A STUDY OF THE REPORTING TRANSFORMATION IN THE CONTEXT OF MANAGERIAL DECISION-MAKING

Abstract

The problem for the administrative staff is the ability to correctly and in a timely manner to make effective management decisions. Given that reporting information is the main source of information support for managerial decision-making, the research topic is relevant and needs scientific and practical development.

The article analyzes the scientific approaches of scientists to the definition of reporting in the context of managerial decision making.

The information contained in the reporting should be prompt, economically interesting and actively used by managers, founders and owners of the company in making management decisions.

Research of scientific literature gives grounds to claim the following: at the present stage, scientists identify managerial reporting with internal or operational; there is also an opinion about defining its place as a supplement to the financial statements that are formed within accounting. In our opinion, this does not correspond to the current practice of enterprise activity and the requirements for information support of enterprise management.

The development of accounting and its transformation is a continuous, progressive process that began actively at the end of the fifteenth century with the advent of the first accounting technologies, the systematization and processing of accounting data and the provision of accounting information in a form suitable for management decisions.

The stages of reporting transformation are investigated, the advantages and disadvantages of reporting transformation are established, taking into account management needs.

Main stages of reporting transformation:

1) study the general requirements for IFRS reporting; comparative analysis of IFRSs and P (C) IAS and NP (C) IAS, identifying differences in estimates; study of the requirements of IFRS 1 «First-time Adoption of IFRS»; IFRS accounting policies;

2) comparative analysis of accounting policies on requirements of P (C) IAS and NP (C) IAS and IFRS, identification of the scope of adjustments; gathering information needed for transformation; selection of the format of reporting components and preparation of working documents; adjustment, declassification; preparation of the opening balance sheet, preparation of the balance sheet and income statement in IFRS format; preparation of the statement of changes in equity and the statement of cash flows (by selected layout); preparation of notes and notes in IFRS format;

3) preparation of additional sections of reporting, adjustment of reporting indicators in the light of inflation, translation of indicators in foreign currency (if necessary).

International practice in reporting in the context of management decision-making has emerged as a relatively new type of reporting as integrated reporting. Instead, in Ukraine, a new form of enterprise reporting is management reporting.

In our opinion, the international practice of reporting in the context of management decisions is more sophisticated, because it takes into account the main purpose of reporting - to satisfy information needs and requests of its users. Reporting has proven to be an important source of information for users in their decision-making process.