Evaluation of the effectiveness of the system of management of the organization
Annotation: Measuring the quality, level and effectiveness of the management system of organizations.
abstract: Measurement of quality, level and efficiency of the management system of organizations.
Keywords: efficiency, management system, evaluation.
The keywords: efficiency, management system, evaluation.
Today, the place allotted to the process of managing an organization occupies a leading position. This is due, first of all, to the conditions of the modern functioning of economic entities in market economy. Having economic freedom and almost absolute responsibility for their activities, organizations are forced to attract auxiliary material, labor and financial resources to the management system. For the head of each organization, both the amount of funds spent on management and the results obtained as a result of this are of paramount importance: increasing the productivity of personnel, strengthening competitive positions and increasing the social importance of the organization. In other words, the most important measure of results management activities is the degree of efficiency of the managed object.
The effectiveness of the organization's management system is the development of appropriate conditions for achieving the goals and objectives of the organization with the least loss of time, as well as the resources used, but with the highest results of quantitative and qualitative indicators. The degree of effectiveness of management as a social - economic aspect the activity of the enterprise is assessed by the level of use of labor, financial and material capabilities. The effectiveness of the management system from a functional point of view expresses the level and possibilities for the development of the qualitative and quantitative aspects of this process.
Efficiency as a measure of effectiveness involves comparing costs with results. The effectiveness of the organization's activity consists of the degree of identification and implementation of its market resources with the full use of the existing potential. The organization management system is more effective in achieving the main goal (mission), subject to the minimum use of resources, which as a result is reflected in the performance criteria. It is also necessary to pay attention to the fact that efficiency is a very uncertain and variable indicator. The choice in favor of one or another criterion of management efficiency is explained certain conditions activities, purpose and policies of the organization. Consequently, each criterion and performance indicator has its own position and role in the evaluation of the management system. To obtain the most complete and reliable information about the effectiveness of the state of the management system in a particular organization, it is more expedient to use them in combination.
In the event that the current management system is not consistent with the goals of the existence of the organization, it turns out to be a significant factor hindering development, reducing competitiveness and negatively affecting the entire life of the organization. If an organization is on a course to develop and expand its activities, as well as its priority areas are entering new territories and sales markets, it will inevitably meet stronger rivals. In such conditions, the issue of improving the management system is particularly relevant. Therefore, when a situation arises to evaluate the effectiveness of the organization's management system, it is first necessary to identify the goals to which it aspires, and then analyze the existing management system for compliance with the tasks set.
To obtain a holistic view of the management efficiency system, it is necessary to consider the organization from various positions of its functioning. System effective management organization consists of the productive management of each individual subsystem - financial resources, human capital, production process, organizational structure and so on.
A comprehensive assessment of the effectiveness of the management system should begin with an analysis of the financial condition of the organization. This assessment model most accurately identifies strengths and weak sides management of the organization on the final results of activities. The analysis of the technical and economic performance of the enterprise is carried out by assessing the composition, structure, movement and condition of the assets and liabilities of the organization, assessing the indicators of output, revenue and profit, as well as assessing the indicators of the number of personnel and the level of wages.
In order to objectively assess the management system of an organization, it is necessary to study in detail the organizational structure of the enterprise. The study of the organizational structure of the organization allows you to identify both strengths and weaknesses management process. First of all, the analysis organizational structure management includes the definition or clarification of the goals and objectives of the functioning of the system, detailed study the existing organizational structure, identifying the nature and scope of the functions that it should perform, as well as determining the methods and means of their implementation. In the course of this analysis, the role of each structural unit organization by studying the functions it performs, as well as its connections both inside and outside the systems.
It is possible to measure the quality, level and effectiveness of organization management with the help of personnel working in the enterprise. For this purpose, a method of assessing the management system based on a questionnaire is used. The list of questions in the questionnaire this case, touches on topics such as: monitoring the implementation official duties, state of the search system required documents and information rational use working hours, the use of incentives and punishments, the existing level corporate culture. The results of the survey can provide significant assistance in assessing the organization of the management system and determining the main direction of action and measures to improve the management process in the organization.
Conclusions. Evaluation of the effectiveness of the management system is carried out in many ways. For an organization of any form of ownership and activity, the set of evaluation criteria is the same, but it has different advantage depending on the level of influence of one or another parameter on the performance results. In other words, there are no unified irrefutable standards by which each organization has the opportunity to assess the degree of effectiveness of management activities. But, we can say with confidence that the management system should be so effective that with any changes and obstacles external environment, as well as changing, under the influence of any factors, working conditions within the organization itself, it always achieves its goals.
List of used literature:
- Kovrizhnykh, I.V. Analysis and evaluation of management effectiveness in an organization [Text]: Educational and methodological manual / I.V. Kovrizhnykh. - Barnaul: AF SibAGS, 2016.- 86 p.;
- Mishin, V. M. Research of control systems [Text]: textbook. allowance / V. M. Mishin. - 2nd ed. - Moscow: UNITI, 2015. - 527 p.
A significant increase in the effectiveness of management activities is achieved when members of the organization identify its goals with their own, actively participate in management, and this is possible only at a high level of maturity, both individually and as a team.
Effective management also requires the formation of reliable communications that allow timely provision of all participants in the management process necessary information, maintain an appropriate level of its exchange, a favorable moral and psychological climate.
To assess the effectiveness of management, it is important to determine the compliance of the management system and its organizational structure with the management object. This finds expression in the balance of the composition of functions and goals of management, the correspondence of the number of employees to the volume and complexity of work, the completeness of providing the required information, the provision of processes for managing technological means, taking into account their nomenclature.
1.2 Criteria and indicators of management effectiveness
An analysis of the category of efficiency, the factors that determine it, the content and results of managerial work allows us to conclude that adequate content and forms of manifestation of efficiency are groups of indicators that can act as a measure, a criterion of efficiency, depending on the purpose of the organization and the conditions of its functioning. Each variant of the control system corresponds to a certain value of the efficiency criterion, and the task of control is to find such a variant of control in which the corresponding criterion takes the most advantageous value.
