Management report for the head sample. Important aspects in the preparation of management reporting: forms and examples

Excel Spreadsheet Systems
with convenient analytics

Setting up initial (management) accounting is the creation of tools for obtaining information about the actual state of affairs in a business. Most often, this is a system of tables and reports based on them in Excel. They reflect convenient daily analytics on real profits and losses, cash flow, wage arrears, settlements with suppliers or buyers, cost, etc. Experience shows that a system of 4-6 easy-to-fill tables is enough for a small business.

How it works

My Financial Director specialists delve into the details of your business and form an optimal system of management accounting, reporting, planning, economic calculations based on the most accessible programs (usually Excel and 1C).

The work itself consists of entering the initial data into tables and takes no more than 1-2 hours a day. For its implementation, 1-2 full-time specialists already available to you who do not have accounting skills are enough.

The system of tables can be organized with the separation of access to information. big picture and the secret part of the data will be seen only by the director (owner) of the business, and the performers - each with their own part.

The resulting automatic reports provide a picture with the required level of detail: cost and profitability separately by product lines, cost summaries by expense groups, income statement, cash flow, management balance sheet, etc. You make decisions based on reasonable, accurate and operational management information.

In the Q&A section you will find examples of a cash flow plan and a cash flow accounting system with related reports.

IMPORTANT! You get services at the level of an experienced financial director at the rate of an ordinary economist.

Teaching or Leading

We will definitely train your employees to work independently with tables. If you have no one to entrust this work, we are ready to keep your records in outsourcing mode. This is 2-3 times cheaper than hiring and maintaining an individual.

Warranty support and support 24/7

The work performed is guaranteed. The initial accounting system is maintained as long as you use it. If you wish, you get all the necessary consultations and explanations.

If you want to change or add something, the specialists will make the necessary improvements, regardless of the duration of the service. Please contact support service 24/7.

Where to begin

call +7 950 222 29 59 to ask any questions and get more information.

Download analyzes and reports in Excel format

Archive of example files for articles of the site on implementation various tasks in Excel: analyzes, reports, document forms, tables with formulas and calculations, graphs and charts.

Download examples of analyzes and reports

Phone directory template.
Interactive contact directory template for business. Convenient management of a large database of contacts.

Warehouse accounting in Excel free download.
Program for warehouse accounting created solely with the help of functions and standard tools. Without the use of macros and programming.

Return on equity formula "ROE".
A formula that displays the Economic meaning of the financial indicator "ROE".

Enterprise Management Accounting - Excel Spreadsheet Examples

An effective tool for assessing the investment attractiveness of an enterprise.

Supply and demand chart.
A graph that displays the relationship between two main financial quantities: supply and demand. As well as formulas for finding the elasticity of supply and demand.

Complete investment project.
Ready-made detailed analysis of the investment project, which includes all aspects: financial model, calculation of economic efficiency, payback period, return on investment, risk modeling.

Reduced investment project.
Basic investment project, which includes only the main indicators for analysis: payback period, return on investment, risks.

Analysis of the investment project.
A full calculation and analysis of the profitability of an investment project with the possibility of risk modeling.

Graph of Gordon's formula.
Building a graph with an exponential trend line using the Gordon model to analyze the return on investments from dividends.

Graph of the Bertrand model.
A ready-made solution for plotting the Bertrand model chart, which can be used to analyze the dependence of supply and demand in conditions of price dumping in duopoly markets.

TIN decryption algorithm.
Formula for decoding the Tax Indication Number for: Russia, Ukraine and Belarus.

All types of TIN (10 and 12 digit numbers) of individuals and legal entities, as well as a personal number are supported.

Factor analysis of deviations.
Factor analysis of deviations in the marginal income of the enterprise, taking into account indicators: material costs, revenue, marginal income, price factor.

Time sheet.
Download the timesheet in Excel with formulas for autofilling the table + maintaining directories for ease of use.

Seasonal sales forecast.
Compiled ready-made sales forecast for the next year based on the sales figures of the previous year, seasonally adjusted. Forecast and seasonality charts are attached.

Forecast of performance indicators of the enterprise.
Forecast form of the company's activity with formulas and indicators: revenue, material costs, marginal income, overheads, profit, return on sales (ROS)%.

Work time balance.
Report on planning the working time of employees of the enterprise according to such time indicators as: “calendar time”, “time sheet”, “maximum possible”, “attendance”, “actual”.

Sensitivity of the investment project.
Analysis of the dynamics of changes in results in relation to changes in key parameters is the sensitivity of the investment project.

Calculation of the break-even point of the store.
A practical example of calculating the time to break even for a store or other type of retail outlet.

Table for financial analysis.
The software tool is made in Excel and is designed to perform financial analyzes of enterprises.

Enterprise Analysis System.
Informative financial analysis of the enterprise is easy to carry out with the help of analytical system from professional experts in the field of economics and finance.

An example of a financial analysis of business profitability.
Table with formulas and functions for analyzing the profitability of a business based on the financial performance of the enterprise.

An example of how to maintain management accounting in Excel

Management accounting is designed to represent the actual state of affairs in the enterprise and, accordingly, to make decisions based on data. management decisions. This is a system of tables and reports with convenient daily analytics on cash flow, profit and loss, settlements with suppliers and buyers, production costs, etc.

Each company chooses the method of management accounting and the data necessary for analytics. Most tables are created in Excel.

Examples of management accounting in Excel

The main financial documents of the enterprise are the cash flow statement and the balance sheet. The first shows the level of sales, the cost of production and sale of goods for a certain period of time. The second is the assets and liabilities of the company, equity. Comparing these reports, the manager notices positive and negative trends and makes management decisions.

