This article summarizes the arguments and counterarguments within the scientific discussion on identifying the enterprise’s state to evaluate its effectiveness and optimize the

target functions in solving enterprise development problems. The proposed scientific and

methodological approach to modeling the enterprise development management system under decentralization conditions and its practical implementation makes it possible to determine the dominant development parameters of manufacturing enterprises that influence

the United Territorial Community and to timely track the impulses and space of the United Territorial Community state, taking into account the PS state as parameters for its

development. The proposed analysis of the Production System state within the United

Territorial Community framework and evaluating its development dynamics shows the necessity of forming a system of generalized vector-scalar, situationally oriented indicators.