Build an efficient and simple system for the formation of basic management reports for a relatively short term forces of any company. After all, such reports are based on the information that, as a rule, has each enterprise.

As the business development is developed, fundamental importance for its sustainability and the possibility of further development begins to play the ability of the management to monitor the main parameters of the company's activities. The most visual and complete picture of the state of the enterprise give managerial reports - on cash flow, profit and loss and management balance.

Download Useful Documents:

Initial information to form management reports

The formation of basic management reports is based on the information that, as a rule, has any company.

First, at each enterprise there are full information on cash flow. It can be both accounting data (statements on ruble and currency accounts, cash reports, settlements with accountable persons) and information that may be absent in accounting data, for example, from the register of settlements between individual businesses within the holding and so on. Secondly, any enterprise in one form or another has reports in its arsenal, characterizing the state and dynamics of the most important assets and obligations. So, with confidence it can be said that at each enterprise, consideration of inventories, mutual settlements with buyers and suppliers of products or other assets and obligations that are essential for this type of business.

Often, this information is contained in several software products, because of which the data of the received reports do not always correspond to each other. Despite this, the presence of this information is sufficient in order to embark on the formation of basic management reports.

At the same time, in the process of forming a management balance, all inconsistencies in the reports will be automatically detected, and, accordingly, sources of costs will be detected, which were previously simply ignored.

It is more convenient to compile equalized reports in Excel. This software product has excellent data analysis and processing tools, including when it comes to large information arrays. By the way, there is a convenient service for conducting management accounting in the cloud and no reports in Excel you will no longer need. .

Personal experience
Sergey Dmitriev,

Management Accounting Plan

Before creating a cash flow statement, it is necessary to carry out the following procedures that will subsequently provide information in the required section and with the required degree of detail.

1. Analysis of the structure of the enterprise. If the company conducts several independent activities, then managerial accounting is advisable to conduct separately. It should be allocated for each direction those cash flows that serve it. If there are accounts serving several types of business at once, the easiest way to form an intra-ammable settlement and cash center (RCC) and include all such accounts in it. At the same time, for the formation of a cash flow report for each type of business, extracts from the RCC should be used for operations relating to this area.

2. Analysis of the structure of a separate business direction. If necessary, you can highlight the units, in the context of which the management of the company would like to see the report. This detail is playing important role In the preparation of the budgets of the cash flow of the company on divisions. If at the initial stage does not provide such an analytical incision of the information, then there will be no mechanism to control the execution of budgets by each of the divisions.

3. Formation of the plan of articles of cash flow. It is also an important step from which the clarity of the final report will depend. However, building a plan of articles is a fairly simple and standard procedure, therefore, under this article, it does not make sense to stop at its description.

If all the above preliminary measures are performed, the further formation of a cash flow report is quite simple technical work. In MS Excel, you need to create the form of the required report. Then you need to import from the corresponding statements to the accounts of cash flow and, by writing the appropriate formulas, summarize the data on the consolidated sheet of the revolutions report on each of the articles of cash flow. It is also quite simple and useful to make separate reports with decoding of each of the articles of cash flow in the context of elementary operations. An example of such a report is given in Table. one.

Table 1Deciphering Article 15. Rental of premises

date	Account of money	Parish (rub.)	Consumption (rub.)	Description		Article	Balance under the article (rub.)
				Counterparty	Note	ODDS
							0,00
12.03.06	Calculate score		152 000,00	LLC "Warehousing Services"	Rent for May	15.1.	152 000,00
14.03.06	Calculate score		359 700,00	LLC "Rent offices"	Rent for May	15.1.	511 700,00
15.03.06	Calculate score		87 705,53	OJSC "Mosenergo"		15.2.	599 405,53
18.03.06	Cashbox		140 000,00	Chop "Granit"		15.3.	739 405,53
18.03.06	Calculate score		359 700,00	LLC "Rent offices"	Rent for April	15.1.	1 099 105,53
21.03.06	Calculate score		221 670,73	JSC "Heat Networks"	Heat and power for Mart	15.2.	1 320 776,26
28.03.06	RCC.		12 000,00	LLC "Rental of Equipment"		15.1.	1 332 776,26
TOTAL:		0,00	1 332 776,26				1 332 776,26
			Summary Information on Stand
			15.1.	Rental of premises	883 400,00
			15.2.	Communal payments	309 376,26
			15.3.	Security	140 000,00
			TOTAL:		1 332 776,26

These simple procedures that can be implemented for a very short period of time (from one week to month, depending on the structure of the enterprise), allow you to establish complete control over the flow and spending of money. In addition, the formation of a cash flow report makes it possible to begin the formation of the budget of cash flow in the context of the selected divisions and articles, as well as to control the execution of budget data, which significantly increases financial discipline in the enterprise.

