Development of KPI assessment methodology for business processes of boiler production

Abstract

Subject. The article investigates the production of boilers for central and autonomous heating. It is characterized by multidimensional and complex nature of outstanding accounting and analytical problems and pronounced production and technological specifics, requiring improvement of methodological approaches to analytical support of business processes. Objectives. The focus is on developing a methodology for analytical support to business processes implementation for making effective management decisions. Methods. The works of domestic and foreign scientists in the field of economic analysis, thematic publications in the periodic press served as the theoretical and methodological basis of the study. We employ the systems approach, general scientific research methods. Results. We developed our own methodology for calculating the KPIs of a business process. It presents the calculation of standardized values of indicators, which creates an additional positive effect, i.e. enables to calculate individual (for each business process, for financial and non-financial indicators, for main and additional indicators) and aggregate (for management business processes, operational, supporting, and developing processes) KPIs. This helps make better decisions in the management accounting system for business processes. Conclusions. The presented recommendations are aimed at improving the quality of information support for economic entities engaged in boiler production, in particular, unveiling profitability of implementing certain business processes, making decisions on the transformation of management and financial structure, and generating a strategic plan to update the product mix of boiler manufacture.