BusinessManagement

Anti-crisis management of the enterprise: the concept and essence.

To the concept of "crisis management" there are several different definitions. Anti-crisis management of an enterprise is the process of using procedures and methods that are aimed at improving the economic and financial activity of an enterprise. Anti-crisis management is designed to provide such conditions under which the current financial difficulties of the enterprise will not become permanent.
The main factors that lead to crisis situations in the enterprise, in which anti-crisis management is necessary, are divided into two groups: internal and external.
External occur independently of the activities of the enterprise:
1. Inflation;
2. Tax increase;
3. Change of power, changes in legislation;
4. War or force majeure situations, etc.
Internal appear in the process of the enterprise. They can be divided into groups:
1. Management group, includes: inefficient management; High degree of commercial risk; Underestimation of market conditions; Poor quality management and accounting.
2. Production group, includes: not high labor productivity with high OS wear and high energy costs;
3. Market group, includes : excessive dependence on suppliers and buyers; Noncompetitiveness of products.

At the same time, anti-crisis management is not a single anti-crisis panacea, since all activities and an anti-crisis strategy for each enterprise are developed in person. It is very important to identify in a timely manner the crisis manifestations that affect the activities of the organization. This will quickly mobilize all its potential to overcome adverse consequences.
Anti-crisis management of the enterprise is characterized by its principles, different from the positions of conventional management.

The essence of anti-crisis management lies in the complexity of management measures aimed at preventing, diagnosing, neutralizing, and also overcoming crisis phenomena and the causes that cause them. In other words, such control includes any active influence to ensure effective functioning, applicable in a broad and narrow sense. In a broad sense, this is a management system for the business object in order to counteract the crisis, whereas, in the narrow sense, it is a system of management measures in relation to a specific enterprise that has fallen into a state of crisis, while necessarily establishing financial insolvency of the organization.
The essence of crisis management in management, anticipating the danger of crisis, analyzing its symptoms, using measures that reduce the negative consequences of the crisis, as well as using factors for further development.
The subject of the impact of crisis management is the crisis factors, both assumed and real.
The possibility of such management is determined by:
- the human factor, namely, the potential for decisive and active behavior of a person in crisis conditions, as well as his interest and desire to overcome the crisis, his awareness of the nature of the crisis, the nature and regularities of the course.
- knowledge of the cyclical nature inherent in the development of socio-economic systems, allowing foreseeing crisis situations and preparing for them.

The need for such management is expressed in the need to overcome the crisis, as well as mitigate its consequences. Implement such a need can only be using special management mechanisms.
The need for such management is sometimes determined by the main objectives of the enterprise development. The main thing here is the increase of professionalism and discipline of personnel, development of new safe technologies. Since management begins and solving technical problems.
Economic crisis management is also in search - conversion, types of production diversification.

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