Functional and cost analysis. Fundamentals of functional cost analysis (FSA) Functional cost analysis and organizational changes

Functional and cost analysis

Method essence

Functional cost analysis (FSA, A ctivity B ased C osting, ABC) is a technology that allows you to estimate the real value of a product or service, regardless of the organizational structure of the company. Both direct and indirect costs are allocated to products and services depending on the amount of resources required at each stage of production. The actions performed at these stages are called functions in the context of the FSA method.

The purpose of the FSA is to ensure the correct distribution of funds allocated for the production of products or services, at direct and indirect costs. This makes it possible to estimate the company's expenses in the most realistic way.

Essentially, the FSA method works according to the following algorithm:

Does the market dictate the price level or is it possible to set the price of the product that will give the planned profit?
Should the planned cost add-on, calculated using the FSA method, be applied equally for all operations, or are some functions more profitable than others?
How does the final selling price of the product compare with the FSA indicators?

Thus, using this method, you can quickly estimate the amount of profit expected from the production of a particular product or service.

If the original cost estimate is correct, then the income (before taxes) will be equal to the difference between the selling price and the costs calculated using the FSA method. In addition, it will immediately become clear which products or services will be unprofitable to produce (their selling price will be lower than the estimated costs). Based on this data, you can quickly take corrective actions, including revising the goals and strategies of the business for the coming periods.

Reasons for the appearance of FSA

The FSA method appeared in the 80s, when traditional methods of calculating costs began to lose their relevance. The latter appeared and developed at the turn of the past and the century before last (1870 - 1920). But since the early 60s, and especially in the 80s, changes in the form of production and business conduct led to the fact that the traditional method of cost accounting began to be called "enemy number one for production", since its usefulness became very questionable.

Traditional cost estimation methods were originally developed (according to GAAP standards based on the principles of "objectivity, verifiability and relevance") for valuing inventories and were intended for external consumers - lenders, investors, the SEC ( S ecurity E xchange C ommission), Internal Revenue Service ( I nternal R evenue S ervice).

However, these methods have a number of weaknesses, which are especially noticeable in internal management. Of these, the two biggest drawbacks are:

The impossibility of sufficiently accurately conveying the costs of production of an individual product.
Failure to provide feedback - information for managers, necessary for operational management.

As a result, managers of companies selling various types of products make important decisions about pricing, product mixes and manufacturing techniques based on inaccurate cost information.

So decide contemporary problems Functional value analysis was called upon, and ultimately it turned out to be one of the most important innovations in management of the last hundred years.

The developers of the method, Harvard University professors Robin Cooper and Robert Kaplan, have identified three independent but coordinated factors that are the main reasons for the practical application of FSA:

The cost structuring process has changed dramatically. And if at the beginning of the century labor was about 50% of total costs, the cost of materials - 35%, and overhead costs - 15%, now overhead costs are about 60%, materials - 30%, and labor - only 10% of production costs ... Obviously, using hours of work as a base for allocating costs made sense 90 years ago, but with today's cost structure it is no longer valid.
The level of competition that most companies face has increased dramatically. “A rapidly changing global competitive environment” is not a cliché, but a very real nuisance for most firms. Knowing the actual costs is very important in coping with this situation.
The cost of performing measurements and calculations has decreased as information processing technologies have developed. As recently as 20 years ago, collecting, processing and analyzing the data required for the FSA were very expensive. And today not only special ones are available automated systems evaluation of the data, but also the data itself, which, as a rule, is already collected and in one form or another and is stored in each company.

In this regard, FSA can be a very valuable method as it provides information on the entire range of operational functions, their cost and consumption.

Difference from traditional methods

In traditional financial and accounting methods, a company's performance is measured by functional operations, not by the services provided to the customer. The calculation of the efficiency of a functional unit is based on budget execution, regardless of whether it benefits the company's client. In contrast, cost analysis is a process management tool that measures the cost of performing a service. The assessment is carried out both for functions that increase the value of a service or product, and taking into account additional functions that do not change this value. If traditional methods calculate the costs of a certain type of activity only by categories of costs, then the FSA shows the cost of performing of all stages of the process. FSA examines all possible functions in order to most accurately determine the cost of providing services, as well as to ensure the possibility of modernizing processes and increasing productivity.

Here are three main differences between FSA and traditional methods (see Figure 1):

Traditional accounting assumes that cost objects consume resources, and in the FSA it is considered that cost objects consume functions.
Traditional accounting uses quantitative indicators as a base for allocating costs, and the FSA uses sources of costs at various levels.
Traditional accounting is focused on the structure of production, and the FSA is focused on processes (functions).

Rice. 1. The main differences between FSA and traditional cost accounting methods

The direction of the arrows is different as the FSA provides detailed process information for cost estimation and performance management at multiple levels. And traditional cost accounting methods simply allocate costs across cost objects without considering causation.

So, traditional cost accounting systems focus on the product. All costs are attributed to the product, since it is believed that the manufacture of each element of the product consumes a certain amount of resources, proportional to the volume of production. Therefore, quantitative parameters of the product (working time, machine hours, cost of materials, etc.) are used as sources of costs for calculating overhead costs.

However, quantitative indicators do not allow taking into account the variety of products in terms of size and manufacturing complexity. In addition, they do not reveal a direct relationship between the level of costs and the volume of production.

The FSA method uses a different approach. Here, the costs for the individual functions are determined first. And then, depending on the degree of influence of various functions on the manufacture of a particular product, these costs are related to the production of all products. Therefore, when calculating overhead costs, such functional parameters as: the time to set up equipment, the number of design changes, the number of processing processes, etc. are taken into account as sources of costs.

Consequently, the more functional parameters there are, the more detailed the production chain will be described and, accordingly, the more accurate the real cost of the product will be estimated.

Another important difference between traditional costing systems and FSA is the scope of functions. V traditional methods for inventory valuation, only internal production costs are tracked. The FSA theory does not agree with this approach, believing that when calculating the cost of a product, all functions should be taken into account - both related to production support and the delivery of goods and services to the consumer. Examples of such functions include: manufacturing, technology development, logistics, product distribution, service, information support, financial administration, and general management.

Traditional economic theory and financial management systems treat costs as variables only in the case of short-term fluctuations in output. The theory of value analysis assumes that many important price categories also vary over long periods (several years), with changes in the design, composition and range of products and customers of the company.

Table 1 shows a comparison of FSA and traditional cost accounting methods.

