Digitization as an innovative segment of enterprise financial security management

Keywords: digital economy, digitization, financial security, enterprise sector, innovative approach, definition, mathematical function of financial security, profitability criterion, management segment

Abstract

Today, the global trend of the digital world economy is entering an active phase of its development. In the leading countries of the world, the development of digital technologies, both at the state and corporate levels, has been begun to advance massively in government programs and business strategies. The substantiation of the role aspect of introduction of the process of digitization as an innovative element of improvement of the system of financial security management of representatives of the business sector of the economy is relevant. It is to investigate the impact of the digitalization system on improving the financial security management of enterprises in the process of improving the conceptual apparatus and develop an economic and mathematical model for evaluating financial security based on innovative proposals.

To achieve this goal, we used the method of theoretical generalization to determine the conceptual apparatus of digitization and economic-statistical methods to substantiate the economic and mathematical model of assessing the financial security of enterprises. It is proposed to expand the conceptual apparatus of the system of financial security management of enterprises by introducing such definitions as «digitization of financial security», «digital base of financial storage» and «regulator of financial security». The authors’ position of the essential characteristic of the definitions is given and the advantages of their adaptation in the management cycle are stated. The feasibility of introducing the principle of «digitization of financial security» as one of the key elements of the innovative proposal of the system of financial security management of enterprises in the future is argued. An economic and mathematical model of financial security assessment based on the profitability criteria is developed and substantiated. A number of proposals have been made to improve the financial security management of enterprises based on individual segments of the digitization system.

Author Biographies

Kotkovskyi Volodymyr , Kryvyi Rih Faculty of the National University «Odesa Law Academy»

Doctor of Economics, Associate Professor,

Associate Professor of the Department of Socio-

Political and Economic Disciplines

Vitalii Zaluzhny, Kryvyi Rih Faculty of the National University «Odesa Law Academy»

PhD in Law sciences, Dean of the Faculty

Vitalii Kadala, Donetsk Law Institute of the Ministry of Internal Affairs of Ukraine

PhD in Law sciences, Associate Professor,

Head of the Department of Economic and Legal Disciplines

Olena Guzenko, Donetsk Law Institute of the Ministry of Internal Affairs of Ukraine

PhD in Economic, Associate Professor,

Associate Professor of the Department of the 

Department of Economic and Legal Disciplines

Maryna Bohatyrova, Kryvyi Rih Faculty of the National University «Odesa Law Academy»

Senior Lecturer at the Department of Socio-Political

and Economic Disciplines

Julia Leskova-Hodlevska, Kryvyi Rih law college of the National University «Odesa Law Academy»

Director

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Published
2020-09-13
How to Cite
Volodymyr , K., Zaluzhny, V., Kadala, V., Guzenko, O., Bohatyrova, M., & Leskova-Hodlevska, J. (2020). Digitization as an innovative segment of enterprise financial security management. VUZF Review, 5(3), 13-19. https://doi.org/10.38188/2534-9228.20.3.02
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Articles