O.A.Zinchenko.,
Ph.D, associate
professor
senior lecture of economic analysis department
and
finances of the Krivyi Rig
technical university
Ukraine, Krivyi Rig
A.V.
Pantyuhova
competitor of economic analysis department and
finances of the Krivyi Rig
technical university Ukraine, Krivyi Rig
MANAGEMENT
EFFICIENCY OF CAPITAL
ASSETS AS BASIS OF FORMING ECONOMIC
POTENTIAL AND QUALITY ENTERPRISE INCOME
Ukraine is on the
stage market conditions of improvement economy, which requires drastic alternations in functioning of
economic mechanism and harmonization of all interested parties interests.
General job of enterprise performances, creations of on principle new
approaches, , to the management
enterprise on the whole and by the fixed assets in particular depend
from that, as far as present facilities of labour are effectively used, from
their accordance the modern stage of development of scientific and technical advance..
A market economy
stimulates enterprises to introduction of new technique and technologies,
extends possibilities in relation to the use of new financial instruments and
mechanisms, however in practice there is a problem in relation to reality of
their application. Foremost it contingently completes absence or lack of the personal circulating funds, by low
liquidity of assets, ramshackle material and technical base, expense on its
maintenance exceed present incomes, and, certainly, by an imperfect legislative
base which regulates activity of enterprise. That’s why researches of problem
questions account and analysis of the
fixed assets enterprises and its
improvement directions are especially actual. .
An efficiency
increase the use of the fixed assets of enterprises is one of basic questions
in the period of passing to the market relations. Financial being of enterprise depends of the
decision this problem, competitiveness
of its products in a market.
In the
conditions of passing Ukraine to the market economy at all levels of management
a requirement grew in timely and reliable information which provides acceptance
of the grounded decisions. A management an enterprise requires systematic
information about the carried out economic processes, their character and
volume, about the presence of material, labour and financial resources, their
uses, property asset, obligations and financial results of activity. In fact on the basis of
information it is possible to attain
the primary strategic purposes of enterprise – maximization of enterprise
income. In some process of production three factors take part : facilities of
labour, labour force, articles of labour.
At the end of XX
century a fourth factor is selected, such as enterprise capabilities. This
factor is abstract and has no material forms, but it shows the hidden
possibilities of human personality – which show up as a capacity for an
enterprise. Facilities of labour and articles of labour are formed by capital
goods,
Facilities of
labour and articles of labour are formed by capital goods, which are material
maintenance production funds of enterprise. In its turn, production funds are
public labour and material basis of production.
Facilities of
labour take part in formation of product during the row of production cycles.
Thus they lose only part of total worth, saving a consumer cost and material
form. Unlike facilities of labour the articles of labour for one production
cycle are fully lost.
Articles of
labour are that a man influences in the process of labour and it makes material
basis of future product, for example, raw material, different materials..
Facilities of
labour are reflected in the capital assets of enterprise, and the articles of
labour — in circulating. However it should be noted that facilities of labour
and articles of labour become the production funds of enterprise only then,
when they take part in formation of cost of products. Thus capital assets consist of facilities and articles of labour,
and production funds — from capital and circulating assets.
We will consider the
values of concept «the fixed assets».
The fixed assets are
tangible assets, which enterprise contains with the purpose of the use them in
the process of production, supplying with commodities, grant of services,
transmissions in a lease other persons or for realization of administrative
expected lines of the useful use (exploitations) of which more then year (or
operating cycle, if it is more
than year).
The
cost of the fixed assets is carried on a mine-out product gradually, as far as
the use, and transference process of this cost is amortization.
Basis of depreciation is a deterioration of the fixed assets. Concepts of deterioration and attrition are not identical. A deterioration is a loss of labour of the properties
or descriptions facilities as a result of certain circumstances (to
exploitation, influence of scientific and technical progress, and at all), it is the objectively
existent phenomenon. All facilities of labour are subject a deterioration both
operating and not operating, regardless of their participation in the process
of production (production and unproductive). Attrition is an economic
process, reflection of deterioration in economic reality. Attrition is a process of loss fixed assets their cost facilities.
Thus, selects the
followings methods of amortization in Ukraine:
1. At times the use of the fixed assets:
- rectilineal method;
- method
of diminishing of remaining cost;
- method
of the speed-up diminishing of remaining cost;
- accrual
method.
2. After the amount of mine-out units:
- production
method. Purpose of depreciation distributes the cost of tangible assets of
the long-term use on charges during the foreseen term of exploitation on the
basis of application of systematic and rational records.