Indicators of profit and profitability most fully characterize the final results of activities, respectively, and management efficiency. At the same time, it is necessary to exclude the influence on profit of factors not related to the activity of this economic unit. General indicators reflect the result economic activity and management in general, but do not fully characterize the effectiveness and quality of management labor processes, production assets, material resources. To do this, private indicators are used. So, to assess the efficiency of using labor resources the indicator of the growth rate of labor productivity is used, increasing the efficiency of using material resources characterized by indicators of material consumption of products, and the efficiency of the use of fixed assets - an indicator of capital productivity. When evaluating the effectiveness of management, it is necessary to use the entire system of generalizing and particular indicators in an integrated manner. The effectiveness of management activities in relation to the subject of management can be characterized by quantitative ( economical effect) and qualitative indicators (social efficiency).
1.2.1 Quantitative performance indicators
Quantitative performance indicators of the management system include:
complex labor indicators- saving of living labor in the field of management (number, reduction of labor intensity of management processes), etc.;
· financial indicators activities of the management system (reduction of management costs, etc.);
· indicators of time saving (reduction of the duration of management cycles as a result of the introduction of information technologies, organizational procedures).
1.2.2 Qualitative performance indicators
Of particular importance are indicators of the social effectiveness of management (qualitative):
· raising the scientific and technical level of management;
level of integration of management processes;
· professional development of managers;
raising the level of validity of decisions made;
formation of organizational culture;
system manageability; job satisfaction;
gaining public trust;
amplification social responsibility organizations;
environmental consequences.
If, as a result of management rationalization, it is possible to achieve a high level of the above indicators, then there is a positive shift in the organization of the management system and an economic effect is achieved.
Due to the fact that the improvement of organization management, the introduction of computer information technologies require certain capital investments, investments, the economic efficiency of management improvement projects (efficiency assessment) can be carried out in accordance with the "Methodological recommendations for evaluating investment projects and their selection for financing”, approved by the Gosstroy of Russia, the Ministry of Economy of the Russian Federation, the Ministry of Finance of the Russian Federation, the Goskomprom of Russia on March 31, 1994. (No. 7-12/47).
According to methodological recommendations when evaluating the effectiveness of investment projects, the following are used: commercial (financial) efficiency, which determines the financial consequences of the project for its direct participants; budgetary efficiency, reflecting the financial consequences of the project implementation for the federal, regional and local budgets; economic efficiency, taking into account the costs and results associated with the implementation of the project, which go beyond the direct financial interests of the participants in the investment project and allow for cost measurement. The basis for evaluating the effectiveness of projects is the definition and correlation of costs and results from their implementation. When evaluating the effectiveness of investment projects, it is necessary to bring the indicators to the cost of the moment of comparison, since cash receipts and costs in different time periods are not equivalent.
Other approaches to assessing the effectiveness of management are also being developed, in particular, a resource-potential approach to assessing the effectiveness of a management system. In it, the absolute efficiency of management is represented by the ratio of potential production possibilities to the actual value of its use. Relative efficiency is defined as the ratio of the total effect of management to costs.
1.3. Economic evaluation of management efficiency
Indicators economic efficiency
AT general view the effectiveness of management activity (E) is expressed by the following formula:
where R - the result of the functioning of the control system (the resulting component);
3 - costs of management activities or the amount of resources used (cost component).
At the level individual enterprises in various sectors of the economy, various groups of indicators of economic efficiency are used. However, each enterprise evaluates the economic efficiency of the use of material resources, fixed assets and working capital, capital investments, personnel activities, and also calculates a general indicator that characterizes the economic efficiency of the enterprise as a whole.
The indicator of the efficiency of the use of material resources(E m) characterizes the material consumption of products:
,where: MZ - material costs; VP - the cost of output.
Reducing the material consumption of products is one of the main directions for increasing efficiency in industry and construction, since the costs of materials account for more than half of the costs of manufacturing products in these industries. As a rule, this is achieved by introducing new resource-saving technologies, replacing expensive materials with cheaper ones.
The indicator of the efficiency of the use of fixed production assets (E f) usually determined by their return on assets.
,where: OF - the cost of fixed production assets; VP - the cost of output.
The main production assets include: means of labor (industrial buildings and structures, machines, machine tools, equipment, vehicles and the like) that are involved in the production. The most important areas for improving the efficiency of the use of fixed assets are: increasing the shift ratio of the enterprise, reducing the loss of equipment working time, etc.
Indicator of the effectiveness of capital investments (E p) is the payback period for the capital investment.
,where: K - the volume of capital investments; ∆P is the increase in profit caused by these capital investments for the year.
As you know, the optimal payback period for capital investments should not exceed two years.
An indicator characterizing the effectiveness of personnel activities (E t), is labor productivity. At the enterprise level, it can be defined as a relationship.
,where: CR - the average annual number of employees employed at the enterprise.
In addition, labor productivity is determined by the output per unit of time.
An increase in labor productivity depends on a number of factors: the technical level of production, the qualifications of workers, the quality and availability of materials in the required quantity, etc.
To assess the economic efficiency of management in a broad sense, generalizing indicators are used. Until recently, to characterize the economic efficiency of the management system at the state level, among others, a generalizing indicator was used - national income (newly created value) for a specific period of time, at the industry level - an indicator of labor productivity, at the enterprise level - profit.
There are a lot of private indicators of the economic efficiency of management in the broad sense (of the organization as a whole) (more than 60). Among them: profitability, turnover, return on investment, capital intensity, capital productivity, labor productivity, the ratio of wage growth and labor productivity, etc.
General indicators of social efficiency in a broad sense can be:
The degree of fulfillment of consumer orders;
The share of the company's sales in the market, etc.
Particular indicators of social efficiency are:
Timeliness of order fulfillment;
Completeness of order fulfillment;
Rendering additional services;
After-sales service, etc.
The economic efficiency of management (EU) in the narrow sense is characterized by the following indicators. General indicator:
Eu \u003d D / Z,
where D - enterprise income; Z - the cost of maintaining the administrative apparatus.
Private indicators:
Share of administrative and management expenses in the total amount enterprise costs,
The share of the number of managerial employees in the total number of employees at the enterprise,
manageability rate (the actual number of employees per employee of the administrative apparatus), etc.
Generalizing indicators of social efficiency in the narrow sense are: the share of decisions made at the suggestion of employees of the labor collective; the number of employees involved in the development management decision and etc.
Particular indicators of social efficiency include: the degree of technical equipment of managerial work, the turnover of employees in the management apparatus, the qualification level of personnel, etc.
Private indicators that characterize the effectiveness of labor in the field of management also include:
1) reducing the complexity of processing management information;
2) reduction management personnel;
Reducing the loss of working time of managerial personnel by improving the organization of labor, mechanization and automation
3) labor-intensive operations in the field of management.
