Section 2. Organization of economic activity

In this section of the textbook, the study of the system of economic relations continues. After considering the subsystem of socio-economic relations, we will now understand the subsystem of organizational and economic relations, without which economic activity cannot exist and develop. This will allow us to find out how production is organized, by whom it is managed, and in what organizational, economic and legal forms it achieves its intended goals.

Topic 4. Enterprises and organizations in the economy

4.1. Economic and legal characteristics of the enterprise

The primary link in the system of social production is the enterprise (firm). Company is an independent economic entity created to produce products, perform work and provide services in order to meet social needs and make a profit.

A manufacturing enterprise is characterized by production, technical, organizational, economic and social unity.

Production and technical unity is determined by a complex of means of production that have technological unity and interconnection of individual stages of production processes, as a result of which the raw materials and materials used at the enterprise are converted into finished products. They also allow you to provide services and perform certain work in order to make a profit.

organizational unity is determined by the presence of a single team and a single leadership, which is reflected in the overall and organizational structure of the enterprise.

economic unity is determined by the generality of the economic results of work - the volume of products sold, the level of profitability, the mass of profits, the funds of the enterprise, etc., and, most importantly, making a profit acts as the main goal of the activity.

However, the enterprise, first of all, is not a production, not an economic, but a social unit. An enterprise is a team of people of various qualifications, connected by certain socio-economic relations and interests, and making a profit serves as the basis for meeting the needs (both material and spiritual) of the entire team. Therefore, the most important tasks of the enterprise are: payment of socially fair wages to personnel, which would ensure the reproduction of the labor force; creation of normal working and leisure conditions, opportunities for professional growth, etc.

An enterprise is not only an economic entity, but also entity . A legal entity is an organization that owns, manages or manages separate property and is liable for its obligations with this property, can acquire and exercise property and personal non-property rights on its own behalf, bear obligations, be a plaintiff and defendant in court. Legal entities must have an independent balance sheet or estimate.

A legal entity is subject to state registration and acts either on the basis of a charter, or a constituent agreement and a charter, or only a constituent agreement.

The charter reflects: organizational and legal forms of the enterprise (firm); Name; mailing address; the subject and purpose of the activity; statutory fund; the procedure for distributing profits; control bodies; list and location of structural units that are part of the company; terms of reorganization and liquidation.

Firm - legally independent business unit. It can be both a large enterprise or organization, and a small company. A modern firm usually includes several enterprises. If the firm consists of one enterprise, both terms coincide. In this case, the enterprise and the firm designate the same object of economic activity. The firm in relation to its constituent production units is a body of entrepreneurial management. Usually, it is the firm, and not the enterprise, that acts as an economic entity in the market, implements a pricing policy, competes, participates in the distribution of profits, sets the pace and determines the direction of scientific and technological progress.

A variety of enterprises operate in the economy. They differ from each other in a number of ways: industry affiliation; sizes; the degree of specialization and the scale of production of the same type of products; methods of organizing production and the degree of its mechanization and automation; organizational and legal forms, etc.

Signs industry affiliation enterprises serve: the nature of the raw materials consumed in the manufacture of products; purpose and nature of the finished product; technical and technological community of production; operating time throughout the year. Thus, enterprises and organizations in our country are distributed in statistics, primarily into three groups of production sectors (parts of the national economy):

mining;

processing;

distributing electricity, gas and water.

The importance of these sectors can be judged by general economic indicators (number of organizations, volume of shipped goods and financial result) - table 8.

Table 8

By appointment finished products All enterprises are divided into two large groups: producing means of production and producing consumer goods.

By sign technological community distinguish between enterprises with continuous and discrete production processes, with a predominance of mechanical and chemical production processes.

By working hours during the year Distinguish between year-round and seasonal enterprises.

By sign enterprise size are divided into large (with more than 500 employees), medium (with 101 to 500 employees) and small (up to 100 employees). The main criterion for attributing an enterprise to one of these groups is not only the number of employees, but also the amount of allowable cash flow.