Table 1. FSA and Traditional methods of cost accounting

	Traditional methods	Explanation
Consuming functions	Resource consumption	Traditional accounting methods are based on the assumption that prices can be controlled, but as the practice of most managers has shown, this is practically impossible. The theory of value-based analysis recognizes that only what is produced can be controlled, and prices change as a result. The advantages of the FSA approach are that it provides a wider range of measures to improve business efficiency. In a systematic study of the functions performed, not only the factors influencing the increase or decrease in productivity are identified, but also the incorrect allocation of resources is revealed. Therefore, in order to reduce costs, it is possible to more efficiently distribute the power and achieve higher productivity than the traditional method.
Sources of costs at different levels	Quantitative cost allocation bases	As overhead costs grow, new technologies appear, and, of course, it is too risky to distribute costs on the basis of 5-15% (as in most companies) of all total costs. In fact, errors can be as high as several hundred percent. In value analysis, costs are allocated according to causal relationships between functions and cost objects. These links are recorded using cost sources. In practice, the sources of costs are subdivided into several levels. Here are the most important ones: Unity level... At this level, the sources for each unit of output are considered. For example: a person and a machine, which produce a product per unit of time. The corresponding labor time will be considered a source of costs for the unit level. It is a quantitative measure similar to the cost allocation base used in traditional accounting methods. Batch level... These sources are no longer associated with units, but with batches of manufactured products. An example of the use of the functions of this level would be production planning performed for each batch, regardless of its size. The quantitative indicator of such sources is, as a rule, the number of parties. Product level... Here we are talking about the sources related to the release a separate kind products regardless of the number of units and batches produced. An indicator is used, for example, the number of hours required to develop a product. The higher this indicator, the more costs are allocated to a given product. Facility level. Sources of this level are not directly related to products, they are general functions related to the operation of the enterprise as a whole. However, the costs incurred by them are further apportioned to the products.
Process orientation	Structural orientation	Traditional costing systems focus more on the organizational structure than on the existing process. They cannot answer the question: “What should be done?”, Since they do not know anything about the process. They only know about the availability of the resources needed to get the job done. And the process-oriented FSA method gives managers the ability to best match resource requirements with available capacity, and therefore increase productivity.

FSA application. Example

Inappropriate pricing of products occurs in almost all companies that manufacture or sell large quantities of goods or provide various services. To understand why this is happening, consider two hypothetical factories that make simple items - ballpoint pens. Factory # 1 produces a million blue pens every year. Plant No. 2 also produces blue pens, but only 100 thousand per year. In order for the production to work at full capacity, as well as to ensure the employment of personnel and generate the necessary profit, plant No. 2, in addition to blue pens, produces a number of similar goods: 60 thousand black pens, 12 thousand red pens, 10 thousand purple pens, etc. Typically, plant No. 2 produces up to a thousand different types goods with volumes ranging from 500 to 100 thousand units. So, the total volume of production of plant No. 2 is equal to one million items. This value coincides with the volume of production of plant No. 1, so they require the same number of working and machine hours, they have the same material costs. However, despite the similarity of goods and the same volume of production, an outside observer may notice significant differences. Plant No. 2 contains a larger staff to support production. There are employees involved in:

equipment management and configuration;
checking products after adjustment;
receipt and verification of incoming materials and parts;
movement of stocks, collection and shipment of orders, their fast shipment;
processing of defective products;
design and implementation of design changes;
negotiations with suppliers;
planning the receipt of materials and parts;
modernization and programming of a much larger (than that of the first plant) computer information system).

Plant # 2 has higher rates of downtime, overtime, overloaded warehouses, rework and waste. A wide staff of employees supporting the production process, as well as the general inefficiency of the production technology, leads to a mismatch in prices.
Most companies calculate the costs of such a production process in two stages. First, the costs associated with certain categories of responsibility (responsibility centers) are taken into account - production management, quality control, receipts, etc. - and then these costs are associated with the relevant divisions of the company. Many firms are very good at implementing this stage. But the second step, where costs should be allocated to specific products by division, is too simplistic. Until now, working hours are often used as the basis for calculation. In other cases, two additional calculation bases are taken into account. Material costs (costs of purchasing, receiving, checking and storing materials) are allocated directly to the products as a percentage markup to direct material costs. In highly automated plants, machine hours (processing times) are also taken into account.

Regardless of whether one or all of these approaches are used, the cost of producing large-volume items (blue pens) is always significantly higher than the cost of producing the same item in the first plant. Blue pens, which make up 10% of the production volume, will require 10% of the cost. Accordingly, purple pens with a 1% production volume will require 1% of the cost. In fact, if the standard costs of working and machine hours, materials per unit of output are the same for both blue pens and purple pens (ordered, produced, packaged and shipped in much smaller quantities), then the overhead costs per unit of goods for purple there will be many more handles.

With time market price for blue pens (produced in the largest volumes) will be determined by more successful manufacturers specializing in the release of this product (for example, factory # 1). Plant # 2 managers will find that the profit margins for blue pens are lower than those for specialty products. Blue pens are priced lower than purple pens, but the costing system invariably calculates that blue pens are as expensive to manufacture as purple pens.

Disappointed with low profits, the managers of Plant # 2 are content to manufacture a full range of products. Customers are willing to pay more for specialty items such as purple pens, which are obviously nearly more expensive to produce than regular blue ones. What, logically, should be a strategic step in response to this situation? It is necessary to downgrade the role of blue pens and offer an expanded set of differentiated products, with unique properties and opportunities.

In fact, such a strategy would be disastrous. Despite the results of the costing system, blue pens are cheaper to produce at the second plant than purple pens. Reducing the production of blue pens and replacing them with newer models will further increase overhead costs. Plant two managers will be deeply disappointed as overall costs rise and profitability targets are not met.
Many managers realize that their accounting systems distort the value of a product and therefore make informal adjustments to compensate for this. However, the example described above demonstrates well that few managers can predict in advance specific adjustments and their subsequent impact on production.

In this they can only be helped by a system of functional-cost analysis, which will not give distorted information and disorienting strategic ideas.

Advantages and Disadvantages of Functional Cost Analysis Compared to Traditional Methods

In conclusion, we present a summary list of the advantages and disadvantages of the FSA.

Advantages

A more accurate knowledge of the cost of products makes it possible to make the right strategic decisions on:
a) setting prices for products;
b) the correct combination of products;
c) the choice between the possibilities to manufacture independently or to acquire;
d) investment in research and development, process automation, promotion, etc.
Greater clarity about the functions to be performed, through which companies are able to:
a) pay more attention to management functions, such as improving the efficiency of costly operations;
b) identify and reduce the volume of operations that do not add value to the product.