Indirect methods for evaluating the effectiveness of changes in the management system are possible. One of them, the ball point one, was proposed based on the analysis of the Felix-Riggs method.
To track the direction of development, the enterprise must keep a number of factors under control. The degree of approach to the planned state for each parameter will be the degree of achievement of a particular goal. The approach under consideration makes it possible to obtain a total final index by weighting individual indicators using expert assessments. The composition of such indicators is also determined by experts, based on the conditions of a particular enterprise.
If the state of the objects of management at the enterprise is given by the graph of "state indicators", reflecting the degree of achievement of the goals of the objects by their elements: "resources" - "production process" - "product". Then the production criteria selected as part of the controlled parameters in the methodology for assessing the effectiveness of management can be considered as a function of the change in the values of "state indicators":
| K j = f (D p i), i = 1, r; j = 1, n |
where K j - production criterion;
Dp i - change in the value of "status indicators";
i - index of the "state indicator";
r is the number of analyzed "status indicators";
j - production criterion index;
n is the number of controlled production criteria.
If, according to the Felix-Riggs method, the current value of the j-th production criterion can be displayed by its estimate Q kj, then the value of management efficiency (efficiency gain from improving management functions) can be defined as the difference between the total values of estimates that make up the index I t (at the time t after the introduction of measures to improve management) and the index I 0 (at the initial moment of analysis):
| E \u003d I t - I 0 |
where E is the value of management efficiency.
Thus, the proposed approach to measuring the performance of managerial employees indirectly, through the parameters of the state of production, involves the formation of a system of indicators depending on the individual conditions of the enterprise.
With all the difficulties of assessing the effectiveness of managerial work, theoretical, methodological and methodological techniques evaluating the effectiveness of individual activities than management as a whole. Thus, there are known methods for evaluating the effectiveness of the introduction of new technology, automated systems management, etc.
The most typical way to determine the economic efficiency of management improvement measures is to calculate the annual economic effect obtained from their implementation and compare it with the costs of these measures.
Determined by the formula:
where K e- coefficient of efficiency of management improvement;
E year- annual economic effect obtained as a result of the activities;
W- expenses for measures to improve management.
Thus, the economic effect is understood as the absolute value of the result economic activity entrepreneur (entrepreneurial structure). In its most general form, the economic efficiency indicator can be expressed as follows:
The difference between the resource and cost approaches lies in the fact that with the resource approach, the economic effect is correlated with the value of the acquired resources, and with the cost approach, with that part of the cost of resources that is included in the costs in the period under review. As it was already revealed above, there is no universal indicator characterizing the economic efficiency of entrepreneurship. To evaluate it, it is advisable to use a system of indicators, including general and partial indicators that characterize the effectiveness of various aspects entrepreneurial activity, which are systematically presented in Table. one.
Table 1 - Indicators of economic efficiency of entrepreneurship
| Index | Content | Calculation procedure | Comment | ||||||||
| Economic indicators | |||||||||||
| Cost level | Costs for core activities attributable to 1 rub. proceeds | The ratio of the cost of goods sold (products, works) to sales proceeds | Characterizes the efficiency of the business structure | ||||||||
| Revenue per employee | Shows how many rubles of revenue fall on 1 employee | The ratio of sales revenue to the average annual number of employees | This is an indicator of labor productivity, which characterizes the efficiency of the use of labor resources | ||||||||
| Return on assets of the active part of the OPF | Shows how many rubles of income the use of the cost unit of the active part of the OPF gives | The ratio of sales revenue to average annual cost active part of the OPF | Characterizes the efficiency of using the active part of fixed production assets | ||||||||
| Indicators financial stability | |||||||||||
| Debt to Equity Ratio | Shows how much borrowed funds are attracted per 1 ruble of own funds invested in assets | The ratio of all liabilities of the business structure (credits, loans and payables) to equity ( equity) | The ratio value must be less than 0.7. Exceeding the specified limit means dependence on external sources funds, loss of financial stability | ||||||||
| Equity ratio | Availability of own working capital necessary for financial stability | The ratio of own working capital to the total amount of working capital | The lower limit is 0.1. The higher the score (about 0.5), the better financial condition entrepreneurial structure | ||||||||
| Debt ratio | This indicator reflects the level of asset financing from borrowed funds | The ratio of debt financing to the balance sheet currency | The higher the value of the indicator, the higher the level of debt financing and, consequently, the higher the financial risk. | ||||||||
| Liquidity indicators | |||||||||||
| Overall ratio solvency | Sufficiency of working capital that can be used to pay off its short-term obligations | The ratio of current assets (current assets) to current liabilities (short-term liabilities) | From 1 to 2. The lower limit is due to the fact that working capital should be enough to cover their short-term obligations. | ||||||||
| Quick liquidity ratio | Forecasted payment possibilities of the business structure subject to timely settlements with debtors | Attitude Money and short term valuable papers plus the amount of funds raised in settlements with debtors to short-term liabilities | 1 and above. Low values indicate the need to work with debtors in order to ensure that the most liquid part of working capital can be converted to monetary form for settlements with their suppliers (contractors, customers) | ||||||||
| Business Activity Indicators | |||||||||||
| Accounts receivable turnover ratio | Measures how many times accounts receivable can be converted into cash during the analyzed period | The ratio of sales revenue to average cost accounts receivable | An increase in the ratio means an increase in the quality and liquidity of receivables. The low value of turnover may be caused by the lengthening of the period of settlements with consumers. | ||||||||
| Accounts receivable turnover period | Characterizes the average period of accumulation (the average number of days of receipt of funds for debts) | The number of days in the analyzed period divided by the receivables turnover ratio | If the average period of collection exceeds the period stipulated by the terms of sale, this means that buyers are not paying bills on time | ||||||||
| Accounts payable turnover ratio | Measures how many times accounts payable are drawn during the analyzed period | The ratio of sales proceeds to the average cost of accounts payable | The optimal ratio is close to unity. A significant excess of receivables over payables creates a threat to financial stability | ||||||||
| Profitability indicators | |||||||||||
| Gross operating profit ratio | Efficiency of costs for the production and sale of products of the main activity | The ratio of gross profit from operating activities to sales revenue from operating activities | The dynamics of the coefficient may indicate the need to revise prices or strengthen control over the cost of the main products | ||||||||
| Return on sales based on net profit | Characterizes the specific value of residual cash in total revenue | The ratio of net profit to sales revenue | Average - 3.2% | ||||||||
| Return on assets (ROA) | Determines the efficiency of asset use, estimates the rate of return on investment | The ratio of net profit to the average value of assets | The growth of the indicator indicates an increase in the production efficiency of the business structure. | ||||||||
| Return on equity (ROE) | Determines the effectiveness of the use of own funds | The ratio of net profit to the average cost of equity | It is necessary to compare the dynamics of this indicator with the dynamics of ROA. If ROE goes up and ROA stays the same, then it means an increase financial risk entrepreneurial structure | ||||||||
| Market indicators | |||||||||||
| Basic earnings per share | Shows how much earnings per share | The ratio of basic earnings to the weighted average number of ordinary shares outstanding | This indicator affects the market value of shares. In the general case, an increase in the indicator can provoke an increase in the stock price. | ||||||||
| Diluted earnings per share | This ratio shows the maximum possible degree of profit reduction (loss increase) attributable to one ordinary share | The ratio of diluted earnings to the weighted average number of ordinary shares outstanding | |||||||||
| P/E ratio | Shows the amount that investors are willing to pay for each ruble of net profit | Attitude market price 1 ordinary share (OA) to net income per 1 OA | In general, the growth of this indicator can be interpreted as a positive attitude of the market towards the prospects of the company | ||||||||
Topic 12. MANAGEMENT EFFICIENCY: WAYS TO INCREASE.
