Theory and practice of strategy
The author substantiates in the article that the period of global changes of a systemic and structural nature, forming new parameters, factors and conditions that create turbulence and increase uncertainty, should be perceived for Russia not as a new normality, but as a period of postnormality. It is shown that, taking into account national interests and goals, this period should be used as a window of industrial strategic opportunities to strengthen national and economic independence and form technological sovereignty. Special attention is focused on the formation of a solid industrial core through the processes of new industrialization or reindustrialization of the Russian economy, which can contribute not only to the transition to a new normality, but also to its active formation. It clarifies that the process of reindustrialization will require the mobilization and use of available resources and competitive advantages, as well as a strategic approach. To this purpose, as a theoretical and methodological basis for systemic reindustrialization, the author suggests using the methodology of industrial strategizing, which is one of the directions of the Russian scientific school of strategizing, the founder and leader of which is Foreign Member of the Russian Academy of Sciences, Professor Vladimir L. Kvint. The competent application of the methodology of industrial strategizing will not only form a solid industrial core, ensuring technological sovereignty, but will also open up opportunities for Russia to become one of the key translators of the formation of a new system of “norms”.
The key condition for effective use of a vast area of Russia is formation of a polycentric spatial framework the nodes of which are not both the largest and urban agglomerations of a lower hierarchy level. However, the problem is that their phenomenon is poorly studied scientifically, and there are no conceptual grounds for a development strategy that takes into account peculiar features of such agglomerations. The purpose of the study is to build up a concept for the strategy of development of Russian urban agglomerations with the population under 500,000 people (“the second echelon”). In order to do this, the following tasks have been solved: identification of the specifics of these agglomerations, investigation of the features and problems of managing the strategic development of agglomerations in the regions of Russia, development of the basic elements of the concept of the agglomeration development strategy taking into account capitalization of their competitive advantages. The object of the study are the agglomerations, the cores of which are big towns (with 100–250 thousand residents) and large cities (over 250 thousand residents) (Arkhangelsk, Vologda, Kaluga, Norilsk, Surgut, Tambov, Khanti-Mansiysk, Yuzhno-Sakhalinsk). The study is based on the main provisions of the theory and methodology of strategizing by Professor Vladimir Kvint. The author applied the monographic, comparative, economic and statistical methods, analyzed strategic documents of federal and regional levels, and regulatory legal acts. The author found out that the agglomerations under study are of significant potential but it is unrealized due to insufficient consideration of their features in management (poorly formed satellite area, the basis of the economy consists mainly of the industries of the lower technological stages, disintegration of the agglomeration space) and lack of formation of the development strategy system. Strategic priorities for the development of agglomerations are substantiated. These priorities are aimed at realization of strategic opportunities and backed by competitive advantages: a) production of high-value-added products on the basis of consolidation of scientific and technological potential of agglomeration within the framework of cluster-networked and vertically integrated industries; b) transformation of agglomerations into central places at the highest level of the hierarchy, representing a wide range of social services; c) development of modern transport hubs and a multimodal transport and logistics center on their basis. The prospects of the study are seen in the justification for the agglomerations of the pool of strategic projects aimed at turning them into growth centers of macro-level and of regional-level.
National industrial economy
The mining and metals industry is one of the strategically important sectors of the Russian industry and offers vast opportunities for future development. The widespread use of metals as part of Industry 4.0 and “green” trends is stimulating demand for them, opening up new prospects. At the same time, the metals industry also faces a significant number of challenges that need to be addressed in a timely manner. These include growing trade barriers, lack of investment resources, limited access to foreign technologies, high volatility of macroeconomic parameters and others. The efficiency of the industry’s development in the long term depends on the ability of companies to adapt to new realities and the flexibility of their strategies. Under such conditions, the role of strategic management and planning in the metallurgical industry at both the state and corporate levels is particularly important. The study reviews the current trends and tendencies in the development of the global metallurgical industry, as well as identifies the conditions for the functioning of Russian companies. A critical analysis of the system of strategic planning of the industry development is presented. A review of long-term strategies of leading Russian metallurgical companies, such as PJSC MMC Norilsk Nickel, JSC Ural Mining and Metallurgical Company (UMMC), JSC Russian Copper Company, JSC EVRAZ, JSC Mechel, PJSC Severstal, JSC Metalloinvest. A conceptual approach to strategic planning for the development of the Russian metallurgical industry is proposed, taking into account the nature and direction of modern challenges facing the industry. Practical recommendations aimed at improving the management of long-term development of the Russian mining and metallurgical sector have been developed.
