RISK MANAGEMENT IN THE PROCESS OF CAPITALIZATION MANAGEMENT OF AN AGRICULTURAL ENTERPRISE

Abstract

The work considers and substantiates the need to introduce risk management to improve the efficiency of enterprise capitalization management. The state of war significantly affects the riskiness and uncertainty of entrepreneurial activity in Ukraine in general and the agricultural sector in particular. The latter receives additional risks associated with seasonality and changing natural conditions. The direction of capital management of the enterprise is to determine the sources and structure of its formation, which directly affects the risks of loss of financial stability. In general, a large number of internal and external factors affect the activity of an agricultural enterprise, which must be predicted and taken into account. For this, a well-established risk management system of the enterprise must be formed. Building an effective system for countering all possible risks and threats enables the management of agricultural enterprises to quickly adapt to the new requirements of the time. The risk management system is usually interpreted as a set of methods, techniques and measures that allow predicting the likely occurrence of risk events and taking measures to avoid or reduce the negative consequences of their occurrence. Countering risks is a complex process that requires strategically balanced and continuously implemented procedures. For this purpose, the necessary action algorithms are developed for each situation that arises during the conduct of business by an agrarian enterprise. The main goal of risk management in the process of creating safe conditions for the capitalization of an agricultural enterprise is control over all its business processes. Risk management must be integrated into the capitalization management system of agrarian enterprises, which will allow them to safely form their financial resources in conditions of instability of the internal and external business environment. The advantages of introducing risk management in the process of capitalization management are effective management of business processes, quick adaptation to changes, strengthening of the market position of agribusiness, growth of production capabilities, and improvement of financial stability.