (by developing a model for assessing the degree of liquidity of enterprises), formalization (by developing a matrix for diagnostics of the state of financial security of operating activities of enterprises), generalization (by formulating research conclusions).
 Results. In the process of research, the system of complex evaluation of degrees and levels of the main components of financial security of the operations activities of the enterprises in oil-and-fat industry was substantiated: a model for assessing the financial stability of operating activities and a model for assessing the liquidity of an enterprise. A diagnostic matrix for the financial security status of the operational activities of the enterprises in oil-and-fat industry was developed to define the security boundaries of the operation activity of enterprises. Approbation of the proposed system for assessing the financial security of operating activities on the materials of the selected group of enterprises in the oil-and-fat industry made it possible to analyze the dynamics of the state of the financial security of their operating activities.
 Originality / scientific novelty of the research is to develop tools for a comprehensive evaluation of the financial security of the operating activities of the enterprises in oil-and-fat industry. The method of determining the impact of the degree of financial stability and liquidity of the enterprise on the level of financial security of current activities was improved. For the first time, a nine-quadrant matrix of the state of financial security of operating activities of enterprises depending on the ratio of the degrees of the above factors was substantiated.
 Practical value / implications. The use of the proposed system of financial security evaluation of operating activities of the enterprise, according to the authors, can serve as an effective mechanism for managing the financing current activities of enterprises in oil-and-fat industry and become an informative tool for factor analysis in managing their overall financial security.

Ключові чинники безпеки підприємства у світлі стейкхолдерської теорії

Abstract. Introduction. Security is one of the main conditions of the enterprise. In today's market economy, the company operates in difficult, unstable and uncertain conditions. The characteristics of the company's ability to self-support and active development come to the fore, taking into account staff behavior, management relationships, stakeholder involvement in the discussion and decision-making process to identify risks, threats and minimize them. Purpose. The aim of the study is to analyze the essence of the concept of "security" and the composition of its structural components, as well as the feasibility of introducing human capital as a component of enterprise security and internal stakeholders of the enterprise. Results. It is presented that security threat means changes in the internal and external environment of the entity, which lead to negative changes in the security entity. The most common classification of security threats is their division into internal and external. It is noted that the classification of safety should be carried out by areas of enterprise management, which are often reflected in the organizational structure of management: environmental, social, legal, law enforcement, information, economic. It is noted that economic security is the most informative component, which reflects the consequences of all processes occurring during the operation of the enterprise. The study found that the most complex part of the security system is the person and the human factor can have a critical impact on business success. Conclusions. It has been studied that human capital is associated with employees and managers of the enterprise, which are the main source and generator of knowledge, part of the internal stakeholders of the enterprise. This capital at the same time requires appropriate investments in its development (investment) and contributes to the goals of the enterprise, forming added value. Our further research is relevant to assessing the level of impact of stakeholders in terms of investment in human capital. It is determined that part of the internal stakeholders of the enterprise (as human capital) occupies a leading place in the development resources of each organization and is therefore the main source of uncertainty, and the risks associated with some internal stakeholders can be identified as complex.

DESIGNING A SECURE NETWORK SOLUTION AGAINST DHCP ATTACKS

DHCP is an important aspect in small and large networks, since it facilitates the IP configuration of computers. However, DHCP is vulnerable to different attacks; therefore, the essential objective of this paper is to propose solutions against DHCP attacks. The paper gives an explanation about how DHCP works and understand the handshake mechanism and give a brief summary about DHCP attack, how they occur and how they affect the security of the enterprise since a leakage of sensitive Information could happen, which threatens the enterprise's security or a denial of service that immobilizes the network. Three effective countermeasures are looked up and tested against DHCP attacks, and each one successfully prevented the attack.