By specialization and scale of production enterprises of the same type are divided into specialized, diversified and combined.

It is possible to single out enterprises on other grounds. For example, depending on different types of economic and legal relations and the nature of production activities, such enterprises differ, for example:

rental which manufactures products, performs work and provides services using property on the basis of a lease agreement (for a certain period);

venture- a small enterprise in science-intensive sectors of the economy, carrying out scientific research, engineering development and the introduction of innovations of a risky nature;

closed(in some countries), which has an agreement that only members of a union or those who wish to join a union will be employed in this enterprise;

open in which both members of the trade union and non-members of the trade union are employed;

collective, which was created either when buying out a state-owned enterprise, or when acquiring the property of an enterprise by a labor collective.

The classification of enterprises is important in the development of standard documentation for homogeneous enterprises, the application of standard design and technological solutions, production structure and other purposes.

In accordance with the forms of ownership, enterprises can be state, municipal, private, and may also be owned by public organizations.

by an enterprise like object of rights recognized Property Complex, which is generally real estate. This complex includes all types of property intended for its activities, including: land plots; building; equipment; inventory; raw materials; products.

In addition, this complex includes claims, debts, as well as designations that individualize the enterprise, its products, works and services (company name, trademarks, service marks), and other exclusive rights.

The enterprise operates in industry, agriculture, construction, transport, communications and informatics, science and scientific services, trade, logistics, culture, education, services and other sectors of the national economy. An enterprise can simultaneously conduct several types of economic activity.

Economic activity of the enterprise is the production of products, the provision of services, the performance of work. Economic activity is aimed at making a profit in order to satisfy the economic and social interests of the owners and the workforce of the enterprise. Economic activity includes the following stages:

• scientific research and development work;
• production;
• auxiliary production;
• maintenance of production and sales, marketing;
• sales and after-sales support.

Analysis of the economic activity of the enterprise

Makes the FinEkAnalysis program.

Analysis of the economic activity of the enterprise this is a scientific way of understanding economic phenomena and processes, based on the division into component parts and the study of the variety of connections and dependencies. This is an enterprise management function. Analysis precedes decisions and actions, justifies the scientific management of production, increases objectivity and efficiency.

Analysis of the economic activity of the enterprise consists of the following areas:

• The financial analysis
  • Analysis of solvency, liquidity and financial stability,
• Management analysis
• Evaluation of the place of the enterprise in the market of this product,
• Analysis of the use of the main factors of production: means of labor, objects of labor and labor resources,
• Evaluation of the results of production and sales of products,
• Making decisions on the range and quality of products,
• Development of a strategy for managing production costs,
• Determination of the pricing policy,

Indicators of economic activity of the enterprise

The analyst, according to the specified criteria, selects indicators, forms a system from them, and makes an analysis. The complexity of the analysis requires the use of systems, rather than individual indicators. The indicators of economic activity of the enterprise are divided into:

1. value and natural, - depending on the underlying meters. Cost indicators - the most common type of economic indicators. They generalize heterogeneous economic phenomena. If an enterprise uses more than one type of raw materials and materials, then only cost indicators can provide information on the generalized amounts of receipts, expenditures, and the balance of these items of labor.

natural indicators are primary, and cost - secondary, since the latter are calculated on the basis of the former. Economic phenomena such as production costs, distribution costs, profit (loss) and some other indicators are measured only in cost terms.

2. quantitative and qualitative, - depending on which side of phenomena, operations, processes is measured. For results that can be quantified, use quantitative indicators. The values ​​of such indicators are expressed as some real number that has a physical or economic meaning. These include:

1. All financial indicators:

• revenue,
• net profit,
• fixed and variable costs,
• profitability,
• turnover,
• liquidity, etc.

2. Market indicators:

• volume of sales,
• market share,
• size/growth of the customer base, etc.

3. Indicators characterizing the efficiency of business processes and activities for training and development of the enterprise:

• labor productivity,
• production cycle,
• lead time,
• staff turnover,
• number of employees trained, etc.

