Modification of EVA in Value Based Management

AbstractThis article deals with the value based management and the metrics used in it. Nowadays, one of the basic requirements on the company is creation of value for the shareholders and that is why managers have adopted value-oriented methods to be able to measure any change of value. In the past, managers of many companies were focused on the main economic objective which they considered to be the maximization of profits. But this attitude was not sufficient to satisfy the requirements of shareholders, because their preferences lie in the value of the company. There will be described the most common value-oriented indicator, economic value added (EVA), in the article. The developer of the EVA concept is Stern Stewart & Company. They criticized the traditional indicators as ROA, ROI, PAT, EPS etc. for their characteristic and the weak explanatory power in terms of value creation. Company valuation through EVA is an appropriate mean to determine creditworthiness of a company. The EVA calculation also provides valuable information for various areas of management. This metric is quantifying the value that was added as a result of the implementation of operational activities during the reference period. Moreover, there are many modifications of the EVA used in practice, such as MVA, CVA, SVA, RONA that will be described and compared in the article

Strategies for sustainable socio-economic development and mechanisms their implementation in the global dimension

The authors of the book have come to the conclusion that it is necessary to effectively use modern approaches to developing and implementation strategies of sustainable socio-economic development in order to increase efficiency and competitiveness of economic entities. Basic research focuses on economic diagnostics of socio-economic potential and financial results of economic entities, transition period in the economy of individual countries and ensuring their competitiveness, assessment of educational processes and knowledge management. The research results have been implemented in the different models and strategies of supply and logistics management, development of non-profit organizations, competitiveness of tourism and transport, financing strategies for small and medium-sized enterprises, cross-border cooperation. The results of the study can be used in decision-making at the level the economic entities in different areas of activity and organizational-legal forms of ownership, ministries and departments that promote of development the economic entities on the basis of models and strategies for sustainable socio-economic development. The results can also be used by students and young scientists in modern concepts and mechanisms for management of sustainable socio-economic development of economic entities in the condition of global economic transformations and challenges

The impact of the Covid pandemic on transport companies and the possibilities of improving their management in the conditions of Slovak republic

Research background: Against the background of a more thorough knowledge of the impact of the Covid pandemic, it is necessary to consider the possibilities of mitigating the effects of it. We propose the use of such progressive management tools in the field of transport, which could increase the readiness of management for more stable and effective management in the future. Purpose of the article: The main purpose is based on the analysis of the impact of the Covid pandemic to suggest ways to improve the management of transport companies operating in Slovakia. To achieve this, we will focus on identifying the key impacts of the pandemic in this sector and propose management tools that could mitigate the impact of a potential crisis in the future. Methods: We will use theoretical and empirical scientific methods in processing the subject. We will work with theoretical methods, such as analysis, synthesis, induction, deduction. In the second step, the article will use empirical scientific techniques that work with specific data and precise methods to achieve concrete results. In addition to explanatory methods, interpretive methods will also be used. Findings & Value added: Information on the effects of the pandemic on Slovak transport companies will be important, which will serve as a basis for the design part. The added value will be the recommendation of progressive management tools in the conditions of specific transport companies with an emphasis on strategic management and elimination of the impacts of potential crisis situations in the future

Modern Marketing Tools in the Condition of Globalization

Research background: CRM is one of the most popular tools of modern marketing in today’s globalized world. It is a purposefully set up management with customers, which synchronizes several internal company processes. Its justification is indisputable, as it is generally the case that companies that do not engage in customer relationship management are soon overshadowed by competition and fall into extinction. With the help of CRM, the company can manage not only the sale of products to customers but also following service. Sales staff, call center staff, service department staff and many others can thus use the CRM system. The subject of research in the paper is the use of CRM in Internet commerce. Purpose of the article: The development of a functional CRM system in a specific company and the introduction of selected CRM tools in the company’s online store can be considered a priority goal. Methods: During the elaboration of the paper, the methods of the compilation of analysis, synthesis and description were used on the basis of the search of the relevant literature. Findings & Value added: The paper contains findings on two levels. From the theoretical point of view, it provides an overview of the essence, development, individual elements, customer relationship strategy, as well as the technical architecture and possibilities of CRM implementation. From the practical point of view, it is about the design of a functional CRM system in a specific company and the introduction of selected CRM tools in the company’s online store In contrast, the CRM application in specific business conditions represents added value

