Today, domestic enterprises operate in rather unstable economic conditions. This leads to the search for the most effective ways and methods of regulating the functioning of industrial companies. One of them is logistics. It allows you to reach a fundamentally new level of management of information, financial and material flows of companies. This, in turn, helps to improve the final result of production and economic activity and ensure a stable position of companies.
Modern realities
The fundamentals of a market economy, implying an increase in the efficiency of the production process and product sales, form the need for isolation and study of the movement of funds. It corresponds to the movement of commodity values. In the process of moving from one subject to another, they can be considered as financial resources of the organization. Their movement is determined by a number of logistic operations.
Logistics Goals
The fundamentals of a market economy form the foundation for effective business operations of companies. The expansion of production scale, the growing need to strengthen all types of interaction give rise to the creation of certain requirements for new methods and forms of administration in companies. The solution of traditional problems in modern conditions provides competent management of financial flows. Logistics is a specific system, the principles and methods of which allow you to plan and control the movement of funds. Within the framework of this discipline, material and financial flows closely interact with each other. This is what makes it possible to find the most rational solutions to the problems facing companies.
Theoretical aspects
The financial flows of an enterprise are directed cash flows. It is carried out within and between logistics systems. These movements are necessary to ensure information and material flows. They appear when reimbursing logistics costs and expenses, attracting from appropriate sources, deducting for services rendered and goods sold to participants in the chain. Regulated financial resources of the organization timely and fully provide the volumes, terms and sources of funds.
Logistics Tasks
Within the framework of the discipline:
- Analysis of financial flows.
- Building models for using sources of funds and an algorithm for moving money into them.
- Establishment of needs, selection of reserves for financing, control of interest rates on government and valuable bonds, as well as on interbank and bank loans.
- Creation and regulation of the free balance in budget, currency and ruble accounts to generate additional income from business operations using highly efficient tools.
- Market research and forecasting of sources of income using marketing methods.
- Formation of information processing and cash flow operating systems.
- Coordination of operational regulation of material and financial flows. In this case, first of all, the costs associated with, for example, the transport delivery of products are evaluated. The manager builds models of material flows, taking into account costs.
Logistics Principles
Financial flows and the movement of values, production and cost minimization must be balanced. This is achieved through the mechanism of self-regulation of logistics. For the implementation of finished product projects, adjusting the terms of delivery from partners or consumers, the system provides for the possibility of making changes to the supply chain. This indicates the flexibility of logistics. The methods that are used within the discipline allow minimizing production costs while maximizing short-term project execution cycles. Logistics is distinguished by the ability to simulate financial flows, to predict the movement of funds from sources to program executors. In this case, the turnover of free money is carried out with maximum efficiency. Within the framework of the discipline, the processes of supply, financing, development and marketing are integrated in one project execution body. One of the fundamental principles is the correspondence of the volume of funds received to the amount of necessary expenses, profitability, which is achieved by evaluating not only costs, but also "pressure" on them, as well as profitability in the process of placing money.
Key aspect
It acts as a control of material flows. These, in particular, include the movement of raw materials, finished products, semi-finished products. For each material flow that occurs in the process of purchasing raw materials or marketing products, storage or transportation of products, there is a financial flow. It can be an investment or compensation for the sale of goods.
Traffic patterns
In the process of planning and organizing logistics operations, it is necessary to calculate models of financial movements. For example, in international relations, the use of the FOB and CIF terms of delivery affects the distribution of insurance and freight costs between the supplier and the customer of the goods. In the process of transportation, the cost of damage to the goods is borne by either the carrier or the sender, depending on the terms of the contract, the actual characteristics that the cargo possesses, the information specified in the shipping documents. When adjusting the conditions of the storage system, the quality and safety of products may change. This, in turn, will affect the cost of services. It should also be borne in mind that when selling goods on their own, with the help of trading agents, consignees and commission agents, various costs arise, different goods turnover and the duration of the financial cycle are provided .
Specificity
Financial flows act as indicators of the sustainability and well-being of companies. They indicate the effectiveness of logistics activities and are needed in the planning and formation of interactions with contractors. When organizing the budget for the current period, the main financial flows show the volume of future revenues and required investments. According to their assessment, profitability and profitability indicators are calculated, which, in turn, are used in the preparation of financial statements. In addition, the assessment of cash flows allows you to justify the attraction of loans and investments, conclude profitable agreements and contracts. From all this it becomes clear that financial flows fulfill important tasks related to the provision, accounting and coordination of the movement of funds during logistics operations.
System requirements
To ensure timely and complete logistics processes , certain rules must be followed. The first of these is sufficiency. This means that the financial resources in the company must be in the required volume and at the time of the appearance of the need for them. To implement the requirement of compliance with the indicators of movement of funds in the development of plans, the size and time of costs for the purchase and subsequent transportation of raw materials and equipment, production and storage rates are taken into account. Take into account the specifics of sales and distribution technologies. Another important requirement is the reliability of sources and the effectiveness of raising funds. To implement this provision, market conditions are monitored, areas of minimal risk are selected. Along with this, the sequence of attracting sources is determined, the probable difficulties are revealed when included in resources in operations. The fundamental requirement of logistics is cost optimization. It is achieved by rationalizing the attraction and subsequent distribution of funds. An important requirement is the consistency of information, material, financial and other flows throughout the chain of movement of goods. The implementation of this task increases the rationality of the use of production assets and money. Control over thread consistency helps achieve overall process optimization throughout the system.
Efficiency
This requirement is related to the external environment surrounding the logistics system. Schemes of financial flows should be quickly and flexibly changed when the political and economic situation, legal and commercial conditions change. Due to the fact that participants in logistic operations belong to different production and circulation areas, the composition and structure of funds transfers must be adapted for each counterparty.
Regulation
It is necessary to ensure that financial flows comply with the above requirements. When providing corrective action, it is necessary to observe the condition of the interconnectedness of directions. It is primarily about the interaction of information and financial flows. The implementation of this task is facilitated by the use of appropriate systems that provide support for decision-making, the use of corporate automated structures and databases. The larger the logistic structure will be, the more branched chains it will have, the more complicated the schemes for moving financial flows. In the process of studying the movement of funds, it is necessary to establish the level of their detail, to identify the factors of influence of the internal and external environment.