scholarly journals The essence and features of the competency-based approach to strategic enterprise management

2021 ◽  
Vol 18 (4) ◽  
pp. 30-40
Author(s):  
Inna Gruzina
Keyword(s):  
Strategic Management ◽  
Professional Competence ◽  
Personal Characteristics ◽  
Strategic Decision ◽  
Enterprise Management ◽  
Strategic Decisions ◽  
Strategic Factor ◽  
Analysis And Synthesis ◽  
Strategic Goals ◽  
Competency Based

Increasing the role of an employee as a determining factor in the economic growth of an enterprise makes managers change the philosophy of management, directing it towards the realization of employees’ unique abilities. The effective implementation of the strategic direction of action depends on the knowledge, skills and personal characteristics of specialists, i.e. competencies that are a source of competitive advantage and a strategic factor in the enterprise development. In this regard, it is necessary to study the competency-based approach features in order to identify the opportunities for application in the strategic management of an enterprise. The purpose of the study is to clarify the essence of the competency-based approach and substantiate the need for its application in strategic management. The object of the study is the process of strategic enterprise management. The following methods were used: abstract-logical, analysis and synthesis – to clarify the essence of the competency-based approach; formation of conclusions; and graphical technique – to visualize the results. The views on the essence of the competency-based approach are analyzed and the lack of research on its importance for ensuring effective strategic management at different levels is noted. Taking into account the transformation of the essence of strategic enterprise management and the significant dependence of its effectiveness on professional competence of strategic decision developers and executors of their decisions, the essence of the competence-based approach is specified. It provides for the involvement of specialists with the necessary knowledge, skills, ability to objectively perceive information, use experience and intuition in determining promising areas of action, and take responsibility for decisions to achieve strategic goals for the implementation of the stages of strategic analysis and strategic selection. This will allow managers to involve employees in the process of making strategic decisions, focusing not only on their job positions, but primarily on the availability of a set of competencies necessary for strategic management and the appropriate level of their manifestation in professional behavior. A likely result can be a reduction in the time for the implementation of the relevant stages of strategic management and an increase in the likelihood of achieving strategic goals due to a correctly chosen strategy of future actions.

scholarly journals Strategic management accounting: information application areas and instruments

2020 ◽  
Vol 21 ◽  
pp. 5
Author(s):  
Kamilė Medeckytė ◽  
Daiva Tamulevičienė
Keyword(s):  
Decision Making ◽  
Strategic Management ◽  
Management Accounting ◽  
Accounting Information ◽  
Strategic Decision ◽  
Enterprise Management ◽  
Strategic Decision Making ◽  
Strategic Management Accounting ◽  
Development Concept ◽  
And Performance

he application of strategic management accounting instruments in corporate governance is a significant tool for gaining a competitive advantage, increasing the existing market share, and improving the company’s performance. The article examines the development, concept, and significance of strategic management accounting. There are five areas of strategic management accounting: 1) costing; 2) planning, control, and performance measurement; 3) strategic decision-making; 4) competitor accounting; 5) customer accounting. The main instruments of each area, their advantages, challenges of implementation in enterprise management, and benefits for the efficiency of the organization have been identified.

scholarly journals Controlling in the management of a regional power grid company

2021 ◽  
Vol 258 ◽  
pp. 11006
Author(s):  
Pavel Sovetov ◽  
Nadezhda Sovetova
Keyword(s):  
Power Grid ◽  
Enterprise Management ◽  
Special Role ◽  
Regional Power ◽  
Self Assessment ◽  
North West ◽  
Controlling Mechanism ◽  
Analysis And Synthesis ◽  
Strategic Goals ◽  
Technical Issues

