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Strategic Resilience Architecture: How to Build a Risk Management System for Small and Medium-sized Enterprises (SMEs)

Strategic Resilience Architecture: How to Build a Risk Management System for Small and Medium-sized Enterprises (SMEs)

Risk management is not about expensive software; it's about culture and discipline. In this guide, we deconstruct how Ukrainian SMEs can build a "Strategic Resilience Architecture" using simple tools like Risk Matrices, KRIs, and Nassim Taleb’s philosophy of Antifragility. Transform your business from fragile to robust.
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18.12.2025Tags: Strategic Planning
The “Reverse” Route to Nasdaq: An Accounting Paradox Opening Doors for Ukrainian Business

The “Reverse” Route to Nasdaq: An Accounting Paradox Opening Doors for Ukrainian Business

Discover the "Backdoor Listing" strategy to Nasdaq via SPAC. A CFO explains the accounting of Reverse Mergers, IFRS 3 implications, and navigating NBU restrictions.
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06.11.2025Tags: Business Management, Financial analysis, Financial Planning, Strategic Planning
The Iceberg of Your Business: Where the Biggest Financial Risks Really Hide

The Iceberg of Your Business: Where the Biggest Financial Risks Really Hide

Are you managing incurred costs or committed costs? A CFO explains why 80% of expenses are locked in at the design phase. Lessons from Ford, Boeing, and Dell on TCO.
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02.11.2025Tags: Business Management, Corporate Culture, Critical Thinking, Financial analysis, Financial Planning, Strategic Planning
Beyond Budgets and Deadlines: A CFO’s Perspective on True Project Success

Beyond Budgets and Deadlines: A CFO’s Perspective on True Project Success

Beyond Budget and Deadlines: A CFO’s Guide to True Project Success
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30.10.2025Tags: Business Management, Corporate Culture, Critical Thinking, Management, Strategic Planning, Strategic Thinking
The Imitation Trap: A CFO’s Perspective on Why Your Key Asset Is a Non-Imitable Business System

The Imitation Trap: A CFO’s Perspective on Why Your Key Asset Is a Non-Imitable Business System

Copying competitors destroys value. A CFO explains why Sustainable Competitive Advantage comes from non-imitable assets (VRIO Analysis) and unique culture.
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21.10.2025Tags: Strategic Planning
Corporate Culture as a Strategically Valuable Asset

Corporate Culture as a Strategically Valuable Asset

Culture is not just HR fluff; it’s a measurable asset. A CFO explains how to use the "Cultural Web" model to drive financial performance and manage risk.
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20.10.2025Tags: Corporate Culture, Leadership, Management, Strategic Thinking
IRR vs. NPV: Why a Popular Investment Evaluation Method Can Mislead You

IRR vs. NPV: Why a Popular Investment Evaluation Method Can Mislead You

NPV vs. IRR: Is your favorite investment metric lying to you? A CFO explains why Internal Rate of Return (IRR) is flawed and why Net Present Value (NPV) remains the only reliable criterion.
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17.10.2025
The Cost of Dishonesty: How Bad Decisions Destroy Business

The Cost of Dishonesty: How Bad Decisions Destroy Business

Ethics is a measurable financial metric. Analyze real-world cases (Danske Bank, Boeing, PrivatBank) proving that fraud and negligence lead to billion-dollar losses and bankruptcy.
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05.10.2025
Фінансове моделювання

Financial Modeling: From Chaos to Clarity

Creating a financial model is not about complex Excel functions; it is a discipline and an art. In this guide, we explore how to build the "Architecture of Trust"—transparent, flexible, and robust models that investors and Boards rely on. Learn the principles of the FAST Standard and how to avoid the "ticking time bomb" of bad modeling.
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06.07.2025Tags: Budgeting, Business Management, Corporate Culture, Financial Planning, Strategic Planning
Contrast between chaotic napkin planning and a structured financial model acting as a business map

Plan = Model. If Not, It’s Just a Wish List

"Napkin planning" is dead. Discover why a financial model is the "digital twin" of your business that turns a wish list into a navigable map for growth.
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29.05.2025Tags: Budgeting, Business Management, Corporate Culture, Strategic Thinking
The Importance of the Balance Sheet (Statement of Financial Position) for Business Management

The Importance of the Balance Sheet (Statement of Financial Position) for Business Management

Managing a business without a Balance Sheet is like driving blindfolded. Discover why P&L is not enough and how to analyze financial position to avoid bankruptcy.
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25.04.2025Tags: Business Management, Financial analysis
EBITDA: What Is It and Should You Trust This Metric?

EBITDA: What Is It and Should You Trust This Metric?

What is EBITDA? Discover why this non-GAAP metric can differ from Net Profit, why Warren Buffett criticizes it, and how to analyse it alongside Capex. A CFO's perspective.
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27.10.2018Tags: Business Management, Financial analysis, Strategic Planning
Costing Traps (Part 2)

Costing Traps (Part 2)

Using Weighted Average Cost (WAC) for decisions can kill your profit. A real-world case study showing why separating variable costs is crucial for sales planning.
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04.01.2018Tags: Costing Traps, Financial analysis, Managerial Accounting, Variable Costing
Costing Traps (Part 1)

Costing Traps (Part 1)

Stop using accounting cost for business decisions. Learn how to identify Relevant Costs, ignore Sunk Costs, and avoid the "Death Spiral" in pricing and make-or-buy scenarios.
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03.01.2018Tags: Business Management, Costing Traps, Financial analysis, Managerial Accounting, Variable Costing
When Accounting Deceives: How Absorption Costing Distorts Profit

When Accounting Deceives: How Absorption Costing Distorts Profit

Why did profit go up while sales stayed flat? A detailed case study comparing Absorption Costing vs. Variable Costing. Learn how inventory build-up creates "phantom profit".
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04.12.2017Tags: Absorption Costing, Business Management, Costing Traps, Financial analysis, Financial Planning, Managerial Accounting, Variable Costing

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© 2007-2026 Financial Management – Dmytro Dodenko's Personal Blog. Independent Financial Expert & CFO. Location: Dnipro, Ukraine. All rights reserved.
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Contents

×
  • Reporting requirements
  • The Nature of Production Costs
  • The Source of Distortion
    • Report Using Absorption Costing (Full Cost Allocation)
    • Report Using Variable Costing
  • Analysis
  • Conclusion
    • Advantages of Variable Costing
    • Arguments in Favor of Absorption Costing
→ ☰