The extent of deterioration depends on the type of the fixed assets, their functional role in a
production process, terms of the use. Mainly it is determined the term of
service of object and growth
with the term of exploitation. Such factors, as
intensity of the use, aggressiveness of environment, climatic terms, legal or
other limitations, operate on the extent of deterioration. Two main reasons of
narrow-mindedness service term of assets are physical deterioration and
obsolescence. Physical deterioration is understood as
the gradual loss of the primitive consumer cost of the fixed assets, which
takes place not only in the process of their functioning but also at their
inactivity, (destruction under external influence, atmospheric influence).On
the extent of deterioration of the fixed assets such factors can
influence in the process of their use: degree of loading of production
facilities in the process of production, which depends on the amount of changes
and work hours for days, durations of labour a year, intensities of labour; basic mean quality; features of
technological process and degree of the fixed assets defence from influence of
external terms (temperature, humidity, atmospheric sinking, and others like
that); quality of care the fixed assets; workers qualification. The fixed assets deterioration out not only physically (for example,
machines, equipment and others like that) but also become backward after the
technical description, and also economic efficiency, that subject obsolescence.
Obsolescence is a technique – economic senescence of labour facilities, which
appears in the loss of expedience them to subsequent exploitation through
appearance more cheap or more perfect facilities of labour.
Studying the theoretical positions,published labours of national
and foreign scientists, tested that
management efficiency of the use and the fixed assets recreation became complicated at this time, and the row
of problems negatively influences on the process of management operations,
reducing organizational-technical level
enterprise and its efficiency. It is possible to take the circle of
such problems :
1. depreciation system development problems. Because
basic problems related to depreciation: it is a problem of determination
of liquidating value. This problem is actual through complication estimation of
assets in the future. For
a technique it is necessary to do a prognosis on a 5-10 years, for buildings -
40-50 . Thus, it is actually impossible to take into account influence on the
eventual cost of many factors, that is why a result will be approximate enough.
it is problem of determination term of the useful use
The grant of freedom enterprises in determination of term
the useful use of assets has the
serious failing which consists in a presence substantial divergences and
falling short of in the terms of the use on analogical objects in different
economies. So, the conducted researches testify that a difference in
the set terms on an analogical technique between different enterprises makes 2
times (from 5 to 10 years);
-
problem of the use of different methods of depreciation;
- problem of control of the use depreciation facilities;
- problem of not
account of obsolescence at determination of term the useful use fixed assets;
2. problems of the informative providing of management a material
and technical base, that is presented
the system of account, analysis, public accountant control on the
enterprise;
3. problems of
introduction of measures on material well-being of enterprise highly
technological and progressive capital assets:
4. problems of
management efficiency the use of the fixed assets.
It is generally
known, present enterprise potential
expressed in its organizational
– technical level, the base constituent of which is material well-being by
highly technological and progressive capital assets.
It is possible to trace intercommunication of
such economic categories, as organizational- technical level of enterprise,
business activity of enterprise and its market keeping, with quality income and
competitiveness of enterprise.
Increase organizational -
technical level of production has done on the basis of introductions of
innovations and it is the potential of economic enterprise development. The organizational-technical level of production has direct influence on the level of enterprise expenses. Therefore decline of expenses
depend on technical and organizational
ambushs of enterprise development.
But, for the considerable
decline of production inputs and realization of products it is not enough to
have a high organizational-technical level of production, it is needed that
high potential of material and technical, organizational and financial base of
enterprise are used effectively. Business activity indexes are used for the
estimation of efficiency of all resources types on an enterprise in market economy. Enterprise business
activity shows how enterprise
organizationally-technical potential is realized and it is important indicator
of the expenses effective use
The third constituent of
given combination of enterprise strategy is in the following. These results got
by the organizational-technical level of production and degree of business
activity do not allow us to estimate market position of enterprise. It shows on how many quality and volume of products
this enterprise requirement market.
All three constituents of
the combined strategy let effectively to watch the basic stages of enterprise
development (from bringing all types of resources and innovations, forming on
their basis the real organizational-technical level of production and to the
estimation of demand on this products) and achievement on this basis the aims
of this strategy (maximal extent and quality of enterprise income).
Thus, functioning of enterprise is foreseen to invest considerable part capital in material values which are intended for the protracted use as
mean of labour. It is basis of production capacity of enterprise
and it is capital assets. Economic essence and
material maintenance of the fixed assets are basic descriptions of
authentication of their value in providing of processes of reproduction,
functioning and development of production. One of the major aspects for the
normal enterprise functioning is
material well-being of enterprise the fixed and efficiency of their use, that
on a line influences on economic potential of enterprise, which is a basis of
maximization extent and quality of enterprise
income.