Reference books

Let's describe the account of work in a cafe. The company sells products own production and purchased items. There are non-operating income and expenses.

To automate data entry, an Excel management accounting table is used. It is also recommended to compile reference books and logs with initial values.

If an economist (accountant, analyst) plans to list income by item, then the same reference book can be created for them.

Convenient and clear reports

It is not necessary to fit all the figures on the work of the cafe in one report.

Let it be separate tables. And each occupies one page. It is recommended to widely use such tools as "Drop-down lists", "Grouping". Let's consider an example of tables of managerial accounting of a restaurant-cafe in Excel.

Revenue Accounting

Let's take a closer look.

accounting, reporting and planning in Excel

The resulting indicators are found using formulas (usual mathematical operators are applied). Table filling is automated using drop-down lists.

When creating a list (Data - Data Check), we refer to the Directory created for income.

Cost accounting

The same methods were used to complete the report.

Report about incomes and material losses

Most often, for management accounting purposes, the income statement is used, rather than separate income and expense reports. This provision is not standardized. Therefore, each company chooses independently.

The generated report uses formulas, auto-completion of articles using drop-down lists (links to Directories) and data grouping to calculate results.

Analysis of the cafe property structure

The source of information for analysis is the asset of the Balance (sections 1 and 2).

For a better perception of information, we will make a diagram:

As the table and figure show, the main share in the property structure of the analyzed cafe is occupied by non-current assets.

Download an example of management accounting in Excel

By the same principle, the liabilities of the Balance are analyzed. These are the sources of resources at the expense of which the cafe carries out its activities.

Cost items

So we need a project budget, which consists of cost items. To begin with, let's create a list of these same cost items in Micfosoft Project 2016.

We will use custom fields for. We form a lookup table for a custom field of the Text type for the Resources table, for example, as in this figure (of course, you will have your own cost items, this list is just an example):

Rice. 1. Formation of a list of cost items

Working with custom fields was described in the Project Management in Microsoft Project 2016 Tutorial (see Section 5.1.2 Milestone). For convenience, the field can be renamed to Cost Items. After the list of cost items is formed, they must be assigned to resources. To do this, add the Cost Item field to the Resources view and assign a separate cost item to each resource (see Fig.

Management accounting in an enterprise: an example of an Excel spreadsheet

Rice. 2. Assigning cost items to resources

Microsoft Project 2016 features allow you to assign only one cost item per resource. This must be taken into account when forming a list of cost items. For example, if you create two cost items (1. Salary, 2. Social insurance deductions), then they cannot be assigned to one employee. Therefore, it is recommended to group line items so that one line item can be assigned to one resource. In our example, you can create one cost item - payroll.

To visualize the budget by cost item and time period, the Resource Usage view is well suited, which needs to be slightly modified as follows:

1. Create a grouping by line item (see Project Management Tutorial for Microsoft Project 2016, section 2.5 Using Groupings)

Rice. 3. Creating a grouping of Cost Items

2. In the left part of the view, display the Costs field instead of the Labor costs field.

3. In the right part of the view, instead of the Labor costs field, display the Costs field (by clicking on the right mouse button on the right side):

Rice. 4. Select fields on the right side of the Resource Usage view

4. Set a convenient scale for the right side, for example, by months. To do this, right-click in the header of the table on the right side.

5. Sample project budget

As a result of these simple actions, we obtain the project budget in Microsoft Project 2016 in the context of specified cost items and time periods. If necessary, you can detail each cost item to specific resources and tasks by simply clicking on the triangle in the left side of the Resource Name field.

Rice. 6. Detailing of project costs

Project S-curve

For graphic display changes in costs over time, it is customary to use the project cost curve. The shape of the cost curve is typical for most projects and resembles the letter S, which is why it is also called the S-curve of the project.

The S-curve shows the dependence of the amount of costs on the timing of the project. So, if work starts “As early as possible”, the S-curve shifts to the beginning of the project, and if work starts “As late as possible”, respectively, to the end of the project.

Rice. 7. Project cost curve depending on the timing of tasks

By scheduling tasks “As early as possible” (this is set automatically in Microsoft Project 2016 when planning from the beginning of the project), we reduce the risks of deadline violations, but at the same time it is necessary to understand the project financing schedule, otherwise the project may have a cash gap. Those. the costs of our tasks will exceed the available financial resources, which threatens with the risks of stopping work on the project.

By scheduling tasks "As late as possible" (this is set automatically in Microsoft Project 2016 when scheduling from the end of the project), we expose the project to greater risks of missed deadlines.

Based on this, the manager must find a "golden mean", in other words, a certain balance between the risks of meeting deadlines and the risks of a project cash gap.

Rice. 8. Project cost curve in MS-Excel by downloading information from MS-Project

Budgeting an enterprise in Excel, taking into account discounts

The budget for the next year is formed taking into account the functioning of the enterprise: sales, purchases, production, storage, accounting, etc. Budget planning is a long and complex process, as it covers a large part of the organization's operating environment.

For a clear example, let's consider a distribution company and draw up a simple enterprise budget for it with an example in Excel (an example of a budget can be downloaded from the link below the article).

Management accounting at the enterprise using Excel spreadsheets

In the budget, you can plan the cost of bonus discounts for customers. It allows you to simulate various loyalty programs and at the same time control costs.

Data for income and expenditure budgeting

Our firm serves about 80 clients. The range of goods is about 120 positions in the price list. She makes a markup on goods of 15% of their cost and thus sets the selling price. Such a low margin is economically justified by intense competition and is justified by a large turnover (as in many other distribution companies).

A bonus reward system is offered for clients. Purchasing discount percentage for large customers and resellers.