Personal experience
Nikolai Sinitsyn,

At the initial stage of the company's creation, it was necessary to implement management accounting and to form basic management reports to ensure control management company For the commercial and financial activities of regional divisions. Initially, it was decided to develop and implement a unified automated enterprise management system, including management, accounting and tax accounting based on 1C.

However, it was clear that the development of the program would take a significant time. In this regard, at the first stage of the development of the company, management accounting in regional trade and production units was conducted according to the technique described by the author in this article. This allowed the management company during the development of an automated accounting system to work with regional planning units, accounting and control of their activities and in the process to refine the principles and algorithms of reporting to be automated.

Management Balance and Profit and Loss Statement

Immediately note that the formation of these two managerial reports is a single inefficient process. It is almost impossible to make a correct income statement, if in parallel with it does not constitute a management balance.

To form reporting, a report on cash flow and reports describing changes in the main assets and liabilities of the Company are required. Based on the data taken from these reports, the main wiring will be made that form a profit and loss statement and change in the management balance.

Before proceeding to draw up reports, it is necessary to analyze the structure of assets, obligations, income and expenses of the enterprise and to make a plan of accounts and articles of income and expenses to build a profit and loss report.

For clarity, consider the methodology for the formation of management balance and income statement on a specific example. Suppose that the company is engaged in trade and procurement activities, pays taxes to the budget and employees of the salary. All other aspects of the enterprise's activities in this example we will not consider, since they do not affect the reporting methodology.

For such an enterprise, a simplified management of the management balance accounts and the Plan of Articles of Profit and Loss Reports can be represented as table. 2 and table. 3.

table 2. Structure of accounts

Table 3. Structure of income reports on profit and loss

It should be noted that, in essence, the report on profit and loss is decoding changes to the profit of the "Profit" balance sheet for the reporting period. It is for this reason that the formation of a profit and loss statement without making a balance, as a rule, leads to incorrect results.

The inclusion of an auxiliary account management account account plan (04) is associated with the need to allocate all discrepancies between data from various reports to further analyze and eliminate (or write off the financial result of the reporting period).

Now consider the management reports required by us to work, and compare each of the values \u200b\u200bin the reports a certain wiring on the balance accounts, and in case the wiring concerns the profit account, then the wiring on the items of the profits and loss report (Table 4, Tab. 5, Table 6, Table 7).

Table 4. Cash Movement Report

Article title	Sum	Example in numbers	Wiring
Balance at the beginning of period	Coincides with Article 01 of the balance at the beginning of the period	35	–
Receipts from sales	A '	1000	№ 1 Dt 01. CT 04.
Payment to suppliers	B '	800	№ 2 DT 04. CT 01.
Wage	C '	105	№ 3 DT 06. CT 01.
Taxes	D '	110	№ 4 DT 07. CT 01.
The rest of the end of the period	Coincides with Article 01 of the balance at the end of the period	20	–

Table 5. Accounting report with buyers

In this and subsequent examples in the implementation of wiring in account 08. "Profit" as an additional analytics will indicate the article of the income statement, which will allow us to correctly form this report.

It should be paid to the fact that the values \u200b\u200bof A 'in the report on cash flow and A' 'in the settlement report with buyers are the same parameter. However, the complete coincidence of these values \u200b\u200bis not always possible to achieve in practice. In this example, A 'and A' 'are equal, respectively, 1000 and 1002. Such a discrepancy may be due to various reasons - the presence of a human factor, the formation of reports in different currencies without the correct accounting of exchange differences, etc.

Wirings associated with these sums are made by transit through an auxiliary account 04. In this case, the difference between A 'and A' 'remains so far in the account 04. In the same way, it should be done with all similar parameters that are present in two reports. In this example, this concerns the parameters A, B and F.

Table 6. Product Movement Report

Table 7.. Obtaining settlements report

After the wiring is made in accordance with the data obtained from the above management reports, we get partially ready-made management balance. At the same time, the articles of the balance 01, 02, 03 and 05 are finally formed, since the balance according to the accounts was calculated on the basis of the reports available at the disposal. Articles 06 and 07 (and, respectively, 08) require additional wiring associated with the accrual of costs wages and taxes. It is easy to implement, following the following wiring specified in Table. eight.

