Methodology for assessing the impact of management decisions on the financial and economic security of an enterprise

Ensuring the financial and economic security of enterprises in the current conditions of globalisation, technological changes, and digitalisation has become important for maintaining their sustainability, efficiency, and competitiveness. The purpose of the study was to develop a methodology for assessing the impact of management decisions on the financial and economic security of an enterprise to increase its sustainability and efficiency. The paper offers a methodology that integrates strategic, financial, and budgetary, investment, digitalisation, organisational, personnel, and risk management solutions, along with control over costs and resources. The methodology combined components that provided a comprehensive assessment of the effectiveness of management's actions, allowed structuring information and forming an integral index of the impact of management decisions. This index correlated with the integrated financial and economic security indicator (FEBS), which reflected the level of stability, solvency, innovation, and adaptability of the enterprise. The application of the methodology on the example of LLC “Agroplus 2006” demonstrated that the implementation of a coordinated set of management solutions − from digitalisation and increasing management transparency to optimising the financial structure, improving operational indicators, and strengthening the risk management system − provided a substantial increase in FEBS, strengthened financial stability, and contributed to the long-term development of the enterprise. It was determined that digitalisation initiatives provided increased transparency in decision-making, investment measures strengthened resource potential, and management practices for cost optimisation and cost control contributed to reducing unproductive costs and increasing margins. As a result of the analysis, the FEBS indicator was 0.3894, which corresponded to the lower threshold, and after the implementation of management decisions, it increased to ≈ 0.5945 and moved to the medium level of security. The greatest impact on FEBS growth was provided by digitalisation (the Digital Index increased from 0.4 to 0.75) and enhanced operational efficiency, in particular, an increase in EBITDA margin (to 0.5667). The use of the methodology allowed identifying critical areas of management, assessing the sensitivity of FEBS indicators to external and internal risks, and predicting the consequences of alternative management strategies. The proposed approach contributed to the integration of modern management practices, digital technologies, and analytical methods into the decision-making process, providing a comprehensive assessment of financial and economic security and increasing the efficiency of enterprise management in difficult and dynamic market conditions