The conditions and size of the interest rate of the bonus system are determined by two parameters:

1. quantitative border. The quantity of a specific product purchased that gives the customer the opportunity to receive a certain discount.
2. Percentage discount. The size of the discount is a percentage that is calculated from the amount for which the client purchased when overcoming the quantitative limit (bar). The size of the discount depends on the size of the quantitative border. The more items purchased, the greater the discount.

In the annual budget, bonuses belong to the “sales planning” section, so they affect an important indicator of the company - margin (an indicator of profit as a percentage of total revenue). Therefore, an important task is the ability to set several options for bonuses with different boundaries at the implementation levels and the corresponding % of bonuses. It is necessary that the margin is kept within certain limits (for example, not less than 7% or 8%, because this is the profit of the company). And customers will be able to choose several options for bonus discounts.

Our budget model with bonuses will be quite simple, but effective. But first, we will compile a report on the movement of funds for a specific client in order to determine whether discounts can be given to him. Pay attention to the formulas that refer to another sheet before calculating the percentage discount in Excel.

Drawing up enterprise budgets in Excel, taking into account loyalty

The draft budget in Excel consists of two sheets:

1. Sales - contains the history of the movement of funds for the past year for a particular client.
2. Results - contains the conditions for accruing bonuses and a simple account of the results of the distributor's activities, which determines the forecast of the indicators of the client's attractiveness for the company.

Cash flow by customers

The structure of the table "Sales for 2015 by customer:" on the sheet "sales":

Enterprise budget model

On the second sheet, we set the boundaries for achieving bonuses, the corresponding discount percentages.

The following table is a basic excel income and expense budget form with a firm's overall financial performance for a yearly period.

The structure of the table "Terms of the bonus system" on the sheet "results":

1. Bonus bar border 1. Place to set the level of the limit bar by quantity.
2. Bonus % 1. A place to set a discount when overcoming the first border. How is the discount for the first border calculated? It is clearly visible on the "sales" sheet. Using the function =IF(Quantity > border 1 bonus bar[quantity]; Sales volume * percentage of 1 bonus discount; 0).
3. Bonus bar limit 2. A higher limit compared to the previous limit, which makes it possible to receive a larger discount.
4. Bonus % 2 – discount for the second border. Calculated using the function =IF(Quantity > border 2 bonus bars[quantity]; Sales volume * percent 2 bonus discounts; 0).

The structure of the table "General report on the turnover of the company" on the sheet "results":

Ready-made enterprise budget template in Excel

And so we have a ready-made enterprise budget model in Excel, which is dynamic. If the limit bar of bonuses is at the level of 200, and the bonus discount is 3%. This means that last year the client purchased goods in the amount of 200 pieces. And at the end of the year will receive a bonus discount of 3% of the cost for this. And if a client purchased 400 pieces of a certain product, it means that he has overcome the second limit of bonuses and receives a 6% discount.

Under such conditions, the “Margin 2” indicator will change, that is, the net profit of the distributor!

The task of the head of the distribution company is to choose the most optimal levels of boundary strips to provide discounts to customers. You need to choose so that the indicator "Margin 2" is at least in the aisles of 7% -8%.

Download the enterprise budget-bonus (sample in Excel).

In order not to look for the best solution at random, and not to make mistakes, we recommend reading the following article. It describes how to do it in Excel simple and effective tool: Excel Data Table and Matrix of Numbers. Using the "data table" you can automatically visualize the most optimal conditions for the client and distributor.

The concept and types of reporting The role of information in the modern business world is steadily increasing. Reporting is the final stage of the accounting process, therefore it includes generalizing totals obtained by appropriate processing of current accounting data. Compilation of internal reporting is caused by the need for management within the organization. The purpose of compiling management reporting is to satisfy the information needs of management within the organization by providing cost and physical indicators ...

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Subject: U management reporting

1. Concept and types of reporting

The role of information in the modern business world is steadily increasing. In entrepreneurial activity, business success, expressed in making a profit, depends on the quality of the economic information used. Complete and reliable information is required to make informed investment decisions, select customers, suppliers, and other business partners. In the enterprise management system, internal reporting of departments is the most important control tool, representing systematized and generalized information.

A report is understood as the information received, presented in a form acceptable to the user. A report is a certain amount of information containing only the information required by the user, which are grouped in the most convenient way.

Reporting is a system of interrelated indicators that characterize the conditions and results of the organization or its divisions for the past period. Reporting is the final stage of the accounting process, therefore it includes generalizing totals obtained by appropriate processing of current accounting data. Reporting is the main source of information used for analysis and management decision making.

Reporting used in practice is divided into types according to the following criteria:

• by the amount of information presented in the report;
• according to the purpose of compilation;
• according to the frequency of presentation.

According to the amount of information provided, private and general reporting is distinguished. Private reporting contains information on the results of the activities of any structural unit of the organization or on certain areas of its activities, or on the results of the activities of branches. General reporting characterizes the results of the organization as a whole.

depending from the purposes of compilingswelling can be external and internal. External reporting serves as a means of informing users about the nature of the activity, profitability and property status of the organization. Compilation of internal reporting is caused by the need for management within the organization.

Depending on the period covered by the reporting, a distinction is made between periodic and annual. Reporting compiled at certain intervals (week, ten days, month, quarter, six months) is periodic. The annual reporting is prepared within the terms regulated by the current regulations.

Management reporting - internal reporting on the conditions and results of the activities of the structural divisions of the organization, individual areas of its activities.

Purpose of management reporting- Satisfying the information needs of management within the organization by providing cost and physical indicators that allow you to evaluate and control, predict and plan the activities of its structural divisions, as well as specific managers.