К АКТУАЛЬНЫМ АСПЕКТАМ ОБЕСПЕЧЕНИЯ ЭКОНОМИЧЕСКОЙ БЕЗОПАСНОСТИ РОССИЙСКИХ ПРЕДПРИЯТИЙ ФУНКЦИОНИРУЮЩИХ ЗА РУБЕЖОМ

The uncertainty of the conditions of the market economy and its impact on the functioning of modern enterprises is characterized by instability and unpredictability of the external environment. The increase in the number of unprofitable enterprises, the severe impact of the crisis and pandemic, the threat of bankruptcy determine the importance of developing directions and measures that ensure the effectiveness of financial and economic activities, stable economic condition and economic security.
 In real time, the main aspects of economic security of various enterprises occupy an important place in the world economic science, which causes the interest and relevance of studying economic security issues from scientists from different countries.

IDENTIFICATION OF SUBSTANTIVE CHARACTERISTICS THE LOGISTICS STRATEGY ENTERPRISES AT NETWORK STRUCTURES IN THE SYSTEM OF ECONOMIC SECURITY

The formation of a logistic strategy in the mechanism of economical security in our time is not surrounded by the same functions of enterprises of fancy structures, but rather all aspects and processes of the system and the establishment of the previous variability. The article conducts a comprehensive study of conceptual essence the logistics strategy of enterprises at network structures in the context of economic security. The types of logistics strategies are substantiated, and also the model of realization this strategy in the context of maintenance economic safety is offered. It is proposed to consider logistics strategies as a determining factor in the economic security of business structures. An algorithm for the implementation of logistics strategy in the system of economic security of enterprises at network structures is formed.

ПРОБЛЕМЫ ЦИФРОВИЗАЦИИ ПРОМЫШЛЕННЫХ ПРЕДПРИЯТИЙ ОБОРОННО-ПРОМЫШЛЕННОГО КОМПЛЕКСА

The paper considers the problems of economic security of industrial enterprises of the military-industrial complex (MIC) associated with a sharp increase in the requirements for digitalization of data, certain formats for uploading analytics, automation of reporting. The unwillingness of both the enterprises themselves and the Ministry of Defense of the Russian Federation to the rapid introduction of digital methods for collecting and processing confidential information, which is essentially a trade secret of defense industry enterprises, was noted. In this connection, concerns have been voiced about the security of data transmission channels of military missions of the Ministry of Defense, which threatens the economic security of industrial enterprises and the defense industry of the Russian Federation as a whole.

The problem of selecting digital development priorities for the region and ways of its solution

The article discusses the problems of choosing digital development paths for the region, using the Nizhny Novgorod region as an example. Based on the hierarchy analysis method, regional policy priorities for deepening digitalisation processes have been determined. Alternative directions for the region’s digital development have been proposed in terms of priorities for improving information and communication infrastructure, enhancing human resources capacity, creating new digital technologies and investments in digitalisation. The necessity of integration of federal and municipal information systems and development of advanced production technologies related to information and communication technologies necessary to ensure the competitiveness and economic security of enterprises in the Nizhny Novgorod region has been substantiated.

Managing the Financial Security of Organizations During the Covid-19 Pandemic – Multivariate Analysis

The study includes an analysis of the functioning of micro, small and medium-sized enterprises during the COVID-19 pandemic from the perspective of financial security management of these entities. The article covers the identification of threats in the area of finances of the discussed enterprises that arose during the pandemic, as well as the assessment and approach to financial risk management in these entities. As a result, the key categories of threats to the financial security of enterprises, arising during the COVID-19 pandemic, were presented, as well as the assessment of the effectiveness of state services responsible for ensuring financial security. The study focuses on multidimensional data analysis in terms of their grouping and unraveling in terms of comparing the considered variables in terms of dynamics. Initial studies were performed by comparing several variables, and the data were analyzed not only during the COVID-19 pandemic, but also in the pre-pandemic period in terms of observing their fluctuations in dynamic terms, and the relationships between them were also examined.

