CLASSIFICATION AND PRINCIPLES OF MANAGERIAL REPORTING OF INDUSTRIAL ENTERPRISES

Abstract

In the article the main principles, approaches to managerial reporting and its classification are considered. Besides, theoretical aspects are presented which are connected with the necessity of organizing and functioning of system of managerial accounting at the enterprise in order to control the organization efficiently and make right administrative decisions. Its role is in providing trustworthy information about the state of affairs in the organization to company management or its proprietors. Administrative reporting can supplement accounting or financial reporting with data formation exclusively important for optimization of the business model and increase of the firm profitability. The considered kind of activities can also include non-financial information which is important for correct interpretation of the efficiency of administrative decisions made by firm’s management. The considered type of reporting is appreciated not for impressive figures, but, on the contrary, for the possibility to find out faults in the business model of the enterprise which prevent successful growth. Administrative reporting is a significant component of planning. The documents which form it, include the data which are of great importance for checking of the prospects of introduction of these or those decisions at the management level