Strategic management: theoretical approaches, functions and principles. Approaches to the process of developing and implementing strategy
The collective monograph reflects the most important results of the first stage of fundamental scientific research carried out at the Faculty of Economics of St. Petersburg State University at the Department of Management and Planning of Social and Economic Processes in 2011–2012 (state registration number 01201259001). It is devoted to the fundamental problems of the formation and development of a strategic management system at the federal and regional levels. For a wide range of researchers, academics, specialists in the field of state and regional administration, teachers, graduate and university students, as well as experts and practitioners involved in the development of the most important strategic directions at various levels of the territorial administration system. The book was prepared by a team of authors under the scientific supervision of Yu. V. Kuznetsov, Honored Worker of Higher Education of the Russian Federation, Doctor of Economics, Professor, Head of the Department of Management and Planning of Socio-Economic Processes, Faculty of Economics, St. Petersburg State University.
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The given introductory fragment of the book State strategic management (team of authors, 2014) provided by our book partner - the company liters.
The main directions of development of the theory of public administration as a methodological basis for the analysis of the existing system and directions for modernization of public strategic management in Russia
1.1. The importance of management to ensure the effective development of socio-economic systems
In modern conditions of development of the world economy, characterized by growing processes of globalization, growing competition between countries, regions, growing pressure from external development factors - on the one hand, as well as the ongoing change in the vector of economic growth, increasing uncertainty in the prospects for the development of the world economy, the importance of managing socio-economic processes increases significantly.
As an analysis of the evolution of state and intra-company management shows, the change in management paradigms occurred precisely as a result of the growing inadequacy of their constituent theories, concepts, methods, and tools to the ongoing changes in the global economy.
“It is the management resource as an integral intellectual resource that is becoming decisive today. Its incomplete or distorted use leads to stagnation of social development, is a brake on progress, brings disorganization and innumerable troubles to the national and personal security of citizens. For a number of reasons, this resource of society (managerial) is still frozen, although, along with the “human” one, it is decisive. Revealing it is a task of paramount importance” 1 .
The evolution, logic, lessons and experience of the development of the world's complex socio-economic systems confirm the decisive importance of management to ensure high rates of their growth and effective, competitive, advanced development. “The main potential of the country in its rapid development is the management resource as intellectual wealth. Therefore, the problem of finding effective ways and forms of using the managerial resource of a country, society, or organization today is objectively put forward among the priority and most pressing issues of management theory” 2 .
Developed countries have accumulated a wealth of experience in state and intra-company management in a market economy, which has allowed them, to varying degrees, to achieve significant success in competitive development. However, the transformation of the economies of developed countries that took place at the turn of the 20th and 21st centuries, which led to the financial and economic crisis of 2008–2009, the ongoing stagnation processes in the economy, and the re-deepening of interregional inequality that began for the first time after a long period of reduction indicate the need to find approaches to the formation of a new paradigm. management of states and regions.
The Russian Federation has significant experience in public administration in an administrative-command system; public administration as an area of scientific research in a market economy has begun to develop rapidly since the early 90s of the twentieth century, but the search for an effective management paradigm at the initial stage of the formation of a market economy continues.
In most developed countries, already in the 70s, a tendency began to form towards a transition to a new, more modern model of public administration, focused on the use of approaches, methods, tools and technologies used in business, in the practice of corporate governance, taking into account the value-oriented approach , while the Russian practice of public administration at the federal and regional levels is still dominated by approaches, methods and tools that were used during the period of the administrative-command system of the economy and do not take into account the peculiarities of development in market conditions, and new approaches and methods are being introduced haphazardly or else exist as scientific studies.
As world practice has shown, the most effective but complex process of scientifically based management of the achievement of sustainability and high development efficiency by organizations, regions and states based on the use of their intellectual management resources is strategic management. Organizations and states that use more effective strategic management systems become leaders, less effective ones move to lower positions, and ineffective ones occupy the position of outsiders 3 .
In Russia, strategic management has historically been the “Achilles heel” of management systems. Strategic management errors have always led to economic inefficiency and major social upheavals.