Disadvantages:

The process of describing functions can be overly detailed, and the model is sometimes too complex and difficult to maintain.
The step of collecting data about data sources by function (activity drivers) is often underestimated
For high-quality implementation, special software is required.
The model is often outdated due to organizational changes.
Implementation is often viewed as an unnecessary "whim" of financial management, not sufficiently supported by operational management.

Source of costs (cost driver) - a process (function) occurring at the stage of production of goods or services, which requires material costs from the company. The source of costs is always assigned some quantitative indicator.

For example, with the disclosure of the structure of the activities of departments, or at the level of the main stages of production

FSA - method systems research functions, the performance of various objects and the cost of their implementation. The most widely FSA is currently used for technical objects-products, their parts and components, equipment, technological production processes. The main purpose of the analysis in this case is to identify reserves for reducing the costs of research and development, production and operation of the facilities under consideration. In addition to the design and technology of technical objects, organizational and management processes, production structures of enterprises, associations and research organizations. If we proceed from the general premise of systems analysis, then the object of the FSA can be any element of a complex production and economic system of the national economy that meets the requirements of the characteristics highlighted above. The development of the FSA theory has found wide application in the fields of mechanical engineering, electrical and electronic industries. This is due to the systematic nature of the method, which sets its task in each specific case to identify the structure of the object under consideration, decompose it into the simplest elements, give them a dual assessment (from the side of use value - integral quality and from the side of the cost of research, production and operation costs). By virtue of its consistency, the FSA makes it possible to identify in each studied object the cause-and-effect relationships between, quality - operational and technical characteristics and costs. On the basis of this, grounds are created for excluding mechanical methods of planning costs from the achieved level, establishing standards based on the existing level of labor intensity of the cost price and consumption of materials.

The advantage of the FSA is the availability of fairly simple calculation and graphical methods that make it possible to give a dual quantitative assessment of the identified cause-and-effect relationships. This advantage makes the FSA hardly the most effective methods for analyzing not only technical, but also production and economic systems, structures, methods of organization and planning, production management and scientific research. However, work on FSA is carried out in isolation from economic calculations at enterprises and associations. Therefore, the economic standards of the existing production are not covered by the functional approach, they are based on a substantive economic analysis, planning from the achieved level. ... The methodological provisions of the FSA of products and technologies have been worked out quite deeply, they are based on common principles of similar techniques and the same quantitative estimates.

FSA is defined as a method for a comprehensive feasibility study of the functions of an object, aimed at optimizing the ratio between the quality of performance of specified functions and the cost of their implementation. This method is sometimes referred to as use value cost analysis. FSA is based on the assumption that in each object, system subject to analysis, both necessary in accordance with the existing development of production and unnecessary costs are concentrated. These unnecessary costs are the object of analysis, study, and finding ways to eliminate. Excessive costs are usually associated with increased functionality of products that is not required by the consumer, or with insufficiently economical constructive-technological or organizational implementation of production. The concept of necessary and unnecessary costs is essential and important not only for technical, but also for any production and economic systems.

The FSA is based on a functional approach, in contrast to the subject approach that is currently most common in cost analysis. The subject approach solves the question of how to reduce the cost of an element, unit, device or system as a whole. With the functional approach, first of all, the composition of the functions, tasks, goals necessary for the operation of equipment or other objects is considered. Only after that do possible ways constructive, technological or organizational implementation of elements - units and units of equipment, operations of a technological or production process, divisions of enterprises and associations. This makes it possible either to identify elements that do not carry a functional load in the system under consideration, or to combine the performance of various functions in the water element, the solution of several tasks.

The functional-nodal design method has been used for a long time in the radio-electronic industry and a number of other branches of mechanical engineering. The functional approach to improving the organization and management of production is not used enough. V modern conditions improvement of cost accounting and intensification, it should be the main one, which will simplify the production structure of industries and enterprises, eliminate redundant links in terms of their performance and target orientation both in industry as a whole and in individual production and scientific associations. ...

The functional approach allows for the economic analysis of structures and manufacturing technology of devices and equipment from the point of view of consumer interests. The consumer, in turn, is not interested in objects and products as what they are, but in the functions they perform. With the help of the functional approach, it is possible to more systematically and logically evaluate the connections in such systemic processes as increasing production efficiency, introducing new technology and technologies, specialization and cooperation of enterprises, technical re-equipment of production, etc.

The central concept of the FSA is the concept of functions: the external manifestation of the properties of an object in the considered system of relations, i.e. in a specific, specific, anticipated or prevailing environment. As you know, a set of useful properties of the product. determines its use value. The attention of the consumer is drawn only to these useful properties. Hence the connection between the functional-cost analysis and the use value.

Use value can be determined by one or more properties. For example, the main consumer property of spot welding is a rigid connection. Weld seam the pipeline must have two important consumer properties: the specified stiffness of the connection and its tightness. Complicated modern equipment, electronic equipment(CEA) can have tens and hundreds of different consumer properties. In addition to the working properties of direct interest to the consumer, each product has aesthetic (shape, color), physiological (noise, temperature, smell, vibration, etc.) and other objective properties. Others usually include properties of products that are not required by a particular consumer in the conditions under consideration. For example, sustainability electronic device the developers of CEA, supposed to be used only on the territory of our country, are not interested in the effects of insects. However, the production of equipment for tropical countries makes this property one of the "workers". Or, for example, the resistance of electronic elements to low negative temperatures becomes a working property only when using electronic equipment outdoors in northern and high mountain areas. In accordance with the division of consumer properties of products into working, aesthetic, physiological and others, the main and secondary functions of the objects under consideration are distinguished. Among the secondary functions associated with aesthetic, physiological and other properties of products, the main part of the unnecessary costs that need to be identified and eliminated is concentrated. However, among other properties, you can find those that, under certain conditions, allow you to meet the corresponding needs without additional costs.

For complex production and economic systems, it is economically expedient, instead of eliminating unnecessary functions, to find ways of their rational use through the specialization of production. This issue requires a well-founded economic assessment... In a number of works devoted to FSA, the use value is determined more broadly, taking into account the conditions for the functioning of systems. At the same time, such factors of use value as external conditions of functioning, parameters of purpose, functional and parametric reserves, mode of operation are distinguished. This approach makes it possible to increase the level of consistency in conducting VAS, to pay special attention to the third group of systemic attributes of an object - signs of behavior, functioning. ...

