Application of tools for production potential management with the aim of improving the efficiency of the enterprise activity

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The article presents the development of theoretical and practical recommendations for the use of tools for the production potential management in order to increase the efficiency of the enterprise on the basis of growth of its production activity, taking into account external and internal factors of the development. The system of the enterprise production potential management performs functions such as planning, organization, analysis, regulation, accounting and control. These functions are carried out through making management decisions, which must be timely and reasonable. The management process should eliminate the causes of inconsistency of the company’s potential to meet the environmental requirements. This process is oriented towards the future and is or­ganized on the basis of requirements and trends of changes in environmental factors. This requires a clear idea of the potential and real possibilities of the enterprise, the ability to assess their total value correctly, the degree of usage and the direction of development of both the product and the enterprise itself, that is, it is about seeking directions for the formation of competitive advantages.

Thus, the management of production potential is at the basis of ensuring the com­petitiveness of the enterprise, and it is considered as a set of opportunities and reserves of the enterprise development, using the system of factors of influence, located both at the enterprise and beyond. Without an assessment of the real possibilities of the enterprise, it is almost impossible to increase the business competitiveness, to overcome the crisis situation in the economic development. Monitoring and quantifying the potential of the enterprise development helps to identify priority issues and solutions.

The production potential of the enterprise has a dynamic form, it changes over time, depending on the conditions, therefore the management of the production potential of the enterprise does not have a clearly set time frame.

Keywords: production potential, enterprise development, production activity, en­terprise resources, management, planning, analysis, assessment, factors, enterprise, mar­ket, competitiveness.

doi: 10.32403/1998-6912-2019-1-58-132-139

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