How to find the working capital standard. Determining the need for working capital and calculating the working capital standard

In the conditions of enterprises operating on the principles of commercial calculation, the need to determine the needs of enterprises for their own working capital playing main role in the normal functioning of enterprises.

Determining the enterprise's need for its own working capital is carried out in the process of rationing, i.e. determining the working capital standard.

The purpose of rationing is to determine the rational amount of working capital diverted for a certain period of time into the sphere of production and the sphere of circulation.

The need for working capital for each enterprise is determined when drawing up a financial plan. Thus, the value of the standard is not a constant value. The size of own working capital depends on the volume of production, supply and sales conditions, the range of products produced, and the forms of payment used.

When calculating the enterprise's need for its own working capital, the following must be taken into account. Own working capital must cover the needs of not only the main production to fulfill the production program, but also the needs of auxiliary and auxiliary production, housing and communal services and other farms that are not related to the main activities of the enterprise and are not on an independent balance sheet, overhaul carried out on our own.

Rationing of working capital is carried out in monetary terms. The basis for determining the need is the cost estimate for the production of products (works, services) for the planned period.

In the process of standardization, private and aggregate standards are established. The standardization process consists of several successive stages.

At the first stage, stock standards are developed for each element of standardized working capital. The norm is a relative value corresponding to the volume of stock of each element of working capital. The norm is established in days of supply and means the duration of the period of provision of this type material assets. The stock rate can be set as a percentage, in monetary terms, to a certain base. Based on the norms of stock and consumption of inventory items, the amount of working capital required to create standardized reserves for each type of working capital is determined.

Then, by adding the individual standards, the total standard is calculated. The working capital standard is the monetary expression of the planned stock of inventory assets, the minimum required for normal economic activity enterprises.

The following methods of rationing working capital are used:

Direct account;

Analytical;

Coefficient.

The direct counting method consists in first determining the amount of advanced working capital for each element, then summing them up to determine the total amount of standards, which is quite labor-intensive, but allows you to make the most accurate calculations of partial and total standards.

The analytical method is used when in the planning period there are no significant changes in the operating conditions of the enterprise compared to the previous one. The calculation of the standard is carried out on an aggregate basis, taking into account the relationship between the growth rate of production volume and the size of the normalized working capital in the previous period.

With the coefficient method, a new standard is determined on the basis of the old one by making changes to it, taking into account production, supply, sales of products, goods (works, services).

For example, the standard of working capital advanced for raw materials, basic materials, and purchased semi-finished products is determined:

N = R x D (9)

N - standard working capital in stocks of raw materials, basic materials and purchased semi-finished products;

P - average daily consumption of raw materials, supplies, purchased semi-finished products;

D - stock norm in days.

A general indicator of the efficiency of using working capital is the indicator of its profitability (Rok), calculated as the ratio of profit from sales of products (Prp) or other financial result to the amount of working capital (Jc):

Rock = Prp / C ok (10)

This indicator characterizes the amount of profit received for each ruble of working capital and reflects financial efficiency the work of the enterprise, since it is working capital that ensures the circulation of all resources in the enterprise.

In Russian economic practice, the efficiency of using working capital is assessed through indicators of its turnover. Since the criterion for assessing the effectiveness of working capital management is the time factor, indicators are used that reflect, firstly, the total turnover time, or the duration of one turnover in days, and, secondly, the speed of turnover.

The duration of one turnover consists of the time spent by working capital in the sphere of production and the sphere of circulation, starting from the moment of acquisition of inventories and ending with the receipt of revenue from the sale of products manufactured by the enterprise. In other words, the duration of one revolution in days covers the duration production cycle and the amount of time spent on selling finished products, and represents the period during which working capital goes through all stages of circulation at a given enterprise.

The duration of one turnover (working capital turnover) in days (Obok) is determined by dividing the working capital (Juice) by one-day turnover, defined as the ratio of sales volume (RP) to the duration of the period in days (D) or as the ratio of the duration of the period to the number of turnovers (Cob):

OBok = Juice: RP / D = Juice x D / RP = D / Kob. (eleven)

The shorter the duration of the circulation period or turnover of one working capital, the less working capital the enterprise requires. The faster working capital circulates, the better and more efficiently they are used. Thus, the timing of capital turnover affects the total working capital requirement. Reducing this time is the most important area of ​​financial management, leading to increased efficiency in the use of working capital and an increase in their return.