Today in Russia the mistakes of past periods are being repeated again. The main path of development of control systems is built on the basis of mass direct copying and mechanical translation of foreign methods and techniques.
Meanwhile, foreign methods are far from perfect and, as the experience of numerous major Russian strategic miscalculations has shown, their use also often leads to a sharp deterioration of the situation.
Attention should also be paid to the sharp increase in the instability of the development of corporations - the leaders of the Western economy in recent decades, which, despite the use of Western strategic management methods, cannot prevent internal crises and resist external threats 4. The processes of instability in the development of the world's largest developed economies are also growing.
“Without a strategy, there can be no purposeful movement forward, resources cannot be used expediently, and potential cannot be accumulated. Without it, only marking time is possible in accordance with the tactics of “patching holes,” which is what is happening in Russia today at the national and local levels of government. The trouble with our management (federal, regional and local) is that it works on “short programs”, narrowly utilitarian guidelines, without highlighting strategic priorities, identifying promising development resources and step-by-step measures to solve constantly emerging problems. Many of our troubles are the result of a management crisis lacking modern strategic support and conceptual elaboration. Our lag in this area is much greater than in the scientific and technical sphere" 5 .
“The essence of the managerial revolution carried out in developed countries is that strategic power has ceased to be a privilege of the Center and has become the property of all subjects of management, civil institutions, social organizations, regions, districts, cities, local communities, individual firms and industrial enterprises. A large layer of professional managers has appeared - managers who, in their practice, widely use methods of strategic planning and conceptual thinking, which underlie the development and application of innovative socio-economic and political technologies" 6.
There are two possible options for the development of strategic management in the Russian Federation 7:
Theoretical development of own new concepts and systems;
Direct borrowing and copying of foreign methods and systems.
“The second path is the simplest, but the results are extremely short-lived and insignificant, and those who follow this path become directly dependent on leaders who are developing new management methods. You cannot become a leader without providing leadership in methods and systems of strategic management” 8.
A barrier to the strategic process is also the insufficient level of training and lack of knowledge of strategy developers and employees implementing them. Even with strong motivations, knowledge deficits prevent the development and implementation of successful strategies. Many managers mistakenly believe that their experience replaces their knowledge. But in the modern economy, only new knowledge creates conditions for the development of innovative strategies 9.
In the context of global and fundamental social changes, management development strategies cannot be created based on traditional universal human ideas and values, and stereotypes of thinking. They require the development of new scientific and ideological approaches that correspond not only to modern realities, but also to the expected development prospects in the third millennium.
1.2. Organizational and methodological scheme for studying the current state and directions of modernization of state strategic management in Russia
The categorical apparatus of the theory of public administration is extremely diverse. This is due to the wide list of functions performed by the state, methods used, spheres of the economy and social life that are subject to state regulation, theories and concepts of public administration, etc. Because of this, it is necessary to develop a systematic understanding of the main categories and concepts of public administration in their interrelation, to reveal their essence and content. Based on a systematic approach, four large blocks can be distinguished for the study of public administration: subjects of public administration, its methodology, functions and objects. In the context of considering the structure of these blocks, it is possible to reveal the features of public administration, the place and content of the categories of public administration, and justify the need for reforms of state power as an integral stage of modernization and the introduction of management innovations into the public administration system. In our opinion, this allows us to systematically consider the main theories, concepts, models of public (including regional) management, the main approaches and paradigms of strategic management and the features of their application at the state level, features, approaches and indicators for assessing the effectiveness of public administration, etc.
In Russia the main subjects public administration are: the President and his staff; at the federal level - legislative (Federal Assembly: Federation Council and State Duma), executive (federal ministries, services, agencies), judicial bodies of state power; state organizations; government bodies of the constituent entities of the Federation. In addition, according to the Constitution of the Russian Federation, “the only source of power in the Russian Federation is its multinational people” 10.
Opening the second block - methodology public administration, it is necessary to focus on its main elements: methodological principles of public administration, methods of public administration, the process (stages) of public administration, as well as a system of indicators.
