ORGANIZATIONAL AND ECONOMIC ASPECTS OF INCREASING COMPETITIVENESS OF UKRAINIAN BANKS
Introduction. Modern business conditions and comprehensive economic globalization put the banking institutions at the forefront of the task of achieving and maintaining a high level of competitiveness both on the domestic and on the external financial markets, as banks serve as the main intermediari...
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| Format: | Article |
| Language: | English |
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Mykolayiv National Agrarian University
2018-01-01
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| Series: | Modern Economics |
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| Online Access: | https://modecon.mnau.edu.ua/issue/6-2017/UKR/ivanova.pdf |
| _version_ | 1811342276492787712 |
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| author | Ivanova S. Viadrova I. |
| author_facet | Ivanova S. Viadrova I. |
| author_sort | Ivanova S. |
| collection | DOAJ |
| description | Introduction. Modern business conditions and comprehensive economic globalization put the banking institutions at the forefront of the task of achieving and maintaining a high level of competitiveness both on the domestic and on the external financial markets, as banks serve as the main intermediaries in the whole complex of relationships between different economic subjects. To achieve and maintain the competitiveness of banks it is important to create an effective management mechanism, which determines the relevance of the chosen topic.
Purpose. The purpose of the work is to summarize the existing theoretical aspects concerning the competitiveness of banks and develop organizational and economic approaches to its enhancement and implementation in banking practice.
Results. The article generalizes the notion of competitiveness as an economic category and defines the main approaches of scientists to its interpretation. The role and importance of foreign capital in the banking system and its impact on the competitiveness of banks are considered, and the share of foreign capital in the authorized capital of banks for the period of 2008-2017 is calculated. On the basis of the comparative analysis, the impact on the competitiveness of the largest banking institutions of Ukraine on the performance indicators, such as volumes of assets, liabilities of banks and capital adequacy, was investigated. The possibility of increasing the efficiency of the mechanism of ensuring competitiveness according to the process approach is outlined. By means of the Microsoft Office Visio software system, the Bank’s own Banking Business Management business process was built to ensure the bank’s viability and its structural analysis according to the IDEF0 standard of the SADT methodology.
Conclusions. The relationship between the analysis of the bank’s position and the development of its development strategy is important for the understanding and effective management of market participants by their own activities. A schematic representation of the business process of managing the competitiveness allows us to thoroughly examine ways to achieve the best indicators of competitiveness by the bank, which has a positive impact on the development of the economy and its rate. The use of a process-oriented approach to the organization of a bank management system enables: to respond quickly to changes in the environment; provide an optimal mechanism for information exchange between functional units. |
| first_indexed | 2024-04-13T19:08:43Z |
| format | Article |
| id | doaj.art-fc105a978b5c458f97722f67225f39ea |
| institution | Directory Open Access Journal |
| issn | 2521-6392 2521-6392 |
| language | English |
| last_indexed | 2024-04-13T19:08:43Z |
| publishDate | 2018-01-01 |
| publisher | Mykolayiv National Agrarian University |
| record_format | Article |
| series | Modern Economics |
| spelling | doaj.art-fc105a978b5c458f97722f67225f39ea2022-12-22T02:33:55ZengMykolayiv National Agrarian UniversityModern Economics2521-63922521-63922018-01-0166977ORGANIZATIONAL AND ECONOMIC ASPECTS OF INCREASING COMPETITIVENESS OF UKRAINIAN BANKSIvanova S.0Viadrova I.1student, Kharkiv academic institute State Higher Education Institution «University of Banking», Kharkiv, UkrainePh.D in Economics, professor, Kharkiv academic institute State Higher Education Institution «University of Banking», Kharkiv, UkraineIntroduction. Modern business conditions and comprehensive economic globalization put the banking institutions at the forefront of the task of achieving and maintaining a high level of competitiveness both on the domestic and on the external financial markets, as banks serve as the main intermediaries in the whole complex of relationships between different economic subjects. To achieve and maintain the competitiveness of banks it is important to create an effective management mechanism, which determines the relevance of the chosen topic. Purpose. The purpose of the work is to summarize the existing theoretical aspects concerning the competitiveness of banks and develop organizational and economic approaches to its enhancement and implementation in banking practice. Results. The article generalizes the notion of competitiveness as an economic category and defines the main approaches of scientists to its interpretation. The role and importance of foreign capital in the banking system and its impact on the competitiveness of banks are considered, and the share of foreign capital in the authorized capital of banks for the period of 2008-2017 is calculated. On the basis of the comparative analysis, the impact on the competitiveness of the largest banking institutions of Ukraine on the performance indicators, such as volumes of assets, liabilities of banks and capital adequacy, was investigated. The possibility of increasing the efficiency of the mechanism of ensuring competitiveness according to the process approach is outlined. By means of the Microsoft Office Visio software system, the Bank’s own Banking Business Management business process was built to ensure the bank’s viability and its structural analysis according to the IDEF0 standard of the SADT methodology. Conclusions. The relationship between the analysis of the bank’s position and the development of its development strategy is important for the understanding and effective management of market participants by their own activities. A schematic representation of the business process of managing the competitiveness allows us to thoroughly examine ways to achieve the best indicators of competitiveness by the bank, which has a positive impact on the development of the economy and its rate. The use of a process-oriented approach to the organization of a bank management system enables: to respond quickly to changes in the environment; provide an optimal mechanism for information exchange between functional units.https://modecon.mnau.edu.ua/issue/6-2017/UKR/ivanova.pdfbanking strategybusiness processglobalizationcompetitivenessforeign bank capitalcompetitiveness management |
| spellingShingle | Ivanova S. Viadrova I. ORGANIZATIONAL AND ECONOMIC ASPECTS OF INCREASING COMPETITIVENESS OF UKRAINIAN BANKS Modern Economics banking strategy business process globalization competitiveness foreign bank capital competitiveness management |
| title | ORGANIZATIONAL AND ECONOMIC ASPECTS OF INCREASING COMPETITIVENESS OF UKRAINIAN BANKS |
| title_full | ORGANIZATIONAL AND ECONOMIC ASPECTS OF INCREASING COMPETITIVENESS OF UKRAINIAN BANKS |
| title_fullStr | ORGANIZATIONAL AND ECONOMIC ASPECTS OF INCREASING COMPETITIVENESS OF UKRAINIAN BANKS |
| title_full_unstemmed | ORGANIZATIONAL AND ECONOMIC ASPECTS OF INCREASING COMPETITIVENESS OF UKRAINIAN BANKS |
| title_short | ORGANIZATIONAL AND ECONOMIC ASPECTS OF INCREASING COMPETITIVENESS OF UKRAINIAN BANKS |
| title_sort | organizational and economic aspects of increasing competitiveness of ukrainian banks |
| topic | banking strategy business process globalization competitiveness foreign bank capital competitiveness management |
| url | https://modecon.mnau.edu.ua/issue/6-2017/UKR/ivanova.pdf |
| work_keys_str_mv | AT ivanovas organizationalandeconomicaspectsofincreasingcompetitivenessofukrainianbanks AT viadrovai organizationalandeconomicaspectsofincreasingcompetitivenessofukrainianbanks |