MARKETING TOOLS TO ENSURE THE ECONOMIC SECURITY OF THE ENTERPRISE: THE ESSENCE AND CLASSIFICATION

In the article a role and value of marketing and his instruments are certain with the aim of providing of economic security of enterprise. On results what reached to the conclusion, that marketing activity of enterprise is one of functional constituents of economic security of enterprise, that can positively on her influence through implementation in practical activity of corresponding marketing instruments. The structural elements of economic security of enterprise are analysed. The semantic filling of marketing constituent of economic security of enterprise that envisages the presence of next elements is outlined, in particular: subjects, aim of realization of marketing constituent of economic security of enterprise, mechanism of realization and objects. Authorial determination over of category is brought “marketing instruments” that will be used with the aim of providing of economic security of enterprise. The necessity of realization of classification of marketing instruments актуалізовано and classification signs are offered and systematized corresponding marketing instruments in accordance with each of them. The brought classification over allows complex to overcome різновекторність of marketing activity of enterprise and her influence on economic security. The basic tasks of instruments to marketing are certain in the context of providing of economic security of enterprise. Attention is accented on changes, that took place in the field of marketing as a result of the transformation of marketing environment, caused by distribution of Covid – 19. In particular, it is marked that by the most popular and effective instruments of marketing, that are used in the modern terms of menage there are internet-marketing instruments that provide for forming the newest on-line marketing environments.

Payment system as a basic element of the digital economy: institutional-behavioral aspects

Methods. The methodological basis of the research is the scientific works of domestic and foreign scientists and leading experts in the field of financial analysis and modeling of economic processes, as well as statistical and financial reporting data that are publicly available. To construct an integral indicator of the financial security of an enterprise, a fuzzy conclusion is used. Results. It is shown that for assessing the level of the financial security indicator of an enterprise, the fuzzy set method is the most effective in comparison with linear models, since it takes into account the uncertainty of the internal and external environment of the enterprise as much as possible. The fuzzy expert system actually allows you to use a significant number of input parameters, both quantitative and qualitative. The specific choice of input parameters should be justified, on the one hand, by their weight, and on the other hand, by the complexity of collecting data necessary to assess the state of financial security of the enterprise. To implement the proposed fuzzy-logical approach to determining the integral indicator of financial security of an enterprise (Financial Security (FS)), Financial coefficients are used that characterize solvency (Current Ratio (CR)), financial independence (Equity Ratio (ER)), profitability of total assets of the enterprise (Return on Assets (ROA)) and affect the target indicator. Novelty. The general structure of the fuzzy logic expert system constructor is presented as a data transformation within the system itself. For a fuzzy-logical approach, in order to determine the integral indicator of financial security of an enterprise Y123 (Financial Security (FS)), three input indicators are selected that affect the target indicator, namely: the current liquidity ratio X1(CR), the autonomy ratio X2 (ER) and the return on total assets ratio X3(ROA). Practical value. Indicators that make it possible to assess the financial security of enterprises to the greatest extent are proposed, and practical recommendations are given for the ranges of their optimal values for constructing an integral indicator of the financial security of enterprises using a fuzzy-logical approach.

ORGANIZATION OF ACCOUNTING AS ONE OF THE MAIN ELEMENTS OF ENSURING THE ECONOMIC SECURITY OF THE ENTERPRISE

The article considers the organization of accounting from the standpoint of one of the main elements in ensuring the economic security of the enterprise. It was found that accounting data is the most important link for making management decisions inside and outside the enterprise. Accounting not only establishes the facts of the economic activity of the enterprise, but also affects the results of the activity directly due to its analytical nature, that is, it provides detailed and reliable information about the cause-and-effect relationships of economic phenomena and processes. Accounting information makes it possible to provide a comprehensive analysis of economic activity, solvency and the level of liquidity of assets, drawing up a credit policy. A conceptual scheme is proposed that reflects the place of accounting in ensuring the economic security of enterprises. It is emphasized that on the basis of accounting, economic activity is determined, the received data is processed, stored for a certain time, and the data is processed so that it becomes useful information; information is transmitted through reports to those who use it to make management decisions. The key factor determining the economic security of a business is accounting, which systematizes all the necessary information and gets priority access to important information. The information received from the accountant is used by managers to make important tactical and strategic decisions. Based on the results of these decisions, the enterprise will function in the future. It is emphasized that accounting as a system of information support and functional management is a link between decision-makers and economic activity. Moreover, accounting determines the economic situation of a business entity. High-quality management of the enterprise occurs thanks to the informational functional component of economic security, which includes accounting and analytical information that promptly reflects all enterprise management processes, helps monitor the efficiency of resource use, detects deviations from the planned and, most importantly, ensures economic security. Keywords: economic security, accounting and analytical support, accounting, management accounting, financial accounting, tax accounting.