Methods Public administration is traditionally divided into the following groups: direct and indirect, as well as administrative and economic. Depending on the interpretations, different authors classify certain methods into different groups. In this work, as will be shown in one of the following sections, the main direct administrative methods include the following: development of regulations, licensing, quotas, sanctions, etc. The group of direct economic methods includes: antimonopoly policy, price regulation for certain types of goods, establishing a minimum wage, tax policy, etc. Indirect economic methods, for example, include the following: government forecasting, indicative planning, target forecasting, monetary, foreign exchange, social, foreign economic policy, etc.
Preference for certain groups of methods, as well as the features of their implementation, are closely related to the concept of public administration in a particular country in a given period. It should be noted that it is important not so much to assign methods of public administration to one group or another, but rather to use modern tools that are adequate to the external and internal environments, as well as the implemented public policy.
Talking about principles public administration, it is necessary to note their diversity. In this work, we will focus on the basic principles from the point of view of modernizing public strategic management. We include these as: the principle of scientific validity and efficiency, the principle of flexibility and adaptability, the principle of active management, the principle of synergy, etc.
Subsequence stages the process of public strategic management depends both on the implemented model of public administration and on the characteristics of the management object. In general terms, the following stages can be distinguished: determination of priorities, goals, tasks of public administration, justification of the need, the need for government intervention, selection of forms and methods of public administration, determination of necessary resources, development of forecasts, plans, projects for the implementation of proposed activities, control , monitoring, performance evaluation, making adjustments and much more. It should be noted the particular importance of the process approach in management and the need to take into account all possible consequences of decisions made.
Development indicator systems public administration is closely related to the problem of increasing the efficiency of public administration, which is given increased attention in this work. In general, the system of indicators itself can be divided into two groups: the system of indicators used in process of state planning and control progress in achieving planned indicators, as well as a system of indicators assessing the effectiveness of public administration. The second group includes modern indicators and methods: results-based budgeting, the balanced scorecard system, the World Bank’s method for assessing the effectiveness of public administration and a number of others. The creation of a balanced, interconnected system of indicators, reflecting as fully and reliably as possible all aspects of the development of socio-economic systems, which allows assessing the effectiveness of public administration, is one of the most important and difficult tasks. In addition, expanding the range of effective management methods is one of the priority areas for the transition to a modern concept of public administration.
Functions public administration is extremely diverse; among the main ones, by analogy with general management, one can distinguish state strategic planning, state control, state organization and a number of others, for example, the function of coordination and stimulation.
Particular attention should be paid to the function state strategic planning. This is due to several reasons. Firstly, the modern concept of public administration is associated with the introduction of a managerial approach to public administration, adaptation of approaches and methods of strategic management. It is aimed at increasing the efficiency of public administration, involves the use of the achievements of modern management at the state level, the introduction of management innovations in public administration, expanding the list of methods used, focusing on the person as a client, etc. The implementation of this concept involves, among other things, carrying out reforms of the system of public authorities, vesting them with new powers and responsibilities, etc. The result should be the modernization of the public administration system. Since strategic planning is one of the main functions of strategic management, it is necessary to analyze the chain strategic management – state strategic management – state strategic planning.
Secondly, the current situation in Russia in the field of state strategic management and planning is characterized by vagueness and sometimes confusion of basic concepts, which will be shown in one of the following sections. Therefore, it is necessary to consider the approaches and paradigms of strategic management implemented at the state level, the features of state strategic management and planning.
The government also plays an important role control . It can be divided into political and social, depending on the subjects of control, etc. It should be based on the system of indicators indicated above.
Function organizations in public administration is designed to structure the system of public power, involves determining the form of government, the administrative-territorial structure, the political regime, determining the powers, duties, responsibilities of all subjects of public administration, forms of direct and indirect participation in public administration. Also, the organization function plays a special role when carrying out administrative reforms.
Objects public administration - those on whom (what) the management influence is directed by government bodies. They can be divided into two large groups: objects of national government and objects of state regional management. In turn, regional governance is divided into regional governance by the federal authorities (external) and directly regional governance carried out by government bodies of the constituent entities of the Federation (internal).
