Bìznes Inform (Oct 2021)

Key Factors Influencing the Management of the Enterprise’s Development

  • Shyshkovskyi Serhii V.

DOI
https://doi.org/10.32983/2222-4459-2021-10-357-362
Journal volume & issue
Vol. 10, no. 525
pp. 357 – 362

Abstract

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The gradual demise of the command-administrative management system determines the relevance of the study of the peculiarities of the development of the methodological basis for managing the development of industrial enterprises in terms of modern management. The article highlights the features of managing the development of industrial enterprises in the context of globalization, as the adoption of the methodology of sustainable development, which is based on the principles of socially responsible activities of enterprises; increasing the weight of management of changes and constraints in the overall management system of enterprise development; increasing the role of informal tools in building a methodology for evaluating directions, as well as methods of strategic forecasting and planning of enterprise development; abandonment of management decisions in the short term in favor of long-term strategic decisions; decentralization of enterprise management and dissemination of collective decision-making methods; improving marketing management as one of the decisive factors in increasing the competitiveness of enterprises, their investment attractiveness. The interpretation of the enterprise’s evolvement as a process of acquiring new qualitative, quantitative or structural properties of the socio-economic system, which involves a change in the parameters of its state and the acquisition of equilibrium, is elaborated. The system is transformed through the growth, activation or structuring of the constituent elements. The author considers relationship between the concepts of «innovation» and «development» as complex categories that need to be clearly delineated and closer defined. The factors limiting the ability of enterprises to increase production include: prices for the raw and expendable materials, cost of energy, tax pressure, lack of working capital, insufficient effective demand of domestic consumers, high competition in the commodity market. The key internal factors that affect the development of the enterprise are its existing potential, functional activity of the organization and the effectiveness of enterprise development. Innovation remains an important sign of development – necessary, but insufficient for its implementation. The key factors influencing the management of enterprise development include the mission, vision, values and policies, plan and program of enterprise development.

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