International scientific e-journal

ΛΌГOΣ. ONLINE

16 (December, 2020)

e-ISSN: 2663-4139
КВ №20521-13361Р

ECONOMICS

UDC 330.3

EOI 10.11232/2663-4139.16.11

DIAGNOSIS OF ECONOMIC POTENTIAL OF THE ENTERPRISE

PUSHKAROV V.

Student of the Faculty of Economics, Management and Psychology

Kyiv National University of Trade and Economics

 

UKRAINE


Abstract. The article discusses the main approaches to the analysis of the term “economic potential of the enterprise”. The main goals and objectives underlying the assessment of the economic potential of the enterprise, the basic methods and tools for its assessment are also investigated. In general terms, potential is considered as sources, opportunities, means, reserves that can be used, used to achieve the goal. Regarding the economy in the context of socio-economic systems to which any enterprise belongs, potential is a collection of resources. The set of resources consists of material, labor, financial, organizational, informational and other types of resources. At the same time, the availability of appropriate assets and the necessary sources of financing is the main characteristic of the enterprise's potential, therefore, the prospects for the further development of the enterprise, ensuring the stability of the financial position, that is, the economic potential, depend on the sources of financing (own, borrowed) and the purposes of their spending.

Keywords: economic potential, enterprise, estimation of economic potential, efficiency, enterprise potential

Relevance. Every day there are some changes in the country's economy. For an enterprise to develop and operate effectively, it is necessary to be constantly on the wave of search for new landmarks, to apply new views and methods to the work of the enterprise, to study the economic status and activity of competitors. This raises the urgent question of selecting adequate and qualitative goals, principles, methods, criteria and indicators for evaluating the activities of enterprises that would meet the modern requirements of a market economy and consider the specifics of the industry.

Analysis of recent research and publications. The question of methods of analysis and diagnosis of economic potential of the enterprise is devoted to scientific works of many both domestic, and foreign scientists, among which should highlight the scientific developments: Vikhansky O. S. [1], Drucker P. F. [2], Zub A. T. [4], Litvak B. G. [6], Porter M. Y. [8], Reshetov K. Y. [9], Egorshin A. P. [3]. Paying tribute to the scientific achievements of a large number researchers, it should be noted the lack of a unified approach to grouping and the method of determining indicators assessment of the economic potential, sufficient coverage of fundamentally important issues related to the formation a single method of assessing the economic potential.

The purpose is to explain the theoretical foundations and to develop a system of indicators for assessing the economic potential of the enterprise. It is necessary to solve the following problems to achieve this goal:

  • summarize the theoretical foundations and identify the main characteristics of diagnostics of the economic potential of the enterprise;

  • systematize the classification features of the enterprise's economic potential;

  • study the factors that influence the economic potential of enterprises;

  • analyze different groups of indicators of economic potential of the enterprise.

The object of the research is the economic potential of the enterprise.

The subject of the research is a system of indicators of economic potential of the enterprise.

Statement of basic materials. Recently, we are increasingly confronted with the concept of the economic potential of an enterprise. And, indeed, a cost-effective company that creates, develops, and introduces new products to the market, responds to changes in internal and external factors in the shortest possible time can reveal its economic potential.

Thus, the competitiveness of the enterprise is directly related to the increase of the level of development of its potential and its main components. As the enterprise operates in a macrosystem, it is obvious that the development of each component of economic potential must be considered together with the market potential (characterized by capacity, level and pace of development), potential of competitors and the state potential.

To understand what the economic potential of the enterprise is, various interpretations of various authors and scientists will be considered.

Vikhansky O. S. understands by the economic potential of the organization the composition of its resources - labor, material resources, financial and other resources available to the organization to produce planned goods and services [1].

Drucker P. F. determines the economic potential of the organization through a combination of resources, both from existing and identified provisions [2].

Zub A. T. characterizes the economic potential of the enterprise, as the optimal use of all available resources of the organization in order to obtain maximum profit [4].

Litvak B. G. considers economic potential as sources, opportunities, resources, reserves that can be used by the organization to solve problems and achieve goals in a specific area [6].

Porter M. Y. describes the economic potential as the organization’s ability to realize the existing competitive advantages, the use of structural features, geographical location, social and institutional factors [8].

Reshetov K. Y. understands by the economic potential of the organization the aggregate ability to produce certain goods that differ qualitatively and quantitatively in a certain period [9].

