THE INTERRELATION BETWEEN BUSINESS PLANNING AND COST MANAGEMENT OF AN ENTERPRISE DURING A CRISIS PERIOD FOR MAINTAINING COMPETITIVENESS AND MAKING EFFECTIVE MANAGERIAL DECISIONS
DOI:
https://doi.org/10.15330/apred.2.21.443-451Keywords:
сrisis, enterprise expenditures, cost management, business plan, business planning, crisis management, managerial decisionsAbstract
Business planning plays a leading role in the effective cost management of an enterprise, as it enables a systematic assessment of financial needs, the prioritization of expenditures, and the forecasting of potential financial risks. A properly developed business plan serves as a foundation for the rational allocation of resources, which is critically important for maintaining enterprise stability in conditions of uncertainty and crisis.
This article examines the key aspects of business planning as a tool for effective cost management during periods of crisis, as well as strategic approaches to the adaptation of enterprises to crisis conditions.
The purpose of the article is to investigate the relationship between business planning and cost management in times of crisis, with the aim of optimizing expenditures, ensuring financial stability, and enhancing the competitiveness of enterprises under conditions of economic instability.
To achieve this objective, the article employs the following research methods: deduction –to identify the main advantages and disadvantages of using business planning as a tool for enterprise cost management; systems analysis – to explore the interconnection and interdependence between business planning and cost management processes; synthesis and a comprehensive approach – to take into account all factors that may influence cost management in crisis conditions and to develop solutions that are effective for both long-term planning and immediate response to changes; abstraction –to formulate generalized conclusions.
The research presents the concept of the interrelationship between business planning and cost management in enterprises under conditions of economic instability and crisis. The authors emphasize the importance of a well-developed business plan as the foundation for effective cost management, which not only helps reduce financial risks but also preserves the competitiveness of the enterprise during periods of crisis.
The results of the scientific study can be applied by enterprises in crisis conditions to manage costs starting from the business planning stage of their activities
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