A broad understanding of the value in use makes it possible to take into account the influence of the external environment on the system under consideration to a greater extent in the analysis. An objective study of production and economic systems and complex economic processes is possible only with a deep analysis of the external conditions of functioning.

Function is a qualitative aspect of consumer properties, which are subdivided into:

1. the main function that expresses the purpose of the object;
2. the main functions that ensure the implementation of the main;
3. auxiliary functions that implement the main ones;
4. unnecessary or unnecessary functions;
5. harmful functions (for example, the same watch or TV can be unnecessarily heavy and cumbersome, etc.)

Quantification of functions is possible using one or more closely related performance characteristics. For example, the process of transportation or machining is quantitatively determined by the productivity of transport or metalworking equipment and depends, in addition, on the type of cargo being moved, the characteristics of the processed parts, and working conditions. The functioning of electronic elements is determined by the parameters of the system in which they are included. So, an electric capacitor emits a signal of a certain frequency for given quantitative characteristics of the nominal capacitance and voltage, temperature coefficient of capacitance, the tangent of the loss angle, and the level of moisture protection. The quantitative definition of functions allows us to compare qualitatively identical consumer properties and their totality - use values. ...

It is easy to compare products, the use value of which is determined by one property. In the presence of several properties, the improvement of one of them, for example, twice, does not entail a proportional increase in the entire use value of the product in question. There is a need to assess the importance of consumer properties and functions. Then the use value of the product (F), its functionality can be quantified by the expression used to assess the integral quality (quality factor):

where: pi, - operational and technical characteristics of the i-th consumer property, calculated in relative values;

ni, is the coefficient of significance of the i-th consumer property in the general operational and technical characteristics of the product (i.e. in the total functional utility or use value).

The relationship between the use value of products as a whole and individual consumer properties is rather complicated due to the various purposes of devices and devices similar in function. For example, microcomputers have different use values in common and special purpose, despite the same qualitative characteristics of the main function: to carry out calculations, to perform calculations. It cannot be said that the use value of a bus with 60 passenger seats is 12 times higher than a 5-seater car, since the purpose of these Vehicle Other. Hence the need arises for VAS, as well as for calculating the comparative economic efficiency of new technology. When assessing the technical level of products and calculating the quality factor, choose the right products, instruments for analysis and comparison. For FSA, it is necessary to select products, objects of the same purpose, having similar fields of application.

A functional approach to solving production and technical problems creates the prerequisites for just such a choice. Manufacturing systems(industry, association, enterprise and their subdivisions) as the main function have the release of products of a given technical level (quality). Quantitative measurement of production volumes in mechanical engineering is carried out in physical and value terms. On practice integral assessment the functionality of such a system is made by calculating the cost indicators of the volume of production: gross, commodity, sold products or other .

FSA is based on the following principles:

The principle of early diagnosis - its essence lies in the fact that the amount of identified reserves depends on at what stage life cycle products are carried out by FSA: pre-production, production, operation, disposal. Excessive costs are mainly incorporated at the design stage. That is, the maximum effect from the analysis can be obtained at this stage, when it is possible to prevent unnecessary costs not only for the manufacture of the product, but also for the preparation of its production. At the stage of industrial production of products, the size of the effect is reduced due to the fact that work has already been carried out to ensure its functioning, and the production process has been established. Intervention in this process will not come without losses. Even greater losses will occur when changes are made to the design of the product at the stage of its operation. Therefore, it is most expedient to carry out VAS in the design development of products. For example, eliminating an error in product development is 10 times cheaper than in the production process, and 100 times cheaper than in the process of product exploitation by consumers.

The principle of priority - since the FSA method is not yet widespread and does not cover all kinds of objects (types of products, technologies, etc.), and the number of specialists who own the method is not enough, then, first of all, the processes and products that are located at the design stage and will be produced on a large scale. This will allow, firstly, to maximize the result of the VAS with minimal costs for its implementation. Secondly, the significant effect of the application of the method will contribute to its wider acceptance.

The principle of optimal detail, main meaning method - the allocation of consumer functions inherent in the object. But if the object under study is too complex, then as a result of its division into functions of the latter, a lot can be formed. Such a narrow detail makes the analysis program very cumbersome and incomprehensible, and will not contribute to the speed and efficiency of its implementation. In this case, the study of a complex object is best solved in two stages:

1. Division of an object into large parts (separate units of machines or devices, more or less isolated groups of technological operations).
2. Implementation of FSA for each of the selected smaller objects.

The principle of consistency - the implementation of a complex of works according to VAS requires a certain sequence in the study, first of all, a preliminary study of the future object and all the circumstances associated with its production and use. In this case, it is necessary to follow the logical scheme of detailing - from general to specific (object - node - function). It must be remembered that when performing VAS, the results of its implementation at each stage depend on the completeness and quality of the work performed at the previous stages.

The principle of identifying the leading link (eliminating bottlenecks) - most often during the analysis it turns out that either in the economic complex, or in a single product, there is some part that requires large costs to ensure the viability of this object or restrains the receipt of the effect from its use. It is clear that, in this case, it is more expedient to direct research towards eliminating these constraining circumstances or directions. Due to this choice of the research direction, the minimum costs of conducting VAS will lead to the activation of the entire analyzed system and significantly increase the overall effect of its functioning.

16.1. Essence, tasks and scope of functional cost analysis.

16.2. Object functions and their classification.

16.3. Principles of functional cost analysis.

16.4. The sequence and methodology for carrying out the functional and cost analysis.

Educational training.

Essence, objectives and scope of functional cost analysis

Functional and cost analysis- one of the methods of heuristic analysis, the purpose of which is to select the best option, ensuring the full performance of the object under study (product, technological process, form of organization or production management, etc.) of its main functions at minimal cost.

The study of the possibilities of reducing the cost of the functions performed has given rise to the name of this type of analysis in domestic science - functional cost analysis (FSA). In foreign countries, other names are also used: value analysis (or use value), engineering cost analysis, value analysis, value engineering, value management.

Functional value analysis appeared in the 40s of the last century as a result almost simultaneously (but in different countries) the research carried out by the Russian designer

Yu.M. Sobolev from the Perm Telephone Plant and American engineer L. D. Miles of General Electric. The first development of Yu.M. Sobolev, designed using the results of the FSA, - the microtelephone amplification unit made it possible to reduce the number of parts by 70%, the consumption of materials by 42%, the labor intensity of production by 69%, and the total cost by 1.7 times.

L. D. Miles in 1946 for the first time formulated the very concept of functional-cost analysis, defining it as "an applied philosophy of management, as a system of ways to save costs before, during and after their implementation." Since then, the FSA has been considered one of the most important innovations in management over the past hundred years.