The turnover rate of working capital is characterized by the direct turnover ratio (number of revolutions) for a certain period of time - a year, a quarter. This indicator reflects the number of turnovers made by the working capital of the enterprise, for example, per year. It is calculated as the quotient of the volume of sold (or commodity) products divided by working capital, which is taken as the average amount of working capital:

Kob = RP*Juice (12)

The direct turnover ratio shows the amount of sold (or marketable) products per 1 ruble of working capital. An increase in this coefficient means an increase in the number of revolutions and leads to the fact that:

Product output or sales volume increases for each invested ruble of working capital;

The same volume of production requires a smaller amount of working capital.

Thus, the turnover ratio characterizes the level of production consumption of working capital. An increase in the direct turnover ratio, i.e. An increase in the turnover rate of working capital means that the enterprise uses working capital rationally and efficiently. A decrease in turnover indicates a deterioration in the financial condition of the enterprise.

The inverse turnover ratio or working capital load (fixation) coefficient shows the amount of working capital spent on each ruble of sold (commodity) products and is calculated as follows:

Kz = Juice / RP = 1/ Kob (13)

where: Кз - load factor.

Comparison of turnover and load ratios over time allows us to identify trends in changes in these indicators and determine how rationally and effectively the working capital of the enterprise is used.

Turnover indicators can be calculated for all working capital and for their individual elements, such as inventories, work in progress, finished and sold products, funds in settlements and accounts receivable:

Inventory turnover is calculated as the ratio of production costs to the average amount of inventory;

Work in progress turnover - as the ratio of goods received to the warehouse to the average annual volume of work in progress;

Turnover of finished products - as the ratio of shipped or sold products to the average value of finished products;

Fund turnover in calculations is the ratio of sales revenue to average accounts receivable.

The listed indicators make it possible to conduct an in-depth analysis of the use of own working capital (they are called private turnover indicators).

The turnover of working capital may accelerate or slow down. When turnover slows down, additional funds are involved in turnover. The effect of accelerating turnover is expressed in a reduction in the need for working capital due to improved use and savings, which affects the increase in production volumes, and as a consequence - on financial results. Acceleration of turnover leads to the release of part of the working capital (material resources, cash), which are used either for production needs or for accumulation in a current account. Ultimately, solvency improves and financial condition enterprises.

7.1. general characteristics and rationing

Concept and structure. At enterprises there are current expenses financial (monetary) funds, which in the process of management are involved in a certain circulation (pass through the monetary, production and commodity stages). At the first stage of the circulation, funds are spent on the acquisition of raw materials, supplies and other resources, that is, they move from monetary form to material-commodity form, forming certain production reserves, then they enter the second stage - production. At this stage, workers are included in the production process and receive wages for the work performed. Then the material assets are materialized in the form of finished products. On last stage circulation, manufactured products are sold (sold) and the enterprise receives corresponding revenue (a certain amount of money), which should not only fully compensate for previously incurred costs, but also provide a certain profit.

Working capital- this is the totality of the enterprise’s funds necessary to form and ensure the circulation of production working capital and circulation funds.

The formation and regulation of individual elements of working capital has its own characteristics. Taking this into account, working capital is allocated in the spheres of production and circulation, as well as dividing them into standardized and non-standardized (Fig. 7.1).

Rice. 7.1. Elemental composition of working capital of an enterprise (organization)

Definite practical significance have a definition and assessment of the structure of working capital. They (funds) are used more efficiently when most of them are employed in production. The presence of working capital in the sphere of circulation is a necessary condition continuity of the reproduction process, however, this part of the enterprise’s funds does not directly participate in creating the value of manufactured products. At industrial enterprises of Ukraine, the part of working capital in the sphere of production is 72% (including in inventories and work in progress - 48 and 20%, respectively), and in the sphere of circulation - 28% (of which approximately 17% is the cost of finished products, and 6% - cash).

Rationing. Required size funds invested in minimal inventories of inventory to ensure a continuous production process, the best way is determined by their standardization (calculation of standards).

There are three known methods for calculating working capital standards: analytical, coefficient And direct calculation. The analytical (experimental-statistical) method involves a thorough analysis of available inventory items with subsequent adjustment of actual inventories and exclusion of excess ones. The coefficient method consists of clarifying working capital standards in force at the beginning of the billing period in accordance with changes in production indicators during this period that affect the value of these funds. The direct counting method is a scientifically based calculation of standards for each regulated element of working capital (inventory, work in progress, deferred expenses, balances of finished products). In business practice, it is the main one; other calculation methods are used in most cases as auxiliary ones.

Working capital standard in production inventories. According to their economic content, production inventories are divided into elements related to working capital (raw materials, supplies, fuel) and elements that are related to fixed assets (spare parts for repairs; tools, inventory and other low-value items). The methodology for determining the standard of working capital in the two types of inventories mentioned above is not the same.

The standard of working capital in production inventories related to working capital is determined by multiplying the average daily consumption of materials in value terms by the standard of their stock in days.

