Methodology of calculations of logistic costs and charges for delivery

No Thumbnail Available

Date

2015

Journal Title

Journal ISSN

Volume Title

Publisher

Publishing House of Lviv Polytechnic National University

Abstract

The development of Ukrainian economics observed in the last years and its orientation towards the integration into the world economics community, as well as large-scale introduction of market relations require the radical structural changes of economic potential of subjects of entrepreneurial activity and adequate policy directed towards the increase in the efficiency of their economic activity. The improvement of the management of material flows, flows of funds and information flows contains the considerable potential of growth of efficiency of enterprise activity as a result of application of new progressive methods and approaches. Among such approaches the main place is occupied by logistics which begins to develop dramatically in Ukraine. The modern nature of market, target orientation of production and the distribution of products according to consumers’ requests determine the necessity of searching extra possibilities for decreasing expenditures and product costs, as well as improving service levels for the enhancement of the efficiency of enterprise activity. For domestic enterprises of different branches logistics costs make up the considerable part of general costs. Logistics costs are the expenditures created as the result of information flows, flows of funds and material flows. It is no exaggeration to say that logistics is a comprehensive process in business, since every movement, search or bargain is cost-based, without regard for logistic characteristics. With the help of logistic calculations it is possible to 1) determine the expenditures on the purchase process, transportation, warehousing; 2) predict the budget of future periods; 3) compare and analyze the characteristics of logistics activity. In the conditions of transient economics, that is, fierce competition, financial volatility and spread of the corrupt practices, the problem of the optimization of the enterprise expenditures arises. So, the reduction of logistics costs is the top-priority activity aimed at the stable operation of the enterprise. The necessity of the appropriate response of management processes to changes in the functioning conditions and improvement of delivery and marketing causes the stable interest of domestic manufacturers in the process of maintenance supply and production distribution as important constituents of enterprise activity. Taking into account the fact that the production program of the enterprise and, naturally, the results of its economic activity depends on the efficient organization of supply and marketing, we can state that the entire investigation of these processes is extremely urgent.

Description

Keywords

enterprise, method, logistic procurement charges, party of delivery, strategic decisions

Citation

Kuzmin O. Ye., Telishevska O. Methodology of calculations of logistic costs and charges for delivery / O. Ye. Kuzmin, O. Telishevska // Economics, Entrepreneurship, Management. – 2015. – Volume 2, number 2. – P. 51–57. – Bibliography: 14 titles.