Eurasian Economic Union is a main foreign economic project of Russia in the 21st century. Its preservation and expansion in the context of anti-Russian sanctions is extremely significant for all the member countries. The study is devoted to the problem of the low level of industrial and agricultural cooperation between the EAEU countries. The topic of the study is of high relevance due to the sanctions pressure on the Russian Federation and Belarus, the need for import substitution, creation of the national industrial complex in strategically important industries, the need for economic resistance to the pressure of the “collective West”. The purpose of the study is to identify the opportunities for the development of integration model of the Eurasian Economic Union on the basis of industrial and agricultural cooperation. The authors put forward a hypothesis that amplification of industrial cooperation within the Eurasian Economic Union will ensure a significant growth of its integration effects. To achieve this goal and check the hypothesis the following methods were used: the method of dynamical normative, the index method of international trade assessment, building ascending cooperative chains of the Economic Cooperation and Development Organization. Among the research results, there is evidence of the primary role of cooperation to create attractive economic and integration models of the Eurasian Economic Union.
The study presents the analysis of the current state of the Russian electronic industry conducted on the basis of data from Rosstat, SPARK-Interfax system, Ministry of Industry and Trade of Russia, Ministry of Digital Development, Communications and Mass Media of the Russian Federation, Ministry of Economic Development of Russia, reports and materials from Electronics Developers and Manufacturers Association, and other data and sources of information. The authors have analyzed the key indicators of the electronic industry of the Russian Federation including its structure, development dynamics, the place of the Russian electronic industry in the global industry, territorial organization by region of Russia, and identified the key enterprises of the industry. Special attention is paid to identifying the problems of development of electronic industry differentiated in two main directions: market problems and issues of the state regulation of the industry. Market problems include high level of import dependence of the Russian electronics industry, impossibility to develop industrial technological basis of electronic industry in the conditions of open competition with world manufacturers, high level of dependence of the electronic industry on the domestic market capacity. The regulation issues include the quality and effectiveness of executive authorities that control development of the Russian electronic industry as well as low level of thoroughness and validity of strategizing the development of the Russian electronic industry. On the basis of the analysis conducted, the authors provide management recommendations aimed at improving the economic situation in the Russian electronic industry, increasing the degree of controllability and manageability of its development by the executive authorities. The key recommendations involve the necessity for finding new approaches to development of domestic electronics, developing a practice-oriented industry strategy agreed with all the interested parties that are involved in creating specialized managerial structures aimed at adapting military electronics developments to the needs of the civilian sector. The results of the study can be used by government authorities, experts and other organizations in development and implementation of industrial policy at the federal and regional levels.
Machine learning technology is a powerful tool for analyzing big data, and thus they can be applied to create a strategy for innovative development of industry in the regions of Russia. To compare the results of the quality of forecasting and to choose the most optimal method on the example of radio-electronic industry (REI), the authors applied the method of “k-nearest neighbor machine learning”, neural networks “multilayer perceptron” and adaptive neuro-fuzzy inference system which includes a particle swarm algorithm as well as multidimensional adaptive regression splines. The following functions were studied as the target ones: 1) the volume of innovative goods; 2) developed advanced production technologies; 3) net financial result (informatization and communication). The suggested model was trained on the basis of a sample package of nine inputs and three targets in 2010-2022 in 83 regions of Russia. For further verification of the trained model the year of 2023 was chosen as a sample package. It was stated that the highest quality forecast was made with the k-nearest neighbors machine learning algorithm. During the assessment, it was established that the prospects for innovative development in the industry can be found in the regions where the values of the predicted target functions fall into the planned segments in 2023. The assessment was conducted only in those regions whose forecast was regarded as the highest quality (with the average absolute percentage error < 0,5). These regions include the Krasnodar and the Perm territories, and Nizhny Novgorod, Sverdlovsk, Chelyabinsk and Novosibirsk regions. When performing similar analysis for algorithms of multidimensional adaptive regression splines (for target 3), particle swarm (for target 2), multilayer perceptrons (for target 1), the authors established that Nizhny Novgorod and Sverdlovsk region can be regarded as leaders in the REI industry, and this partially confirms the conclusions obtained by the machine learning method.
