ABSTRACT
The soviet system of management may have been adequate to the task confronting the soviet enterprise of delivering the plan at all costs, but it is not well adapted to the management of an enterprise operating in a market environment, which must have management systems through which production can be subordinated to the constraints of the market and expenditure kept within the limits of receipts. The quality and design of the product has to correspond to the demands of the market and the production costs must be limited to the revenues that the sale of the product can secure and generate a surplus to fund new investment. This implies fundamental changes in the management structure, management systems of information and control and the status of different management functions.
