SPECIFICS OF FORMATION AND EFFECTIVE USE OF CURRENT ASSETS IN CONSTRUCTION

Objectives. This study is aimed at identifying the specifics of managing current assets in construction enterprises and developing a set of practical measures that can enhance the efficiency of their use.

Method. In the course of the study, a system approach was taken, comparative and functional-cost analysis methods.

Result. It is shownthatthe specifics of current assetformation in construction industry is to be taken into account when developing a conceptual basis for managinga construction enterprise. Methodological approaches to the estimation of current assets are described, the most effective of which facilitate the optimal choice of sources, forms and volume of attracting current assets into construction industry. A set of practical measures for organizing a system of current asset management in construction enterprises is proposed. These measures are expected to provide for the rational formation and use of all the constituent components of this system.

Conclusion. The methodological approaches to the estimation of current assets, criteria for making managerial decisions, management strategy development stage sand methodological provisions for the organisation of the management of current assets presented in this papercan be used as a methodological basis for managing the working assets of a construction enterprise, thuscontributing to improved management efficiency and creating conditions for sustainable functionality. Every managerial decisionrelated to determining the level of financial assets, accounts receivable and inventories should be considered from the standpoint of both the profitability of these assets and the optimal structure of current assets, thus requiring respective management levers. The implementation of the basic requirements for the management of current assets necessitates the application of anti-risk expert-analytical procedures, including those related to the functioning of the corporate information management system.

1. Kushnir I.V. Oborotnyesredstvapredprijatija. Jekonomikapredprijatija. 2010;13:8. [KushnirI.V.Currentassets. Economyofenterprise. 2010;13:8. (In Rus.)]

2. Lehtjanskaja L. V. Oborotnyesredstvaimodernizacijaproizvodstva. Rossijskoepredprinimatel'stvo. 2013;5:42–46. [LehtjanskajaL. V.Currentassentsandmodernizationofenterprise. Russianentrepreneurship. 2013;5:42–46. (In Rus.)]

3. Banomyong R. Measuring the cash conversion cycle in an international supply chain. Annual Logistics Research Network. 2005;7-9. Plymouth.

4. Brealey R., Myers S., Allen, F. Working capital management. In R. Brealy, S. Myers, & F. Allen, Corporate Fi-nance. 2006;813-832. NewYork: McGraw-Hill.

5. Lazaridis I., TryfonidisD. Relationship between working capital management and profitability of listed companies in the Athens stock exchange.Journal of Financial Management and Analysis. 2006;19(1): 26-35.

6. Rajesh M., Reddy. Impact of working capital management on firm’s profitability. Global Journal of Finance and Man-agement. 2011; 3(1):151-158.

7. Construction in Russia Statistical collection Rosstat, 2017 http://www.gks.ru/free_doc/doc_2018/stroit-2018.pdf

8. Building complex of the Russian Federation in 2017 http://www.gks.ru/wps/wcm/con-nect/rosstat_main/rosstat/ru/statistics/enterprise/building/#

9. Almazari A.A. The relationship between working capital management and profitability: evidence from saudi cement companies. British Journal of Economics, Management & Trade. 2013; 4(1).

10. Charitou M.,Elfani M., LoisP.The effect of working capital management on firm’s profitability: empirical evidence from an emerging market.Journal of Business & Economics Research. 2010; 8(12): 63-68.

11. Bocharov D. S. Predprijatiju ne hvataetoborotnyhsredstv: kakbyt'?Rossijskoepredprinimatel'stvo. 2011;1:44–47 [Bocharov D. S. An enterprise is lacking money: How to act? Russianentrepreneurship.2011;1:44–47. (In Rus.)]

12. Buchik T. A. Optimizacijaoborotnogokapitala. Finansy, uchet, audit. 2010;6:43. [BuchikT. A.Optimizationofcur-rentassets. Finance. Accounting. Audit. 2010;6:43. (In Rus.)]

13. Kovalev V.V. Finansovyjanaliz: metodyiprocedury. M.: Finansyistatistika, 2002. [Kovalev V.V. Financial analysis: Methods and procedures. M.: Finance and Statistics, 2002. (In Rus.)]

14. Karaseva I.M. Finansovyjmenedzhment. Red. I.M. Karaseva, M.A. Revjakina. M. Omega-L, 2014. 335p. [Karase-vaI.M. FinancialManagement. Ed. I.M. Karaseva, M.A. Revjakina.M. Omega-L, 2014. 335p. (InRus.)]

15. PuzankevichO. A. Upravlenieoborotnymiaktivami. Finansy. Uchet. Audit.2013;9:20–22. [Puzankevich O. A.Man-agement of currentassets. Finance. Accounting. Audit. 2013;9:20–22. (In Rus.)]

16. Ruseckaja A. V. Upravlenie I stochnikami formirovanija oborotnyh sredstv predprijatija.Upravlenie korporativnymi finansami.2014;3:4–5. [Ruseckaja A. V. Management of sources of current assets formation. 2014;3:4–5. (In Rus.)]

17. Savchuk V.P. Finansovajadiagnostikapredprijatijaipodderzhkaupravlencheskihreshenij.Jekonomika. Finansy. Up-ravlenie. 2015;1:73–80. [Savchuk V.P. Financial diagnostics of an enterprise and support of managerial decisions. Economics. Finance. Management. 2015;1:73–80. (In Rus.)]

18. Sych D. Jeffektivnyjmetodu pravlenija debitorskoj zadolzhennost'ju. Finansovyjdirektor.2015;1:24–28. [Sych D. Effective method for managing accounts receivable.Financialdirector. 2015;1:24–28. (In Rus.)]

19. Hil'kevichJu.A. Formirovaniej effektivnogo mehanizma planirovanija oborotnyh sredstv. Finansy. Uchet. Au-dit.2012;8:17–18. [Hil'kevichJu.A. Formation of an effective mechanism for current asset planning. Finance. Ac-counting. Audit.2012;8:17–18. (In Rus.)

20. Shhitnikova I. P. Oborachivaemost' sredstvidelovajaaktivnost'. Finansy. Uchet. Audit.2013;1:22–25. [ShhitnikovaI. P.Fundsturnoverorbusinessactivity? Finance. Accounting. Audit. 2013;1:22–25. (In Rus.)]