Table 8. Additional operations on balance sheet items that do not have specialized reports

Now it remains only to deal with the balance on account 04, which represents the amount of deviations between similar data in various reports. If such deviations are essential and the cause of their occurrence is not obvious, these reports should be analyzed, identify the source of discrepancies and, if necessary, to make adjustments that eliminate the cause of their appearance. If the sum of these deviations is insignificant or known for their reason, then the score 04 should be reset due to the amount of data on the relevant profits and loss statements.

Suppose deviations A 'from a' 'and b' from b '' in our example we are related to the exchange differences (reports were formed in different currencies). The deviation f 'from F' 'is due to the fact that the comment on the movement of goods does not take into account the arrival of a non-essential part of the range (for example, packaging material). In this case, you can reset the auxiliary account 04 by the wiring specified in Table. nine.

Table 9, Additional operations for auxiliary account account

Thus, we managed to build a wiring system that form a profit and loss statement and changing the management balance for the reporting period. At the same time, data taken from standard reports generated at any enterprise were used. And, despite the fact that in reality, the structure of the balance sheet, the income statement and the forms of reports that are used in this approach, has a more complex view than in the example given, this technique can be easily applied in almost any enterprise.

Personal experience
Nikolai Sinitsyn,head of the Department of Planning and Accounting OJSC "Trading Company" Alco-Trade "

TO strong sides A similar methodology would be the possibility of a fairly quick organization of management accounting at the enterprise and independence from the used accounting software products. The disadvantages are that this mechanism in more than Focusing on the financial part of management reporting.

In practice, another important information required for in-depth analysis, control and sales management, warehouse residues, mutual settlements with customers, etc. is required for operational management of the enterprise. In other words, the management express accounting described by the author does not adversely penetrate into business processes in enterprises. If such tasks are solved within the framework of existing accounting systems, the use of the described reporting formation technique as a temporary measure is quite justified.

In addition, the disadvantages of this approach should include the fact that employees of the company's branches in which management accounting is being implemented, additional labor costs arise - they have to account for themselves and accounting for the head company, which, naturally, remains secondary. This often leads to discrepancies between the accounting data and the real situation in the enterprise.

Sergey Dmitriev,financial Director LLC Aludko-K (Kostroma)

The opportunity to create a visual finance management system of the enterprise, without spending tangible resources and not making significant changes to the available accounts, is definitely strong side The methodology under consideration. As for the shortcomings, in practice it is necessary to deal with certain difficulties in analyzing discrepancies in these various reports. Naturally, the scale of this problem is highly dependent on the quality of maintaining primary documentation in the enterprise.

In tab. 10 is an example of calculating the change in the account balance accounts and the items of the income statement in accordance with the postings made above.

Table 10. Calculation of changes in the accounts of the Management Balance and the Articles of Profit and Loss Statements for the reporting period

Wiring number	1	2	3	4	5	6	7	8	9	10	11	12	13	14	15	TOTAL
Assets
01. Cash	1000	–800	–105	–110												–15
02. Calculations with buyers					1300	–1002										298
03. Products							950	–968								–18
04. Auxiliary account	–1000	800				1002	–950		947	–804			–2	4	3	0
Passives
05. Calculations with suppliers									947	–804						143
06. Personnel settlements			–105								127					22
07. Budget calculations				–110								118				8
08. Profit					1300			–968			–127	–118	–2	4	3	92
Profit and Loss Statement Articles
08.01. Sales revenue					1300											1300
08.02. The cost of realized products								968								968
08.03. Wage											127					127
08.04. Taxes												118				118
08.05. Exchange differences													2	–4	–3	–5

Practice opinion
Irina Karavaeva, Head of Financial Control and Analysis of OJSC "Russian Electronics"

In my opinion, the main purpose of organizing management accounting at enterprises is to provide managers with transparent and operational information for adoption management solutions. This allows you to solve the main problems of accounting:
- lack of operational reporting (quarterly reporting);
- no transparency in information (methodically recommended to allocate only 5 cost groups).

Thus, in the formation of a management balance and income statement, the emphasis is on the introduction of additional accounting on vital to the management of enterprises to the articles of expenses and income, activities, that is, providing the principle of transparency of reporting.

It should also be noted that in accordance with the legislation of the Russian Federation, all enterprises are required to conduct accounting and to form accounting reports (the exceptions are enterprises that have moved to a simplified tax system, but even in this case, they have simplified accounting reporting). Therefore, on the one hand, you can agree with the author in the part that all enterprises initially have all the necessary reports on financial and economic activities for organizing management accounting and reporting, but, on the other hand, the proposed algorithm does not take into account the fact that the introduced forms Already exist in the enterprise.