Egorshin A. P. defines the economic potential of the organization as the ability to recoup the initial investment in its own development [3].

Thus, on the basis of these interpretations, it is possible to formulate a definition: the economic potential of the organization is planning, organization, leadership and control over the formation and use of available resources within the framework of the strategic benchmark, taking into account the influence of external factors and future opportunities to achieve the strategic goals of the organization.

Analyzing the economic potential of a particular enterprise in a number of industrial enterprises by its basic elements, it is possible to identify the level of its competitiveness, and thus, reduce the analysis of the economic potential of the enterprise in market conditions to the analysis of its competitiveness. Therefore, we can talk about the competitiveness of the enterprise’s potential, which is understood as a comparative comprehensive assessment of the state of the most important parameters of its potential relative to the selected standards (a similar enterprise, industry, world analogues) [5].

Regarding the competitiveness of the enterprise, the potential is directly related to development goals, and therefore, planning the development of the enterprise’s potential involves the inclusion of several stages such as:

Analysis of structure, dynamic and effectiveness of use of production resources.

Determining the level of competitiveness of the main types of products, the enterprise itself and its total capital

Analysis of available production provisions.

Selection of the main strategy and tactics for developing the enterprise’s potential.

Implementation of planned activities related to ensuring economic growth and development of enterprise potential.

Thus, the competitiveness of the enterprise is directly related to increasing the level of development of its potential and its main components. Since the enterprise operates in a macro-system, it is obvious that the development of each component of the economic potential must be considered together with the market potential (characterized by the capacity, level and pace of development), the potential of competitors and state potential.

The success of an enterprise is determined not only by rational reduction of production, cost reduction, development specializations, i.e. the impact of management on internal factors of production. Full use of flexibility and adaptability to constant changes in the external environment that represents all those variables that are outside the enterprise and are not included in the scope of direct impact of his management (suppliers, consumers, shareholders, creditors, trade organizations, consumer societies, management structures), determines the development opportunities of the enterprise.

In addition, environmental factors include social factors that predetermine many strategically important decisions of the enterprise. The key role here is played by economic, political, legal, cultural, environmental, technological circumstances. External factors in an ever-growing degree dictate the strategy and tactics of enterprises.

When making management decisions on the further development of the enterprise, the manager is primarily interested in what economic potential the company has now, how it can be increased. Under the economic potential refers to the combination of asset (assets potential) and financial position of the enterprise [5].

The increased need for assessment and analysis of the financial condition of an economic entity (organization, enterprise) led to the development of economic analysis of economic activity in combination with financial analysis. Acquiring a systemic character, economic analysis of economic activity brings an increasing effect in enterprise management. The financial condition of the company is determined by the result of its financial and economic activities. Therefore, the task of system analysis at present should be considered of all the factors that ensure the financial stability of the enterprise.

Assessment of economic potential is an integral part of economic analysis. It is necessary for various purposes:

  • Assessment of available resources and their use;

  • Determination of the effective functioning of the enterprise in the future;

  • Strategic planning based on evaluation results;

  • Attracting investment from the outside.

When assessing the economic potential of the organization, an analysis should be carried out in the following areas [7]:

  • Property potential;

  • Financial potential;

  • Production potential;

  • Scientific and technical potential;

  • Human resources;

  • Organizational and management potential;

  • Marketing potential.

If all areas of the economic potential of the organization are at the proper level, there is a synergistic effect. That is, in the aggregate, the elements bring more benefits than individually, the effective use of all types of potential makes the organization competitive. The effective implementation of the common potential depends on the state of each of its parts, as well as their interaction. It is the balance of the parts of the total potential that is the main condition for its full realization.  The property potential can be increased by replacing old equipment with more technological, efficient use of rented or available premises (sublease, expansion of activity, sale). In each case, decisions are made considering the characteristics of the organization.

   Financial potential is characterized by financial performance (profitability, liquidity, solvency, available investment, opportunities). There are also other indicators necessary to describe the financial potential. For example, the financial stability of the organization, profitability for several factors (for goods, regions, distribution channels and intermediaries), the ratio of own and borrowed funds and other indicators characterizing the financial component of the activity.

The production potential is reflected in the potential volume of goods produced, the potential use of raw materials. This potential is closely related to property potential, since the volume of output depends on fixed assets, their capacity. When analyzing production potential, the structure of production is just as important.