The purpose of compiling internal reporting determines its frequency, form, content. The accuracy and volume of the data provided in the reporting depend on the organizational, technological and economic features inherent in the organization and the specific object of management accounting, the goals of management in relation to this object of accounting. The content, forms, timing and obligation to submit management reporting, as well as its users, depend on the business conditions in a particular organization.

The management reporting system is one of the most complex and important elements of management accounting. When developing a management reporting system, it is necessary to:

Determine the form, deadline for the submission of the report and the person responsible for its preparation;

• draw up a scheme for the formation of management reports, determine the owners of the initial information;
• empower the responsible person with the powers of the coordinator, i.e., administratively allow him to receive information from its owners;
• determine the users of the information and the form in which it will be provided to them.

Work on the implementation of management reportingis carried out in several stages.

First stage - determination of the volume and content of the necessary information and the solution of the issue of obtaining it from the applied documents. For this, the information contained in the accounting registers is analyzed. It is important to determine the sources of obtaining the necessary information, which may be located in the functional units. It is advisable to analyze the very fact of the availability of the necessary information.

For example , a situation may arise when existing forms primary documents do not have the details necessary to obtain the relevant report. In this case, work should be carried out to finalize these forms of documents. Most often, as a rule, primary documents contain the necessary amount of information. However, this information is not processed in the form of management reporting. In this case, it is necessary to determine the form of the relevant reports, appoint those responsible for receiving them, and oblige the owners of this information to provide these reports at the set time.

The second stage is the stage of analyzing the information contained in the accounting registers,focused on ensuring that the information that corresponds to management reporting, as well as the information necessary for the strategic analysis of the organization's activities, are reflected in the accounting registers. To obtain such information directly from accounting registers, it is advisable to improve analytical accounting in such a way that necessary information reflected in it all the time.

Third stage - creation automatic system formation of management reporting. This is possible with the appropriate software.

2. Users of management reporting and reporting periods

The main users of management reporting are managers of all hierarchical levels of organizations.

Internal reporting information is necessary for making management decisions on issues related to the evaluation of the activities of responsibility centers by managers of higher levels; identifying trends in the development of responsibility centers; shortcomings and positive moments in their activities. Internal reporting is information support management decisions and optimization of the organization as a whole.

For example , reporting on profit and investment centers makes it possible to make a forecast about the dynamics of the organization's profit and assess the risk of new long-term investments.

Familiarization of the personnel of the organization with the data of management reporting improves relations in the team, forms the confidence of employees in their position.

The timing and frequency of management reporting is an important parameter that significantly affects the performance of the entire system.

The frequency of management reporting is an individual matter. However, the general criterion for choosing reporting periods is the timeliness of making management decisions based on reporting data. At the lower levels of management, the role of efficiency in decision-making is higher than at the upper ones. As a result, reporting periods at lower levels should be shorter.

It is conditionally possible to distinguish three standard time periods, which are basic for the organization of accounting and presentation:

• short-term reporting;
• mid-term reporting;
• periodic (strategic or long-term) management reporting.

Short term reporting is considered that is provided most often: daily and weekly. However, due to the specifics of production, monthly reporting may be short-term. Short-term reporting is the provision of information from primary documents in various aspects, that is, this is information that is most relevant to the organization and reflects the important and dynamic aspects of its activities. The main users of such reporting are middle managers or line managers. They must make management decisions based on this information.

The second time period is medium term. The management reporting of this group is compiled at intervals from once a week to once a month. Such reporting combines the performance of the organization and necessarily contains forecast indicators for the next period.

For example By analyzing the cost of production for a month, you can make forecasts of its changes for the next month in accordance with changes in market prices for materials and components, i.e., track changes in the cost of raw materials. Based on the data of such reporting, it is possible to predict changes in prices for manufactured products and show changes in its profitability. The consumers of such reporting are higher-level managers: the management of the organization, top managers. Many decisions that are made on the basis of management reporting compiled in the medium term can have a significant impact on the activities of the organization as a whole.

Long-term management reportingcompiled at intervals ranging from once a month to once every six months. It is prepared for the purpose of establishing a link with financial reporting to show changes and relationships between management performance and reporting data. This is due to the fact that financial statements are submitted once a year. In connection with the use of the quarterly financial reporting system, long-term management reporting is a purely strategic, analytical tool, since it is necessary to respond to a change in the situation once a quarter, in accordance with the frequency of financial reporting. In accordance with this, short-term management reporting is of great importance, which should reflect the dynamics of changes, including in tax planning.

The frequency of internal reporting is determined by the organization itself, for each group of responsibility centers and segments it is individual. It is important to have a clear reporting schedule. Internal management reporting is an integral part of the overall system of internal control in an organization.

In the absence of timely feedback, there is a high probability that the work of the manager will get out of control, and his goals and plans will lose their relevance, remain on paper. The leader must always know how effective his activities are. If his plans are not being fulfilled, he should find out about it as soon as possible. Otherwise, he is deprived of the opportunity to take corrective measures and make changes that are necessary to update the tasks set. Internal management reporting is prepared for the manager, who is responsible for achieving the set goals.

The shortcomings of internal reporting, typical of traditional approaches to internal control, are that the focus is on errors instead of giving managers the information to take effective action. As a result Feedback turns out to be aimed at conducting audits and looking for omissions, returns the manager to past events and operations, generates data that can no longer be corrected, limits the ability to act with a perspective.

3. Basic requirements for the management reporting of the organization

Competently drawn up and timely submitted management reporting ensures the solution of the following tasks:

• a quick overview of activities;
• presentation of information on actual performance;
• identification of existing problems and shortcomings, as well as an indication of potential problems in the future;
• providing information for choosing the best options for solving issues and problems of daily activities, as well as for making strategic decisions.