Business economics
The article touches upon the problem of inconsistencies and insufficient accuracy of quantitative methods applied in analyzing mergers and acquisitions. The authors point out that the criteria for the effectiveness of the concluded deals used by the majority of researchers do not conform to the real factors which are not taken into consideration by companies’ top managers when making decisions about a deal. This results in the gap between theoretical developments and their practical application and also limits the implementation of scientific results in practice. The authors study and identify the main disadvantages of the most common analysis methods: Cumulative Abnormal Returns, or CARs, Buy and Hold Abnormal Returns, or BHAR, and also, they suggest hypotheses of medium-term profitability and long-term payback illustrating the criteria of predicting the success of mergers and acquisitions from the viewpoint of management. The authors have developed new approaches to statistical analysis of the market of mergers and acquisitions that allow to identify the deals the results of which differ significantly from the average in one direction or another. Further development and empirical testing of the suggested approaches can provide for the introduction of new techniques of evaluation of effectiveness of mergers and acquisitions, as well as for creation of sectoral and universal recommendations for top managers of the buyer companies on their basis.
Amidst rapid economic growth, large industrial holdings are capitalizing on inorganic growth opportunities to maintain and strengthen their competitive position in both domestic and international markets. At the same time, an increasing number of various advanced digital solutions are emerging to help managers and owners of industrial companies manage the integration of acquired assets more effectively. Competent use of digitalization tools significantly simplifies and speeds up each stage of mergers and acquisitions (M&A) deals and reduces the cost of maintaining a project office when implementing acquired assets. The article presents the author’s and institutional (official) definition of integration processes for industrial companies. A systematized and structured analysis of the global M&A transactions market was conducted in all industries and specifically in the manufacturing industry in 2020–2024. The economic drivers and prospects for the development of the M&A market are analyzed. Examples of the largest integration deals in the manufacturing industry over the last 10 years are given. The main stages of mergers and acquisitions transactions are considered, and a detailed description of each stage is given. It also presents a list of digital tools and modern technologies that are used at all stages of the integration process of industrial assets. The main emphasis is placed on assessing the impact of digital tools and solutions on each of the considered stages of the integration process. The conclusion about the impact of digitalization on the implementation of integration processes in industry is formulated, as well as in the possible further simplification and acceleration of some stages of integration transactions with advanced digital solutions.
One of the errors in forecasting economic development trends is lack of initial normality check of data distribution as an essential condition for the applicability of statistical procedures. The applicability of these methods to distorted data results in inaccuracy and low quality of the economic forecast. The purpose of the study is to carry out a step-to-step normality check of data distribution to ensure a more accurate economic forecast based on the symmetry tests such as the coefficient of variation, quantile graphs, average absolute deviation, range of variation, and Jarque–Bera statistic. Data processing based on distribution of Russia’s gross domestic product from 2000 to 2020 revealed a normal array distribution, which ensures reliable economic forecasting and assessment of prospects for future changes in order to minimize errors and distorted results.