In the context of general government, the work examines models of government regulation, concepts of public management, including strategic management, etc. From the point of view of regional management, attention is paid to the features of regional policy, theories of regional development, theories of spatial development, etc.
The main categories of this research work are the concepts of “state regulation” and “public administration”. Despite the fact that the definition of the role of the state occupied most of the research of various economic schools, the concept itself never acquired a precise, established meaning; in modern literature there is still debate about the exact definition of these terms 11 .
Considering the essence and main differences between the concepts of “state regulation” and “public administration”, we will highlight the characteristic features of the modern consensus model of public administration (public management).
So, regulation is the direction of development, the movement of something in order to put the system in order. That's why interpreted as the degree of government intervention in economic life.
The most general interpretation of state regulation traditionally defines it as “a system of legislative, executive and control measures carried out by state and public organizations in order to stabilize and adapt the socio-economic system to changing conditions” 12 .
Rice. 1.
Organizational and methodological scheme for studying public administration processes
State regulation is a fairly broad concept, so it is advisable to highlight its key elements. It can be generalized that government regulation includes 13:
Regulation of economic life, which forms the legislative basis for business entities, defining their rights and obligations, the extent of mutual responsibility, including the introduction of prohibitions;
Formation of organizational and economic structures that ensure control over compliance with legislative norms, as well as servicing economic relations;
Development of socio-economic policy, determination and effective application of mechanisms for its implementation - the actual regulation of socio-economic processes.
To denote the role of the state in the economy, different terms are used: “state intervention in the economy”, “state regulation of the economy”, “state economic policy”, etc.
State (public) policy(Public Policy) is a system of goals, objectives, principles and priorities, programs and planned activities developed and implemented by government authorities and public institutions. It is a purposeful activity of government bodies that forms a political course ( Policy), and at the same time a product of the political system and processes ( Politics).
As subjects regulation are government bodies, government organizations, social institutions, groups of people and individuals who carry out regulatory influences - making decisions, organizing their implementation.
There are two types of subjects of state regulation: direct and main. The direct subjects are: a) at the macro level - the state with its inherent institutions - legislative bodies, the president and his apparatus, executive authorities - the Government of the country; b) at the level of constituent entities of the Russian Federation - the corresponding representative and executive authorities. The main subject is its multinational people, who elect their representatives to government bodies.
The objects of regulation are all social institutions, organizations, groups of people and individuals that experience regulatory influences and respond to them in the course of their direct activities.
Various sources have different approaches to defining the concept public administration. For example, public administration is considered as “a system for making political and administrative decisions that are implemented with the help of the administrative-state apparatus” 14. Often this term is interpreted as “the activity of the executive body to influence the control object in order to transfer it to the state necessary to achieve the goal of the corresponding territorial entity, through the adoption of legal acts, organization and control of the implementation of these acts and acts of legislative authorities” 15.
It is advisable to take as a basis the following definition government controlled Public Administration is a term usually used to refer to the professional activities of government officials (usually unelected) or all activities aimed at implementing government decisions.
Public administration(in UN terms) - the process of achieving national goals and objectives through government organizations.
Thus, in fact, under public administration refers to the management activities of government bodies and officials. Public administration, ideally, is a rationally organized structure designed for the effective implementation of public policy.
Having defined the concepts of “state regulation” and “public administration”, it is necessary to dwell on the differences in these terms. First of all, it should be noted that there are different approaches to highlighting differences in their formulation.
One of the common points of view of researchers is that public administration is a broader concept than state regulation and includes the entire set of management functions (goal setting, analysis, forecasting, planning, programming, organization, stimulation, adjustment, accounting, control). From this list, regulation itself to a certain extent includes analysis, forecasting, stimulation, adjustment, and control 16 . This is confirmed by the widespread classification of regulation as one of the management functions. Accordingly, we can conclude that public administration relies on the entire range of methods, including direct administrative and indirect economic ones, while state regulation operates with indirect, stimulating methods.
On the other hand, the objects of state regulation are, among other things, independent organizations and business entities. They make independent decisions and may experience regulatory influences from the state rather than full management ones.
Thus, it seems appropriate to talk not about which of the concepts is narrower or broader, but to define the essence and main elements of each of them, which was done at the beginning of the chapter.