Effective Use of MBO in the Conditions of Slovak Companies

With the variability of the business environment, the various tools that have emerged during the formation of management to support its functionality have been flexibly changed, used, or interchanged. With emphasis on the level of strategic management, it is not only the right choice of strategy and its implementation, but also the use of adequate theory or method of strategy implementation. There is a whole range of such methods, including management by objectives (MBO) by P. Drucker, a pioneer in modern management. The paper focuses on the implementation and use of a management system according to objectives in Slovak companies. Based on the content analysis of available professional resources, it defines the theoretical basis of the researched issues and the basic principles that relate to the MBO method. The analytical part is a case study of a selected Slovak company, in which we analyze the current state of management using qualitative and quantitative methods. Subsequently, based on the main findings, we propose possible recommendations for more effective management according to the objectives of the surveyed company

Selected aspects of the marketing of bus transport companies during COVID-19

The COVID-19 pandemic has caused a significant worldwide decrease in the number of passengers using bus transport in recent years. This phenomenon was caused by travelers’ fears of this disease, and at the same time, people started working from home. The aim of the paper is to analyze the importance of marketing and marketing strategies for bus companies. From our point of view, marketing is a tool for making bus transport more attractive for passengers. For the purposes of this post, we focus on customer perceptions of marketing and marketing strategies. We found that customers prefer Internet advertising the most, and the second most preferred type of advertising is print advertising. Their proposals in the subject area are also based on other findings that we dealt with in the survey. We investigated the motivation of passengers to use public transport, their opinion about the transport company in the Zilina region, and whether they use modern tools such as e-shops, virtual cards, and similar. As part of the papers processing, we used the questionnaire survey method, conducted a statistical evaluation of established hypotheses, and conducted a structured interview with the management of the bus company. From our point of view, it is marketing based on managerial experience and customer preferences that can be beneficial for the overall attractiveness of bus transport and, at the same time, significantly contribute to increasing the competitiveness of these businesses

Motivation as an Element of Managerial Decision Making in Manufacturing Companies: The Case of the Slovak Republic

On an international scale, it can be argued that the key currency of business entities is human resources. They are a dominant part of corporate assets. They are also decisive determinants of competitiveness if they work with adequate performance, which is influenced by motivation. Managers are aware of this and pay increased attention to the study of factors that increase the performance and motivation of employees. In Slovakia, the importance of human resources increased gradually after the transformation of the economy to market conditions; currently, the management of human resources corresponds to international standards. However, it is necessary to increase attention in the management of some areas that personnel managers have competence in. Motivation can be included among these. The submitted contribution deals with the motivation of employees, as the subject area is not sufficiently addressed in the conditions of the Slovak Republic. According to the analysis of motivational processes in selected manufacturing companies operating in Slovakia, changes are proposed in the motivational system to increase employee motivation. The aim is to reveal the important aspects of motivational policy. To achieve the research objective, a qualitative study of data collection was carried out using an unstructured questionnaire survey. A questionnaire was used to develop the hypotheses. After data collection, established hypotheses were tested using the chi-square test of independence. The data were analysed using descriptive and inferential statistics. According to the analysis, proposals for changes in the incentive system were developed. The recommendations are presented in the form of individual concrete proposals and measures in various areas within motivational processes, which, after implementation, have the potential to increase the level of employee motivation

Proposal for Brand’s Communication Strategy Developed on Customer Segmentation Based on Psychological Factors and Decision-Making Speed in Purchasing: Case of the Automotive Industry

Customers are key in the brand-building process. Many times, this term is applied very broadly, especially in segmentation and planning. Knowing the customer buying behaviour and customer decision-making process is important for brands, especially today, when customers are informed much better and get information over the Internet faster. In this paper, we present theory that deals with the purchasing behaviour of customers and emphasize the analysis of the sales cycle of the individual phases in the current conditions, when segmentation based on socio-demographic data is not enough. It is much better to define the psychological factors, which influence the customer and motivate him to buy in combination with the buyer’s decision-making speed. Thus, the article discusses the basic four types of customers according to the major research work carried out by Eisenberg brothers. Based on this analysis, we can determine the percentage of individual customers. The article offers a survey that was conducted to find the most important factors in the decision-making process when buying a car. In addition to the criteria, we also asked our respondents about the importance of these factors. We have used the multiple criteria decision analysis as it is one of the methods of complex evaluation and it minimizes the degree of subjectivity in choosing a suitable variant. Based on our survey, we have used analysis to estimate trends that brands operate in automotive sector could use to communicate in order to address the type of customer that belongs to their target audience. The primary aim of the paper is to prove that there is a growing trend of humanistic customers through study about their preferences and criteria during the decision-making process that leads them to buy a new car. Moreover, we determinate communication strategies for all four types of customers based on theory provided by Eisenbergs