If you regard the article as an algorithm for conducting management accounting in enterprises with a simplified taxation scheme, which are exempt from the formation of a cash and balance sheet report (except for fixed assets and intangible assets), then, in my opinion, the proposed technique contains the following inaccuracies:

1. Formation of a report on cash flow. The algorithm does not cover the activities of auxiliary, providing, administrative divisions, attention is also not focused on the formation of Cash Flow on the operating, investment and financial activity of the enterprise. In other words, the main purpose of implementing a cash flow report is to build a system of cash flow management of the enterprise and their optimization - will not be achieved. Thus, the accumulation of flows in the main areas of activity, and then the details of these flows in the context of divisions on the articles of cash flow will not allow to identify the net flow of funds throughout the operational activity, as well as on investment and financial activities.
2. Formation of management balance and income statement. The article presents an algorithm for the formation of an accounting balance, while conditional accounts and codification are used to describe the process. This, in my opinion, makes some confusion, because in accordance with regulatory documents There is an accounting plan that would be logical to use.

Management reporting is a document reflecting the main processes that have been carried out by the enterprise in the case of each organization have the right to independently determine the specific components of the elements of such a document. Mainly, the reporting is focused on its users, and the content depends on their requirements and which interests them.

However, as in the preparation of any document in the enterprise, there are basic principles on which management reporting is based. First of all, it must answer the principle of simplicity. It is not necessary to overload the document with an extra and unnecessary specific information to the user, it is worth including important indicators. In addition, its size should be clearly defined, for example, one A3. It will also help choose the most interesting and informative facts. But the main thing: managerial reporting should obey the principle of efficiency, that is, its content should allow the user to take effective events to improve the activities of the organization. Simply put, the information provided must be timely.

Regular compilation of such a document will allow the manager to be confident in the effectiveness of the company's further functioning, since the staff will act according to the developed instructions. In addition, the specialist is obliged to fulfill all the work to fill the report during the prescribed period. In this case, all information should be understood by the manager of a specific link for which it is intended. Properly decorated and competently compiled management reporting fully reflects the activities of the enterprise and does not provoke the emergence of additional issues.

Since the management personnel of the enterprise can determine the content this documentThe form of its provision is also selected at its own discretion. Conditionally there are three ways to display information: graphic, text and in the form of a table. As a rule, a specialist relies on the user. For example, for an accountant, the most convenient and understandable will be a tabular report, and all the amendments and explanations can be provided as a text note. While the investor or employee of the analytical unit is easier to estimate the status of the charts.

Separately, I want to talk about the deadlines for the provision of reports, since this factor determines its relevance, and, therefore, the timeliness of the decisions made. So, the division into short and medium-term reporting is usually used, there is also periodic. The latter involves the display of indicators to develop specific activities on long term, that is, to determine the company's strategic goals.

The document that most fully reflects the dynamics of the enterprise, the short-term management reporting is considered. An example of it acts in the form of daily and weekly collections of indicators, on the basis of which we develop specific activities for the next period. The main users are considered middle managers at this level.

Medium-term management reporting is drawn up monthly. It contains not only indicators over the past period, but also the projected values \u200b\u200bof further activities. It is mainly provided to the senior execution, since they can make a decision on the need to introduce some adjustments to such a document can provide significant assistance to the company and uniquely positively affects the managers and managers see what to expect from the future period while maintaining the previous positions.

The main filament of management reporting is to meet the information needs of management within the firm by providing indicators in kind and value form, thanks to which it can be estimated, to monitor, plan and predict its activities.

Compilation of such reporting is carried out voluntarily. It does not need to be sent to controls.

Management reporting - what is included in it

In the structure of management reporting concerning the positions of the gene. The director and its deputies can be spelled out the following information:

• The cost of manufactured products;
• Characteristics of the improved production manufacturing process;
• Volumes of manufacturing goods sent to the warehouse;
• Volumes of materials and semi-finished products that are used in the manufacture of goods.

Management reporting

The formation of management reporting is carried out in the following order:

1. Clarification at the gene. Director, as well as his deputies, what information he needed to file and with what frequency.
2. Learn from the company's accountant the main details.
3. Formation of documentation in which the main performance indicators will be reflected. An employee that is responsible for drawing up reporting may form such documentation separately for each governing body.
4. Direct reporting.

Drafting reporting

The following requirements are presented to making management reporting:

• The information contained in the report must fully comply with the target for which this report is formed;
• The report should not be biased opinions and subjective assessments;
• The report must be compared with the plans;
• The report should not contain extra information - than it is less, the easier it is to comprehend its content.

