Abstract:
The success of the business operation depends on the quality of management technologies of its production and commercial activities. Management techniques of material flows in the sphere of logistics consider financial flows as the flows ensuring the operation of the existing systems. One of the promising approaches enabling to focus on the financial aspect of the company’s activity during the whole logistic process is the impact on material flows through cash flow management in logistic system. To assess the efficiency of logistic processes the authors of the paper use valuation criteria, take into account the incurred costs and expected revenue, and calculate profit performances and profitability. The management of financial and material flows is simplified if there is a single information environment at the corporate level. A corresponding mathematical apparatus: vector description, matrix methods, factor and functional analysis can be used for a formal description of the financial flows. Attraction of financial resources to ensure a logistic system, a comparison of the plans and schemes of flows traffic, the assessment of the efficiency of processes can be realized with the support of the concept of the nodal effect.
Keywords:logistic concepts, concept TQM (Total Quality Management), financial flows, material flow, logistic systems, management of financial flows.