The tasks of improving the methods and tools of strategic enterprise management determine the relevance of including the controlling mechanism in the process of managing the enterprise's activities. The purpose of the paper is to substantiate the need to use controlling in the process of strategic enterprise management. The authors use general logical methods and research techniques: a systematic approach, generalization, analysis and synthesis. The paper notes the plurality of views of management theorists and practitioners about the essence of controlling and discrepancies in its functional purpose, which entail the problems of organizing and effectively using the controlling mechanism in enterprise management. In this regard, the authors emphasize the view of controlling as a function of strategic management, systematize the list of implemented controlling tasks and factors that predetermine them, indicate the special role and place of controlling as a kind of tool in the analytical mechanism of self-assessment of the effectiveness of the goal-setting and goal-implementing function of enterprise management, the action of which (i.e. tool) is possible with an adjusted feedback model in the control loop. The prerequisites have been identified and a model for the consistent development of controlling in enterprise management has been tested in relation to the object of research - the regional power grid company PJSC “IDGC of North-West”. The result of the first stage of mastering the controlling functionality is the ability to partially relieve the top management of the company from operational and technical issues in favor of preparing and implementing management decisions of a strategic focus and content. The spectrum of orientation of the controlling functional in the management of PJSC “IDGC of North-West” towards achieving tactical and strategic goals for the long-term existence and development of the company is shown. Prospects for further research into the problem of organizing effective controlling are in the development of methodological support for the process of integrating information flows using digital technologies. Scientific novelty lies in the presentation of controlling as a management function that ensures the company’s activities in accordance with plans in the interests of achieving established goals.

Fall of a Titan: understanding the Jet Airways crisis

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shashank Kathpal ◽  
Asif Akhtar
Keyword(s):  
Strategic Management ◽  
Market Share ◽  
Swot Analysis ◽  
Strategic Decision ◽  
Aviation Industry ◽  
Strategic Decisions ◽  
Strategic Choices ◽  
Content Type ◽  
Management Concepts

Theoretical basis The competitive environment of the Indian aviation industry is studied using Porter's five forces model. The SWOT analysis is used to examine the competitive position of Jet Airways. The role of Merger & Acquisition in the current Jet Airways crisis is also examined. Relevant texts studied are as follows: Kazmi, A. and Kazmi A. (1992). Strategic Management. McGraw-Hill Education; and Porter, M. (2008). The Five Competitive Forces That Shape Strategy. Harvard business review. 86. 78–93, 137. Research methodology This data for this case was extracted from secondary sources. These sources comprise newspaper articles, reports from the industry, reports of the company and the company's website. For gaining clarity over concepts, strategic management book by Azhar Kazmi and Adela Kazmi was referred. This case also uses websites such as moneycontrol.com to analyze financial health of the company. In the end, this case also uses some existing reports from the sources like World Bank and plane spotters to analyze the status of Jet Airways and also Indian aviation industry. This case has been tested in the classroom with MBA students in a class of Business Policy and Strategic management. Case overview/synopsis The Jet Airways, which once had the largest market share in the Indian aviation industry, has reached bankruptcy. Mr. Naresh Goyal, known for his aggressive expansion strategies, has already filed for bankruptcy. This case presents how buying aircrafts' obsession with poor choices on Mergers/Acquisitions could result in bankruptcy. The same could be substantiated from the fact that Goyal had many (197) of his fleet's latest aircraft. Goyal was also criticized for buying Sahara Airlines, which was performing poorly in the market. Spending a large portion of the budget in capital expenditure in an industry where operational cost is very high, only the cost of turbine fuel amounts to 50% of total operational expense. The high expenditure on capital budget and increasing operational cost weaken the financial position of Jet Airways. Despite earning decent revenue and having the highest market share in 2010, Jet Airways made losses in three consecutive years, i.e. from 2009 to 2011. After 2011, when the Indian aviation industry witnessed a high level of competition and growth in low-cost carriers (LCC), Jet Airways' survival was up for a toss. Despite the desperate measures of cost-cutting and attracting potential investors, Jet Airways reached the verge of bankruptcy. The current case emphasized the need to balance safe and riskier options, even for the market leaders like Jet Airways could fail due to poor strategic choices. This case presents some harsh realities on funds allocation. In 2010, where Jet Airways secure the highest market share and decent total revenue, it realized net losses. The case study also explains the need to adapt to the dynamics of the industry. After 2011, when LCC started dominating the Indian aviation industry, Jet Airways did not change its operation strategy and facing severe consequences. The case was about the poor strategic decisions taken by the founder of Jet Airways, Mr. Naresh Goyal, which adversely affected the health of the airline. The case also explores the possible strategic choices that Goyal could have taken to ensure Jet Airways' survival. Through this case, an attempt had been made to highlight the importance of various concepts that we need to understand while making a strategic decision for any organization. In the end, this case emphasized the role of strategy in managing an organization successfully. Complexity academic level The case study's target group should be Undergraduate and Postgraduate students of the Management discipline who study Strategic Management as a specialization or as the subject. This case can also be used in the Management Development Program for senior executives taking any vocational course or workshop on Business Strategy. The case focuses on one of the fastest emerging markets, i.e. India, and could be proven valuable for many multinationals companies. The case presents the changing competitive dynamics of the Indian aviation industry. The central theme on which the case revolves is the importance of sound strategic choices in a dynamic market or industry. After analyzing the case, the students would understand the complex nature of strategic decision-making and any poor strategic decisions ripple effect. This case could teach essential strategic management concepts like "SWOT analysis" and "PESTEL analysis." This case should be used to teach strategic management concepts only and not act as a judgment tool for any organization.