Management Reporting - Example

Let us give an example of the management reporting structure:

Dmitry Ryabykh General Director Alt-Invest LLC, Moscow

What questions you will find answers in this article

• What is the difference between financial and managerial reporting from accounting.
• What practical findings makes it possible to make sales profitability
• What monitoring reporting indicators should be known to the Director-General
• What Potential Investors pay attention to

There are three types of reporting of the company: Accounting (tax), financial and managerial. We will understand what the features of each of them are.

Accounting (tax) reporting Make up all Russian companies. This reporting includes "Accounting Balance", "Profit and Loss Statement", Tax Declarations and a number of other forms. It is interesting for what is subject to verification by government agencies, which is why the financial statements are the first thing that will want to explore your creditors or partners of the company. However, if your company uses gray schemes in operation, reporting data will be distorted, and you are unlikely to adequately assess the situation in the company. That is why the company must have any other financial and managerial reporting, or simply managerial.

Financial statements Externally, it can be at the accounting (tax). However, financial statements have an important difference. It is not consistent with the considerations of compliance with legislative norms and tax optimization, but focusing on the most accurate reflection of real financial processes in business. This, for example, concerns accounting of obligations, debiting costs, depreciation, equalization of share capital.

Management reporting Concentrated on the internal aspects of the enterprise. For example, it can be any production data (such management reporting for you can be prepared by the Production Director), information about working with debtors and creditors, data on reserves and similar numbers. Without reflecting the full picture of the business, management reporting gives a good foundation To make tasks and control their achievement. It is especially important to compile management reports in small and medium-sized companies that are not fully carried out officially. In fact, only guided by management reporting, you can evaluate the real state of affairs in the company (see also Two principles of working with any reporting).

Key indicators of financial statements

Financial statements are usually at large enterprises. At the same time are guided International standards Financial Reporting (IFRS) or American GAAP Standard. The leaders of small and medium-sized companies I recommend the indicators described below to form at least within the framework of management reporting. This work you can instruct the financial director or chief accountant.

1. Industrial sales.it the most important indicator, It is for him that you need to pay attention first. Profitability of sales, that is, the ratio of net profit to turnover, never count on the basis of accounting reporting, you need a financial report. If it is not, then you should analyze management reporting. The increase in sales profitability is good, and the fall indicates problems. The rate of profitability is usually determined by the enterprise themselves; Its value depends on the market sector, chosen strategy and a number of other factors.

High profitability - a signal to the fact that the company may be much free to invest in long-term projects and spend money on business development and increase competitiveness. Success must be developed and fixed. With low profitability, it is necessary to determine the set of measures aimed at either sales growth or to reduce costs. Or strive to influence sales, and at cost. For example, you can reduce investments in long-term projects, try to get rid of non-productive costs.

2. Cohere capital. You can analyze working capital both on the basis of financial and on the basis of financial statements. However, the conclusions will be different. Financial reporting is assessed by the quality of the actual management of working capital. Analysis includes the study of the most common indicators:

• stock turnover (reflects the rate of reserves, while high stock turnover increases requirements for stability of materials supply and can affect business stability);
• the turnover of receivables (shows the average time required for the recovery of this debt, respectively, the low value of the coefficient may indicate difficulties with the recovery of funds);
• distrability of payables.

Reserves and receivables are funds frozen in the company's current business processes. If they are great, the company will become a low-lucrative, will bring low profits to shareholders, will require the attraction of loans. But on the other hand, reducing reserves can put pressure on production or trade, and strict demands on the debtors will affect the attractiveness of your company for potential customers. Each company should determine for itself the optimal values \u200b\u200bof the indicators and among the tasks of financial management, which must be interested in the Director-General, not the last place will take regular control of the level of working capital.

Credit Debt with an increase can give a free source of financing. But, as with receivables, it is impossible to simply increase - it will affect the liquidity and solvency of the company. Here, too, determine the optimal value to which should be strive.

Analysis of working capital of working capital on the basis of accounting reporting (in particular, section II of the accounting balance "Reverse assets") will show you, for example, how good the company has established a document flow. To do this, compare the turnover of accounting balance with turnover, calculated according to financial or management reporting, as well as with your optimal values. If the data will diverge, it means that not all financial documents come to accounting. Because of this, in account accounts and, accordingly, non-existent reserves, assets, commitments begin to accumulate in the balance sheet. For example, any costs have already been written off in production, but in the balance sheet they are still listed under the article "Stocks". The emergence of such "garbage" still suggests that your company carries unnecessary tax risks, and also does not use legal opportunities to reduce tax payments.