The goal of the FSA is to achieve optimal utility at the lowest cost. Mathematically, the goal of the FSA can be represented as follows:

where Z is the cost of achieving the required consumer properties;

PC - a set of consumer properties of an object.

A specific feature of the FSA goal is not the improvement of a particular object under study, but, first of all, the search for alternative options for performing its functions and the choice of the most economical among them, providing an optimal ratio between consumer properties and the costs of their implementation. It is extremely important that FSA allows solving, at first glance, two mutually exclusive tasks - reducing costs and improving product quality.

The main tasks of the FSA are:

Increasing the competitiveness of products in the domestic and foreign markets;

Reducing production costs (reducing the capacity of fixed assets, circulating assets, energy intensity, labor intensity, increasing the return on fixed assets, material efficiency, etc.);

Improvement of production technology;

Justification of management decisions.

Object functions and their classification

The object of the FSA is functions and their cost.

Each product, product is produced and exists in order to satisfy certain needs of consumers, that is, to perform functions in accordance with its purpose. Functions are understood as consumer properties of the object being analyzed.

A detailed study shows that objects and goods perform not one, but many functions. For example, a vase can serve as a container for flowers, as an item of antiques, an interior, as a family heirloom, while satisfying certain aesthetic needs.

All functions in the FSA are classified according to the sphere of manifestation, role in meeting needs, in operation, in the nature of detection, degree of need (Fig. 16.1).

According to the sphere of manifestation and the role in meeting the needs of consumers, external and internal functions are distinguished. External (ob-noobjective) functions are those that are performed by an object in interaction with the external environment.

Internal functions - those that reflect the actions and relationships within the object, due to the mechanism of its construction, the peculiarities of execution. The consumer mostly does not know and is not interested in them.

According to their role in satisfying the needs of consumers, the main and secondary functions are distinguished among the external functions, and among the internal ones - the main (working) and auxiliary ones.

The main function is an external function that reflects the purpose, essence and purpose of creating an object. Main functions viable current long period... Moreover, there can be one (in the overwhelming majority of objects) or several (in complex systems).

The secondary function is an external function, characterizing the secondary goals of creating an object, in particular, ensuring its aesthetics, ease of use, compliance with fashion, compliance with ergonomic characteristics in order to increase demand.

Rice. 16.1. The main functions of the FSA object

The main (working) function is an internal function that is to create necessary conditions for the implementation of external functions (transfer, transformation, storage, output of results).

An auxiliary function is an internal function that contributes to the implementation of the main functions (connecting, isolating, fixing, guaranteeing, etc.). The number and composition of auxiliary functions depends on the design, technological, managerial, organizational characteristics.

In general, we can say that the main functions are those that correspond to the main purpose of the object; the main ones are those that ensure the implementation of the main ones; auxiliary help and basic; superfluous are either unnecessary or harmful functions.

If the object under study is not complex, then in the process of FSA it is possible to single out a smaller number of functions, for example, basic, auxiliary and superfluous ones.

By the nature of the detection, such functions are distinguished as nominal - those that are provided for and declared for execution (indicated in the documentation, technical passport), valid - actually implemented, and potential - those that can be implemented.

According to the degree of necessity, the functions are divided into necessary and unnecessary. Necessary (useful) functions are those that satisfy the needs of consumers and are expressed in the consumer properties of the object. Technique, which is at the design stage, these requirements are specified in the terms of reference.

Superfluous (negative) functions are those that are not needed and that can even harm consumers. Based on this, unnecessary functions are divided into unnecessary and harmful.

Unnecessary - functions that do not contribute to an increase in the efficiency of activities, the operation of an object and an improvement in consumer properties, however, cause it to rise in price through unproductive functions and costs.

Harmful are functions that negatively affect the consumer value and the performance of the facility, causing it to rise in price.

According to their role in the operation process, all functions are divided into working and non-working. Worker - functions that implement their properties during operation, direct use of the object.

Non-working (aesthetic) functions - those that satisfy the aesthetic needs of consumers in the form of design - finishes, colors, shapes, and the like.

In FSA, it is very common to group functions according to the Eisenhower principle, called the "ABC principle". In accordance with it, all functions are subdivided:

On the main, basic and useful (A);

Secondary, auxiliary and useful (B);

Secondary, auxiliary and those that do not bring any benefit (C).

The separation of functions of FSA objects is carried out using the rules given in the works of M. Karpunin, A.Ya. Kibanova, N.K. Moiseeva. So, the first rule: if the main control function cannot be carried out using any specific set of basic functions, then this means that this set does not provide one or more basic control functions.

Rule two: if the main control function can be carried out without any function included in the originally intended set of main functions, then this indicates that it is not the main, but auxiliary.

For example, among the functions performed by the service department of the enterprise, two are the main ones - receiving orders for service and organizing the installation of equipment at the customer's place. The other two act as auxiliary functions, namely: the study of product quality requirements and the organization of training for the customer's personnel in the operation of the equipment, and the like. However, the service department also performs unnecessary functions, duplicating the work of other structural divisions of the enterprise, in particular, it organizes advertising and promotion of goods and services, prepares reports on the number of claims received and is satisfied, and also considers claims for the supplied products.

In economically developed countries, the FSA is used by almost all enterprises. In Japan, FSA began to be actively used immediately after the United States had withdrawn the "top secret" for this type of analysis, and at present, almost two-thirds of the products are covered by economization methods, and the average annual reduction in their cost is 12%. Now the first places in the world in terms of the scale of obtaining and implementing the results of the FSA are occupied by the USA, Japan and Germany.

Functional value analysis has penetrated all areas human activity, first of all, in management, to work out measures to achieve high consumer properties of products with a simultaneous reduction in all types of production costs. FSA is used to predict the effectiveness of a new object or something that is being modernized, contributing to the implementation of program-targeted management of scientific and technical development of the economy. This is what makes it different from other types of analysis, which study only acting objects. FSA is also used to assess the mastered process of production and operation of an object in order to improve the consumer properties of the latter and reduce the associated costs. In this case, the FSA covers the process from the creation to the functioning of the object. Both creators and consumers of the object are involved in this analysis.

Functional cost analysis is also useful for improving technology, organization and management of production. For example, studies of the costs associated with the automation of individual control functions can reduce the total cost of the rational allocation of subsystems that implement these functions.

FSA is also widely used in the design and modernization of products in mechanical engineering, where products have a complex technical structure, and with an increase in quality, costs grow progressively.

