Credit Manager Magazine 9/2021

40 CREDIT MANAGER MAGAZINE WRZESIEŃ / SEPTEMBER 2021 Fig. 4 A. Holda’s Z(H)-score and its respective components (green color indicates “non-bankrupt” classification) only limitation currently imposed on these ratios is that they have to be based on the fi- nancial statement data, i.e., the balance sheet and the comparative profit and loss state- ment. The basic and additional ratios are also accompanied by the industry benchmarks calculated based on the data published by the Central Statistical Office of Poland, as men- tioned earlier. In addition to the analytical ratios, the sys- tem offers five bankruptcy prediction models based on the Polish market analysis, which allow to predict the probability of company’s bankruptcy in the future based on the histor- ical data. The models available in the system include: • D. Hadasik’s model (1998) • A. Holda’s model (2001), • The “Poznanski” model (2004), • E. Maczynska’s model (2006), • B. Prusak’s model (2005), Since all the models’ Z-scores possess refer- ence values indicating the borders between “bankrupt” and “non-bankrupt” companies, it is easy to determine the group to which the given company belongs. Typically the analy- sis of a single model is insufficient to draw definite conclusions, hence, the creditworthi- ness should be assessed based on the whole ensemble of the models. To support effective and efficient creditworthiness analysis, the system focuses on the visual emphasis of the Z-scores, as shown in Fig. 4. However, it also allows to have a closer look at the individual components of the Z-score, to support mak- ing more reliable managerial decisions. The final element of creditworthiness as- sessment is the Wilcox ratio which provides the net liquidation value of the company. In other words, it defines how much additional debt a company is able to cover by the cur- rently hold assets. This way it helps to deter- mine the company’s debt capacity (provided that the value is positive). In terms of cred- itworthiness analysis, the Wilcox ratio value being negative or close to zero should be an alarming information, indicating company’s problems with taking new obligations. The greatest advantage of this ratio is that it pro- vides intuitive information upon the credit limit basedona linear combinationof selected balance sheet elements (assets and liabilities). Summary The information included in companies’ fi- nancial statements plays an important role in the analysis of creditworthiness. Howev- er, manual inspection of raw statements is a time-consuming and error-prone task. To mitigate these problems, an effective online system, called eanaliza.pl , was designed, which as described in the article, allows for comprehensive and efficient creditworthi- ness assessment. The system bases on the data published within the scope of the bal- ance sheet and the profit and loss statement helping to perform the analysis of con- tractors or own company. The analysis can be performed from multiple perspectives, including the comparison with industry benchmarks. To sum up, the flexibility and broad scope of analytical ratios and models provided within the eanaliza.pl system can certainly be helpful for credit managers striv- ing to make well-informed, reliable decisions upon the creditworthiness of companies they cooperate with. [1] The Accounting Act of 29 September 1994, Polish Journal of Law 1994, no. 121, pos. 591 (consolidated text with later amendments). [2] Commision Regulation (EC) No 1126/2008 of 3 November 2008 adopting certain international ac- counting standards in accordance with Regulation (EC) No 1606/2002 of the European Parliament and of the Council, Official Journal of the European Union, no. 320, 29.11.2008 (consolidated text with later amendments). [3]Ministry of Finance, Structures of e-Statements, https://www.gov.pl/web/kas/struktury-e-spra- wozdan, accessed: 25.08.2021. [4]Regulation of the Council of Ministers of 24 De- cember 2007 on the Polish Classification of Activi- ties (PKD), Polish Journal of Law 2007, no. 251, pos. 1885 with later amendments. EDUCATION Tomasz Jastrząb, PhD Expert in advanced algorithms for data processing and analysis with research experience in the project “Development of an innovative IT system for learning and verification of knowledge in the field of econom- ics”. PhD in the field of engineering and technical sciences in the disci- pline of technical computer science and telecommunications at the Facul- ty of Automatic Control, Electronics and Computer Science of the Silesian University of Technology in Gliwice - with the dissertation “Parallel algo- rithms for solving computationally hard problems concerning formal languages”. In the past, he was a re- searcher at the Wrocław University of Science and Technology and the Sile- sian University of Technology. Author of numerous scientific dissertations in the field of financial analysis of small and medium-sized enterprises, incl. “Small & Medium-Sized Enterprise Risk Monitoring Based on Financial Analysis Results” prepared for the 8th European Risk Conference 2018 organized by the University of Eco- nomics in Katowice.