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What is an enterprise?

In various areas of activity, we are constantly confronted with a variety of legal entities. They all have their own characteristics. In our article we will consider one of them - the company. You will learn what an enterprise is, get information about the classification, structure and types of property.

The concept of "enterprise"

By this term is meant a subject that produces goods or provides services. The purpose of the existence of any enterprise is profit. They can be called the main link of the economy of any state, since they replenish the budget by paying taxes, provide a workplace and social guarantees for employees.

Enterprises are independent:

  • in determining the direction of production of goods or a list of services;
  • in determining prices, quantities, procurement, selection of suppliers;
  • in the distribution of the application of the manufactured product.

Enterprise Classification

There are several approaches in the division of enterprises into groups:

a) Depending on the number of people involved in their facilities:

  • small (less than 100 people);
  • average (100-499 people);
  • large (over 500 people).

b) Depending on the individual or legal entity owning the enterprise:

  • private;
  • state;
  • municipal;
  • owned by public organizations;
  • others.

c) Depending on organizational features:

  • individual;
  • corporations;
  • partnerships.

Company structure

The structure of the enterprise is called its internal structure, which characterizes its units and communications between the head and the subordinate. This concept is purely individual for each enterprise. It depends on its size, type, organizational characteristics, nature of work, scale of production.

There are industrial and general structure of enterprises. The production structure includes the totality of all units involved directly or indirectly in the production process. To the general structure - all divisions of the enterprise and the management apparatus.

For example, consider the typical structure of a manufacturing enterprise. It is headed by a director. Directly to the director are: chief engineer, chief economist, commercial director, production manager and deputy for personnel and social issues, as well as accounting, office and technical control department.

The chief engineer is responsible for ensuring the work of all technical devices, conducting development. The chief economist is in control of the company's cash management. Commercial Director engaged in marketing and transportation. The production manager monitors directly the production processes. The head of personnel and social issues is responsible for recruiting new employees, providing them with social guarantees, and organizing leisure activities.

Property of the enterprise

Each company has certain types of property. These include all tangible and intangible assets, cash, which are in his possession. Accordingly, the company has the right to dispose and use them.

All property can be divided into two main groups: movable and immovable. The estate includes land, water, forests, natural resources, buildings, machinery, equipment. All real estate must be registered in the state registers without fail. Movable property refers to everything else.

In addition to movable and immovable property, they allocate non-current and current assets, capital and reserves.

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