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Background: Strong competition, financial crisis, bankruptcy of contractors, all these factors affect negatively the financial situation of enterprises. Large international corporations with multiple divisions are less affected by their customers or suppliers. In the case of small and medium-sized enterprises the downfall of one customer is very important for their financial situation. Therefore, one of the possibilities that influences positively on the safety and financial condition of enterprises is the activit...

Background: Inventories are one of the most important assets. Their excess in an enterprise generates unnecessary costs but also has a positive impact on the safety of the company functioning as it improves its liquidity. In turn, the low level of stocks can reduce costs in an enterprise, but can lead to downtime in production or sales. Managers are looking for methods and strategies that will lead to optimal inventory levels and reduction of management costs. To reduce costs businesses often create purchasing org...

Background: Working capital is an element that has a significant impact on the financial security of an entity, its profitability and the efficiency of its asset management and its selected liabilities. Working capital management is designed to keep an enterprise engaged in its day-to-day “financial health”. This is a complicated and time-consuming process because it involves the management of current assets and current liabilities. Therefore, it is important to choose appropriate management strategies for ind...