The accuracy of calculations depends on the correct determination of the required reserves of material resources. There are several types of such reserves at enterprises: transport, preparatory (technological), current, reserve (insurance). Working capital is invested in transport stock, which usually does not exceed two days, for the period from the moment of payment of the invoice issued by the supplier until the cargo arrives at the enterprise's warehouse. Preparatory stock is created for the time necessary to accept material resources for storage and preparation for production use. The largest in volume is the current stock of raw materials (materials) and other elements of working capital (subjects of labor): it is calculated within half the average interval between deliveries of certain types of material resources (for example, if the terms of the contract between the supplier and the consumer provide for the receipt of materials, for example, one once a month, then their current supply should provide 15 days of work). The determination of reserve (safety) stock can be carried out in two ways: by the average deviation of actual delivery times from those stipulated in the contract or by the period required for urgent ordering and delivery of materials from the manufacturer to the consumer.

In general, working capital standards in industrial inventories related to working capital are determined according to the following scheme (conditional data):

1. Quarterly demand for materials
2. Average daily consumption of materials
3. Price of one ton of material
4. Cost of daily consumption of materials (item 3 - item 2)
5. Stock norm:
a) transport
b) preparatory (technological)
c) current
d) reserve (insurance)
6. Standard for working capital in production inventories (clause 4 x clause 5, d)	9,000,000 UAH

The methodology for rationing working capital in elements of industrial inventories, which tend to be fixed assets, but according to the current accounting system are classified as working capital, differs significantly from that stated above. In particular, the basis for calculating working capital in spare parts for repairs are the norms of stock of parts per unit of repair complexity of the corresponding types of machinery and equipment. General principles rationing of working capital in low-value and wearable items are also: 1) separate determination of standards for material assets stored in the warehouse of the enterprise and used (operated) in production; 2) monetary value warehouse stocks at their full procurement cost (prime cost), and used items - in the amount of 50% of their primary cost; 3) refusal to ration the days of consumption of used items, and calculate standards for their individual groups based on coefficients characterizing the dependence of the size of the stock on the number of personnel , number of jobs, cost of certain types of equipment, etc.

The value of this standard depends on the volume of manufactured products, the cost of its individual types and the nature of the distribution of costs throughout the production cycle. Other than that equal conditions Working capital in this functional form changes in direct proportion to the dynamics of the scale of production and the cost of production. In this case, the ratio of the average cost of work in progress and the cost of finished products, which is usually called cost growth factor.

can be determined using the formula

Where Vс - average daily output of commercial products at its production cost;

Tc - average duration of the production cycle in days;

Knz - coefficient of increase in costs (cost of work in progress).

Determining the average daily output of products based on their cost and production cycle duration does not cause any difficulties. The first of them is calculated by dividing the planned (expected) production output by the number of days of the billing period, and the second - as a weighted average value based on the share of products (their groups) in the cost of marketable products.

The cost increase factor requires special preliminary calculations. It can be most accurately determined by distributing costs by day of the production cycle. For this purpose, according to the production cost estimate, they are divided into one-time ones (the cost of raw materials and basic materials that initially take part in the production process) and those that gradually increase (the remaining costs). If the costs of wages and production maintenance cannot be calculated by day of the production cycle, then they are conditionally distributed in equal parts for each day of the cycle.

We will show the method for determining the cost increase coefficient using an example. Let's assume that the cost of some change is 50,100 UAH, and the average duration of the production cycle is 6 days. The distribution of costs by day of the production cycle is given in table. 7.1. Under these conditions, the average cost of work in progress will be equal to 39,100 UAH. (234600: 6), and the cost increase coefficient is 0.78 (39100: 50100).

Table 7.1

DISTRIBUTION OF PRODUCT PRODUCTION COSTS BY DAYS OF THE PRODUCTION CYCLE, UAH.

Days of production cycle	Daily costs	Amount of costs on an accrual basis
fourth

However, with a large range of manufactured products, this method of determining the cost increase factor may turn out to be excessively labor-intensive. Therefore, in enterprises that manufacture material-intensive products and therefore require significant one-time costs, the cost increase coefficient can be calculated using the following simplified formula:

Kn.z = (Sp.d.ts + 0.5 So.d.ts) : Sp.i, (7.2)

where Sp.d.ts - initial costs on the first day of the production cycle;

So.d.ts - costs of manufacturing products on the remaining days of the cycle;

Sp.i - production cost of the product.

So, based on the data in table. 7.1, the cost increase coefficient calculated using formula (7.2) will be equal to 0.8

[(30000 + 0.5x20100) / 50100]. As you can see, the error in the calculations is small - only 0.02 (0.8 - 0.78) - and is quite acceptable for this kind of practical calculations.