Lecture 20
Management efficiency
Efficiency- a complex concept (there is no clear, generally accepted definition of this term), described by such characteristics as expediency, effectiveness, quality, usefulness, etc.
Efficiency in a systemic sense - characterization of the system in terms of quality, effectiveness and timeliness of achieving its goals, development of the system in the planned direction, subject to the fulfillment of certain criteria indicators and restrictions.In more narrow sensesystem efficiency characterizes the ratio of costs (in the broad sense of the costs of certain resources) and the results of the functioning of the system.
Management efficiencyrepresents a relative characteristic of the performance of a particular control system, which is reflected in various indicators of both the object of management and the actual management activity (subject of management), and these indicators are both quantitative and qualitative.
The effectiveness of management as a control system in a broad sense- this is the expediency and quality of management, aimed at the best performance of the managed system - organization, implementation of goals and strategies, achievement of certain qualitative and quantitative, economic results.
Management efficiency- the effectiveness of management activities, determined by the goals of the organization.
Productivity is an important quantitative characteristic of efficiency. Performanceis the ratio of the number of units in the output to the number of units in the input. Productivity reflects the complex effectiveness of the use of all types of resources (labor, capital, technology, information).
Basic concepts of management effectiveness are:
· labor efficiency of employees of the administrative apparatus;
· efficiency of the management process (functions, communications, development and implementation of management decisions);
· effectiveness of the management system (taking into account the management hierarchy);
· the effectiveness of the management mechanism (structural-functional, financial, production, marketing, social, etc.).
Distinguish external and internal efficiency.
Externalmanagement efficiency determines the effectiveness of management, characterizes the degree to which the organization achieves its goals, reflects the level of compliance of the organizational system with the requirements and constraints of the external environment, as well as efficiency in terms of using external opportunities.
Internalmanagement efficiency is economy, i.e. the ability to distribute and use the available resources in the best (optimal) way to achieve the goals dictated by social needs by the organizational system. It shows how the satisfaction of these needs affects the dynamics of the own goals of the organizational system and individual groups of its participants, while reflecting the effectiveness in terms of the use by the organizational system of all components of the internal environment, including production, financial, investment, human resources, etc. This the indicator also characterizes the effectiveness of the leadership style, type of management, business etiquette and ethics, organizational and corporate culture.
Overall efficiency -efficiency as a composition of its two components: internal and external efficiency;
AT economic theory distinguish two kinds of efficiency: economicand social.
Economicefficiency is determined by the ratio of the result obtained to the costs.
Socialefficiency expresses the degree of satisfaction of the demand of the population (consumers, customers) for goods, services.
The effectiveness of an organization is always evaluated in comparison with other organizations.
efficiency quality control management
Signs of the effectiveness of the organization (example)
Sphere (region)Main goalsProduction1. High and uniform capacity utilization 2. Cost minimization 3. Optimum warehousing 4. Minimum staff turnover Finance1. Short-term and long-term profit maximization 2. Low debt 3. Self-financing 4. High interest on capital 5. Ensuring high dividends Sales1. Positive reputation 2. Constant growth 3. High quality 4. High specific gravity on the market 5. Constant readiness for delivery 6. Fastest execution of orders 7. High turnoverSocial sphere1. Satisfied employees 2. Continuity in employment
Management efficiency factors. The principles, functions and methods of management considered above make it possible to single out the following main factors of management effectiveness:
· timely and constantly adapting to the conditions of the external environment, the mission, goals and strategy of the organizational system;
· strategically oriented, optimal, adaptive structure of the organizational system and all its subsystems;
· in highly qualified, developing, optimally interacting personnel aimed at the effective achievement of the goals of the organizational system;
· and systematic actions of the organization, its management as a mechanism that includes optimized methods, principles, technologies, processes, procedures based on modern information and communication technologies to achieve the desired end states or goals;
· in high organizational culture, including management style, treatment of people, attention to the client, concern for quality, attention to innovation, etc.
The above factors are general directions for improving the efficiency of management and business.
. Human Resources. Effective management that ensures survival and long-term success of the organization in the conditions market competition, requires orientation to a person: in terms of the external environment - to the customer (consumer, client, buyer), in terms of the internal environment - to the staff. In modern management, labor resources are considered from the standpoint of human capital. Human capital wisely used for production activities to create products and services, increases the income of a person, enterprise, society.
When considering the problems of management efficiency from the point of view of human capital, labor resources can be expressed quantitatively, for example, in the form of absenteeism, lateness, number of complaints, loss of working time due to illness, treatment and rehabilitation, hours vocational training, tests for assessing intelligence, erudition, indicators of the intensity of use intellectual property, valuation of controlled capital. However, the quantitative assessment of qualified personnel does not reveal the whole picture necessary for effective management, their quality is much more important.
Knowledge.Due to the fact that any knowledge becomes obsolete, it is necessary to constantly analyze the knowledge specialized for a particular business that an organization has. The conclusions of the knowledge analysis should be compared with the data marketing analysis. This allows you to identify missed marketing opportunities, as well as determine the need for new knowledge or to improve existing ones.