3. Assets and obligations. These characteristics determine the financial position of the company in the long run. In operational management, financial services should follow these indicators. But it is useful for you to periodically ask a number of questions from this area:

• Is the company's fixed assets? Are they supported in a new condition? It is relatively easy to check. Annual investments in equipment and transport must be no less than amortization of property (and as a rule, more by 20-30% to compensate for inflation).
• What is the total amount of the Company's obligations? What share of obligations in the company's assets? How long has the annual turnover covers obligations?
• What is the proportion of interest debt (bank loans and other obligations for which it is necessary to pay severely certain interests)? How long will the percentage covers interest payments?

Otherwise, you can leave the financial statements to analyze the financial director.

Management reporting

If financial and accounting reporting is based on a single rules and covers all the company's activities, the management reports are individual and, as a rule, are focused on certain aspects of the work. Among management reports, which are exploring the Director-General, are most often present:

1. Report on production indicators, That is, physical work volumes. The content of this report is highly dependent on the type of business. If this is industrial production, then the report indicates the number of goods produced and shipped units to buyers. In trade, it can be either cash indicators of sales, or physical sales by key products. In the project business, such a report can be built on schedules for execution of work plans.

2. Analysis of the structure of income and costs. The report may include the cost of sold products and the profitability of its sale, and may reflect only the situation as a whole. The task of the Director-General when studying these reports is to see the costs of the costs that are unreasonably growing, and also to find that some of the services or products the company starts selling at a loss. Accordingly, the cost structure is selected so that on its basis it can be easily formulated tasks that require solutions. A very common option is to struggle all costs both by articles and at the place of occurrence (divisions, branches, etc.).

We will minimize everything above in a single plan, according to which the Director-General can build its work with reporting. You can modify this plan according to the features of your business. However, for a start, you can use it without change (see table).

Table. What reporting indicators should be studied by the Director-General

Company Eyes of the Lender or Investor

The last element of the financial analysis you can perform is the company's assessment from the position of shareholders and creditors. It is better to make it on the basis of accounting reporting, since this reporting will use the bank. The simplest option Estimates include:

• calculation of the company's credit rating on the method of one of the banks;
• calculation of business value. One of the calculation methods is a comparison with other companies. At the same time, one - two key "cost drivers" are determined and market coefficients are calculated for them.

Calculate these indicators from scratch may be inconvenient. But, including them in a set of standard reporting provided by Financial Services, you will have a good picture before your eyes, reflecting a strategic view of the situation in the company.

It is known that a company working with a good bank or investor often has a stable financial condition. This is due to the fact that it is carried out by regular control, based on the objective reporting data, and the deviation from the recommended indicators causes a rigid investor reaction. A similar result can achieve any company. But for this you should more often rely on your judgments and orders for financial and managerial reporting.

Two principles of working with any reporting

1. No report is ideal and versatile. Some aspects are reflected worse, others are better. Therefore, it is important to understand that it was the most important in the preparation of the report you studied and concentrate only on this. As a rule, from each report you can learn two to three indicators that are most correctly reflected in it, so you will inevitably have to work with different sources of data for analysis.

2. Explore just what you can control. If on the basis of some report you do not plan to set goals with your subordinates, then this report may be interesting, but has a direct attitude to the management of the company. It is better to set aside on the background. Reports that can be directly used in the strategic or tactical goals of the company can be directly important and according to which it is possible to calculate the degree of achievement of these goals.

Stages of formation and drafting reporting

Important aspects in drawing up management reporting: Forms and examples. Management reporting is one of the most important sources obtaining information on the results of the company's activities, based on the aggregate of financial, sales, marketing, production and other indicators.

Information in managerial reporting should be economically interesting and actively used by managers, founders and business owners. Data disclosed in managerial reporting is necessary for the analysis of all activities. This helps to identify the reasons for possible deviations from the parameters that are given to the business strategy, as well as show reserves (financial, material, labor, etc.), which have not been used by the company until that time.

Below are 7 stages of formation and compiling management reporting.

Step 1. Diagnostics of the existing management system in the company

This stage is necessary for analyzing the organizational structure of the company, the format of modeling processes is determined. If the company has business processes and their descriptions, data analysis is analyzed, and the main problem areas requiring optimization are detected.

Step 2. Creating Management Reporting Methodology

This stage is necessary for delegation of powers in terms of compiling operating budgets and definitions of responsibility, specific financial responsibility centers (CFIs) for the preparation of certain budget plans (management reporting segments).