scholarly journals STRATEGIC ENTERPRISE MANAGEMENT AS A MULTIDIMENSIONAL SPACE OF PARADOXES

2021 ◽  
Author(s):  
Lubov Lipych ◽  
Oksana Khilukha ◽  
Myroslava Kushnir
Keyword(s):  
Strategic Management ◽  
Business Models ◽  
Optimal Strategies ◽  
Enterprise Management ◽  
Multidimensional Space ◽  
Strategic Decisions ◽  
Basic Principles ◽  
Ex Post ◽  
New Business ◽  
Effective Use

The expectation of strategic management of the enterprise is an attempt to choose the best strategy. It is established that there are no optimal strategies developed earlier and implemented later. An effective strategy is one that inspires and charges employees with energy: by implementing it, they make it successful. We find out if and to what extent the strategy is successful ex post, after its implementation. A fundamental common feature of successful enterprises is the ability to manage multivectority and paradox. It is substantiated that the paradox of the strategy is that a similar or even the same strategy, well planned and effectively implemented, can bring the company both success and failure. That is, strategies with the best chances of success also carry a high risk of failure. The paradox combines contradictions and is an expression of a cognitive attitude that rejects reductionism, which simplifies reality. Reconciliation of contradictions in business is a fundamental skill and a manifestation of creativity (management as an art). The ability to adaptively search for the ideal balance is called ambidexterity, in the effective use of diametrically different options. The article presents examples of strategic paradoxes faced by the management of enterprises in making key strategic decisions related to development. It is proved that the dualism of paradoxes allows to construct a theoretical multidimensional space of all possible strategies. It includes all completed and implemented strategies, as well as those that have not yet been implemented. The number of possible strategies in such a space is approaching infinity. The introduction of new business models and new strategies can be considered the effect of studying the multidimensional space of strategies. Each new technical or organizational invention may be accompanied by an expansion of this space by adding a new, unknown dimension. It is argued that the multidimensional space of strategic paradoxes is constantly expanding. It is established that the theory of strategic management must constantly solve its main paradox: the use of basic principles (science) and the creation of new solutions (art).

scholarly journals CONCEPTUAL APPROACHES TO DETERMINE THE ESSENCE AND STRUCTURE OF THE STRATEGIC POTENTIAL OF THE ORGANIZATION OF AGRO-INDUSTRIAL COMPLEX

2019 ◽  
Vol 7 (2) ◽  
pp. 180-186
Author(s):  
A.I. Doschanova ◽  
O.V. Mishulina ◽  
N.A. Baranova ◽  
G.K. Dambaulova ◽  
N.S. Gorelova
Keyword(s):  
Strategic Management ◽  
Scientific Article ◽  
Industrial Complex ◽  
Scientific Methods ◽  
Theoretical Approaches ◽  
Analysis And Synthesis ◽  
Huge Impact ◽  
Strategic Goals ◽  
General Scientific ◽  
Definition Of