Operational management decisions are made on lower levels according to the maximum of the data presented, at the highest levels of management, the amount of information is reduced, and the responsibility for decisions (their significance) increases.

Formal and special requirements are imposed on the construction and content of internal reporting.

Formal requirements for internal reporting:

• expediency;
• objectivity and accuracy;
• efficiency;
• brevity;
• comparability of reporting;
• targeting;
• efficiency.

Expediency -information summarized in internal reports should be relevant to the purpose for which it was prepared.

Objectivity and accuracy -internal reports should not contain subjective opinions and biased assessments; the degree of error in the reports should not prevent the adoption of sound management decisions. Since the promptness of reporting affects the accuracy of the information received, therefore, one should strive to minimize this factor.

Efficiency - reporting must be submitted by the due date, which is important for timely decision-making.

Brevity - reporting should not contain redundant information: the smaller the volume of the report, the more quickly you can comprehend its content and make an appropriate decision.

Reporting comparability -the ability to use reporting information for the work of different responsibility centers; reporting should also be comparable with plans and estimates;

Targeting - Internal reporting information must be communicated to the responsible executor, while maintaining confidentiality.

Efficiency - the costs of obtaining internal reporting should be commensurate with the benefits of using management information.

The purpose of internal reporting is to provide management personnel at all levels with the necessary information. Requirements for the content of reporting should be formulated by the heads of responsibility centers and other persons related to management personnel or interested in internal management information. For users (managers), not only the content of information is important, but also the methods of its delivery, the forms of reporting. Internal reporting should provide an opportunity to quickly review and evaluate actual results, their deviations from the goal, identify shortcomings now and in the future, and select the best options for making management decisions. It is not easy to generate reports that provide information for solving a complex of problems.

Special Requirementsrequired for internal reporting:

• flexible but uniform structure;
• clarity and visibility of information;
• optimal presentation frequency;
• suitability for analysis and operational control.

Primary analytical information should be provided directly in the reporting forms: deviations from goals, norms and cost estimates, ranking of deviations, etc.

Flexible yet consistent structurereporting information follows from the very essence of internal management and management accounting. The information should have sufficient internal flexibility to respond to the changing goals and needs of responsibility center managers. At the same time, it is necessary to ensure information uniformity. The system of management accounting and internal reporting may change due to significant changes in the nature of the organization's activities.

The flexibility and uniformity of internal management information is ensured by the fact that the necessary amount of data is accumulated at the primary level of registration, which can then be selected and grouped in the required information context. If you do not select the necessary data at the stage of their input, then later it is problematic to obtain the information you need in each specific case. Each responsibility center should receive reports containing the necessary information. The information system should be designed in such a way that there is a certain uniformity of data for grouping and comparison.

Clarity and visibility of informationIt boils down to the fact that each reporting form should contain the information required by a particular user. Excessive detailing of reporting information, its congestion with unimportant indicators makes it difficult to understand the reporting and hinder the adoption of correct management decisions.

Optimal frequency reportingis derived from the purpose of information and decision-making capabilities, i.e. from the factors that determine the use of reports in management. Some reports are used more often than others. The frequency of internal reporting varies. Internal reports may be annual, quarterly, monthly, weekly, daily or as deviations occur. There is no need to increase the frequency of reporting if it is not possible to make a decision based on them. If bonuses are paid to personnel on a quarterly basis, then there is no point in obtaining monthly information on the fulfillment of bonus conditions. At lower levels of management, more frequent and more detailed reports are needed. With the transition to higher levels, reporting is less frequent and contains more aggregated indicators.

4. Management reporting format

Based on internal reporting, decisions are made at all levels of management of the organization. It is important to reduce the time that passes from receiving a report to developing a decision and translating it into management actions. At the same time, the accessible form of the internal report, the location and presentation of relevant information are essential. There cannot be a standard set of internal reporting with uniform forms and information structure. Internal reporting is individual. It is possible to single out classification features that characterize general approaches to the forms of internal reporting.

• complex;
• thematic (by key indicators);
• analytical.

Comprehensive summary reportsare presented, as a rule, for a month or another reporting period (quarter, six months, etc.), they contain information on the implementation of plans and the use of resources for a given period, on income and expenses by responsibility centers, on the implementation of cost estimates, profitability , cash flow and other indicators for general assessment and control.

Thematic reportsare presented as deviations occur in such indicators as the most important for the successful functioning of the organization: sales volume, losses from marriage, underdeliveries on orders, production schedule and other indicators controlled by the responsibility center.

Analytical reportsare provided only at the request of managers and contain information that reveals the causes and consequences of the results for certain aspects of the activity.

For example : a comprehensive assessment of the causes of overspending of resources, changes in profitability, sales levels by market sectors, analysis of the market and the use of production capacities, risk factors for activities in certain areas, etc.

By management levelsreports are divided into:

• operational;
• current;
• summary reports.

Operational reports, presented at the lower level of management in responsibility centers, contain detailed information for making current decisions; compiled weekly and monthly.

Current reports , containing information for the middle level of management in profit centers and investment centers, are compiled at intervals from monthly to quarterly.

Summary reports are formed for the top management personnel of the organization. On their basis, strategic decisions are made and general control and control of the activities of managerial personnel is carried out at the middle, sometimes at the lower level. The frequency of these reports ranges from monthly to yearly.

Operational information addressed to grassroots responsibility centers should not be presented unchanged to the highest level of management. At the lower level, operational decisions are made on the coordination and implementation of production plans for the use of the unit's resources. This information should be generalized, aggregated into more general indicators for presentation to the middle level of management. At the highest level, an even greater degree of generalization of information is required.

By the amount of informationinternal reports are subdivided into summaries, final reports, general (consolidated) reports.