VAS plays an important role in conducting marketing research, since it allows you to determine an objective indicator of competitiveness in the form of a ratio of price and quality of products in comparison with competitors, contributing to an increase in the reliability of the results obtained.

Functional cost analysis is also an effective tool for improving the management system. It is indispensable in solving optimization issues organizational structure of the enterprise management apparatus, improving the quality of functions performed by structural divisions, improving the personnel, information and technical support of the management system.

Introduction

Concept and stages of functional cost analysis

The concept of functional cost analysis
Stages of functional cost analysis

Conclusion

List of used literature

Introduction

The development of the FSA theory has found wide application in the fields of mechanical engineering, electrical and electronic industries. This is due to the systematic nature of the method, which sets its task in each specific case to identify the structure of the object under consideration, decompose it into the simplest elements, give them a dual assessment (from the side of use value - integral quality and from the side of the cost of research, production and operation costs). By virtue of its consistency, the FSA makes it possible to identify in each studied object the cause-and-effect relationships between, quality - operational and technical characteristics and costs. On the basis of this, grounds are created for excluding mechanical methods of planning costs from the achieved level, establishing standards based on the existing level of labor intensity of the cost price and consumption of materials.

The advantage of the FSA is the availability of fairly simple calculation and graphical methods that make it possible to give a dual quantitative assessment of the identified cause-and-effect relationships. This advantage makes the FSA one of the most effective methods for analyzing not only technical, but also production and economic systems, structures, methods of organization and planning, production management and scientific research. However, work on FSA is carried out in isolation from economic calculations at enterprises and associations. Therefore, the economic standards of the existing production are not covered by the functional approach, they are based on a substantive economic analysis, planning from the achieved level.

The methodological provisions of the FSA of products and technologies have been worked out quite deeply, they are based on common principles of similar techniques and the same quantitative estimates. Let us consider the content and main stages of the FSA of products and technological processes, the possibilities of their application and adjustments for use in economic calculations.

The FSA is based on a functional approach, in contrast to the subject approach that is currently most common in cost analysis. The subject approach solves the question of how to reduce the cost of an element, unit, device or system as a whole. With the functional approach, first of all, the composition of the functions, tasks, goals necessary for the operation of equipment or other objects is considered. Only after this are possible ways of constructive, technological or organizational implementation of elements - units and blocks of equipment, operations of a technological or production process, divisions of enterprises and associations - are identified. This makes it possible either to identify elements that do not carry a functional load in the system under consideration, or to combine in one element the performance of various functions, the solution of several tasks.

The functional-nodal design method has been used for a long time in the radio-electronic industry and a number of other branches of mechanical engineering. The functional approach to improving the organization and management of production is not used enough. In modern conditions of improving cost accounting and intensification, it should be the main one, which will simplify the production structure of industries and enterprises, eliminate redundant links in terms of their performance and target orientation both in industry as a whole and in individual production and scientific associations.

The functional approach allows for the economic analysis of structures and manufacturing technology of devices and equipment from the point of view of consumer interests. The consumer, in turn, is not interested in objects and products as such, but in the functions they perform. With the help of the functional approach, it is possible to more systematically and logically evaluate the connections in such systemic processes as increasing production efficiency, introducing new equipment and technology, specializing and cooperating enterprises, technical re-equipment of production, etc.

Concept and stages of functional cost analysis

Concept, essence and objects of functional cost analysis

In the economic literature, the relationship between the marketing strategy and the FSA strategy is noted. The FSA strategy develops a marketing strategy, as it is an effective method for studying the technical and economic characteristics of goods, and their functionality.

Functional cost analysis is understood as a method of complex systematic study of the cost and characteristics of products, including the functions and resources involved in production, sales, delivery, technical support, service delivery, and quality assurance. This method is aimed at optimizing the ratio between the quality, usefulness of the object's functions and the costs of their implementation at all stages of its life cycle.

The purposes of using functional cost analysis in an enterprise may differ depending on the research object. If the object of the study is a business unit, such as a marketing department, the aim of the study will be to achieve improvements in the department in terms of cost, labor intensity and productivity. If we consider the quality of the company's products as the object of research, then the goals of the FSA will be: at the stages of research and development work - to prevent the occurrence of unnecessary costs, at the stages of production and operation of the facility - to reduce or eliminate unnecessary costs and losses. The ultimate goal of the FSA is to find the most economical options for a particular practical solution from the point of view of the consumer and manufacturer.

Accordingly, the tasks of the FSA are also distinguished according to the objects of study. In the first case, the activity of the personnel of the marketing department is analyzed and the cost of execution of management functions is determined, the efficiency of using the labor resources of the department is investigated, the sources of increasing labor productivity, the elimination of "bottlenecks" in management, etc. are identified. In the second case, the main tasks will be the following: , energy intensity and capital intensity of products, improving the quality of products, ensuring the reduction of costs for improving the quality of products due to the complete or partial elimination of unnecessary costs for ineffective measures.

FSA objects can be:

Organizational and managerial processes and structures, construction (improvement) of the organizational structure, distribution of tasks, rights and responsibilities in the unit management system, creating conditions for effective work service staff;

Product quality (identification of reserves for improving product quality, achieving an optimal state of "quality - price");

Product design (at the stages of design, preparation of production, directly in the manufacturing process), all types of technological equipment and tools, special equipment and special materials;

Technological process (at the stages of development technological documentation, technological preparation of production, organization and management of production), and other production processes (procurement, processing, assembly, control, warehouse, transport).

Functional cost analysis allows you to perform the following types of work:

determine the level (or degree) of the implementation of various business processes at the enterprise, including the effectiveness of marketing management and product quality management;

substantiate the choice of a rational option for the technology for the implementation of business plans;

to analyze the functions performed by the structural divisions of the enterprise;

ensure high quality products;

analyze the integrated improvement of the results of the enterprise, etc.

1) there is no single VAS technique suitable for all directions and all research objects;

2) before deciding on the use of FSA, it is necessary to analyze the main factors affecting the process and methodology for implementing this method:

directions of the FSA (enterprise management system, management system structural unit- marketing department, product quality);

research object and its life cycle;

goals and objectives of the method;

the amount of funding for research using the VAS;

qualification of specialists conducting VAS.

Professionals implementing FSA must have high level development of abstract thinking and creative (scientific and technical) imagination. These individual psychological characteristics contribute to an increase in the variety of alternatives when making management decisions.