Purpose of study: The aim of the study is to systematize theoretical approaches to the consideration of the nature and structure of the strategic potential of the organization of the agro-industrial complex, since its effective management has a huge impact on the achievement of the organization’s strategic goals of its development and the competitiveness of the organization as a whole. Methodology: The theoretical and methodological basis of the study are the works of foreign and domestic economic scientists, who present approaches to the study of the strategic potential of the organization of the agro-industrial complex. General scientific methods, such as analysis and synthesis, induction and deduction, detailing and generalization, comparison, formalization, analogy, historical, logical and systematic approaches, were used as research tools in the present work. Main Findings: The feasibility of applying an effective target approach to determine the essence of the organization’s strategic potential has been determined. The definition of the strategic potential of the organization of the agro-industrial complex is formulated and its characteristics are determined. The necessity of using the resource-functional approach to determine the structure of the organization’s strategic potential has been proved. Applications of this study: The main provisions of the scientific article are the basis for solving practical problems of improving the management of the strategic potential of the organization of the agricultural and industrial complex and can be used directly by the head in making strategic management decisions that provide economically justified development of the organization in the future. Novelty/Originality of this study: The scientific novelty of the study is to substantiate the theoretical provisions on the essence and structure of the strategic potential of the organization of the agro-industrial complex, aimed at solving the problems of improving strategic management in the agro-industrial complex to improve its efficiency and competitiveness.

scholarly journals Improving the quality of strategic decision-making process in universities through employing expert systems: A case study from a developing country

2022 ◽  
Vol 9 (2) ◽  
pp. 81-94
Author(s):  
Hanaa Ouda Khadri Ahmed ◽  
Keyword(s):  
Decision Making ◽  
Expert Systems ◽  
Developing Country ◽  
Strategic Decision ◽  
Strategic Decision Making ◽  
Decision Making Process ◽  
Strategic Decisions ◽  
Strategic Goals

Strategic decisions represent the fundamental core of the strategic planning process and strategic management in universities and they are essential in shaping the universities' policies and achieving their strategic goals. Without those strategic decisions, the universities stand unable to achieve their strategic goals and mission; therefore, specialists realized the critical importance of improving the quality of strategic decision-making in the current complex fast-changing environment that its dynamism continuously increases and which is based on the use of cutting-edge information and communications technology (ICT). Undoubtedly strategic decision-making process requires processing a huge amount of information with different robust smart methods and the extensive use of experts knowledge. There are many discussions about the uses and applications of expert systems (ESs), which are evolving rapidly in solving real problems in many fields that require experienced experts with deep sound experiences, and despite these many applications in many different fields and domains. Literature reveals that there is a scarcity of scientific research on how to employ expert systems to raise the quality of strategic decision-making processes in universities. Thus the purpose of the research is to fill this research gap by investigating how expert systems will enhance the quality of the strategic decision-making process in universities. The research design is a case study applied in Ain Shams University as a model of public universities in a developing country. This research makes a new research contribution by suggesting a futuristic proposal for improving the quality of the strategic decision-making process in universities through employing expert systems that are based on the theoretical framework of the research and the results of the field study.

scholarly journals Applying the Heuristic to the Risk Assessment within the Automotive Industry Supply Chain

2017 ◽  
Vol 7 (1) ◽  
pp. 43-49 ◽  
Author(s):  
Daniela Marasova ◽  
Miriam Andrejiova ◽  
Anna Grincova
Keyword(s):  
Risk Management ◽  
Supply Chain ◽  
Automobile Industry ◽  
Risk Identification ◽  
Strategic Decision ◽  
Strategic Factor ◽  
Identification Evaluation ◽  
Key Factor ◽  
The Subject ◽  
Prospective Risk

AbstractRisk management facilitates risk identification, evaluation, control, and by means of appropriate set of measures, risk reduction or complete elimination. Therefore, the risk management becomes a strategic factor for a company’s success. Properly implemented risk management system does not represent a tool to avoid the risk; it is used to understand the risk and provide the bases for strategic decision-making.Risk management represents a key factor for the supply chain operations. Managing the risks is crucial for achieving the customer satisfaction and thus also a company’s success. The subject-matter of the article is the assessment of the supply chain in the automobile industry, in terms of risks. The topicality of this problem is even higher, as after the economic crisis it is necessary to revaluate the readiness of the supply chain for prospective risk conditions. One advantage of this article is the use of the Saaty method as a tool for the risk management within the supply chain.