If we proceed from the assumption that the average daily output is 20,000 UAH, and the duration of the production cycle is 6 days, then the standard of funds in work in progress, calculated according to formula (7.1), will be

Working capital standard in other regulated elements. In addition to inventories and work in progress, standardized elements of working capital also include deferred expenses and balances of finished products at the enterprise.

The working capital standard for deferred expenses is calculated based on the balance of funds at the beginning of the period and the amount of expenses during the calculation (planned) period minus the amount of subsequent repayment of expenses from the cost of production.

For example, at the beginning of the billing period, the balance of deferred funds is 8,000 UAH, the need for them during this period is 82,000 UAH, the cost of products to be manufactured will be charged to repay previously incurred costs of 36,000 UAH. The working capital standard for future expenses will be UAH 54,000. (8000 + 82000 – 36000).

The standard of working capital in the balances of finished products is determined as the product of the cost of one-day production of finished products by the standard of their stock in the warehouse in days. In turn, the stock norm consists of the number of days required to prepare products for sale (sale), i.e., their acquisition, packaging and shipment to consumers, with the addition of time for issuing and submitting payment documents to the bank.

It is clear that the total standard of working capital of an enterprise for the billing (planning) period is the sum of standards calculated for individual elements (inventory, work in progress, deferred expenses and balances of finished products).

When operating, the organization carries out supply, production and sales activities in parallel. In accordance with the performance of these functions, the circulation of working capital is carried out. Nested in inventories, work in progress, finished but not sold products, accounts receivable, financial resources are related(lose liquidity), while the funds in the current account can be considered as free(liquid) working capital. To manage working capital at all stages of circulation, a special method is used - the rationing method.

Rationing- this is the establishment of economically justified stock standards and standards for elements of working capital necessary for the normal operation of the enterprise.

The fact is that with regard to working capital, one cannot focus on comparing the results obtained only with the actual values ​​in the reporting period or based on an assessment of the deviations that have arisen from the corresponding data obtained in the previous reporting period. There is a need for an economic justification for the amount of working capital, calculated on the basis of technical, techno-economic and economic norms and standards: with the norms of consumption of material resources for the production of a unit of finished products, production norms, headcount standards, norms and standards for the use of production facilities, etc.

By rationing working capital, the total need of business entities for working capital is determined. The correct calculation of inventories of material assets is of great importance economic importance, since a constantly required minimum amount of funds is established to ensure a normal (continuous) production process and a stable financial condition of the enterprise. The calculation of this value is necessary, since a lack of free cash will complicate the financial ability of the organization to repay its obligations, and an excessive amount of free cash can also reduce the efficiency of the use of financial resources. Therefore, it is necessary to maintain a certain ratio (balance) between free and related means, which is achieved through rationing of working capital.

Working capital is divided into two separate groups: normalized and non-standardized working capital. To do this, the organization for the current planning period forms for itself regulatory framework on working capital.

The main task rationing of working capital is the development and establishment of economically sound reserve standards for individual elements of working capital, ensuring the uninterrupted production and sales process at their minimum size. Such elements of working capital may be stocks of raw materials, materials, fuel, semi-finished products, work in progress, finished products in the warehouse, as well as those shipped to the consumer. All of these elements of working capital are standardized and for them in the planning period, inventory standards are established in relative values ​​(days, percentages) and in monetary terms.

Essence rationing is to use certain standards, that is, indicators calculated according to a certain standard (norm). The standards are set based on predetermined values ​​for the consumption of materials, time, etc., which are calculated, in turn, on the basis of data from previous years or on the basis of technical standards and engineering calculations (if it is known that they did not cause a decrease in efficiency). At the same time, norms and standards are the initial data for the development of the entire system of planned indicators.

Norm- this is the maximum permissible planned value of the absolute consumption of means of production and labor per unit of production or for performing a certain amount of work (for example, the rate of metal consumption shows how many kilograms of metal should be spent on 1 product). From the point of view of scientific economic content, this is a measure that has numeric value, which is used for study and application in business practice, that is, it allows you to influence the control object. Closely related to inventory standards are norms such as time norms, production norms, material resource consumption norms, etc.

Working capital norm- this is a relative value corresponding to the minimum, economically justified volume of inventories of inventory items, established, as a rule, in days and indicating the duration of the period.

For example, if the inventory rate is 24 days, then there should be exactly enough inventory to support production for 24 days. Norms of working capital depend on the norms of consumption of materials in production, the norms of wear resistance of spare parts and tools, the duration of the production cycle, supply and sales conditions, the time at which certain materials acquire certain properties necessary for consumption, and other factors.