1.2 Stages of functional cost analysis

An important condition for the effective use of VAS is a clear sequence of its implementation, which includes several interrelated stages. This sequence should be mandatory: you cannot proceed to the next stage without completing the full scope of work of the previous stage. As the study of the FSA experience shows, the work on its organization and implementation includes the following main stages:

Preparatory (the object of research is selected, goals are determined);

Informational (information is collected about the object and its analogues);

Analytical (serves to determine and analyze functions, the minimum level of costs for performing functions);

Creative (the search for ideas and options for solutions is carried out to ensure the elimination of harmful and neutral, combining useful functions and the reduction in the cost of the object);

Research (assessment, discussion, selection of rational options);

Implementation (the implementation of the selected option is carried out during the implementation of the efficiency improvement plan).

Preparatory stage : the main task is to select the object of analysis, determine the timing and appointment of performers, prepare a list of necessary materials. This stage includes:

training specialists in the basics of VAS;

selection of the object of analysis with the appropriate feasibility study;

definition of specific tasks and objectives of the analysis;

preparation of a list of information materials about the object and assignments for their receipt;

drawing up and discussing a plan for conducting an analysis of a specific object;

the issuance of an order approving the work plan for conducting the VAS, the timing of the work, the composition of the executors.

The work at this stage should be carried out in two stages. At the first stage, the readiness of the team to use the FSA is ensured, a temporary working group of specialists is created of this enterprise and a goal is formulated for this particular case. At the second stage, specific objects of analysis are selected, the general foundations and methodology of the FSA are linked to the solution of certain problems, and a thorough analysis of the economic and financial activities of the enterprise takes place.

The choice of the FSA object can go in two ways. The first is the use of the method to solve acute problems that are clearly visible to the management of the enterprise and, by all accounts, inhibit the receipt of higher production results. The second way is a more in-depth study when choosing an FSA object, using the method when developing a new scheme for the formation and movement of the AF.

Information stage aimed at collecting, systematizing and comprehensive study of information on the object under study; it includes the following list of works:

collection and systematization of the optimal amount of information about the processes and means of creating the object of analysis and its analogues;

study of the objects of analysis, its analogues and the costs of their creation and functioning;

drawing up a structural model of the object of analysis, revealing the relationship of its elements, determining costs and their structure at the stages of development, production and use of the FSA object.

The composition of the information required for conducting VAS covers the study of the quantitative and qualitative characteristics of the object of research and optimization.

The task of the next, analytical stage is the analysis of functions and costs for their implementation both for the FSA object as a whole, and for its constituent elements. This stage includes:

formulation of all possible functions of the object of analysis and its constituent parts;

grouping functions into basic, auxiliary, unnecessary, building a functional model of an object, assessing the significance of functions;

assessment of the costs associated with the implementation of the identified functions, comparison of the significance of functions and the costs of their implementation, the allocation of functional areas.

The main purpose of the analytical stage is to determine the most important tasks for the advancement of ideas and solutions for improving the object under study, based on its functions and the costs of their implementation. In this case, the study usually begins directly with the analysis of the FSA object as a whole. A deeper study of the object is carried out in order to single out those whose solution will bring the greatest economic effect from the whole complex of problems associated with its optimization. For this, work at this stage is carried out in the following sequence:

a structural diagram of the FSA object is drawn up;

functions are analyzed and the functional structure of the object is built;

the functions of the object are assessed and the sequence of the VFA is justified;

a functional-cost diagram of the significance of the object's functions and the costs of their implementation is constructed.

Creative stage: the main task is to develop options for simplifying, improving the FSA object, discussing various proposals on this matter and selecting the most economical and real ones from them. List of works: clarification of the direction and tasks of finding new solutions, development of proposals for improving the facility, analysis and preliminary selection of proposals for implementation, their systematization.

The main purpose of the creative stage is to provide a combination of knowledge and experience that would make it possible to find the most optimal solutions. This is extremely difficult. Rarely are the individual elements of a combination equivalent. In most cases, the solution depends on a combination of a few solutions, while the rest of the elements will inevitably follow from the resulting combination. FSA shows that the performance of a particular function is often possible in more than ten fundamentally different ways. Moreover, half of them do not provide an optimal solution. The emergence of innovations is often not due to new scientific knowledge, but in most cases is a new combination of well-known solutions. This stage begins with specifying the direction of the search for new solutions, as a result of which several options are developed that differ from the existing performance of the required functions.

As a result of carrying out the following, research phase , selection is carried out from among those proposed at creative stage the most rational options. The main tasks of this stage are: preliminary assessment of the proposed options for proposals in order to exclude inappropriate ones, consideration of options together with specialists from interested services, ranking and selection of the most rational options for consideration at the next stage.

Recommendation stage - development of recommendations for improving the FSA object and making informed decisions on their implementation - provides for: conducting by the relevant services of the expertise of the proposals selected at the previous stage, submitting recommendations for discussion to the management and governing bodies for the FSA, making recommendations on the final decision with technical and economic calculations, drawing up and approval of a timetable for the implementation of the recommendations.

Implementation stage: management approval of the implementation schedule. Development and drafting of relevant implementation documentation. Implementation of the results obtained. Evaluation of the results obtained.

Thus, the FSA is characterized by a sequential, phased implementation of work, starting with the choice of the object of analysis and collecting the available information and ending with the development of proposals for changing the object under study, aimed at reducing costs.

Conducting the FSA is entrusted to the creative team, including specialists who know the basics of the FSA (permanent research group), heads of departments and services, as well as advanced workers-rationalizers and leading specialists of enterprises (temporary research group). The coordination of the activities of the permanent and temporary groups is carried out by the central group of the FSA, which approves the decisions made and recommends them for implementation.

Conclusion

So, functional cost analysis is a rather complicated process. Unlike the subject approach (including accounting), the FSA assumes the use of such uncertain factors as subjective perception and understanding of the problem. However, despite the relatively recent appearance of FSA, this area has already been sufficiently well studied, mainly thanks to mathematicians.

FSA is a new step in economics - an analysis of the utility of a thing. Those. he studies a thing, as well as new services, ideas, etc., from the point of view of its functionality, where the whole thing is divided into many functions that it carries in itself. These features can be useful and useless, or even harmful. The art of FSA is to separate these functions from one another, to be able to systematize and study them already as the only one, also in connection with neighboring functions, and how the system as a whole will react to a change in one of them. Knowing each function, you can easily, within the limits of the possible, change one, useful, or remove the harmful, and all this in aggregate will direct both to the consumer, in terms of lowering the price, and to the manufacturer, in terms of lowering the cost, and therefore increasing the volume release.