Material resources- this is fixed and working capital, including buildings, equipment, technology, materials, financial capital, etc.
Qualified personnel, working capital are the most mobile resources, they can be managed, and they can be redistributed in the course of work in the short term. This gives rise to the danger of their incorrect and inefficient distribution. The main principle in relation to scarce, scarce resources and, above all, highly qualified personnel is the maximization of resources. Such specialists should be sent to those areas where the greatest return is likely for each unit of work done. The decision to allocate staff to appropriate capabilities is key to ensuring effective management. The most favorable business opportunities are always realized with the help of the most qualified specialists attracted for this purpose by the management of organizations. Scattering first-class personnel, and not concentrating them on the most promising goal for the company, is unacceptable.
Information. Information commodity markets and markets for intellectual products in a post-industrial society begin to cover all elements of the management infrastructure. AT modern economy material resources are inferior to information resources. The features of the modern revolution in the innovation sphere, associated with the transformation of intellectual products and information into a commodity, ensure a consistent transition to the information society, in which information becomes the most important resource for effective management. Management is impossible without information about the internal and external environment. Its significance is enormous. The final information about the activities of the organization is a prerequisite and basis for the subsequent comparative measurement of management costs, as well as management results and obtaining appropriate ideas about its effectiveness. To divide their relationship and location on the territory of the firm. The presence of this resource serves as the basis for determining the composition of the fixed capital, service methods and spatial planning of the organization. The possession of this resource is necessary condition creation of production associations, expansion and reconstruction of enterprises, diversification and changes in the specialization of production. The space occupied by workplaces should provide naturalness labor actions and techniques, rational loading of workers and equipment, etc., be sufficient for workers to be able to make all the necessary movements and movements when performing production operations. When there is a lot of it, they usually do not think about it and spend it inefficiently. When it is not enough, the question of efficiency of use rises sharply. Space as a resource largely determines internal environment organizations.
Competitive success is largely determined by what spaceeach state creates and maintains for the sectors of the national economy. The unity of the economic space, ensured by the state, creates equal conditions for competition and effective management. The division of the single economic space according to the circle of sellers, on a territorial basis, the introduction of restrictions on the import and export of goods, works, services, material and labor resources, the establishment of administrative, economic, organizational, and financial barriers require an improvement in business strategy. Analysis of the business space (macro- and microenvironment of the organization) is an indispensable component of the strategic analysis carried out in order to:
· constant monitoring of the place and position of the organization in the market;
· in determining areas for improving management and business;
· avoidance of crisis situations.
Examples of an organization's dependence on space include obtaining resources from other countries. These resources, being more advantageous in terms of prices, quality or quantity, long term may increase environmental volatility such as exchange rate fluctuations or political instability. The most striking example of the constant need to consider space as an important resource and to ensure that the size of the business corresponds to this resource is the wave of mergers and acquisitions, bankruptcies that swept Europe as a result of the emergence of the European Economic Community. The European Union has created a significant imbalance in business size and economic space for many medium-sized firms well suited to meet the needs of their country's limited market. The discrepancy between the size of the business and the space revealed that these firms, in the intensified competition, lack managerial personnel, capital, and marketing resources.
Leaders should keep in mind that the size of an organization radically changes its managerial properties. As a result, management methods and mechanisms that ensure the efficiency of a small enterprise are not suitable for a large organization. Consequently, there is not and cannot be a single effective management, since everything is situational.
P. Drucker singled out seven performance categories management:
) efficiency- the degree of achievement of the organization's goals, i.e. degree of completion necessary work; reflects the result of comparing what they planned to do with what they actually achieved;
) performance- the ratio of the number of units at the output to the number of units at the input; shows the complex effectiveness of the use of resources (labor, capital, technology, information). Productivity is the amount of products produced per unit of time;
) economy- the degree to which the organization uses the necessary resources, i.e. the ratio of the required and actual consumption of resources;
) profitability- the ratio between income and total costs. The criterion of profitability is replaced by many economists with the indicator "efficiency", which characterizes the ratio of results and costs of the organization's activities, i.e. the higher the result (for example, income, profit), the better one or another works organizational system
) quality products- conformity of characteristics of products (services) with standards and requirements of consumers. Product quality determines the totality of properties or characteristics of goods, works or services that give them the ability to satisfy stipulated or implied needs;
) innovative activity- the process of creating, distributing, implementing and using innovations in various (functional) areas of the organization, providing the organizational system with competitive advantage;
) the quality of the working life of employees - the working conditions of employees, which are manifested in the reaction of the organization's personnel to the socio-economic (psychological, social and economic) working conditions created in it, i.e. represents the degree to which important personal needs of employees are met through activities in the organization.
Considering the problems of effective management, it is necessary to add to these categories such an indicator as management quality, which reflects the ability of the subject of management to meet the needs of the managed system in achieving its best performance in its core activities.
Quality. As an economic category, quality reflects a set of essential properties that characterize the certainty of an object, by virtue of which it is a given, and not another object, and differs from other objects. It is connected with the existence of an object, is inseparable from the object, covers it entirely, reflects the essential features of the purpose of the object or phenomenon, their main function. The essence of this concept is applicable to any activity, including production, economic and managerial. The category of quality is associated with the concepts of "consumer value", "utility", "satisfaction of needs".
In a market economy, quality is determined by demand, which determines the achievement of consumer properties that ensure the satisfaction of needs with the most productive use of the resources available to the organizational system. Thus, a measure of the utility of an object or phenomenon should be considered socially required quality.
· in the quality of the final states resulting from the transformation and processing of inputs, including the quality of products (goods, works, services);
· in the quality of work;
· and quality of the main activity of the organizational system;
· management quality.
The interdependence and subordination of these concepts lies in the fact that the quality of labor determines the quality of the main activity of the organizational system, which affects the quality of products. The socially necessary quality of the final states, which are the result of the transformation and processing of inputs, is one of the goals of the main activity of the organizational system. Ensuring this goal becomes a management function, and its implementation is carried out by a management system that is adequate to the goals set. The degree of compliance of the management system with the needs of the managed system in achieving its best performance in its core activities reflects the quality of management.