Standard is a planned indicator that characterizes the element-by-element components of the consumption rates of raw materials, materials, fuel, energy, labor costs and the degree of efficiency of their use (for example, consumption wages per 1 ruble of finished products, product removal from 1 m 2 of area, planned metal utilization rate).

Working capital ratio- this is the minimum required amount of funds to ensure the production and economic activities of the enterprise. Standards are determined taking into account the need for funds both for core activities and for major repairs of auxiliary, auxiliary and other units that are not on an independent balance sheet.

Thus, any organization should develop a standard package of methodological documents to determine such norms and standards for standardized indicators. At the same time, the system of working capital standards is the most important component of the system of standard indicators at the enterprise, since for effective operation it is important to know:

• at what level of production and sales reserves the uninterrupted process of production, supply and sales is ensured;
• how many financial resources are diverted to their maintenance;
• what is optimal value funds in cash.

Basic principles standardization (formation of norms and standards) are:

• progressiveness – reflection in the norms and standards of achievements scientific organization labor, production, management, experience, new technology;
• validity - development of standards based on technical calculations and production analysis;
• comprehensiveness – all standards and standards in their interrelation are covered;
• flexibility and dynamism – systematic updating of the regulatory framework;
• comparability – ensuring harmonization of the regulatory framework for different levels management and production.

Based on the rate of stock and consumption of a given type of inventory, the amount of working capital necessary to create standardized stocks for each type of working capital is determined (to determine private standards).

Private standards include working capital standards in production inventories: raw materials, basic and auxiliary materials, purchased semi-finished products, components, fuel, containers, work in progress and semi-finished products of own production; in deferred expenses; finished products.

The working capital element standard is calculated using the formula

Where N el – standard of own working capital for an element;

About el – turnover of funds (expense) by this element for the period, t;

T - duration of the period, days;

N el – working capital norm for this element, days.

It is advisable to establish by organization:

1. norms and level of reliability of supplying industrial supplies for the entire specified range of material resources;
2. norms and standards of working capital (including accounts receivable and cash) and the level of security reliability;
3. the share of borrowed funds invested in working capital.

Under reliability the probability of supply is understood, which affects the relative number of days per year during which the organization will be supplied revolving funds and circulation funds. The lower the level of reliability, the less value established norm. The main idea is not just to set standards, but also to evaluate degree of risk(how many days will be enough for this level norms).

The degree of risk is directly related to the selected level of reliability of supply with supplies - the higher the level of reliability, the lower the degree of risk. For example, a reliability of 100% means a reserve of 20 days, a reliability of 95% means a reserve of 22 days, etc.

In this case, a rationally chosen risk will make it possible to use material and financial resources much more efficiently in conditions of a lack of own working capital. Thus, one of the goals of rationing is to determine the range of possible variations in daily balances throughout the year, on the basis of which the value of the required stock norm is established.

Currently, there is no clear opinion regarding the use of specific methods for rationing working capital. It is proposed to use different methods for determining norms and standards: analytical, balance sheet, calculation and statistical, etc. The variety of methods is due to big amount factors influencing the amount of working capital, and a variety of models for accounting for these factors. Also important is the desire to simplify the procedure for calculating standard values.

The need for fixed assets is determined differentiated by their types: buildings, shop premises, tents, pavilions and more - passive part of fixed assets ; equipment, vehicles, computer technology and more - active part of fixed assets.
ANDWith input data for calculating the need for fixed assets for the future period are: planned volume of trade turnover; capital intensity of fixed assets; market price certain types of fixed assets; the cost of installing equipment and other mechanisms.
Determining the enterprise's need for its own working capital is carried out in the planning process, i.e. determining the working capital standard.
Working capital ratio - this is the minimum amount of cash constantly required by the enterprise for its activities.
The value of the standard is not constant. The amount of working capital depends on the volume of sales of goods, conditions of supply and sales, the range of products sold, and the forms of payment used.
It is advisable to take the data from the fourth quarter as the basis for calculations, in which the sales volume is, as a rule, the largest in the annual program. For enterprises with a seasonal nature of production - the smallest, because the need for additional defense funds can be met with short-term bank loans.
PThe planning process consists of several successive stages:
1) development of stock standards for each element of standardized working capital.
Working capital standards characterize the minimum reserves of inventory for a certain period of time, which is necessary to ensure the continuity of the trade and technological process, calculated in days of supply, as a percentage or other units.
2) determination of the standard of one’s own OS in monetary terms for each element of the OS, thereby determining private standards;
3) the total standard of the enterprise’s need for safety equipment will be determined.

