The impact of the implementation of the general policies of Article 44 of the Constitution on the performance and productivity indicators of Iran Aluminum Joint Stock Company

dissertation for receiving a master's degree

major: accounting

abstract

In this research, pointing out that the implementation of the general policies of Article 44 of the Constitution in recent years as an important economic policy, for favorable economic development, reducing excessive production costs and getting rid of inefficient performance State companies have been emphasized by the Supreme Leader, the question arises whether the implementation of the general policies of Article 44 of the Constitution has led to the improvement of the performance and productivity of one of the largest state companies handed over to the private sector or not? And the purpose of the research is to measure the success rate of the company in line with the implementation of the mentioned policies and if it is unsuccessful, to find the reasons and then provide a suitable solution for it. The time domain of the research is 1384-1389, which is divided into three periods of state ownership (years 1384 and 1385, when the ownership and management of the company was in the hands of the public sector), semi-private ownership (years 1386 and 1387, when part of the ownership was transferred to the private sector, but the management was still in the hands of the public sector) and private ownership (years 1388 and 1389, when the management and more than 70% of the ownership of the company was transferred to the private sector). Due to the existence of sufficient information regarding the performance and productivity criteria of the mentioned company, more than 52 performance measurement criteria (financial and economic) and productivity (efficiency and effectiveness) have been examined and analyzed. In this research, with the help of descriptive statistics and using the financial statements and performance reports of the target company and using the hierarchical analysis process and Expert choice software, the company's status in relation to each of the performance and productivity criteria before, during and after privatization has been ranked and tested. has been found, but it has not improved it compared to the period of state ownership. In the end, referring to the results of the research, it is suggested that, while paying attention to the reform of the capital structure and equity as well as serious and practical planning in order to improve the performance and productivity indicators, the ground for achieving the desired goals from the implementation of the general policies of Article 44 of the Constitution of the Islamic Republic of Iran is provided more.

Introduction

Privatization is an executive, financial and legal process that governments implement in many countries of the world to carry out reforms in the country's economy and administrative system. In the past fifteen years, privatization has been one of the most important elements of the structural reform program of developed and developing countries. In fact, today it is difficult to find a country that has not taken a plan to hand over all or part of state-owned companies to the private sector or to share the private sector in the management, ownership and financial affairs of these companies. society, and in line with the implementation of the first program of economic, social and cultural development, decided to compensate for the inefficiencies of the past by implementing the policy of handing over state-owned companies, and by reducing the size of its enterprises, use the available opportunities and forces in a better way.

The statement of the Supreme Leader regarding the implementation of the general policies of Article 44 of the Constitution of the Islamic Republic of Iran, which was issued in view of the need to accelerate the economic growth and development of the country based on the implementation of social justice and poverty alleviation within the framework of the country's 20-year vision document, indicated that the country's decision-making system at the highest levels has come to the conclusion that the country's economic system, in order to develop and progress, seeks to apply economic liberalization policies based on the permission to break monopolies in all The activities proposed at the top of Article 44 of the Constitution and the permission to enter the private sector in these activities require the provision of means for privatization and the active participation of capital owners in the country's economy. What is important in this regard and after the foundation necessary for the implementation of the privatization process, is the extent to which the predetermined goals are achieved. In this research, it is intended to examine and analyze the effect of the implementation of the general policies of Article 44 of the Constitution on the performance and productivity of the Iran Aluminum Joint Stock Company as one of the largest state-owned companies handed over to the private sector. rtl;"> 

1-1 Introduction

Privacy is a tool for development. The experiences of the last two decades have repeatedly proven the need to use the market mechanism and the potential of the private sector to consolidate growth in the development process of developing countries. Attention and reflection on the successful development model of some developing countries by relying on the forces of the private sector confirms this and shows the superiority of this model compared to other models.

In Iran, too, the design of cases related to handing over affairs to the private sector in the evolution of the legal foundations of privatization in the country's development programs and the notification of the general policies of Article 44 of the Constitution is due to the view of the necessity of privatization for development. Privatization, which is intended in the general policies announced in Article 44 of the Constitution, in order to accelerate the growth of the national economy, expand ownership at the level of the general public in order to ensure social justice, improve the efficiency of economic enterprises and the productivity of material and human resources and technology, increase competitiveness in the national economy, increase the share of private and cooperative sectors in the national economy, reduce the financial and managerial burden of the government in undertaking economic activities, increase the public level Employment, encouraging people to save and invest, and improving household income have been carried out, and these goals are most closely related to the concept of comprehensive development.

One ??of the largest state-owned companies that has been handed over to the private sector based on the general policies of Article 44 of the Constitution, is Iran Aluminum Joint Stock Company, and in this research, it is intended to investigate the impact of this process on the performance and productivity indicators of the mentioned company.

In this chapter, after stating the problem, we will express the importance and necessity of the research, and we will also express the goals of the research in the form of general and special goals. The theoretical framework of the research, which is the main basis of the question, is presented in this chapter, and in the following, the research model and the method of measuring the variables, as well as the research hypotheses, are taken into consideration. At the end of the chapter, the explanation of words and terms is given.  

2-1 Study history

In Iran and the world, there have been many researches related to the issue of privatization and its effects on various indicators, some of which are mentioned below while stating the results obtained:

Researches conducted abroad

1) In 2010, a research by Zhang Kai Huang [1] was conducted in relation to the change in financial and operational performance of 127 examples of privatized Chinese companies whose control was transferred from the public sector to the private sector, and with the aim of expanding the current literature in three aspects: expanding the privatization literature, expressing the different effects of ownership in privatization and the need for further reforms in the Chinese government. For this purpose, the performance changes of the mentioned companies in the three years before and after privatization were matched and compared, and the Wilcoxon test was used to determine the significance of the difference between the average of dependent variables in the three-year periods before and after privatization. The main hypothesis of the research was based on the principle that complete or final privatization is effective in improving the financial and operational performance of companies. In the aforementioned research, the efficiency of companies, profitability, financial leverage, saving in production costs and employment were considered. The results of the research showed an increase in efficiency, profitability and a decrease in the number of human resources.