Developing a Computer Model to Analyze and Improve the Financial Position of Cement Companies
Ahmed Abd Zaid Abedi *
Department of Accounting, Faculty of Administration and Economics, University of Kufa, Iraq.
Hussien Kareem Jassim Al-Shabalawi
Tourism Department, Faculty of Administration and Economics, University of Kufa, Iraq.
*Author to whom correspondence should be addressed.
Abstract
Industrial companies often use a ready-made computer model to analyze and forecast their overall financial position, but specialized computer models are rarely used to analyze and forecast the financial position of cement companies in particular.
Aims: This article aims to design and develop a computer model for cement companies to analyze and predict their financial status, thereby improving it.
Study Design: The applied aspect of the article relied on analyzing financial data published on the official websites of Saudi and Iraqi companies operating in the cement production industry to verify the effectiveness of the proposed computer model.
Place and Duration of Study: Saudi and Iraqi companies operating in the cement production industry, such as: Saudi Cement Company (Saudi Arabia); Yamama Cement Company (a joint stock company) (Saudi Arabia); Southern Cement Company (Iraq); Northern Cement Company (a joint stock company) (Iraq).
Methodology: This article examines the algorithm and rationale for applying an advanced computer model to analyze and forecast the financial position of cement companies. Based on this model's application in cement production companies, regression analysis is used to evaluate the company's economic indicators. Logical and statistical analyses are employed throughout the article.
Results: Based on the results obtained from the article, which applied the computer model developed by the authors to analyze and forecast the financial position of cement companies, the feasibility of the computer model's actual application for integrated analysis of the financial position of cement companies has been demonstrated. This model allows for calculating the values of the leading indicators for analyzing the financial position of cement companies, comparing the calculated values of the leading indicators of the financial position of the company with developed benchmark values, and identifying trends and dimensions for improving the financial position of cement companies based on classification assessment and regression analysis. It also provides a basis for future activities of cement companies by informing management decisions related to them.
Conclusion: Through the study, we concluded that the new computer model offers significant potential for analyzing the financial situation of the sample institution, including identifying financial difficulties, predicting the economic crisis of the cement production company over any given period, and identifying initial methods for overcoming financial challenges and obstacles.
Keywords: Cement companies, financial position, analysis, forecasting, financial optimization, computer model