Scientific and technical (innovative) potential currently has a great influence on the organization's activities and its competitiveness. Some authors do not distinguish it as a separate component of economic potential, believing that it is inextricably linked with other elements, that is, new technologies must be considered in all kinds of potential. Here, the innovative potential is highlighted, since due to attention must be paid to this to ensure the effective functioning of the organization. This is a whole direction in the activities of any modern organization. Scientific and technical potential is expressed in technological novelty, and in new management techniques, and in the use of advanced communication technologies, and much more.

Organizational and managerial potential is directly related to personnel potential. This potential is characterized by the level of management, leadership qualities of managers, the ability of a manager of both top and lower level to organize the work of employees. A professionally built management system in an organization affects the work of all personnel and the organization.

Marketing potential includes analysis of the potential volume of demand for goods and analysis of the market share occupied by the organization, organization and labor market, organization and market of factors of production.

This direction characterizes the interaction of the organization with its external environment.

Economic potential, including its constituent elements, and the mechanism of its development are necessary to maintain the competitiveness of the organization. While the total potential is considered by the organization, affecting all aspects from different points of view. Economic potential, responsible for the research and development of organizations from an economic point of view. At the same time, other types of potential, such as legal, environmental, can be investigated within the overall potential of the organization.

Conclusion. Thus, there are different opinions on how to evaluate the economic potential of an organization. Currently, there are a fairly significant number of works on methods for assessing economic potential and its components, but all methods have common features that allow them to be used. For various fields of activity of organizations and enterprises of the national economy, including in sociocultural sphere. Assessment of the use of economic potential of the enterprise involves the study of the state of economic potential in general and its components, as well as the effectiveness of its use in the environment of the business entity. The key indicator of the use of economic potential is substantiated net profit of the enterprise.


REFERENCES:

 

  • Vikhansky O. S. (2016), “Management”, Infra-M: Magistr, pp. 656.

  • Druker P. F. (2017) “Classic Management Work”, М: Albina Publisher, pp. 218.

  • Egorhin А. P. (2017), “Strategic management”, М: Infra-M, pp. 290.

  • Zub А. Т. (2016), “Strategic Management”, A Textbook for Bachelors: М: Uright, pp. 375.

  • Gunina I. A. (2015), “Methodological approach to studying the possibilities of developing the economic potential of an enterprise”, M: Albina Publisher, pp. 289.

  • Litvak B.G. (2016), “Strategic Management”, A textbook for bachelors: М: Uright, pp. 507.

  • Sosnenko L. S. (2016) “Comprehensive economic analysis of economic activities”, Second edition, pp. 344.

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  • Reshetov K. U. (2016), “Development of methodology for ensuring the competitiveness of innovative entrepreneurship” М: Science and knowledge, pp. 284.


ДІАГНОСТИКА ЕКОНОМІЧНОГО ПОТЕНЦІАЛУ ПІДПРИЄМСТВА

ПУШКАРЬОВ Віталій Віталійович,
студент факультету економіки, менеджменту та психології
Київський національний торговельно – економічний університет
УКРАЇНА

Анотація.
У статті розглядаються основні підходи до аналізу терміна "економічний потенціал підприємтсва". Досліджено також основні цілі та завдання, що лежать в основі оцінки економічного потенціалу організації, основні методи та інструменти її оцінки. У статті розглядаються основні підходи до аналізу терміна „економічний потенціал підприємства”. Також досліджуються основні цілі та завдання, що лежать в основі оцінки економічного потенціалу підприємства, основні методи та інструменти його оцінки. У загальних рисах потенціал розглядається як джерела, можливості, засоби, резерви, які можна використати, використати для досягнення мети. Щодо економіки в контексті соціально-економічних систем, до яких належить будь-яке підприємство, потенціал - це сукупність ресурсів. Сукупність ресурсів складається з матеріальних, трудових, фінансових, організаційних, інформаційних та інших видів ресурсів. Водночас наявність відповідних активів та необхідних джерел фінансування є основною характеристикою потенціалу підприємства, отже, перспективи подальшого розвитку підприємства, забезпечення стабільності фінансового стану, тобто економічного потенційні, залежать від джерел фінансування (власних, позикових) та цілей їх витрачання.


Ключові слова: економічний потенціал; підприємство; оцінка економічного потенціалу; ефективність; потенціал підприємства.

© Пушкарьов В.В., 2020

© Pushkarov V., 2020

 

This work is licensed under a Creative Commons Attribution 4.0 International License.

PUBLISHED : 05.12.2020