Figure 1. Sequence of stages of constructing management reporting methodology.

Objectives and objectives solved as a result of implementing management reporting in the company:

• Establishing and achieving specific key performance indicators (KPI);
• Identification of "weak" links in the organizational structure of the company;
• Improving the system control system;
• Ensuring transparency of cash flows;
• Strengthening payment discipline;
• Development of the employee motivation system;
• Operational response to change: market conditions, sales channels, etc.;
• Identifying internal resources of the company;
• Risk assessment, etc.

Composition of management reports It depends primarily on the nature of the company's activity. As practice shows, the composition of management reporting (master report) usually includes:

• Report on cash flow (direct method);
• Report on cash flow (indirect method);
• Gains and losses report;

Figure 2. Example of management reporting structure.

Figure 3. Communication of the classifier of managerial reports and managerial accounting objects.

Consolidation of budgets

The formation of consolidated management reporting is a rather laborious process. Consolidated financial management reporting considers a group of interrelated organizations as a whole. Assets, obligations, income and expenses are united in general System Management Reports. Such reporting characterizes the property and financial position of the entire group of companies at the reporting date, as well as the financial results of its activities during the reporting period. If the holding consists of companies that are not connected with each other at the operating level, the task of consolidating management reporting is solved simply. If economic operations are carried out between the companies of the holding, then in this case it is not all obvious, because it will be necessary to exclude mutual operations in order to do not distort data on income and expenses, assets and liabilities at the level of the holding in the consolidated reporting. In the company's budget policy, it is necessary to consolidate the rules and principles of elimination of the VGO.

Therefore, it is more expedient to use information systems. For these purposes, you can apply the system "WA: Financier". The system allows elimination of intra-profit revolutions at the level of primary documents and quickly obtained correct information, which simplifies and speeds up the process of forming management reporting, minimizes errors associated with the human factor. In this case, the reconciliation of intragroup revolutions, their elimination, performing correction wiring and other operations are carried out in automatic mode.

Example management reporting: Company and owns a company B 100%. Company A sold goods worth 1,500 rubles. Purchase of this product cost the company and 1000 rubles. The company would pay for the delivered goods produced in full. At the end of the reporting period, the company B did not sell the goods and it is listed in it in the reporting.

As a result of consolidation, it is necessary to exclude profits (500 rubles), which the company has not yet received and reduce the cost of reserves (500 rubles).

To exclude the VGO and the profit, which the company B has not yet earned. It is necessary to make adjustments.

Result of consolidation management reporting

Figure 4. Forecast Balance (Management Balance).

Defining key performance indicators (KPI - Key Performance Indicators)

The introduction of key control indicators allows you to manage financial responsibility centers by establishing limits, regulatory values, or limit boundaries of the indicators taken. The set of performance indicators of individual CFOs significantly depends on the role of this responsibility center in the management system and on the functions performed. The values \u200b\u200bof the indicators are established taking into account the company's strategic plans, the development of individual business areas. The system of indicators can take a hierarchical structure, both for the company as a whole and with the detail to each financial responsibility center. After detailing the KPI top level and transfer them to the levels of the Central Federal District and the staff to them, it is possible to bind the reward of personnel, etc.

Figure 5. An example of using key indicators of the company.

Control and analysis of management reporting and execution

For the execution of budgets included in the management reporting, three controls can be distinguished:

• preliminary;
• current (operational);
• final.

purpose preliminary control - This is preventing potential budget disorders, in other words, warning unreasonable expenses. It is carried out before making economic operations. The most common form of such control is the coordination of applications (for example, to pay or ship goods from the warehouse).

Current control budget execution implies regular monitoring of financial responsibility centers to identify deviations of actual indicators of their activities from planned. It is held daily or weekly on operational reporting.

Final control budget execution is nothing more than the analysis of the implementation of plans after the closure of the period, the assessment of the company's financial and economic activity in general and on managerial accounting facilities.

In the process of execution of budgets, it is important to identify deviations in the earliest stages. Determine which methods of preliminary and current budget monitoring can be used in the company. For example, introduce procedures for approving applications for payment or leave of materials from a warehouse. This will avoid unjustified costs, prevent the non-fulfillment of the budget and take action in advance. Be sure to regulate the control procedures. Create a separate budget control regulation. Describe in it the types and stages of checks, their frequency, the procedure for revising budgets, key indicators and ranges of their deviations. This will make the control process transparent and understandable, will increase the performing discipline in the company.

Figure 6. Control of the execution of scheduled indicators of management reporting.