1.3. Research by Russian and foreign scientists on the problems of the current state and directions of modernization of state strategic management
To analyze a complex socio-economic process, such as state strategic management at the federal and regional levels, it is necessary to use interdisciplinary approach, which involves the use of scientific principles and research methods of such sciences as political science, sociology, world economics, public administration, general management, strategic management, organization theory, economic theory, new institutional economic theory, spatial economics, regional economics, regional statistics, economic geography and etc.
This made it necessary to use the works of Russian and foreign scientists on the theory and problems of public administration, economics of the public sector, modernization of the Russian economy, economic theory, new institutional economic theory, theory of industry and regional markets, management and strategic management, organization theory, competitiveness, strategic planning, new methods of state and regional management, spatial and regional economics, politics and management.
The general theoretical foundations, structure and content of the main categories, interpretation of the concepts of “public administration”, as well as the methodology of public administration are studied in the works of B. A. Raizberg, V. Kirichenko, A. I. Radchenko, G. V. Atamanchuk, A. N. Petrova, M.I. Knysh, V.I. Kushlin, N.A. Volgin, N.I. Glazunov, T.G. Morozova, A.V. Pikulkin and many others.
Among the main developers of the strategic management and planning system are I. Ansoff 17, M. Porter 18, D. Miller, J. Schumpeter, R. Simons, R. Ackoff 19, G. Simon, M. Meskon 20, M. Albert 21, F. Khedouri 22, G. Mintzberg, A. Strickland 23, A. Thompson 24 and others. These scientists consider a wide range of issues related to the development and implementation of an organization’s development strategy in modern conditions. They laid down the basic theoretical concepts of strategic management, and also identified its key components.
It should be noted that many works are devoted to issues of state strategic planning (for example, studies by B. N. Kuzyk, V. I. Kushlin, Yu. V. Yakovets, A. N. Mitkin, D. S. Shmerling, B. A. Raizberg etc.).
Domestic scientists such as L. I. Abalkin, A. G. Aganbegyan, E. V. Afanasyev, V. R. Vesnin, O. S. Vikhansky 25, G. Ya. Goldstein, A. L. Gaponenko 26, A T. Zub 27, Yu. V. Kuznetsov 28, A. N. Lapin, V. D. Markov 29, Yu. A. Malenkov 30, A. I. Naumov 31, R. A. Fatkhutdinov 32 and others, In their works they reveal current problems of forming a system of strategic management of an organization in the conditions of modern Russia and raise the question of the need for strategic management at the state and regional levels.
Research in the field of regional strategic management was carried out by D. S. Lvov 33, A. G. Granberg 34, M. E. Dmitriev 35, B. S. Zhikharevich 36, D. Yu. Lapygin 37, T. B. Ivanova 38, O V. Kolomiychenko 39, V. E. Rokhchin 40, I. A. Kovaleva 41, A. Shvetsov 42, L. S. Shekhovtsova 43, I. I. Tokarenko 44, A. S. Popova 45, L. V. Pertsov 46, O. M. Roy 47, A. Yu. Selin 48 and other scientists. Research into the state of analytical work carried out in the course of strategic management of the development of Russian regions was carried out by O. V. Kolomiychenko, V. E. Rokhchin, M. Yu. Makhotaeva. A. G. Granberg 49, V. E. Seliverstov 50, V. I. Suslov, S. A. Suspitsyn and others made a great contribution to the development of the instrumental part of regional strategic planning.
A significant contribution to the development of the theory of strategic regional management was made by famous domestic scientists L. I. Abalkin, A. G. Aganbegyan, O. T. Bogomolov, P. G. Bunich, A. G. Granberg, T. I. Zaslavskaya, V. V. Ivanter, L. V. Kantorovich, V. V. Kuleshov, D. S. Lvov, L. E. Limonov, B. S. Zhikharevich, V. L. Makarov, V. A. Martynov. We also note the works of R. A. Fatkhutdinov, who recommends using 20 scientific approaches to improve the quality and efficiency of strategic decisions: “systemic, logical, reproductive-evolutionary, innovative, comprehensive, global, integration, virtual, standardization, marketing, exclusive, functional, process, structural, situational (variant), normative, optimization, directive (administrative), behavioral, business" 51 . The more expensive the object, the author points out, “the greater the number of scientific approaches used and the depth of their elaboration should be” 52 .
