IMPROVEMENT OF THE COST MANAGEMENT SYSTEM AT MANUFACTURING ENTERPRISES

Abstract

To ensure the successful operation of enterprises in the conditions of the negative consequences of the financial and economic crisis, special attention should be paid to the development and implementation of effective methods of cost management. The purpose of the article is to define and substantiate the features of optimization of production costs and their management system in the activity of a manufacturing enterprise. The article provides theoretical approaches to defining the cost management system at the enterprise and defines the main principles of its functioning. Cost management is a complex multifaceted and dynamic process that includes management actions aimed at achieving a high economic result of the enterprise. The operating principles of the cost management system include: system approach; cost management at all stages of the enterprise's life cycle; improvement of information support regarding the level of costs; increasing the interest of production units in reducing costs. An analysis of existing cost management methods was carried out. These include: budgeting; cost analysis through cost, factor analysis, ABC analysis, benchmarking; cost controlling, which ensures proper accounting and reporting, logical classification of the company's costs and the possibility of their complete and in-depth analysis, the correct allocation of costs to the relevant divisions. Features of cost management at industrial enterprises are singled out, in particular: large volumes of production; availability of complex technological processes; the need for stock rationing; the need to ensure energy efficiency, maintenance and repair of equipment, qualified personnel; the need to ensure high quality of products and the use of modern IT solutions. The areas of improvement of the cost management system of the production enterprise are substantiated: increasing the technical level of production; improvement of production and labor organization; change in volume and structure of products; improving the use of natural resources; use of alternative cost accounting methods; studying the causes of defects and reducing cost by reducing costs from defects.