Summary - this is a summary of individual performance indicators of the unit for a short period (sometimes per day, week).

Final reports are compiled for a month or another reporting period. They summarize information about the controlled indicators of the responsibility center.

General (summary) reportsare compiled for the organization as a whole and contain information consistent with the forms of financial statements adapted for the purposes of internal management.

By form of presentationinternal reports can betabular, graphical or textual form.

tabular form presentation of internal reporting is most acceptable to compilers and users. Most of internal reporting information is expressed in numerical indicators, which are most conveniently presented in tabular form. In addition, it has become traditional. It is important to correctly structure the reporting indicators, divide them into zones, highlighting the main ones that require special attention. For explanations to the report, a note with comments and disclosure of the main indicators can be prepared.

Graphic formmore visual, but graphs (diagrams) should not be overloaded with unnecessary digital information. Displaying more indicators in this form makes it difficult to understand. A large number of digital data is better presented in tabular form.

Text form submission of information is acceptable in cases where there are no digital data or their volume is insignificant; the relationship and significance of the information presented must be explained in detail. Textual reports are often compiled in addition to reports presented in tabular or graphical form.

For the main periodically generated management reports, it is advisable to approve the format, content, timing and frequency (periodicity) of submission, as well as the distribution rules. Standardization will increase the efficiency of preparing and presenting reports, and will save the time that managers need to familiarize themselves with and comprehend the information provided. Standardization does not mean that all managers will receive the same reports. Managers will be informed about which set of reports, in what form and with how often (daily, weekly or monthly) they will receive. The set of reports should include the necessary comments and explanatory information. Additional analytical information can add value to the data presented.

Thus, the determining factor in the formation of a management reporting system in an organization is its economic efficiency, i.e., the benefits that the organization will receive from the availability of reporting by improving the quality of management decisions. The introduction and use of a management reporting system is considered justified when the resulting positive effect exceeds the costs required to create such a system.

Internal reporting is not the result of managerial analysis, which is essential element management accounting, and the primary material for such an analysis. Based on its information, it is possible to give a general assessment of the results of the activities of responsibility centers, to judge the degree to which they achieve their goals and the correctness of the operational corrective decisions made.

More often, organizations use a three-level system for the formation of management reporting. The main levels are:

• journals (books) - to record all the operations of the organization in accordance with the field of activity or by division;
• summaries - brief information about the activities of the unit on a specific date;
• final reports - reports representing the results of the organization as a whole and its structural divisions for a certain period.

The structure of management reporting includes reports in accordance with the following classification:

• comprehensive reports;
• reports on key indicators;
• analytical reports.

a) Comprehensive reports - usually submitted on a monthly basis.

Comprehensive reports may reflect the following indicators: the profitability of the organization as a whole and its structural divisions; the structure of income and expenses by responsibility centers, structural divisions, individual projects, etc.; indicators of accounts receivable and assessment of the allowance for doubtful accounts receivable; the amount of reserves and the assessment of the reserve for depreciation of reserves; cash flow and forecast of future use and receipt of cash.

b) reports on key indicators - are submitted on a specific date at any time. They reflect the most important factors for the successful functioning of the organization: the number of orders received; underdeliveries on orders; the volume of output; the volume of products sold; percentage of malfunctions or defects; planned performance results; resource efficiency.

c) analytical reports - are prepared at the request of management.

Analytical reports are designed to more deeply reflect individual aspects of the activity. Examples of issues covered in analytical reports could be: the reasons for the increase in inventory levels, leading to a freeze in the funds spent on the acquisition of these assets, impairment of inventories and losses, and, consequently, greater exposure to business risks; reasons for the excessive increase in overtime hours, leading to an increase in the cost of wages personnel; change specific gravity organizations in the relevant market segment.

Analytical reports also reflect the situation on the market, the relationship between external and internal factors in the development of the organization, reveal existing threats and opportunitiesorganization development. Ta cues reports are prepared as the need arises.

The focus, format and content of analytical reports are unlimited. Reports should be characterized by a clear statement of the issues and objectives to be disclosed; contain a description of the analysis method, definitions of new terms, quantitative and qualitative data necessary for understanding the report, disclose all assumptions used and their assessment; provide the user with a summary of results and conclusions, as well as a description of risk factors.

Examples of reports that are generated in the management accounting system in an organization are:

Current activity reports:on the production of products (works, services); on the sale of products (works, services); about purchases; on receivables and payables; on stocks of finished products; about work in progress; on stocks of raw materials and components; about barter deals; on cash flow, etc.

Investment activity reports:on the movement (acquisition and disposal) of fixed assets, on the movement (acquisition and disposal) of intangible assets, on planned long-term investments in the context of investment projects.

Reports on financial activities: about short-term financial investments; on attraction and servicing of borrowed capital; raising equity capital, etc.

Should provide all users with the information they need to make decisions. Therefore, it is necessary to determine both the list of management reports and their content.

It should be noted that this work, unfortunately, does not have any clear and unambiguous technology. We can say that the development of management reporting forms is a kind of art.

After all, it is necessary to be able to develop such formats of management reports that, on the one hand, would contain really useful information, and on the other hand, the cost of obtaining this information would be acceptable for the company's management.

By the way, questions of the ratio of utility and cost will arise throughout the project on setting up and automating management accounting.

Thus, this article discusses all the practical aspects related to the development of a management reporting system. In particular, when developing management reporting formats, it is necessary to take into account the main characteristics that they must satisfy.

In addition, this article presents a classification of management reporting and indicators that may be contained in it.

Characteristics of management reporting

Perhaps the most common quantitative characteristic of management reporting is the number of pages in a management report. It is believed that one report should be placed on one page, otherwise it will be very difficult to analyze it. True, it does not specify what page format we are talking about and what font.

