Open AccessRISK ANALYSIS OF INEFFICIENCY AT UKRAINE’S MACHINE BUILDING ENTERPRISES
Author(s) -
Maryna Afanasieva
Publication year - 2019
Publication title -
ekonomìka ukraïni
Language(s) - English
Resource type - Journals
eISSN - 2522-9478
pISSN - 2522-9303
DOI - 10.15407/economyukr.2019.03.022
Subject(s) - inefficiency , nonparametric statistics , profit (economics) , business , econometrics , statistics , economics , computer science , operations management , industrial organization , microeconomics , mathematics
The paper considers the risk identification of inefficiency concerning 51 Ukrainian joint-stock companies of machine building in 2012–2017. The value added at factor cost (VA) is determined as the resulting indicator of production efficiency, which is a source of income of various social groups, so it contributes to combined efforts. To support advanced production and management technologies, rather than an extensive market capture, the multiplicative model of VA has been suggested with the VA share in output to assess the quality processes within the enterprise. Economic analysis of the annual public financial statements and the structural statistics were conducted to study proportion between the cost elements in sum of expenses with link to profit in net turnover for the main operating activity. As a result the models of two types of risk coefficient have been proposed. It has been verified by statistical analysis. Data were checked on submission to normal distribution law by Shapiro – Wilk test and homogeneity by coefficient of variation. With the help of nonparametric analysis of variance by Kruskal – Wallis test and Spearman rank correlation coefficients; it has been proved that risk groups differ from other enterprises and from each other statistically significantly. We conclude that 37% of the sample enterprises are risky; a third of this is the large and medium-sized companies. Advantages of the method in comparison with Ward clusterization were shown. When making decisions about resource allocation, it should be confirmed that the enterprise is risk-free according to algorithms provided. To improve situation it needs to apply sustainable development concept.