Many authors make attempts to apply management concepts to state and regional strategic management. Thus, the issues of performance-based management in the system of public strategic management were studied by Y. D. Clark 53 , G. Swain 54 , R. S. Kaplan 55 , D. P. Norton, E. I. Dobrolyubova 56 , A. M. Lavrov 57 , K. B. Malkov 58, S. M. Shapiguzov 59, A. K. Sinyagin 60, A. I. Sotov 61, A. Piri 62 and others.
The problems of development of the concept of public management and the possibility of its application in Russia are considered in the works of scientists of the Institute of State and Municipal Management of the National Research University Higher School of Economics I. N. Bartsits, G. L. Kupryashina, D. B. Tsygankov, N. N. Klishch and etc.
Among foreign scientists working on issues of modernization of public administration in different countries, one can particularly highlight N. Parison, the World Bank's chief specialist on public administration, whose research is devoted, among other things, to government reforms in Russia. Also of interest are foreign sources on this issue, the authors of which are A. Harberger and D. Gwartney et al.
In recent years, attention has been paid to the analysis of the application of methods developed for intra-company management in public administration. Discussion of the problems of introducing performance management mechanisms into the activities of public authorities has become quite widespread in the scientific literature. In particular, the works of E. I. Dobrolyubova, M. G. Reshetnikov, N. V. Ageeva and others discuss the effectiveness of implementing results-based management, features of the organization of planning a system for assessing the efficiency and effectiveness of activities, the possibilities and limitations of automating processes and procedures results-based management.
The specifics of problems and technologies of results-based management in the exercise of powers of government bodies are considered in the studies of A. V. Klimenko, E. V. Berezdivina, N. D. Balashov, V. N. Yuzhakov.
O. V. Aleksandrov in his research highlights a number of issues related to the peculiarities of the analysis of management problems based on results and levels of responsibility. The works of E.V. Berezdivina, N.V. Ageev, V.N. Yuzhakov and others are also devoted to these same issues.
However, these studies show that at the moment the implementation of results-based management faces a number of problems; simple copying of foreign experience does not always lead to an increase in the efficiency of public administration. Therefore, one of the directions for further research could be an analysis of the influence of Russian specifics and ways to solve emerging problems, the main ones of which will be described below.
The works of N. M. Gusev 63 , G. B. Medvedev 64 , V. F. Eliseenko 65 , K. I. Golovshchinsky 66 , A. L. Gaponenko 67 , M. H. Mora 68 are devoted to the problems of applying benchmarking to public strategic management and etc.
In the field of state and regional strategic management in Russia, some theoretical and practical groundwork has been accumulated, which is supported by a number of monographs, articles in leading economic journals and dissertations on this issue. However, publications are often unsystematic; works of a descriptive nature predominate on the experience of developing a particular strategic document; there is a wide variation in the conceptual apparatus; Many conceptual issues have not been resolved. All this has led to the need for a new comprehensive and systematic study in the field of state and regional strategic management.
Theories of modernization appeared in the middle of the 20th century in various areas of social life. The economic aspects of modernization are reflected in the works of M. Weber, E. Durkheim, O. Comte, A. Toynbee, A. Toffler, S. Eisenstadt and others. W. Beck, E. Giddens, R. Inglehart, M. Levy, G Myrdal, T. Parsons, F. Peru, P. Rosestein-Rodan, A. Touraine, E. Hagen, P. Sztompk created scientific works that contain a study of the causes and consequences of catching up and dependent development of countries, as well as an analysis of the concepts of neo- and postmodernization.
A detailed description of the stages of evolution and levels of modernization of the Russian economy was given by E. T. Gaidar, G. B. Kleiner, Yu. V. Latov, V. L. Makarov, E. G. Yasin and others.
