Optimization of Enterprise Work on the Basis of Econometric Modeling and Software

EasyChair Preprint 5636

Abstract

The article proposes an approach to optimization of basic economic parameters (volume of produced and sold products, cost of production, unit price of production, earned profit) using econometric modeling and Excel and Mathcad software. The developed mathematical model and the method of its computer implementation make it possible to make an informed and effective decision by the management of the enterprise to optimize the enterprise operation in order to obtain maximum profit. Based on the compiled econometric models, the density of the correlation between the studied indicators was estimated, and the adequacy of the obtained models was proved. The estimated one-factor dependences of the unit price of production, costs on the volume of produced and sold products made it possible on the basis of marginal analysis to identify the optimal volume of production, which, in turn, allowed us to determine the optimal values of the unit price of such products, the cost of its manufacture and the maximum possible level of enterprise profit. This approach allows: optimization of basic performance of the enterprise, which allows to maximize its profits at this stage; forecasting the future values of the dependent feature - unit price or production costs (or independent feature - quantity of produced and sold products) under the condition of a fixed value of the independent (or dependent) feature. In addition, on the basis of the obtained optimal values of basic indicators of the enterprise their deviation from those values that exist at the enterprise for the last period of its work is determined, which allows us to define clearly the directions of their optimization with subsequent application of economic analysis.

Keyphrases: Enterprise optimization, Volume of production, correlation, correlation regression dependence, linear one-factor regression, parabolic regression dependence, production costs, profit, unit price of production

@booklet{EasyChair:5636,
  author    = {Anzhelika Azarova and Liliia Nikiforova and Nataliia Rybko},
  title     = {Optimization of Enterprise Work on the Basis of Econometric Modeling and Software},
  howpublished = {EasyChair Preprint 5636},
  year      = {EasyChair, 2021}}