Quality control. It significantly depends on the internal potential of the organization and shows the effectiveness of its management system, including the level of production, personnel, logistics and marketing systems, the optimal structure of business processes and organizational structure, the degree of adequacy of the functioning of all systems and subsystems of the organization to its goals and objectives, the possibility these systems to improve. The quality of management is evaluated according to the following main parameters:
speed of making important decisions. The course of time usually determines the possibility of a prompt response of the management system to a change in the market situation. Decisions should be made and put into practice as long as the information and assumptions on which decisions are based remain relevant and accurate. It is not uncommon in business when, due to slow decision-making, the desired action is delayed, which leads to loss of communication with partners, loss of profitable contracts etc.;
justification for making important decisions. An effective decision is a balanced, reasonable and rational choice of an alternative. It is carried out on the basis of the diagnosis of the problem, determination of the essence of the restrictions and decision-making criteria, evaluation of alternatives. This provides a significant part of the success of the organizational system. Otherwise, the result is often expressed as a waste of resources. Restrictions vary and depend on the situation and individual leaders. Most often, insufficiently informed decisions are made in the areas of advertising, personnel selection and business projects, in which every manager considers himself a professional;
real delegation of authority. The management system works effectively if the subordination relationships between people and organizational units are clearly defined, coordinated and established, i.e. horizontal and vertical interaction of all links has been established. Delegating a significant amount of authority to the lower levels of the hierarchy is the main process by which leaders establish the formal relationships of people in the organization. With such interaction of all links, the long absence of the top leader does not slow down the activity of the organizational system;
- the possibility of delegation of authority. Opportunity assessment senior management delegate authority is due to the fact that the limits of authority are expanding towards higher levels of management of the organization. Much of the authority of the manager is determined by the traditions, mores, cultural stereotypes and customs of the society in which the organization operates. At the same time, there are many different restrictions on powers. This circumstance indicates that there may not be real delegation at a particular stage of the development of the enterprise, but it may be required during further development. At the same time, it must be taken into account that there are a number of reasons why managers may be reluctant to delegate authority, and subordinates may shy away from additional responsibility. Some of these reasons are deeply rooted in human behavior and are the result of individual psychology. The possibility of effective delegation is ensured through a clear exchange of information, the implementation of the principle of correspondence between powers and responsibilities, as well as the use of positive incentives;
- - control of implementation of decisions. Since the manager has the opportunity to choose decisions, he is responsible for their implementation. Decisions made go to executive bodies and subject to control over their implementation. In the process of monitoring the progress of the implementation of the decision, the necessary adjustments are made and an assessment of the result obtained from the implementation of the decision is given;
- system of rewards and punishments. It is designed to improve the efficiency of personnel activities aimed at achieving the goals of the organization. In order to effectively motivate their employees (i.e., create an internal drive to act that results from a complex set of ever-changing needs), a manager must determine what those needs really are and provide a way for employees to satisfy those needs through good performance. The system of rewards and punishments significantly affects the psychological climate that exists in the organization;
- permeability of information "down". This is the effectiveness of inter-level communications in the organizational system. Information moves within the organization from level to level within vertical communications. The quality and quantity of information transmitted downstream, i.e. from the highest levels to the lowest, determines the effectiveness of the execution of management tasks at all levels of the hierarchy. In this way, the subordinate levels of the control system are informed about current tasks, changes in priorities, specific tasks, recommended procedures, etc. (in practice this is not always the case). This provides conscious execution assignments by staff based on their own ideas about the goals of the received assignments, increases the likelihood of achieving a positive result. Staff always have their own ideas about the purpose of the assignment, but how accurate they are depends on the information coming “down”;
- permeability of information "up"". The transfer of information within the framework of vertical communications from the lower levels of the hierarchy to the higher levels significantly affects performance. Upward communication is feedback that serves to alert the "top" about what is being done at the lower levels. In this way, management becomes aware of current or emerging issues and suggests possible options correcting the situation. In the complete absence feedback management is helpless, with serious restrictions - it loses quality;
- personnel policy . This is a system of rules and norms that have developed in the organizational system and are aimed at ensuring harmonious and effective (in the interests of the organizational system and personnel) inclusion of employees in the life of the organization;
- quality of activity planning. It reflects the effectiveness of the consistent actions of all members of the organization aimed at achieving the overall goals of the organizational system, including actions to implement the strategic, current or operational planning and development of targeted programs. The planning function involves deciding what the goals of the organizational system should be and what its members should do to achieve these goals, and also determines where the organizational system is currently located, where it wants to go, how it is going to do it;
leadership. This is the perception by the staff of the top manager as a leader worth following; the ability of the manager to carry the workforce along with him in the direction of achieving the goals of the organization. To a large extent determines the possibility of innovation.
. Quantifying Efficiencymanagement in many ways difficultdue to the specific features of managerial work.
One of the famous approaches to performance evaluationmanagement consists in using the concepts of "efficiency in the broad sense" and "efficiency in the narrow sense". In a broad sense, management efficiency is identified with the efficiency of the system as a whole. In a narrow sense, efficiency reflects the effectiveness of the actual management activities. In both senses, generalizing indicators and a system of private indicators of economic and social efficiency are used to characterize efficiency.
The most typical way to determine the economic efficiency of management improvement measures is to calculate the annual economic effect obtained from their implementation and compare it with the costs of these measures. Justification of the economic efficiency of improving the management of enterprises should be supplemented by an assessment of their social efficiency.
The methodology for calculating the economic effect depends on what activities are carried out and which subsystem of the management system they belong to - "input", "transformation process" or "result".
Investment efficiencycalculated according to the indicators summarized in the system. These include:
indicators of commercial (financial) efficiency, reflecting the financial consequences of the project implementation for its direct participants;
indicators of budgetary efficiency, reflecting the financial implications for the federal, regional and local budgets;
indicators of economic efficiency, taking into account costs and results.
Improving performance indicatorsactivities of the company is possible as a result of the development and implementation organizational and technical measures, which comprehensively reflect efficiency factors that can be combined into two groups:
measures to increase the result of the organization's activities;
measures for more economical use of resources (resource saving, cost reduction of the company).
To determine the effectiveness of management, specific approaches and techniques are needed, so their basics are outlined below.
Indicators of management efficiency and approaches to their determination.
To assess the economic efficiency of management in a broad sense, summary indicators. Until recently, to characterize the economic efficiency of the management system at the state level, among others, a generalizing indicator was used - national income (newly created value) for a specific period of time, at the industry level - an indicator of labor productivity, at the enterprise level - profit.
Private indicatorsthe economic efficiency of management in the broad sense (of the organization as a whole) is very high (more than 60). Among them: profitability, turnover, return on investment, capital intensity, capital productivity, labor productivity, the ratio of wage growth and labor productivity, etc.
