Open AccessSTRATEGY OF AN EFFECTIVE PROFIT MANAGEMENT SYSTEM OF THE ENTERPRISE
Author(s) -
Yevheniia Skliar,
Kateryna Fen,
Alina Karpyak
Publication year - 2021
Publication title -
vìsnik odesʹkogo nacìonalʹnogo unìversitetu. ekonomìka
Language(s) - English
Resource type - Journals
eISSN - 2664-696X
pISSN - 2304-0920
DOI - 10.32782/2304-0920/4-89-9
Subject(s) - profitability index , enterprise life cycle , enterprise planning system , enterprise software , enterprise information system , business , profit (economics) , enterprise value , industrial organization , enterprise management , enterprise architecture management , enterprise systems engineering , enterprise system , product cost management , enterprise architecture , knowledge management , process management , finance , computer science , economics , microeconomics , cost accounting , accounting , visual arts , cost engineering , architecture , art
The influence of an effective profit management system on the stable functioning and development of the enterprise is investigated. The scientific content and economic essence of the enterprise profit are revealed. The factors influencing the size of the enterprise’s profit are revealed and the task of profit management is formulated. The constituent elements, tasks and principles of the enterprise profit management system are presented. Its profitability plays a crucial role in the sustainable development and operation of any enterprise. Profit is the main purpose of entrepreneurial activity and the main criterion for assessing the effectiveness of activities, and is the main protective mechanism of the enterprise against the threat of bankruptcy. In conditions of high competition, ensuring effective profit management is an important part of the enterprise, because it is the most desirable result. To obtain a positive dynamics of profitability of the enterprise requires the construction of an effective profit management system. Thus, there is a problem of identifying all the benefits of profit management system as a basis for effective operation of the enterprise. Enterprises of all forms of ownership aim to organize their activities so that their work is characterized by increased profitability and increased profits. The article considers the issue of enterprise profit management. It is shown that profit is an important monetary value of production and financial activities of the enterprise, which demonstrates the efficiency of the enterprise. It is one of the main indicators of activity and development of the enterprise, improvement of material base of the enterprise and its production. Profit also characterizes the return on investment in the enterprise and the rational use of its property. Shows the role of enterprise profit in a market economy. Proved apart from the main goal profit also creates the basis for the economic development of the state as a whole is a criterion for the effectiveness of a specific production (operating) activity, the main internal source of formation of financial resources of the enterprise, and also the main source growth of the market value of the enterprise. It is concluded that the main purpose of profit management is to ensure the optimization of its formation, distribution and use, both in the current and in the long run.