Understanding how the contextual variables influence political behaviour in strategic decision-making

2014 ◽  
Vol 7 (3) ◽  
pp. 226-250 ◽  
Author(s):  
Said Elbanna ◽  
Ioannis C. Thanos ◽  
Vassilis M. Papadakis
Keyword(s):  
Decision Making ◽  
Strategic Decision ◽  
Strategic Decision Making ◽  
Strategic Decisions ◽  
Empirical Examination ◽  
Content Type ◽  
Political Behaviour ◽  
Practitioner Education ◽  
The Impact ◽  
Practical Implications

Purpose – The purpose of this paper is to enhance the knowledge of the antecedents of political behaviour. Whereas political behaviour in strategic decision-making (SDM) has received sustained interest in the literature, empirical examination of its antecedents has been meagre. Design/methodology/approach – The authors conducted a constructive replication to examine the impact of three layers of context, namely, decision, firm and environment, on political behaviour. In Study 1, Greece, we gathered data on 143 strategic decisions, while in Study 2, Egypt, we collected data on 169 strategic decisions. Findings – The evidence suggests that both decision-specific and firm factors act as antecedents to political behaviour, while environmental factors do not. Practical implications – The findings support enhanced practitioner education regarding political behaviour and provide practitioners with a place from which to start by identifying the factors which might influence the occurrence of political behaviour in SDM. Originality/value – The paper fills important gaps in the existing research on the influence of context on political behaviour and delineates interesting areas for further research.

scholarly journals Optimising pasture and grazing management decisions on the Cicerone Project farmlets over variable time horizons

2013 ◽  
Vol 53 (8) ◽  
pp. 796 ◽  
Author(s):  
Karl Behrendt ◽  
Oscar Cacho ◽  
James M. Scott ◽  
Randall Jones
Keyword(s):  
Simulation Model ◽  
Strategic Decision ◽  
Stochastic Dynamic ◽  
Economic Returns ◽  
Strategic Decisions ◽  
Trade Offs ◽  
Using Data ◽  
Time Frames ◽  
The Impact ◽  
Stocking Rates

This study addresses the problem of balancing the trade-offs between the need for animal production, profit, and the goal of achieving persistence of desirable species within grazing systems. The bioeconomic framework applied in this study takes into account the impact of climate risk and the management of pastures and grazing rules on the botanical composition of the pasture resource, a factor that impacts on livestock production and economic returns over time. The framework establishes the links between inputs, the state of the pasture resource and outputs, to identify optimal pasture development strategies. The analysis is based on the application of a dynamic pasture resource development simulation model within a seasonal stochastic dynamic programming framework. This enables the derivation of optimum decisions within complex grazing enterprises, over both short-term tactical (such as grazing rest) and long-term strategic (such as pasture renovation) time frames and under climatic uncertainty. The simulation model is parameterised using data and systems from the Cicerone Project farmlet experiment. Results indicate that the strategic decision of pasture renovation should only be considered when pastures are in a severely degraded state, whereas the tactical use of grazing rest or low stocking rates should be considered as the most profitable means of maintaining adequate proportions of desirable species within a pasture sward. The optimal stocking rates identified reflected a pattern which may best be described as a seasonal saving and consumption cycle. The optimal tactical and strategic decisions at different pasture states, based on biomass and species composition, varies both between seasons and in response to the imposed soil fertility regime. Implications of these findings at the whole-farm level are discussed in the context of the Cicerone Project farmlets.

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