Most of the characteristics and results of the work of the organization, departments and employees are not amenable to strict quantitative measurement. They are used to evaluate qualitative indicators. Qualitative indicators are measured with the help of expert assessments, by monitoring the process and results of work. These include, for example, indicators such as:

• relative competitive position of the company,
• customer satisfaction index,
• staff satisfaction index,
• command at work
• the level of labor and performance discipline,
• quality and timeliness of submission of documents,
• compliance with standards and regulations,
• execution of orders of the head and many others.

Qualitative indicators, as a rule, are leading, as they affect the final results of the organization's work and "warn" about possible deviations of quantitative indicators.

3. Volumetric and specific- depending on the application of individual indicators or their ratios. So, for example, the volume of output, sales volume, production cost, profit are volume indicators. They characterize the volume of this economic phenomenon. Volumetric indicators are primary, and specific indicators are secondary.

Specific indicators calculated on the basis of volume indicators. For example, the cost of production and its cost are volume indicators, and the ratio of the first indicator to the second, that is, the cost per ruble of marketable products, is a specific indicator.

Results of economic activity of the enterprise

Profit and income- the main indicators of the financial results of the production and economic activities of the enterprise.

Income is the proceeds from the sale of products (works, services) minus material costs. It represents the monetary form of the net output of the enterprise, i.e. includes wages and profits.

Income characterizes the amount of funds that the company receives for the period, and minus taxes is used for consumption and investment. Income is sometimes subject to taxation. In this case, after tax is deducted, it is subdivided into consumption, investment and insurance funds. The consumption fund is used for remuneration of personnel and payments based on the results of work for the period, for a share in the authorized property (dividends), material assistance, etc.

Profit- part of the proceeds remaining after reimbursement of production and marketing costs. In a market economy, profit is the source of:

• replenishment of the revenue part of the state and local budgets,
• enterprise development, investment and innovation activities,
• satisfaction of the material interests of the members of the labor collective and the owner of the enterprise.

The amount of profit and income is influenced by the volume of products, assortment, quality, cost, improvement of pricing and other factors. In turn, profit affects the profitability, solvency of the enterprise and others. The value of the gross profit of the enterprise consists of three parts:

• profit from the sale of products - as the difference between the proceeds from the sale of products (excluding VAT and excise duty) and its full cost;
• profits on the sale of tangible assets and other property (this is the difference between the sale price and the costs of acquiring and selling). Profit from the sale of fixed assets is the difference between the proceeds from the sale, the residual value and the costs of dismantling and selling;
• profit from non-sales operations, i.e. transactions not directly related to the main activity (income from securities, from equity participation in joint ventures, leasing property, excess of the amount of fines received over those paid, etc.).

Unlike profit, which shows the absolute effect of activity, profitability- a relative indicator of the efficiency of the enterprise. In general, it is calculated as the ratio of profit to costs and is expressed as a percentage. The term is derived from the word "rent" (income).

Profitability indicators are used for a comparative assessment of the performance of individual enterprises and industries that produce different volumes and types of products. These indicators characterize the profit received in relation to the spent production resources. Product profitability and production profitability are often used. There are the following types of profitability:

Was the page helpful?

