Management of equity of the enterprise and its divisions based on economic methods

In the old part of production management concept to strengthen economic management methods at the level of internal production departments included the desire to use the model of management and control of a company's capital structure, which functioned at the level of the enterprise in relation to business units.The use of market elements is completely new, both for the enterprise and for its divisions.To solve this problem the attention of researchers is focused on the issues: economic independence, which is characterized by the presence of a personal account;obtaining loans;select the mode of distribution of income received, how is carried out the improvement in working capital management.There is a need to study the feasibility of using a purely market-based economic elements: income, prices, property rights at the level of internal production departments.In such conditions, our capital management companies should take into account the fact that the desire to make a profit makes people having ownership of the new product, service or idea more motivated than simply actions of employees of state enterprises.

Considering the structural units in the aspect of strengthening of economic methods of management, it is necessary to solve a number of issues.How to organize the most effective management of its own capital of the enterprise in these conditions?Is it possible to increase the organizational independence of internal production departments?Can you assess the performance of all business units, using earnings?Whether all departments of the enterprise to enter the settlement and personal accounts?Who should allocate credits?Who should set the rules of their issue?What is the ratio of units of the company to his property?

basic theoretical premise of improving the system of management of business units is the use of economic models that are used for commercial enterprises.

Of course, for them to use the models used for companies, unchanged impossible, but many elements of the latter can be borrowed.

The analysis indicates that the previously used in the practice of cost accounting units of the model were not sufficiently effective, and our capital management companies did not bring the expected results.They did not solve his problems and basic: providing economic incentives for working artists, resulting in deteriorating the overall performance of production and increases the cost.The main reason for the low efficiency of the known self-supporting models is that they do not provide the necessary economic independence of production units within the company.

It seems appropriate that the management of equity capital of the enterprise with respect to the structural units must reconcile the administrative and economic methods of management.Misconception that the development of economic methods of management of administrative methods of management almost canceled.There must be a certain optimal connections.The way out of this situation should be to develop and implement a system of economic management of the internal production business units using the method of management of the budget, providing the required efficiency.This system is similar to the foreign and at the same time fundamentally different from the existing in the country.

Addressing market relations of the enterprise and its units is extremely difficult because of the absence of precedent.The experience of foreign companies shows that the structural units within enterprises - shops, sites, teams - have little or no direct realization of forms of private property and market relations.They work in a rigid system, aimed at ensuring production targets major divisions.In the west, the administrative system works in conjunction with economic methods and models.Compared to them, we have a hard enough administrative system, which is also not supported by economic methods.

The challenge is to find the relationship between the administrative and economic methods of management.