National enterprises are facing a very important task of increasing labour productivity as they need resources to operate in the conditions of personnel shortage and mobilization economy. Some of them have already accumulated certain experience of implementation of various management and technology innovations that allow to increase business efficiency; others use acceleration programs based on the lean technology implementation and provided by the state within the framework of the national project “Labour Productivity”. This makes it relevant to understand the previously accumulated experience in using lean manufacturing in the modern context. The purpose of the work is to study the experience of a number of industrial enterprises (RUSAL, NAPO, Elsib, SIBECO) on implementing the projects devoted to increasing labour productivity using lean technology, to summarize their implementation and make recommendations on how to apply them in national business. Methods of study involve analysis of the national manufacturing companies’ experience, interviews with experts, analysis of documents on the projects on increasing organization efficiency. The results of the study conducted allowed making the conclusion that implementation of lean technologies requires their adaptation to sectoral, regional, corporate specificity and further development to meet the demands business and state are facing. Analysis of the above mentioned companies’ experience has shown that despite the obvious effectiveness of using lean manufacturing to involve the employees into the system of constant improvements they fail to ensure proper direct growth of labour productivity. The recommendations can be used in the practice of the companies that are starting to implement lean technologies.
Environmental economics
The end of the last century and the beginning of the 21st century were marked by the emergence of a new scientific trend in the scientific community which attracted the attention of many professional teams all over the world. This was a trend of reducing carbon emissions that is formed during the burning of fossil fuels. Such scientific trends have gained significant support in the majority of the world countries becoming a mainstream, a major scientific course leading to the “decarbonization of the economy” concept. Reduction of carbon emissions was considered to be one of the main ways to fight climate change as carbon in the greenhouse gas emissions is one of the main elements that destroy the ozone layer of the atmosphere. Without denying the negative impact of any emissions into the atmosphere connected with the work of industrial companies that use natural fuel as the main source of energy, the results of some research began to question the negative effect of atmospheric emissions from natural fuel combustion: the process of climate change occur on our planet cyclically. And “decarbonization of economy” has become a tool of geopolitical struggle for global markets for goods produced with the help of “clean fuel”. The purpose of the study is to systematize the views on the causes of the climate change that comes as a result of the carbon emissions from industrial enterprises, and to carry out an objective analysis of geoeconomical and geopolitical reasons for the need to organize projects of decarbonization of the oil and gas complex, especially when realizing energy projects in the Russian Arctic. This issue is of special relevance to the Russian Federation which possesses the world largest reserves of traditional energy sources in the Arctic zone.
Human resources management
In the present conditions of economic development, one of the key factors determining the quality of life of the working population is preservation of professional health and maintenance of long-term labour longevity of employees. This aspect is becoming more and more significant in the context of the growing competition at the labour market and the necessity of increasing labour productivity. This priority is realized through a complex of corporate initiatives that include specialized programs of professional health improvement aimed at achieving the optimal balance of physical, psychological and social well-being of the employees, which in its turn provides for increasing their labour efficiency and reducing the costs of enterprises for medical care and compensation. The article deals with the results of the study conducted among the heads of regional authorities. The study was devoted to the issues related to creation of methodological materials aimed at evaluation of the profitability of health promotion programs, implementation of the professional retraining systems based on modern labor market requirements, optimization of financing based on of economic feasibility and return on investment, development of regulatory framework based on economic performance indicators, and development of mechanisms of public-private partnerships in corporate health sector. The authors point out that investment in employees’ healthcare pay off by reducing morbidity, reducing staff turnover and improving the quality of products, and implementation of appropriate staff health promotion programs can be regarded as an important tool of strategic business development in the conditions of the modern market economics. One of the main strategic priorities influencing the creation of a decent life for the country’s working population is their professional health and professional longevity. Corporate target projects are used for this purpose, including the ones that involve corporate workplace health promotion programs allowing the employees to achieve their personal rational level of physical, mental and social well-being. To assess the impact of corporate measures aimed at improvement of the workers’ health the authors carried out a research that involved a survey of heads of regional government authorities. The analysis of the survey data revealed that regional “Public health promotion” projects are being actively developed and implemented in the regions alongside with the regional and municipal programs and plans for corporate health promotion. Proposals and recommendations of regional government authorities on improvement of development and implementation of corporate professional health promotion programs of industrial enterprises were related to the further development of regulatory and methodological documents, the methodological base, the process of professional retraining, and increased funding.
ISSN 2413-662X (Online)