Normal Flow of Resources as a Basis for Improving the Quality of Final Financial Information

Abstract

The strategy of ensuring sustainable competitiveness of manufacturing enterprises assumes, as one of the key directions, permanent economy and the most rational use of material resources: raw materials, basic materials, semi-finished products, components and purchased products; fuel and energy for technological needs. At the same time, there is obviously a lack of generally accepted, effective and inexpensive tools for implementing cost-effectiveness in the usual activities of the organization. The formation of conditions for the production and marketing of products (works, services) in which permanent savings and the rational use of material resources become possible depend not only on the sectoral features of the enterprise, but also on a number of specific factors: the region of location, the possibilities of the production infrastructure, the quality standards of the products produced, the owner’s requirements for structuring management, marketing conditions, logistics, currency rates, etc. The article explores the application of the expenditure rate for the purpose of saving and maximizing the rational use of material resources. It is shown that there is a need for a clear, unambiguous and scientifically grounded definition of the economic concept of the consumption rate of materials. A study was carried out and the author’s definition of the “standard of materials costs” was formulated.