More found about the economic activity of the enterprise

1. Methodology for express analysis of the results of a commercial organization
   This paper provides the content of the first stage of the methodology focused on a comprehensive assessment of the effectiveness of the economic activity of enterprises. Emphasis is placed on the evaluation criteria and the issue of methodological support for calculating the economic consequences
2. Methodological provisions for assessing the financial condition of enterprises and establishing an unsatisfactory balance sheet structure
   It is most difficult to take into account the impact of inflationary processes; however, without this it is difficult to make an unambiguous conclusion about whether the increase in the balance sheet is a consequence of only the rise in the cost of finished products under the influence of inflation of raw materials, or it also indicates the expansion of the economic activity of the enterprise. insolvency should
3. Acquisition methods in Russia and methods of dealing with them
   In such a situation, the assets of the enterprise and the conduct of business activities are distributed among different legal entities. The main goal of the restructuring is to separate
4. Financial recovery of the enterprise
   The fourth section of the financial recovery plan defines measures to restore solvency and support efficient economic activity debtor enterprise Clause 4.1 contains a table with a list of measures to restore solvency and support
5. Analysis of financial flows of ferrous metallurgy enterprises
   The cash flow from financial activities consists of receipts and payments related to the implementation of external financing of the economic activity of the enterprise. Here, the inflows are long-term and short-term loans and borrowings issuance and sale
6. Intellectual capital in the economic activity of Russian enterprises
   The role of client capital in the economic activity of the enterprise is to create trusting and mutually beneficial relationships with external economic entities, which
7. Analysis of the cost of production of an enterprise on the example of PJSC Bashinformsvyaz
   In this paper, there was an attempt to build an economic and mathematical model, which is a mathematical description of the economic activity of an enterprise with the aim of researching and successfully managing a company. 11 The constructed economic and mathematical model includes
8. Development of methods of economic analysis of working capital
   The complex of indicators of economic activity of the enterprise includes indicators of a direct or indirect time factor, the period of repayment of accounts receivable and accounts payable.
9. Gross income
   The solution of this problem ensures the self-sufficiency of the current economic activity of the enterprise. A certain part of the gross income of the enterprise is a source of profit formation, due to which
10. Methodology of sectoral trend analysis in assessing the financial and economic activities of an enterprise
    The methodology for analyzing the economic activity of an enterprise considered in the article is based on industry-specific features of the activity and includes a set of 9 analytical indicators
11. Methods of regression analysis in planning and forecasting the need for working capital
    The need for forecasting and planning working capital is determined by the special significance of this economic category for the economic activity of the enterprise. The advanced nature of working capital is the need to invest costs in them until economic
12. Comprehensive analysis of the effectiveness of the use of intangible assets
    The current trend suggests that a comprehensive analysis of the effectiveness of the use of intangible assets should be an integral part of a comprehensive analysis of the economic activity of an enterprise. The study showed that the methodological foundations for analyzing the effectiveness of using intangible assets
13. Anti-crisis financial management policy
    They are based on the consistent definition of models of management decisions chosen in accordance with the specifics of the economic activity of the enterprise and the scale of crisis phenomena in its development In the system of crisis financial management
14. Analysis of FCD to identify signs of intentional bankruptcy
    K1 - characterizes the general provision of the enterprise with working capital for conducting business activities and timely repayment of urgent obligations of the enterprise
15. Analysis of the turnover of current assets in the agricultural and baking sectors of the economy
    Kovalev VV Analysis of the economic activity of the enterprise textbook VV Kovalev ON Volkova - M Prospect 2008. -
16. Deposit as a way to ensure the solvency of the enterprise
    B Analysis of the financial and economic activities of the enterprise study guide - M Forum INFRA-M 2008. - 192 p. 8. Melnik
17. Methodology for sectoral trend analysis in identifying possible reserves for improving the efficiency of an organization's economic activities
    The method of sectoral trend analysis in assessing the financial and economic activities of an enterprise 2, c 11 The formula for the composite trend index is as follows ITI 15ITVP
18. Actual problems of formation and management of enterprise capital
    The level of efficiency of the economic activity of the enterprise is largely determined by the purposeful formation of its capital. The main goal of the formation of the capital of the enterprise
19. Inventory management policy
    Minimization of this part of the costs is a condition for increasing the efficiency of the economic activity of the enterprise, as it increases profit. Minimizing the current costs of inventory maintenance is
20. Financial analysis of the enterprise - part 5
    Among the efficiency criteria, priority should be given to such parameters of the system for managing the financial resources of an enterprise as ensuring - determining the actual volume of available funds of financial resources - determining the optimal size of funds of financial resources, their division and use, taking into account the needs of enterprises, the economic feasibility of expenses, as well as their impact on the final results of production economic activity of the enterprise - control over the rational use of resources of production assets by the fulfillment of planned tasks by continuity

Organization of economic activity