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Theory and Practice of Target Financial Forecasting at Company Level

Theory and Practice of Target Financial Forecasting at Company Level
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Author(s): Sergey Krylov (Ural Federal University, Russia)
Copyright: 2025
Pages: 34
Source title: Encyclopedia of Information Science and Technology, Sixth Edition
Source Author(s)/Editor(s): Mehdi Khosrow-Pour, D.B.A. (Founding Editor-in-Chief, Information Resources Management Journal (IRMJ), USA)
DOI: 10.4018/978-1-6684-7366-5.ch060

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Abstract

The article considers conceptual, methodical, and practical aspects of the target financial forecasting at the micro level (i.e., the company level) as a new instrument of anticrisis financial management for a company to overcome its financial difficulties and enhance its financial position within a time period of practically any length. The methodology of the research and the results being presented in the article are based on the concept of the financial ratio analysis, the concept of the company cash flows, and the concept of the balanced scorecard (in terms of its financial score). It is depicted that the procedure of the target financial forecasting comprises an appropriate information-accounting support, a target financial forecasting of the company financial position, a target forecasting of the company's cash flows, and a development of the specific events (managements' decisions) aimed at overcoming the company's financial difficulties and enhancing its financial position.

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