Theory of Constraints in Value Based Cost Management

This article highlights the problem of setting value-focused cost management and implementation of Theory of Constraints in enterprise management. To do this, analysis statements of theory of constraints within the concept of relevance is made and pre-requisites for implementation of such statements are formulated. From the perspective of the value-based management, business process optimization mechanism is analyzed and an alternative model for calculating relevant costs is proposed. This study was made on the example of oil fields development process.