General indicators of social efficiency in a broad sense can be:
the degree of fulfillment of consumer orders;
share of the company's sales in the market, etc.
Private indicators of social efficiency are:
timeliness of order fulfillment;
completeness of the order;
provision of additional services;
after-sales service, etc.
Economic efficiency of management (Eat) in a narrow sense, characterize the following indicators:
summary indicator
E At =D/Z,
where D- income of the enterprise;
Z - the cost of maintaining the management apparatus;
private indicators :
the share of administrative and management expenses in the total cost of the enterprise,
the share of the number of managerial employees in the total number of employees at the enterprise,
manageability rate (the actual number of employees per employee of the administrative apparatus), etc.
To private indicators, characterizing the efficiency of labor in the field of management, also include:
reducing the complexity of processing management information;
reduction of managerial staff;
reducing the loss of working time of managerial personnel by improving the organization of labor, mechanization and automation of labor-intensive operations in the field of management.
General indicators social efficiencyin the narrow sense are: the share of decisions taken at the suggestion of the employees of the labor collective; the number of employees involved in the development of a management decision, etc.
To private indicators of social efficiencyinclude: the degree of technical equipment of managerial work, the turnover of employees of the management apparatus, qualification level personnel, etc.
Let's take a closer look at options for determining a generalizing indicator of the economic efficiency of managerial work.
Classic method determination of economic efficiencyincludes the ratio of economic results of labor to labor costs . Since the direct assessment of labor results in management is limited, an indirect assessment is used, including the determination of the specific contribution of employees to the final performance indicators of the management apparatus, implemented in the final results of the managed object.
The indicator for a comparative assessment of management efficiency reflects the following ratio:
Eat= Pat/ Uh
where Eat - management efficiency;
Rat - effectiveness of management;
At3 - unit management costs.
As the first component of the management effectiveness indicator, we can recommend two indicators: growth (growth) of labor productivity and the ratio of growth rates of labor productivity and capital-labor ratio.
When comparing control systems, preference is given to a system with a higher efficiency indicator.
Of particular interest is approach to the indicator of the effectiveness of collective managerial work(E)which is a modification of the main method given earlier:
E \u003d W / W pl + F vol + E * F os
where AT -volume of final products, rub.;
Zt - the cost of paying employees, rub.;
F o6 - current expenses for working capital, rub.;
Fand - cost of fixed industrial and production assets, rub.;
E -coefficient of efficiency of production assets (normative can be used).
Private methods for determining the effectiveness of management.
Despite all the difficulties in evaluating the effectiveness of managerial work, theoretical, methodological and methodological techniques for evaluating the effectiveness of individual measures have been developed to a greater extent than management as a whole. Thus, methods are known for assessing the effectiveness of the introduction of new technology, automated control systems, etc.
The most typical way to determine the economic efficiency of management improvement measures is to calculate the annual economic effect obtained from their implementation and compare it with the costs of these measures.
Management Improvement Efficiency Ratio
Ke = Eg / Zu
where EG - annual economic effect obtained as a result of the activities;
Zat - expenses for measures to improve management.
The annual economic effect can be calculated using the formula
E G = C - Zu * E n ,
where FROM- annual savings from measures to improve management;
Eand - industry normative coefficient efficiency.
Justification of the economic efficiency of improving the management of enterprises should be supplemented by an assessment of their social efficiency.
Social efficiency is determined by the ratio of indicators reflecting the social result to the costs necessary to achieve it. Social results are manifested in improving the living conditions and life of the population, maintaining and strengthening human health, facilitating and increasing the content of his work.
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At the level of individual enterprises in various sectors of the economy, various groups of indicators of economic efficiency are used. However, each enterprise assesses the economic efficiency of the use of materials, fixed assets and working capital, investments and labor resources, and also calculates a general indicator that characterizes the economic efficiency of the enterprise as a whole.
To assess and analyze the economic efficiency of production, differentiated and generalizing performance indicators are used. The efficiency of using any one type of costs and resources is expressed in a system of differentiated performance indicators. These include: labor productivity or labor intensity, material productivity or material intensity of products, capital productivity or capital intensity, capital productivity or capital intensity. Differentiated performance indicators are calculated as the ratio of output to certain types of costs or resources, or vice versa - costs or resources to output.
Generalizing (complex, integral) performance indicators are used to assess economic efficiency in the whole country, region, enterprise. These indicators make it possible to take into account many factors and components that influence the level and dynamics of efficiency more fully and in interconnection. The formation of generalizing indicators is based on two conditions: taking into account the final, qualitative result and reflecting total value costs and resources (for example, the costs of production and circulation, the total value of production assets). The main generalizing indicators of economic efficiency include the following: national income (ND), gross national product (GNP) per capita; productivity of social labor, coefficient of overall efficiency, costs per ruble marketable products, profit, profitability of production and profitability of products.
The most important indicators of economic efficiency social production are labor intensity, material intensity, capital intensity and capital intensity.
The economic efficiency of the use of material resources characterizes the material consumption of products. The indicator of material consumption of products (Em) is usually calculated as the ratio of material costs (without depreciation) to the cost of manufactured products according to the formula:
Em \u003d MZ: VP,
where MZ - material costs, VP - the cost of output.
The coefficient of material costs is the ratio of the actual amount of material costs to the planned, recalculated for the actual volume of output. This indicator characterizes how economically materials are used in production, whether there is an overrun compared to the established norms. A coefficient of more than 1 indicates an overrun of materials, a coefficient of less than 1 indicates savings.
The indicator of material consumption is more analytical, it really reflects the level of use of materials in production. Material consumption of products Russian enterprises on average 30% higher than abroad. A one percent reduction in material costs brings a greater economic effect than a reduction in other types of costs.
The main analytical indicator characterizing the use of materials in production is:
- - material consumption of all marketable products;
- - material consumption of individual products.
Calculation and analysis of particular indicators of material consumption allows you to identify the structure of material costs, the level of material consumption certain types material resources, establish reserves to reduce the material consumption of products.
An analysis of the structure of material costs is carried out to assess the composition of material resources and the share of each type of resource in the formation of the cost and cost of production. The analysis reveals the possibility of improving the structure of material costs through the use of new progressive types of materials, the use of substitutes (metal ceramics, etc.).