I have seen reports printed on an A3 page in very small print at some companies that strictly followed this principle. Yes, formally these reports were placed on one page, but it was very difficult to use them.

In general, it is not necessary to apply this quantitative restriction so straightforwardly. If the management report is placed on two pages of A4 format, and at the same time, indeed, none of the data of such a management report is superfluous, then it is not at all necessary to print it in very small print in order to place it on one page.

Although quite often, upon closer examination of such long management reports, it turns out that they can quite easily be placed on one page. One company, for example, had a management report that, despite the use of very small print, barely fit on two pages.

Moreover, significant items of the management report were not detailed enough, and less significant items were presented with excessive detail. After a simple procedure (reduced excessive detailing of non-essential items), the management report fit on one page without any problems, and it became much easier to use in practice.

Sometimes management reporting is made “big”, because, just in case, they include the maximum possible detail in it. For example, such an article of a management report as "Revenue from sales" in the sales report can be printed with a breakdown to groups, or it can be printed with a breakdown to a specific item.

It is clear that in the second case, the management report can turn out to be much more cumbersome. By the way, in order to avoid such problems with the visualization of management reporting, it can be viewed electronically using a software product that, if necessary, allows you to expand one or another hierarchical indicator.

So, if we return to the consideration of the qualitative characteristics of management reporting, then among the most important are the following:

Management of any company is unthinkable without timely and accurate information about its condition. This information is the basis for making all financial decisions, up to entering the world capital markets. But what to do if the data necessary for control like air do not arrive on time or, even worse, contradict each other. What decision should the CEO make if, when asked about the sales volume for the last month, the sales department, finance department and accounting department submit "independent" data that differ by an order of magnitude? How to be in such a situation? Trust one of the divisions? Or calculate the average? Or maybe instruct subordinates to agree among themselves and "close their eyes" to discrepancies?

We will try to answer these questions, based on the accumulated experience and specific examples from the activities of domestic industrial enterprises.

WHERE DOES THE MANAGEMENT INFORMATION COME FROM?

One of the sources of management information is accounting. With this statement, we may shock supporters of management accounting, who traditionally separate it from accounting, fiscal goals from management requirements, external users from internal, and so on. But in reality, domestic accounting historically bears a managerial burden. At some enterprises that have not lost the experience of the Soviet economy, information on costs by elements, articles, places of occurrence is accumulated in accounting registers from year to year, the cost of production is formed by cost groups, etc. At other enterprises that use the standard accounting method, up to 90% of the costs and cost estimate are calculated one day after the release of a batch of products or the provision of a service.

But this managerial orientation of accounting is the exception rather than the rule. Fiscal goals impose their own specifics on the procedure for recording business transactions: complex contractual schemes are built that minimize taxation within the framework established by law. In addition, the principle of prudence and the requirements for documenting business transactions in practice lead to the fact that accounting entries appear several weeks or even months after the reporting period. So it is impossible to accept accounting as the main source of information for managers. Therefore, in the divisions of enterprises and companies, operational accounting of contracts and relationships with counterparties, the movement of material values, receipts and payments, etc. is organized spontaneously or under centralized management. Its peculiarity is the focus solely on management goals, as well as the use of undocumented sources of information, predictive estimates, etc.

What is obtained by combining the data of accounting and operational accounting is called management accounting. But a simple association does not achieve comparability of data. Therefore, some enterprises trust accounting more, for the management of others - operational accounting is a priority. On average, the following picture emerges (see table).

But, no matter how priorities are set in management accounting, the following problems may arise when using it:

• those who use primarily accounting, - low efficiency, insufficient detailing of factual information, etc.;
• those who use primarily operational accounting, - unsatisfactory financial position during the formal assessment of financial statements by external users (tender commissions, investors, etc.). Paradoxical is the fact that such a conclusion may appear in conditions where the enterprise has no financial problems.
• those who use both accounting and operational data, - incompatibility of management data obtained from different sources.

HOW TO ACHIEVE DATA COMPARABILITY?

The problem of comparability of accounting and operational data in management accounting is undoubtedly the main one. Ideally, an enterprise should create a single information space for accounting information based on an ERP system.

In this system, all actual data is entered once, after which they are reflected either only in accounting, or only in operational accounting, or simultaneously in these two types. Comparison of data from sales, procurement, financial departments, etc. with accounting data turns into an elementary automated procedure that is performed at any frequency at the request of the user.

But what about an enterprise that is not ready to shell out several tens or hundreds of thousands of dollars for an ERP system? For such enterprises, we recommend organizing regular reconciliations of accounting and operational data (the goal is not to equate accounting and operational data here). As a result of these reconciliations, managers will receive information about the causes of discrepancies in accounting, i.e. due to which, for example, the volume of sales provided by the accounting department differs from the management data on sales from the sales department and from the volume of receipts from the financial department of the enterprise.

HOW TO REGULATE THE PROVISION OF INFORMATION

In order to achieve comparability of accounting and operational data, we propose to proceed as follows.

Firstly, to "take a picture" of the current state of affairs (it is necessary to find out how management information is now received, where it comes from (from accounting or operational accounting), where data duplication occurs).

Second, determine the source of factual information for each report that comes to the management desk:

• from accounting;
• from operational accounting;
• from operational accounting with subsequent adjustment of the indicator according to accounting data.

A difficult and at the same time important point is the willingness of the company's management to receive prompt, but not always accurate information.

Thirdly, to determine the points of contact and the procedure for reconciling accounting and operational data.

