Management of the NEFTESNAB Group
PJSC NEFTESNAB is a parent company of NEFTESNAB Group. Organization of the management of subsidiaries and affiliated companies is carried out with prevailing participation in the authorized capitals of the mentioned companies through managing bodies of the subsidiary by an appropriate instruction in the founding documents; the Management Companies included in the Group through conclusion of agreements between these companies and other economic entities – members of the Group on the transfer of the Executive Management Board functions to the Management Companies, as well as through other ways provided by the legislation of the Russian Federation subject to equitable interests of all the participants of the Group. Planning and control of business processes by the activities segments are provided for through uniform standards and regulations.
FUNDAMENTAL PRIORITIES FOR ARRANGING THE MANAGEMENT OF NEFTESNAB GROUP:
Planning of financial and business activity
In accordance with changing-over of the state budget formation to a 3Y cycle and within the frames of improvement of the corporate business planning, the Company developed a standard for the system of scenario planning of financial and economic activity of PJSC NEFTESNAB for a 3Y period.
The standard determines the procedure of formation — on the basis of the Company development strategy — of a 3Y forecast for financial and economic activity of PJSC Neftesnab depending on price trends on the oil market.
Main objectives of the standard:
Scenario planning regulates distribution of additional sources of funds — in case of a favorable scenario, and compensation of the budget deficit — in case of worsening of economic conditions. Selection of one of the scenarios is performed on the basis of the output realization price level.
Main areas of distribution or sequestering of the sources are determined in acc. with priorities of the Company's development.
Scenario planning conserves current planning tools of the Company — Cost Savings Fund and Internal Refunding Source.
The scenario planning system is based on formation of a basic forecast for financial and economic activity, developed using conservative approach to selection of the source macroeconomic conditions (unfavorable) and minimization of corporate expenses.
Basic conditions for the 3Y planning of PJSC NEFTESNAB are formed on the basis of:
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