К вопросу о взаимосвязи рискоустойчивости и экономической безопасности в условиях конкуренции

The relevance of the chosen research topic is due to the fact that in modern conditions of economic instability and increasing competition, there is a high degree of uncertainty, both in the external and internal environment. All this forces business entities to constantly monitor the environment, look for alternative management solutions aimed at ensuring the risk resistance of the enterprise while maintaining the optimal level of profitability. Many obstacles exist in the conduct of business activities: information uncertainty, unstable economic environment, unpredictability of market conditions, prices, supply and demand, consumers’ ability to pay, low efficiency of the tax system. In this regard, an increasing number of enterprises are introducing risk assessment and analysis systems in their practice. However, due to the fact that each functioning enterprise differs in a number of specific features and, first of all, in economic activity, size, business processes, today there is no single methodological approach to risk management. In the scientific literature, there are many alternative methods for identifying risk factors and their assessment, but they are all considered through the prism of the specific characteristics of an economic entity. The purpose of the study is to develop theoretical foundations and methodological approaches to substantiate the relationship between risk resistance and economic security in order to ensure the strengthening of the competitiveness of the functioning of a small enterprise. Especially the authors of the article highlighted the review of scientific opinions of such concepts as “risk resistance”, “economic security of the enterprise”. The article is devoted to the consideration of such an important aspect of the life of an enterprise as ensuring its competitiveness. In this regard, the authors focus their attention on the relationship and impact on the economic security of the enterprise of its risk resistance. On a specific example, a model of the relationship between financial stability and economic security of a small enterprise is presented. The article examines the scientific positions and points of view of various researchers on this issue, formulates the authors’ opinion based on these observations, describes the main conclusions and recommendations.

Practical cyber security for small and medium sized enterprises

This paper presents practical examples of cyber security policies for small and medium-sized businesses. The security of small and medium-sized enterprises plays an important role in national security. The goal is to bring a simplified cyber security model for micro enterprises in the context of the National Cyber Security Strategy “Cyber Resilient Bulgaria 2020”.

Methodology for Assessing the Risks of Information Enterprise Security Using Case Technologies

Purpose of the study. Creating an effective information security system of an enterprise is impossible without an adequate assessment of the risks to which its assets are exposed. The results of such an assessment should become the basis for making decisions in the field of information security of the enterprise. Identification of information assets and assessment of their value, determination of the level of threats to the security of assets allow planning measures to create an enterprise information security system.This paper discusses a methodology for assessing the risks of information security of an enterprise, a distinctive feature and novelty of which is the use of modern tools and methods for constructing and analyzing business processes in order to identify the information assets of an enterprise to be protected.Materials and methods. It is proposed to identify information assets based on the model of business processes of the enterprise, performed using the IDEF0 methodology. Modeling of business processes was carried out in the Business Studio environment of the “Modern Management Technologies” company.The activity of a typical IT-industry company was considered as an example for the risk analysis.Results. The methodology for assessing the risks of information security of an enterprise described in the article has been successfully tested in the educational process. Its use in conducting laboratory classes in the discipline “Designing the information security system of enterprises and organizations” for masters studying in the direction of “Information security” allowed, according to the authors of the article, to increase the effectiveness of the formation of students’ professional competencies.Conclusion. The paper proposes a methodology for assessing information security risks for objects of an enterprise’s information infrastructure, which makes it possible to identify priority areas of information security at an enterprise. As a result of the application of the technique, a loss matrix is formed, showing the problem areas in the organization of information protection, which should be given priority attention when planning information security measures. Based on the data obtained, it is possible to form an economically justified strategy and tactics for the development of an enterprise information security system.