Monitoring of the aggregate level of economic efficiency of agricultural enterprises in Ukraine: Factors of influence and growth prospects

Abstract

The efficiency of agricultural enterprises is determined by the synergistic influence of an entire set of various factors. Improvement and testing of methodological support for factor-complementary diagnostics of the level of economic efficiency of business entities in modern conditions is still an urgent issue. The purpose of this study was to comprehensively monitor the level of economic efficiency of agricultural enterprises in Ukraine and measure the degree of influence of priority factors on the aggregate efficiency indicator. The study involved several methods: abstract-logical, comparative analysis, tabular, statistical, matriX-coordinate method, calculation-constructive, monographic, factor analysis. It was established that during 2015 and 2021, this aggregate indicator increased by 47% – from 15.07 to 22.13 points. Among the factors that had a positive effect on the established growth of the overall indicator of economic efficiency, the largest rating coefficients have: an increase in labour productivity (1.5852), a more than two-fold increase in the amount of net profit of agricultural enterprises (1.0931), a 2.2-fold increase in the coefficient financing (0.905), a 1.9-fold increase in the loan capital turnover ratio (0.8754) and an almost 3-fold increase in its profitability (0.8587), an increase in the receivables turnover indeX (0.7899) and a two-fold increase in the absolute liquidity indeX (0.7500). The following influencing factors had the most negative effect on the level of the overall efficiency indicator: a 23% decrease in the fund return indicator (-0.6005), a 17% decrease in the quick liquidity ratio (-0.4944), a 26% deterioration in the profitability of fiXed assets (-0. 4642), a decrease in turnover and profitability of the equity capital of agricultural enterprises (-0.4653 and -0.4426, respectively). The practical significance of this study is determined by the improvement of methodological tools for measuring and diagnosing the aggregate level of economic efficiency of business entities, which can be useful in the management practice of organizing monitoring and developing areas for improving the economic efficiency of agricultural enterprises

Keywords

• economic efficiency
• dynamics
• additive model
• profitability
• financial stability