In scientific research, the authors reveal various aspects of modernization. Thus, the following researchers raise the issues of institutionalization of modernization processes in their works: J. Buchanan, A. A. Auzan, D. S. Lvov, D. North, R. M. Nureyev, V. Polterovich 69, V. Radaev, A. G. Barabashev 70, A. V. Klimenko 71, V. L. Tambovtsev, A. E. Shastitko and others; issues of economic evolution and technological progress are revealed by S. Yu. Glazyev, N. D. Kondratyev, S. Kuznets, R. Solow, D. Forrester, Yu. V. Yakovets and others; problems of innovative and competitive development were studied by P. Drucker, J. M. Clark, M. Porter, J. Stigler, G. Hamel, J. Schumpeter and others.
In recent years, a number of works have appeared that examine modern problems of modernization of the Russian economy, and concepts of modernization have been developed; their authors are L. I. Abalkin, A. Aganbegyan, A. I. Amosov, E. Sh. Gontmakher, V. A. Mau, V. M. Polterovich, V. V. Popov, V. T. Ryazanov, A Y. Rubinshtein, L. S. Shekhovtseva, K. A. Yudaeva, etc.
The existence of problems in the Russian Federation related to the functioning of strategic management institutions, including public institutions, was drawn attention to in the scientific reports of the Institute of Economics of the Russian Academy of Sciences: “In the Russian Federation, secretly making strategically important decisions is practiced. The regulations of the Russian legislative bodies do not provide for public discussion of long-term projects and programs. There is no law or at least official regulation on the procedure for public discussion of the budget and its distribution for the implementation of national projects and targeted programs of important social and economic importance. The goal for the future is to restore Russia's status as a world economic power. This task is impossible given the current degree of lag in the development of public institutions for strategic planning and management” 72.
The monograph written by scientists from the Institute of Economics of the Russian Academy of Sciences 73 provides recommendations for developing strategic directions for Russia's development. In the section devoted to organizational resources of economic growth, the main attention is paid to the mechanism and functions of public administration: “To implement radical changes in society and decisive economic transformations in Russia, a management system adequate to them is necessary.” The work specifically notes that in most developed countries, the current public administration reforms are aimed at reassessing the role and responsibilities of ministries and other government bodies, eliminating conflicts of interest, creating rules that ensure transparency in lawmaking and the movement of state assets, as well as improving judicial systems, development and enhancement of the role of local authorities, the fight against corruption, etc. The recommendations given in the monograph, despite the fact that it was written in 2004, at the beginning of administrative reform in Russia, are still relevant today: “ This system should be aimed at overcoming the following shortcomings in the organization and activities of the executive branch:
Low performance discipline;
Reluctance to take responsibility;
Complicated approval procedure;
Low qualification of personnel.
The main difficulty in stimulating highly effective managerial work is that the level of its compensation is in no way related to results. Until now, there has been no serious attempt to link federal government pay to performance. As a result: a) the number of federal executive authorities increases; b) the number of leadership positions is growing; c) the number of structural units is increasing - departments, directorates, departments in ministries and departments. The transition from a planned administrative to a market economy led to an almost doubling of the number of ministries and departments. It is fundamentally important to provide a scientific approach to creating an effective management system" 74 . The main goal of the administrative reform - improving the quality of work of the state apparatus, reducing administrative barriers and reducing the level of corruption - has not been achieved to this day.
In the work of the head of the department of the Higher School of International Business of the Academy of National Economy under the Government of the Russian Federation, professor of the Russian School of Economics V.V. Popov, the achievements and failures of developing countries in relevant areas of economic policy are critically analyzed, world experience is generalized, and recipes for solving pressing problems of economic and social development are proposed 75 . The study is based on an analysis of national development strategies set out in UN developments 76 . Using cross-country calculations based on the use of econometric models, the author concludes that in developing countries and transition economies, the success of reforms (measured by the dynamics of macro indicators) does not primarily depend on the degree of liberality of economic policy and democracy of the political regime; the key role is played by the quality of government and public institutions. Also worthy of attention is the conclusion that “the success of catch-up development has always been associated with the active participation of the state.”