Aggregate working capital ratio equal to the sum standards for all elements and determines the overall need of the enterprise for working capital:

Consumption = PTZ+ +Pden.s.+Other assets

Quarterly planning is similar to quarterly planning for inventory.
Sources of financing the working capital of the enterprise are:
- own funds;
- stable liabilities (salary arrears, contributions to extra-budgetary funds; accounts payable to suppliers for goods and financial authorities for the payment of taxes);
- borrowed funds (short-term loans and borrowings)
- raised funds – as a rule, these are accounts payable in all its varieties.

The need for working capital is determined by the enterprise when drawing up a financial plan. The value of the standard is not constant. The size of own working capital depends on the volume of production, supply and sales conditions, the range of products produced, and the forms of payment used.
When calculating the enterprise's need for its own working capital, the following must be taken into account. Own working capital must cover the needs not only of the main production to fulfill the production program, but also the needs of auxiliary and auxiliary production, housing and communal services and other farms that are not related to the main activities of the enterprise and are not on an independent balance sheet, as well as for major repairs, carried out on its own. In practice, however, the need for own working capital is often taken into account only for the main activities of the enterprise, thereby underestimating this need.
Rationing of working capital is carried out in monetary terms. The basis for determining the need for them is the cost estimate for the production of products (works, services) for the planned period. At the same time, for enterprises with a non-seasonal nature of production, it is advisable to take the data of the fourth quarter as the basis for calculations, in which the production volume is, as a rule, the largest in the annual program. For enterprises with a seasonal nature of production, data from the quarter with the lowest production volume, since the seasonal need for additional working capital is provided by short-term bank loans.
To determine the standard, the average daily consumption of standardized elements in monetary terms is taken into account. For production inventories, the average daily consumption is calculated according to the corresponding item in the production cost estimate; for work in progress - based on the cost of gross or commercial output; for finished products - based on the production cost of marketable products.
In the process of standardization, private and aggregate standards are established.
The standardization process consists of several successive stages. First, stock standards are developed for each element of standardized working capital. The norm is a relative value corresponding to the volume of stock of each element of working capital. As a rule, standards are established in days of supply and mean the duration of the period provided by a given type of material assets. For example, the stock norm is 24 days. Therefore, there should be only enough inventory to support production within 24 days.
The stock rate can be set as a percentage or in monetary terms to a certain base.
Next, based on the stock norm and consumption of a given type of inventory, the amount of working capital necessary to create normalized reserves for each type of working capital is determined. This is how private standards are determined.
Private standards include working capital standards in production inventories: raw materials, basic and auxiliary materials, purchased semi-finished products, components, fuel, containers; in work in progress and semi-finished products of own production; in deferred expenses; finished products.

And finally, the total standard is determined by adding up the private standards. Thus, the working capital standard is the monetary expression of the planned stock of inventory assets, the minimum required for the normal economic activities of the enterprise.
Standardization methods (the following basic methods of rationing working capital are used: direct counting, analytical, coefficient):
1. The direct counting method provides for a reasonable calculation of inventories for each element of working capital, taking into account all changes in the level of organizational and technical development of the enterprise, transportation of inventory, and settlement practices between enterprises. This method, being very labor-intensive, requires highly qualified economists, the involvement of employees of many enterprise services (supply, legal, product sales, production department, accounting). But this allows you to most accurately calculate the company’s need for working capital.
2. The analytical method is used in the case when in the planning period there are no significant changes in the operating conditions of the enterprise compared to the previous one. In this case, the calculation of the standard working capital is carried out on an aggregate basis, taking into account the relationship between the growth rate of production volume and the size of the normalized working capital in the previous period. When analyzing available working capital, their actual inventories are adjusted and excess ones are eliminated.
3. With the coefficient method, a new standard is determined on the basis of the standard of the previous period by introducing changes into it, taking into account the conditions of production, supply, sales of products (works, services), and settlements.
Analytical and coefficient methods are applicable to those enterprises that have been operating for more than a year, have mainly formed a production program and organized the production process, and do not have a sufficient number of qualified economists for more detailed work in the field of working capital planning.
In practice, the most common method is direct counting. The advantage of this method is its reliability, which makes it possible to make the most accurate calculations of partial and aggregate standards.
Peculiarities various elements working capital determine the specifics of their rationing. Let's consider the main methods of rationing the most important elements of working capital: materials (raw materials, basic materials and semi-finished products), work in progress and finished products.

