Factor analysis of the return on assets of the construction industry in the Baikal region

Managing the profitability of the regional economy becomes a key task for all levels of management: operational, tactical, and strategic. The author proposed a method for managing the return on assets by decomposing the return on assets coefficient into factors that reflect various aspects of the regional economy. The article describes the author's methods of factor analysis, which allow you to make a conclusion about changes in the financial position in an accessible and relatively simple way, as well as to assess the degree of influence of factors on changes in the studied indicator. This article reinforces knowledge in the field of economic analysis theory, acquisition of skills in using methods of modeling factor systems, evaluation of the influence of quantitative and qualitative factors on indicators that characterize the final results of activities and their effectiveness. The Filatov model (return on assets Model) allows you to determine which factors caused the change in profitability or make a factor analysis of profitability. The author's transformed methods of factor analysis presented in the article in comparison with the most common traditional methods allow reducing the labor intensity for several iterations by entering the author's comparative coefficients. In addition, the author's methods of deterministic factor analysis complement the process of understanding the functioning of economic systems, revealing the existing economic laws and objectively existing cause-and-effect relationships between the phenomena of economic life. Analysis based on the Filatov model and the use of author's methods of factor analysis for specialists in the field of Economics and management will help them form a base for developing economic thinking, understanding the essence of economic processes and phenomena occurring within the framework of economic entities, and most importantly - developing skills for their quantitative assessment, economic interpretation and search for reserves to improve the efficiency of functioning.