MANAGEMENT REPORTING BASED ON THEORY OF CONSTRAINS

The article deals with the views of scientists on the definition of the essence and the main tasks of managerial reporting. The conducted analysis of scientific sources has shown that among scientists there is no common definition determining the essence of managerial reporting. Scientists offer different approaches to interpretation, but the common assertion is that management reporting is an information provision for enterprise management. Current requirements for management reporting raise the issue of the development and implementation of managerial reporting based on the theory of constraints. The theory of constraints (TOC) is a modern management system based on a systematic approach, has its own indicators and logical tools for the adoption of effective managerial decisions. The first stage of the development of management reporting based on the theory of constraints involves the development of a system of indicators. The indexes of activity of production and trading enterprise on the basis of the theory of constraints are investigated. We determined that the key indicators based on the theory of constraints are: throughput, operating costs, and investment. Their essence and economic content are determined in accordance with the author's interpretation of Goldrat E.M. A throughput is defined as the difference between income and a completely variable expense. Total variable costs (TVC) are defined as the sum of all costs that can be attributed to certain types of products. Operating expenses are expenses that arise at the enterprise in the process of activity, but can not be directly attributed to the production of a particular type of product. Investments in the theory of constraints are considered as the sum of all assets of the production and trading enterprise, which are used in the process of activity and can be implemented if necessary. The three-level model of elements of managerial reporting is offered. The first level involves two forms of managerial reporting: the calculation of the threshold level of sales price, the calculation of turnover of stocks. At the second level, a report is produced on the results of sales of a certain type of production and trade enterprise based on the theory of constraints. The third level involves the formation of a report of the resulting performance indicators of the production and trading company on the basis of the theory of constraints.