Development of accounting functionality in business management
DOI:
https://doi.org/10.35774/visnyk2019.03.111Abstract
Purpose. Problems of the existing theory, methodology and organization of accounting need to be solved taking into account practical requirements of modern management. In turn, this provides an opportunity to expand the functionality of accounting to make informed decisions, focused on achieving the efficiency of business operations and maximize the value of business, which contributes to the increased importance of accounting in management.
This testifies to the relevance of the chosen topic , which determined the directions of the research, which requires in-depth scientific research, its scientific-methodological and practical importance.
Purpose. The purpose of the article is to systematize existing approaches and to improve the classification of accounting functions in accordance with the requirements of the management system.
Methods. In the process of researching the growth of accounting functionality in the management of agrarian business used general scientific methods of knowledge of reality, including: structural-logical and semantic analysis - to clarify and streamline the terminology in the conceptual apparatus; induction and deduction - for parameterization of accounting functionality in management; grouping and classification - to develop methodological principles and systematize the classification features of accounting functions.
The research is based on general and specific methods of studying the economic processes, facts and phenomena of management requests for increasing the functionality of accounting for agricultural business management. The scientific base of the research was scientific works of domestic and foreign scientists on accounting functions in the management system, materials of international scientific-practical conferences and seminars, results of personal experience and observations.
Results. Accounting as an information system, which is designed to make operational and strategic management decisions, needs to expand its functionality and increase its tasks. These categories have become one of the main ones in accounting, but also in management, as indispensable tools of managerial relations in business. Today, accounting is facing a scientific problem that needs theoretical and methodological justifications and practical solutions. It is necessary to expand the functionality of accounting in agrarian enterprises in order to meet management requests focused on achieving the strategic goal of the enterprise and maximize the value of business.
The analysis of the evolution of information requests of the branch management and the priority of accounting functions in the development of agrarian business makes it possible to conclude that the priority task characterizes the process of information support for customers and consumers.
According to the results of studying the classifications of functions, we have concluded that most often the scientists indicate the information function, the second most important is the control, and then the analytical and evaluation. Considering different approaches of scientists to classification of accounting functions and summarizing the results of the research, we concluded that the existing set of accounting functions does not allow to fully fulfill the tasks set before it.
Therefore, in the current conditions of development of the global economy, the solution of this problem requires both theoretical and methodological justifications. That is why an important component of increasing the importance of accounting in the management of agrarian business is the expansion of its functionality, in particular by isolating new objectively formed functions.
Given the priority of accounting functions in the development of agrarian business, they should be classified according to the information requests of the management system, as a result of which we propose to introduce a cost-oriented function and the function of saving capital and economic security of business.
The capital saving function is a tool through which the formation of equity, regulation of property relations and business management, which provides a legal platform for completeness of payments with owners and guarantees the economic security of the enterprise. This function will facilitate the management of capital formation and its use. The value-oriented function is based on creating the market value of the business or providing the assets with the characteristics of the most valuable investments. It reflects the change in the value of the property of the enterprise from the point of view of transformation of its value in the external environment and allows to better understand the alternative advantages of investment sources.
The proposed functions are aimed at identifying the degree of participation of owners in the management of the business entity, completeness of payments with them and determining the market value of agricultural businesses, increasing the investment attractiveness of Ukrainian agricultural enterprises.
Discussion. Further scientific research in the direction of increasing the functionality of accounting in the management of agricultural business, it is advisable to carry out on the basis of domestic and foreign experience where the basis is the assertion that is built on the basis that accounting becomes the main function of management, which will facilitate the implementation of all functions of the management system. This will allow you to determine the place of accounting functions in achieving the goal of the management system, which will help in the formation of feedbacks between management and accounting.
In-depth study of accounting functions will create the basis for improving the theoretical and methodological level of its development and will enhance functionality in the management system of agricultural business. Functional approach will allow to study the object of accounting not from the point of view of internal structure, set of interrelations of elements of its system, but on the other hand - interrelations with the external environment.
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