Hushlo Y. Scientific and methodological principles of strategic management of bank finances in conditions of uncertainty

The dissertation provides a thorough analysis of the bank's conceptual and categorical apparatus of strategic financial management. On this basis, it is determined that the objects of financial management of the bank are the relationships that arise in the organization of business processes and operations, form and allocate financial resources, regulate financial risks and liquidity, determine financial results, profitability, and efficiency of the bank. Bank finance management covers the entire set of forms and methods of organizing economic relations in the bank. The bank's strategic financial management is proposed to be interpreted as a dynamic-adaptive system, interconnections and interaction of subsystems provide purposeful multilevel influence on the formation and further regulation of parameters of management objects to achieve goals within the given values of risks account the indeterminate environment. The scientific and methodological approach to the strategic scenario planning of the bank's finances has been improved and proposed for practical use. Its introduction in the activity of Ukrainian banks allows reducing the level of the negative impact of uncertainty and increasing their adaptability to non-deterministic conditions of the operating environment. The dissertation develops a scientific and methodological approach to analyzing the quality of the bank's strategic financial plans. The analysis of the quality of the bank's strategic financial plans is proposed to be defined as a system of comprehensive study and research of the quality of their development and implementation, resulting in a formalized and informal assessment of the extent to which the bank will be able to achieve specific targets. Accordingly, it may be necessary to amend or adjust the target parameters of the bank's strategic financial plans. The methodological tools of modeling and forecasting profitability as a targeted strategy of strategic financial management of the bank to ensure its viability are studied and improved in the work. It consists of a comprehensive and multi-stage analysis using statistical tests and the formation on this basis of multi-regression equations with the necessary indicators of statistical significance, based on internal factors influencing banks' financial results and is an analytical basis for transforming strategic financial management of the bank in uncertainty. The proposed scientific and methodological approach allows making predictive conclusions about changes in profitability and identifying weaknesses, including by comparing with the "peer-group" identified by the bank areas of placement of funds and sources of funding. It will form an analytical basis for developing a set of recommendations for improving the effectiveness of strategic management of the bank's finances in conditions of uncertainty, mainly through the adjustment of strategy, business model, and business plan. The results of statistical tests and multi-regression analysis of the sample of Ukrainian banks allowed us to conclude that uncertainty hurts their viability due to the constant decline in their profitability due to higher growth rates of costs compared to income. For banks with more conservative business models, the decrease in viability will be insignificant. Given the identification of negative trends that reflect the early, initial signs of the threat of declining viability of banks, the bank's strategic financial management should introduce appropriate preventive management influences to adapt the bank to operate in conditions of growing uncertainty. The systematic approach to forming an optimally balanced structure of assets and liabilities of the bank based on their optimization using nonlinear reduced gradient GRG is developed in work. The calculation result is an optimally balanced structure of assets and liabilities within an individually defined planning horizon. The proposed approach integrates the capabilities of the mathematical apparatus of the description of economic processes with the principles of strategic management of bank finances and the requirements of the NBU to ensure the stability and viability of the business model. Its main feature is the ability to modify the set of functional constraints depending on the individual characteristics of a particular bank and the ability to adapt to the real capabilities of the bank in terms of changes in the total balances of groups of assets and liabilities.