Step 3. Design and approval of the company's financial structure

This stage includes work on the formation of classifiers of budgets and budgetary articles, the development of a combination of operating budgets, planning articles and their relationships among themselves, the imposition of budget types for organizational links of the Company's management structure.

Based on the company's organizational structure, financial structure is being developed. As part of this work, financial responsibility centers (CFOs) are formed from organizational links (divisions) and a financial structure model is built. The main task of building the financial structure of the enterprise is to get an answer to the question of who and what budgets in the enterprise should be. Properly built financial structure of the enterprise allows you to see "key points", in which it will be formed, taken into account and, most likely, the profit is redistributed, as well as controlling the costs and income of the company.

Financial Responsibility Center (CFO) - The object of the financial structure of the company, which is responsible for all financial results: revenue, profit (loss), costs. The ultimate goal of any CFO - profit maximization. For each TFO, all three main budget are drawn up: budget of income and expenses, the budget of cash flows and the forecast balance (management balance). How individual organizations speak as the CFO; Holding subsidiaries; separate divisions, representative offices and branches of large companies; Regularly or technologically separable activities (businesses) of multidisciplinary companies.

Financial Accounting Center (CFU) - The object of the company's financial structure that is only responsible for some financial indicators, for example, for income and part of the costs. The budget of income and expenses or some private and functional budgets (labor cost budget, sales budget) is drawn up (labor cost budget, Production (assembly) workshops; Sales services and divisions. Financial accounting centers may have a narrow focus:

• center for Margin Profit (Profit Center) - a structural unit or a group of divisions, whose activities are directly related to the implementation of one or more business projects of the firm providing and accounting for profit;
• center of Revenue - a structural unit or a group of units, whose activities are aimed at receiving income and does not provide for accounting of profit (for example, sales service);
• investment Center (Venchur Center) - Structural unit or group of divisions that are directly related to the organization of new business projects, which are expected in the future.
• cost Center - the object of the financial structure of the enterprise, which replies only for expenses. And not for all expenses, and for the so-called regulated expenses, spending and saving of which the management of the CH can control. These are divisions serving basic business processes. For the CH, only some auxiliary budgets are drawn up. As a CZ, enterprise auxiliary services (Economic Department, Protection Service, Administration) can act. Cost Center may also be referred to Hzze (cost of costs).

Figure 7. Designing the financial structure of the company.

Step 4. Formation of the budget model

There are no harsh requirements for the development of the classifier internal management reporting. Just like there are no two absolutely identical companies, there are also no identical budgetary structures. In contrast to formalized financial statements: income statement or accounting balance sheet, managerial reporting does not have a standardized form, which should be strictly observed. The structure of internal management reporting depends on the specifics of the company adopted at the Company of Budget Policy, the wishes of the leadership in the degree of detail of articles for analysis, etc. You can only give general recommendationsHow to compile the optimal structure of management reporting.

Figure 8. Scheme of interaction of budget forms on the example of the simplest budget model.

Classification of articles on the example of a cash flow report

Figure 9. Execution of the cash flow budget (CF (BDDS)).

Step 5. Approval of Budget Policy and Development of Regulations

The budget policy is formed to develop and consolidate the principles of formation and consolidation of these articles and the methods of their assessment. This includes: determining the time period, planning procedures, budget formats, the program of action of each of the participants in the process. After the development of the budget model, it is necessary to move to the regulation of the budget process.

It is necessary to determine what budgets, and in what sequence are formed in the company. For each budget, it is necessary to allocate the person responsible for the preparation (a specific employee, the Central Federal District) and the responsible for the execution of the budget (head of the direction, the head of the Central Federal District), to establish limits, regulatory values, or limit boundaries of the effectiveness of the CFO. It should be necessary to form a budgetary committee is a body created for the purpose of managing the budget process, controlling its execution and acceptance of decisions.

Figure 10. Enterprise budgeting phases.

Step 6. Audit of accounting systems

At the stage of development and approval of the company's management reporting, it is also necessary to consider that the classifier of budgetary articles should be sufficiently detailed to ensure you useful information About the income and expenses of the company. It should be understood that the more levels of the detail will be allocated, the longer time and labor will be required to draw up management reporting, budgets and reports, but the more detailed analytics can be obtained.

It is also necessary to consider that as a result of the development of management reporting methodology, the accounting systems may also be required, since To analyze budget execution, scheduled indicators will have to be compared with the existing actual information.

Step 7. Automation

This stage includes the work on the choice of software product, creating a technical task, the introduction and maintenance of the system.