The working capital standard for stocks of raw materials, basic materials and purchased semi-finished products is calculated on the basis of their average daily consumption (P) and the average stock rate in days.
One-day consumption is determined by dividing the cost of a certain element of working capital by 90 days (with a uniform nature of production - by 360 days).
The average rate of working capital is defined as a weighted average based on the rate of working capital for individual types or groups of raw materials, basic materials and purchased semi-finished products and their daily consumption.
The rate of working capital for each type or homogeneous group of materials takes into account the time spent in current (T), insurance (C), transport (M), technological (A) and preparatory (D) stocks.
Current stock - the main type of stock necessary for the uninterrupted operation of the enterprise between two next deliveries. The size of the current stock is influenced by the frequency of supplies of materials under contracts and the volume of their consumption in production. The working capital rate in the current inventory is usually assumed to be 50% of the average supply cycle, which is due to the supply of materials from several suppliers and at different times.
Safety stock - the second largest type of reserve, which is created in case of unforeseen deviations in supply and ensures the continuous operation of the enterprise. Safety stock is generally assumed to be 50% of the current stock, but may be less than this amount depending on the location of suppliers and the likelihood of supply disruptions.
Transport stock is created in case of exceeding the terms of cargo turnover in comparison with the terms of document flow at enterprises located significant distances from suppliers.
Technological stock is created in cases where this type raw materials require pre-processing and aging to impart certain consumer properties. This stock is taken into account if it is not part of the production process. For example, when preparing for the production of certain types of raw materials and materials, time is required for drying, heating, grinding, etc.
Preparatory stock is associated with the need to receive, unload, sort and store inventory. The time standards required for these operations are established for each operation for the average size of delivery based on technological calculations or through timing.
The working capital standard in inventories of raw materials, basic materials and purchased semi-finished products (N), reflecting the total need for working capital for this element of production inventories, is calculated as the sum of working capital standards in current, insurance, transport, technological and preparatory stocks. The resulting general norm is multiplied by the daily consumption for each type or group of materials:

H=P(T+S+M+A+D).

In production inventories, working capital in stocks of auxiliary materials, fuel, containers, etc. is also standardized.

The value of the working capital standard in work in progress depends on four factors: the volume and composition of products produced, the duration of the production cycle, the cost of production and the nature of the increase in costs during the production process.
The volume of products produced directly affects the amount of work in progress: the more products are produced, all other things being equal, the larger the size of work in progress will be. Changes in the composition of manufactured products have different effects on the amount of work in progress. With an increase in the share of products with a shorter production cycle, the volume of work in progress will decrease, and vice versa.
The cost of production directly affects the size of work in progress. The lower the production costs, the lower the volume of work in progress in monetary terms. An increase in production costs entails an increase in work in progress.
The volume of work in progress is directly proportional to the duration of the production cycle. The production cycle includes time production process, technological stock, transport stock, time of accumulation of semi-finished products before the start of the next operation ( working stock), the time that semi-finished products are in stock to guarantee the continuity of the production process (safety stock). The duration of the production cycle is equal to the time from the moment of the first technological operation to acceptance finished product in the finished goods warehouse. Reducing inventories in work in progress helps improve the use of working capital by reducing the duration of the production cycle.
To determine the rate of working capital for work in progress, it is necessary to know the degree of readiness of products. It is reflected by the so-called cost increase coefficient.
All costs in the production process are divided into one-time and accruing. Non-recurring costs include those incurred at the very beginning of the production cycle - the costs of raw materials, supplies, purchased semi-finished products. The remaining costs are considered accrual. The increase in costs during the production process can occur evenly and unevenly.

If there is no uniformity in the layering of costs, then the cost increase coefficient is determined according to the graph of the sequence of cost increases for the main products.
In the example under consideration, the rate of working capital for work in progress n, defined as the product average duration production cycle in days and cost increase coefficient.
The working capital standard for work in progress is defined as the product of the cost of one-day expenses according to the cost estimate for the production of gross output and the working capital standard.

The standard for work in progress is N = 3* T*K.

where 3 is one-day consumption;

T - duration of the production cycle, days;

K is the coefficient of increase in costs in work in progress.
The calculation of the working capital standard for work in progress in certain industries can be done using other methods, depending on the nature of production.

The working capital standard for finished products is defined as the product of one-day production of marketable products in the coming year at production cost and the working capital standard:

N=V *T/D,

where N is the working capital standard for finished products;

B - production of commercial products in the fourth quarter of the coming year (with a uniform nature of production) at production cost;

D - number of days in the period; T

Norm of working capital for finished products, days.
The stock rate (T) is set depending on the time required:
for the selection of individual types of products and their assembly in a batch;
for packaging and transportation of products from the suppliers’ warehouse to the sender’s station;
for loading.
The total standard of working capital at an enterprise is equal to the sum of the standards for all their elements and determines the total need of an economic entity for working capital. The general norm of working capital is established by dividing the total norm of working capital by the one-day output of marketable products at production cost in the fourth quarter, according to which the norm was calculated.
Non-standardized working capital of the sphere of circulation includes funds in goods shipped, cash, funds in accounts receivable and other payments. Business entities have the opportunity to manage these funds and influence their value using a system of lending and settlements.

