THE CRITERIA AND PARAMETERS OF EVALUATING OPERATIONAL EFFICIENCY WHEN USING BUDGETARY FUNDS

The efficiency as an economical category reflects the attained result through the resources expended for its achievement. The analysis of the “efficiency” category requires the distinguishing of the categories of effectiveness, efficacy, and efficiency of the resources used. Budgetary expenditure efficiency depends on the efficiency of activity of the budgeting participants on the operational and functional levels. Management of operational efficiency of public funds utilization is a tactical tool, the improvement of which is determined by the digital technologies and novations in government control – risk-oriented and project-based approaches. The paper contains theoretical research of the categories of efficiency and operational efficiency of utilizing budgetary funds. The study presents the author’s approach to operational efficiency, including identifying aspects of budget expenditure sanctioning, liquidity management, and control. The loss of operational efficiency when using budgetary funds may occur due to the risks both of the external environment and internal management system; first of all, they are related to the activity of treasury and financial bodies. The author specifies operational efficiency criteria and the attributes for their classification. These criteria are operations security (the protection from illegal acts) and control (in this case, the preliminary control expansion is in priority). The author proposes an algorithm for evaluating operational efficiency based on test analysis and search for the errors, weak points, and non-adjustments of control procedures. The algorithm is based on the accumulated considerable volume of data forming the interrelations of the procedures, stages, and actions of the participants and non-participants of the budgeting process. Operational efficiency improvement is possible through additional funds when allocating remaining budgetary funds temporarily out of use in the financial market; through cost-saving; through the growth of work performance when using digital technologies.