Reducing the material consumption of products is one of the main directions for increasing efficiency in industry and construction, since the costs of materials account for more than half of the costs of manufacturing products in these industries. Each enterprise has its own reserves to reduce material consumption. Usually these reserves are associated with the introduction of new resource-saving technologies, the replacement of expensive materials with cheap substitutes.
The economic efficiency of the use of fixed production assets is usually determined by the indicator of their return on assets. Fixed production assets (or fixed capital) include the means of labor that repeatedly participate in the production process and, without changing their natural form, transfer value to newly created products not immediately, but in parts, as they wear out. The main production assets include industrial buildings and structures, machines, machine tools, equipment, transmission devices, vehicles, etc. Fixed production assets are divided into active and passive parts. The active part covers that part of the funds that directly affects the object of labor: machines, machine tools, equipment, etc. The passive part creates the conditions for production - these are factory and factory buildings and structures, engineering communications. The rate of return on assets (EF) is determined by the ratio of the cost of created products to the cost of fixed production assets:
Ef \u003d VP: OF,
where OF is the cost of fixed production assets.
The efficiency of the use of industrial fixed assets is characterized by the ratio of the growth rate of output and the growth rate of fixed assets, as well as indicators of capital productivity, capital intensity, capital-labor ratio and labor productivity.
In the calculations of the plan for economic and social development, capital productivity is calculated based on the volume of production in comparable prices and the average annual cost of production fixed assets (own and leased), except for funds that are on conservation and in reserve, as well as leased. Fixed assets are carried at full book value (without deduction for depreciation).
The return on assets can also be determined on the basis of output in value, in-kind and conventionally-in-kind terms.
The most correct efficiency of the use of fixed assets reflects the rate of return on assets, calculated on the basis of output in physical terms. However, the scope of this indicator is limited to enterprises producing one type of product.
In most industries, capital productivity is calculated on the basis of cost indicators.
The use of the indicator of sold products for calculating the return on assets is inappropriate, since this indicator in dynamics over a number of years will reflect the volumes in different estimates.
Some economists consider it appropriate to determine the return on assets based on the residual value of fixed assets. Such a proposal cannot be considered legitimate, since the residual value does not characterize the cost of reproducing fixed assets. At the same time, it will turn out that at enterprises with old, obsolete and physically worn-out funds, the level of return on assets will be higher than at similar new enterprises with new machinery and more productive equipment.
The return on assets can be calculated both in relation to the entire cost of production fixed assets, and to the cost of machinery and equipment. This makes it possible to trace the effectiveness of the use of the most mobile and decisive part of fixed assets - equipment.
However, regardless of the basis for calculating the return on assets, its content is not without a number of shortcomings that must be taken into account in business practice and economic analysis. The rate of return on assets is incommensurable over time, since the numerator includes the annual (quarterly) volume of production, and the denominator indicates funds whose individual elements have different service lives, but in all cases exceeding the annual period of time.
The decrease in the level of return on assets is to a certain extent caused by a large increase in capital investments directed to improving working conditions, protection environment, the accelerated development of industry in certain regions of the country, shifts in the sectoral structure of industry and other objective factors. The decrease in the return on assets to a large extent also occurs under the influence of such reproductive factors as the rise in the cost of a unit of capacity, the increase in the estimated cost of construction and installation work, the outpacing of the growth in equipment prices over the increase in its productivity, and shortcomings in the use of existing funds.
The economic efficiency of capital investments reflects the use of investments. The most general indicator of economic efficiency is the payback period of capital investments to the increase in profits that they cause:
Ep \u003d K: DP,
where K is the volume of capital investments, DP is the increase in profit caused by these capital investments for the year.
It is well known that the optimal payback period for capital investments should not exceed two years. AT modern conditions in Russian Federation the scope of efficiency standards for capital investments regulated by the state was sharply reduced, but the scope of individual efficiency standards that take into account the interests of private investors has been significantly expanded; the approach to taking into account the time factor is radically changing, which is increasingly linked to the density of capital investments and the price of the firm.
An important place in the system of indicators of economic efficiency belongs to the turnover of working capital. Working capital (or working capital) is the cost of raw materials, materials, fuels, energy carriers, work in progress and labor costs. Inventories financed by working capital finished products, as well as inventory in trade. The efficiency of the use of working capital characterizes, as a rule, the indicator of their turnover in days, which is calculated by dividing 365 days (accepted for the billing year) by the number of turnovers of the working capital of the enterprise for the year. The acceleration of the turnover of working capital is considered to be an important reserve for increasing economic efficiency. The most important direction here is the reduction and optimization of stocks of raw materials, materials, semi-finished products, components, etc.
An indicator that characterizes the economic efficiency of personnel activity is labor productivity, which is determined by the production output per unit of time. At the level of the enterprise (organization), as a whole, the indicator of labor productivity (Et) can be calculated as the ratio of the volume of output to the number of employees employed at the enterprise, according to the formula:
Et \u003d VP: CR,
where PR is the average annual number of employees employed at the enterprise.
The growth of labor productivity means saving labor costs (working time) for the manufacture of a unit of output or an additional amount of output per unit of time, which directly affects the increase in production efficiency, since in one case the current costs for the production of a unit of output are reduced under the article " Wage the main production workers", and in the other - more products are produced per unit of time.
The introduction of the achievements of scientific and technological progress has a significant impact on the growth of labor productivity, which is manifested in the use of economical equipment and modern technology, which contributes to saving living labor (wages) and increasing past labor (depreciation). However, the increase in the cost of past labor is always less than the saving of living labor, otherwise the introduction of the achievements of scientific and technological progress is not economically justified (an exception is the improvement of product quality).
In the conditions of becoming market relations the growth of labor productivity is an objective prerequisite, since the labor force is diverted to the non-productive sphere and the number of employees is reduced due to demographic changes.
All the indicators discussed above characterize the economic efficiency of the use of individual resources.
Meanwhile, at each enterprise it is necessary to determine a generalizing indicator that allows you to evaluate the overall performance. In market conditions, such an indicator is profitability, which allows you to correlate the profit received with the costs. Estimated profitability (Er) is calculated by the formula:
Er \u003d P: C 100%,
where P is the estimated profit, i.e. profit remaining at the disposal of the enterprise, C - costs associated with the creation and replenishment of fixed and working capital.
Profitability qualitatively characterizes the work of the enterprise (organization) and reflects the comparison of profits with all costs. At the same time, in various industries at the level of individual enterprises, there may be specific features in the methodology for calculating economic efficiency indicators.