However, all this is associated with a certain kind of difficulties associated primarily with the very nature of the functional approach.

List of used literature

Bjola V.D. Scientific, educational and applied journal "Financial Research", issue No. 2, 2002

Gordashnikova O.Yu. Functional cost analysis of product quality and marketing management at the enterprise. - M .: Publishing house "Alfa-Press". 2006 year

I. G. Kukukina Management accounting: Textbook. allowance. - M .: Finance and Statistics, 2005

Sokolova N.A., Kaverina O.D. Management analysis: Textbook. allowance. - M .: Publishing house "Accounting", 2007

Folmut H.I. "Controlling tools from A to Z" - M .: "Finance and statistics", 2001

I. Functional and cost analysis ……………………………… ..... 4

1.1. Concept, essence and objects of the FSA method …………………… ...… 4

1.2. Principles and forms of functional and cost analysis ..................... 8

1.3. Problems of implementation of accounting according to the FSA method …………………. 13

II. Settlement part …… ... ………………………………………… ..…. 15

CONCLUSION …………………………………………………… ...… 20

LIST OF USED LITERATURE …………………… ...… ..21

INTRODUCTION

Currently, one of the ways to improve product quality and develop management systems industrial enterprise is the use of functional cost analysis (FSA). There are different opinions about the effectiveness of the use of FSA. Some economists consider the FSA to be a simple method. To apply it in practical activities, others - complex, both in methodological terms and in the field of technology for the use of FSA. Perhaps this is due to the fact that there is not enough information about the experience of using the method.

The purpose of this work is to disclose the essence of functional cost analysis, as well as ways to use it to improve product quality and improve the marketing management system at the enterprise. According to these goals, the corresponding tasks are set in the work:

- to give the concept of a system according to the FSA method (ABC-cost);

- determine the scope of this method;

- to evaluate the problems of introducing accounting according to the FSA method.

1.1. Concept, essence and objects of the FSA method

Functional cost analysis is understood as a method of a comprehensive systematic study of the cost and characteristics of products, including the functions and resources involved in production, sales, delivery, technical support, services, and quality assurance. This method is aimed at optimizing the ratio between the quality, usefulness of the object's functions and the costs of their implementation at all stages of its life cycle.

Accordingly, the tasks of the FSA are also distinguished according to the objects of study. In the first case, the activity of the personnel of the marketing department is analyzed and the cost of performing management functions is determined, the efficiency of use is investigated. labor resources department, identifies the sources of increasing labor productivity, eliminating "bottlenecks" in management, etc. In the second case, the main tasks will be the following: reducing material consumption, labor intensity, energy consumption and capital intensity of products, improving product quality, ensuring cost reductions for improving product quality due to full or partial elimination of unnecessary costs for ineffective activities.

FSA objects can be:

Product quality (identification of reserves for improving product quality, achieving an optimal state of "quality - price");

Product design (at the stages of design, preparation of production, directly in the manufacturing process), all types of technological equipment and tools, special equipment and special materials;

Technological process(at the stages of development of technological documentation, technological preparation of production, organization and management of production), and other processes

production (procurement, processing, assembly, control, warehouse, transport).

Functional cost analysis allows you to perform the following types of work:

1.determine the level (or degree) of the implementation of various business processes at the enterprise, including the effectiveness of marketing management and product quality management;

2. to justify the choice of a rational version of the technology for the implementation of business plans;

3. to analyze the functions performed by the structural divisions of the enterprise;

4. provide high quality products;

5. to analyze the integrated improvement of the enterprise performance, etc.

In order to ensure the greatest return on performance of work according to VAS, it is necessary to observe a number of basic principles of analysis (Table 1.1).

1) there is no single VAS technique suitable for all directions and all research objects;

2) before deciding on the use of FSA, it is necessary to analyze the main factors affecting the process and methodology for implementing this method:

Directions of the FSA (enterprise management system, structural unit management system - marketing department, product quality);

Research object and its life cycle;

Goals and objectives of the method;

The amount of funding for the study using the FSA;

Qualification of specialists conducting VAS.

The FSA theory is widely used in the mechanical engineering, electrical and electronic industries. This is due to the systemic nature of the method, which consists in the fact that it is required to study the object as a whole and as a system that includes other components that are in interaction, as well as as part of another system, at a higher level, in which the analyzed object is located with the rest of the subsystems in certain relationships. Due to the systematic nature of the FSA, it is possible to identify in each studied object the cause-and-effect relationships between quality, characteristics and costs.

Specialists implementing FSA must have a high level of development of abstract thinking and creative (scientific and technical) imagination. These individual psychological characteristics contribute to an increase in the variety of alternatives when making management decisions.

The grouping of costs by production factors makes it possible to identify the hierarchical structure of directions for reducing the cost of products. It is advisable to detail the directions, ranking according to the degree of significance determined by the method of expert assessment. Comparison of functions with the costs of their implementation allows you to choose ways to reduce the cost of production.

Correlation of the share of costs per function in total costs and the significance of the corresponding function, allows you to calculate the cost ratio by function. It is considered optimal

... If this coefficient is significantly exceeded by the unit (), it is necessary to look for ways to reduce the cost of this function.

The result of the FSA is alternative solutions, which take into account the ratio of the total costs of products (which are the sum of itemized costs), with the baseline costs. The base can be minimally possible costs on the product. The economic efficiency of the FSA, which shows what share is the cost reduction in their minimum possible value, can be determined by the formula:

(1) - economic efficiency of the FSA (coefficient of reduction of current costs); - actual cumulative costs; - the lowest possible costs corresponding to the designed product.

The result of the VAS as a product quality management tool should be a reduction in costs per unit of beneficial effect, which is achieved:

· Reducing costs while increasing the consumer properties of the product;

· Reducing costs while maintaining the level of quality;

cost reduction with a reasonable reduction technical parameters to their functionally required level.

1.2. Principles and forms of functional cost analysis

Principles of value analysis

Table 1.1

Objective research FSA	VAS principle	The content of the FSA principle
Division of the enterprise (marketing department)	Systems approach	Analysis of the unit as an element of a higher order system and as a system consisting of interconnected elements
	Functional approach	Analysis of the unit as a complex of functions performed
	Creativity	Revitalization creative work on the problems of the structure and functions of the unit
Product quality	Functionality	Consideration of products as a set of functions performed
	Consistency	Study of each product function as an independent system
	Profitability	Cost analysis for product functions at all stages of the product life cycle
	Creation	Revitalization teamwork over improving product quality

Currently, in domestic and foreign practice, three main forms of FSA are used.