At first glance, it seems that the best result will bring a continuous reconciliation of operational and accounting records for the reporting period. But this is not so, because the labor costs for its implementation are usually quite high, and accountants and managers of other departments are distracted from their main work. Therefore, to analyze discrepancies, we propose to use factor analysis with subsequent comparison of its results with previously established level materiality. If the discrepancies are minor, then no additional work needs to be done. Otherwise, you still have to reconcile the data by positions.

Let's take a closer look at the most important point - the procedure for reconciling accounting and operational data. Let's consider it on the example of a practical situation, analyzing the discrepancies between the data on the volume of oil sales per month, obtained from the accounting department and from the commercial (sales) division of the enterprise.

Example. An oil and gas producing company sells oil on the foreign market using the services of an affiliated trader located in an offshore zone. The trader, in turn, sells oil to buyers at market prices. The sales department works directly with the end buyer of oil products, and receives daily information on sales of oil consignments from the trader's office in electronic form. Documented information (acts of transferring oil to an offshore trader) enters the accounting department by mail, where it serves as the basis for accounting records.

In the first days of the month following the reporting one, the divisions prepare reports for the CEO. The sales department report is generated in market prices and in dollars. The accounting department generates reports in accordance with the rules of accounting.

In conclusion, it should be noted that our proposed approach is not a panacea in the fight against heterogeneity and incompatibility of management information. Its use is limited to the following points:

• the objective complexity of the business process and its documentation in accounting. The considered example, although it takes into account a number of factors - the discrepancy in sales volumes, prices and exchange rate differences, at the same time does not reflect the complexity of civil law relations that arise in holding companies with their offshore companies, service companies, etc. With the complexity of the business process, the labor costs for accounting and, accordingly, the likelihood of errors increase several times.
• economic efficiency of reconciliations. This universal market criterion allows you to objectively compare the costs of manual labor for monthly reconciliation of data with the costs of implementing an ERP system and, in some cases, formulate a reasonable question: "Maybe ERP after all?"

Reconciled financial statements made a few months after the end of the current period are a good tool for banks, tax authorities, or for comparison with planned indicators. But for operational management, it is much more important to create reports that will contain current information with a reservation for a possible error. Management reporting enables the CFO to keep abreast, make daily decisions and monitor development trends.

Fundamentals and composition of management reporting

Each industry will have its own specifics of compiling and analyzing management reporting. Also, the form of management reporting is directly related to the wishes of managers and business owners.

According to generally accepted standards, the generally accepted reporting structure is always taken as the base, which includes:

• managerial balance;
• cash flow statement;
• report about incomes and material losses.

Periodicity (daily, weekly, monthly, etc.) and detail (depth of analytics and interpretation of indicators) are approved individually for each company.

In a broad sense, management reporting (MR) is data prepared after the end of a business or budget period. In a narrow MA, this is any document or certificate prepared by a financial unit at the request of top managers or in accordance with financial regulations.

Important! The main principles that management reporting should satisfy are: reliability, efficiency, ease of perception for all users.

• The development of management reporting forms should be carried out individually for each enterprise. In addition to the desires of the manager, the accounting structure is affected by:
• industry;
• the size of the company, the presence of divisions, subsidiaries, divisions;
• type of activity and many other factors.

Management reporting forms

In large holdings, where there is a reliable financial link, the composition and deadlines for reporting are subject to strict regulations, which are approved at the highest level.

Fiscal year can begin in any month of the year, and reporting periods can be divided up to one day.

Consider an example. Let Company X provide digital equipment service, cooperate with a dozen manufacturers and work throughout the South Federal District. For such large companies, it is advisable to use the following group of reports:

1. Management balance sheet (Form 1).
2. Management report (MA) on profit and loss (Form 2).
3. MA on implementation by directions (Form 3).
4. MA on cash flow (Form 4).
5. MA on the operating expenses of the firm (Form 5).
6. MA on production costs (Form 5.1).
7. MA on non-operating income and expenses (Form 6).

In small and medium-sized companies, the finance department should be especially careful about the principle of making management reporting accessible to the manager, who may not be familiar with specific professional terminology.

In such enterprises, it is advisable to use three basic forms of RO, and daily reports can be developed independently, depending on the needs of the end users of these documents.

Fact! Reporting for internal use should be verified to the smallest detail and contain only informative indicators and items that will actually be used to assess the state of financial affairs and planning.

Analysis of management reporting

In addition to compiling, it is important to correctly interpret the obtained indicators and data. For clarity, in addition to spreadsheets, it is better to use charts and short text descriptions. Also, in addition to absolute values, consider relative ones, for example, the structure of revenue by type of goods and branches. It is useful to compare the indicators of the current period with those of previous years, etc.

Analysis of management reporting is carried out similarly to other types of financial accounting. Its purpose is to evaluate the effectiveness of the enterprise for the reporting period.

Analytical work is carried out mainly to assess:

• calculation of operating, net and other types of profit;
• the ratio of own and borrowed capital, as well as the ability to pay for the obligations assumed.

Groups of financial indicators of liquidity, business activity, solvency, market activity and capital structure should be used.

These groups are developed based on the basic needs of management and can be used both together and separately.

Important information! It is worth paying close attention to the indicators that will be used to make strategic decisions if inaccurate data were used in their calculation or gross methodological errors were made. This can lead to serious managerial errors and great financial difficulties.

Another important point in the implementation of financial policy is understanding the fundamental differences between Russian and international financial reporting standards. So, a number of concepts translated into Russian can be interpreted in different ways (for example, in Russia it is customary to understand cash resources as money on hand and in bank accounts, and according to IFRS, they also include all highly liquid assets that can quickly be turned into currency). Another global difference is related to accounting methods; in Russia, the accrual method is sometimes used, while according to IFRS, only the cash method is accepted.