To ensure the uninterrupted production and sale of products, as well as for the effective use of working capital at enterprises, their rationing is carried out. With its help, the overall need of the enterprise for working capital is determined.

Consumption rates are considered to be the maximum permissible absolute values consumption of raw materials and supplies, fuel and electrical energy per unit of production.

Rationing the consumption of certain types of material resources requires compliance with certain scientific principles. The main ones should be: progressiveness, technological and economic feasibility, dynamism and ensuring a reduction in standards.

When planning working capital requirements, three methods are used:

1. Analytical- involves determining the need for working capital in the amount of their average actual balances, taking into account the growth in production volume. This method is used in those enterprises where funds invested in material assets and costs have a greater specific gravity in the total amount of working capital.

2. Coefficient- consists in clarifying the current standards of own working capital in accordance with changes in production indicators. Inventories and costs are divided into those that depend directly on changes in production volumes (raw materials, materials, costs of work in progress, finished goods in warehouse) and those that do not depend on it (spare parts, deferred expenses, low-value items).

For the first group, the need for working capital is determined based on their size in the base year and the growth rate of production in the next year. For the second group, the demand is planned at the level of their average actual balances for a number of years.

3. Direct counting method- scientifically based calculation of standards for each element of standardized working capital, taking into account changes in the level of organizational and technical development of the enterprise, transportation of goods and materials, and the practice of settlements with counterparties.

Rationing begins with determining the average daily consumption of raw materials, basic materials and semi-finished products (P day) in the planning period:

where P is the volume of material consumption for the period, rub.;

T – time period.

Working capital norm (N a.obs) - a value corresponding to the minimum, economically justified volume of reserves. It is usually set in days.

OBS standard (N obs) - the minimum required amount of funds to ensure the continuity of the enterprise. Determined by the formula:

N obs =R day * N a.obs.

The OS stock norm (N a.os) for each type or homogeneous group of materials takes into account the time spent in the current (Z tech), insurance (Z str), transport (Z tran), technological (Z tech) stocks, as well as the time required for unloading, delivering, receiving and storing materials, i.e. preparatory stock (P r):

N a.os = Z tech + Z str + Z tran + Z tech + P r.

Current stock designed to provide production with material resources between two subsequent deliveries. This is the main type of stock, the most significant value in the OBS norm. The current stock in days is determined by the formula:

where C p is the cost of delivery;

I is the interval between deliveries.

The current stock standard is calculated using the formula:

Z tek = R day * I,

Safety stock arises as a result of a delay in delivery. In days is determined by the formula:

Safety stock standard:

Z str = R day * (I f - I pl) * 0.5 or Z page = R day * Z page day * 0.5,

where (I f - I pl ) – gap in the supply interval.

Transport stock is created at enterprises for those deliveries for which there is a gap between the timing of receipt of payment documents and materials. It is defined as the excess of cargo turnover time (time of delivery of goods from the supplier to the buyer) over the document flow time.

The transport stock standard is calculated using the formula:

Ztr = R day * (I f - I pl) * 0.5 or Z page = R day * Z workday * 0.5,

where Z tr.dn is the norm of transport stock, days.

Technological stock - time required to prepare materials for production. The technological stock standard is determined by the formula:

Z those = (Z tech + Z str + Z tr) * To those

where K tech is the technological reserve coefficient, %. It is established by a commission of representatives of the supplier and consumer.

Preparatory stock is established on the basis of technological calculations or by means of timing.

Working capital standard in production inventories is defined as the sum of OBS standards in current, technological and preparatory stocks.

OBS standard in work in progress (N np) is determined by the formula:

N np = VP avg. * T c * K nar.z,

where VP avg – average daily output at production cost;

T c - duration of the production cycle;

Knar.z is the coefficient of increase in costs, which, with a uniform increase in costs, is determined by the formula:

where F e - one-time costs;

F n - increasing costs;

C - cost.

With an uneven increase in costs

To Nar.z = C av / P

where C av is the average cost of a product in work in progress;

P is the production cost of the product.

Working capital standard for deferred expenses (N b.p.) is determined by the formula:

N b.p. = RBP beginning + RBP pre – RBP s,

where RBP beginning is the carryover amount of deferred expenses at the beginning of the planned year;

RBP pre - deferred expenses in the coming year, provided for in the estimates;

RBP c - deferred expenses to be written off against the cost of production for the coming year.

Working capital standard in finished product balances defined:

N g.p = VGP days. * N W.skl. ,

where is VGP day.

- cost of one-day production of finished products;

N z.skl - the norm of their stock in the warehouse in days.