Abstract
The study aims to: identify the reality of the performance of the manufacturing facilities operating in the Kurdistan region of Iraq, by making comparisons between the planned objectives and achieved, explaining the deviations occurring in those facilities, and determining the nature of the relationship between the volume of production and how to mix production factors represented by labor and capital. With the volume of production in the industrial establishments, and determining the appropriate standard model for the appropriate production in the industrial establishment. Through this research, several conclusions were reached, including the existence of a general increase in most indicators of the economic analysis of the factory in the last years of the research period, and among these indicators is the percentage of utilization of the design capacity, the percentage of implementing the plan’s objectives, the worker’s productivity in quantities and the total added value. The logarithmic production function was the most suitable function for factory data, and the most suitable for representing production relations according to factory production conditions. The share of the capital component was more effective in production than the labor component, according to the estimation of the in-kind production function. However, the share of the labor component was more effective in production than the capital component, according to estimated the monetary production function. The research recommends emphasizing the need to pay attention to the process of evaluating the efficiency of the economic performance of all economic units on a regular and continuous basis to detect deviations promptly, identify their causes and treat them to ensure that they do not accumulate, and then it is difficult to identify and treat them in the future. And assisting producers by guiding them to adopt the level of production towards the optimum level, which is the level that achieves the greatest profit for them and helps them to continue and expand the production process and avoids loss. The government grants special facilities for marketing seminars and their requirements, to maintain the balance of supply and demand in the market, reduce price fluctuations, and protect both the producer and the consumer.