Management of Financial Resources of Communal Enterprises and Prospects for Their Development

Abstract

The article is aimed at researching the theoretical and practical experience in managing the financial resources of communal enterprises, allocating key problems of their functioning and developing practical recommendations for improving the system of formation and usage of financial resources. The concept of «communal enterprises», the current financial condition of communal enterprises are considered; the main problems of activity and management of their financial resources are singled out; the main measures to increase the efficiency of their use are proposed. By example of the communal enterprise «Kyivtransparkservis» the results of the study are generalized as follows: the reasons for the difficult financial situation are defined; managerial measures to improve the financial condition of communal enterprises are formed; implementation of assessing the efficiency of the management of communal enterprises by means of the system of Key Performance Indicators (KPI) is proposed; a system of development and efficient management of financial resources of the communal enterprise is developed. An implementation of the proposed system will allow the researched communal enterprise: to identify problems of formation of financial resources and methods of their effective use; to increase revenues due to the de-shadowing of services rendered and organizing the parking space, carrying out an inventory of parking spaces in the capital city and stopping transferring the parking space in the lease to third parties; to increase the level of the service users’ trust by improving the service quality and implementation of innovative charge control systems, which will also increase the amount of the revenues received.

Keywords

• financial resources
• communal enterprises
• profitability
• unprofitable activity
• financial condition
• key performance indicators
• financial resources management system
• parking space