One of the recent concepts of economic modernization that deserves attention is the concept of V. M. Polterovich “System of interactive growth management,” which includes the rationale for such strategic regulation measures as 77:
Borrowing Western technologies (not always advanced);
increasing the country's absorption capacity;
balanced openness policy Russia;
self-restraint of the elite and tax policy measures;
Creation and support of projects, not companies (interactive growth management system).
“Creating a system for interactive growth management” - SIUR, includes three components:
National innovation system,
Economic policy coordination;
Interactive planning.
In accordance with the author’s concept, “SIUR is a system of institutions that ensure interaction between the state, business and society in order to implement large-scale projects for the modernization of production and development of territories” 78 .
Interactive planning, one of the main components of the concept, is based on the following four basic principles 79 .
Firstly, development plans are formed on the basis of projects for the modernization of sectors and regions, developed in the process of dialogue between federal and regional administrations, business associations and representatives of civil society.
Secondly, the planning process is continuous, “sliding”, so that by the beginning of each year a system of interconnected long-term, medium-term and short-term plans is developed. This is an important point, since in Russia for several years now there has been a general fashion for various kinds of long-term strategies and concepts, but no one is seriously engaged in medium- and short-term planning. “Long-term programs without five-year and annual plans become a set of good wishes, not backed by resources, not coordinated with business,” notes Viktor Polterovich. “Industry strategies are poorly connected with regional developments and federal policy, are not accompanied by serious calculations, are not supported by specific projects, and as a result are not implemented.”
Third, the implementation of plans is achieved not through administrative coercion, but through market incentives and within the framework of market mechanisms.
Fourth, the state, together with business, participates not only in the selection and implementation of projects, but also in their initiation. For this purpose, it is proposed, in particular, to create a Federal Agency for Interactive Planning, whose activities should be based, on the one hand, on regional planning agencies, and on the other, on a system of expert commissions, including representatives of the administration, trade unions, consumer associations and industry business associations . “There are two possible ways to form a system of interactive growth management,” emphasizes Viktor Polterovich. – The path from above is based on the adoption of relevant federal laws. The path from below is conceived as the creation of regional development agencies with the subsequent formation of a Federal Agency. The second way is apparently more realistic and less risky” 80.
A key document that deserves special attention and consideration when conducting further research is the Concept “Strategy 2020: New Growth Model – New Social Policy”. This is due to the fact that the main attention when analyzing the concepts of socio-economic development of Russia should be paid to the current state concept of long-term development of the Russian economy until 2020, which is an official document and guideline for making long-term strategic decisions and, unlike a number of other concepts, contains section on improving public administration.
The document is an interim report summarizing the work of the expert group on current issues of the socio-economic development strategy of Russia until 2020, which included leading scientists from the Higher School of Economics and the Academy of National Economy. The report “Strategy 2020: New Growth Model – New Social Policy” 81 examines many current directions for modernizing the economy and social sphere of Russia, including public administration. However, the draft Concept 2020 does not mention the need for a strategic direction of management.
Based on an analysis of developments on the comprehensive modernization of the socio-economic development of Russia, it can be stated that today there are a number of different approaches to the problem of modernizing the socio-economic development of Russia, including the problems of modernizing government regulation and management and its individual components - policies in the field of industry, innovation, social sphere, etc. The dominant approaches to developing a modernization strategy are: “institutional modernization” and “project approach”; there are also discussions about the application of the concept of “catch-up development” or the concept of “development at the technological frontier”. The works present the advantages and disadvantages of various approaches, but a unified concept of modernization that takes into account the specifics of the current state of public strategic management in Russia has not yet been developed.
The main drawback of existing developments for modernizing the socio-economic development of Russia is the lack of indications of the need to use methods and tools of strategic management, while many of the goals and objectives put forward in them cannot be achieved without the application of the principles of strategic management, the development of interrelated strategic plans, as well as measures for their implementation.
Based on the analysis of research in the field of public administration and related sciences, the following conclusions can be drawn.
1. The concept of strategic management is currently developed for the management of organizations, mainly for corporations.
2. In the works of foreign and Russian scientists, much attention is paid to the analysis of the “concept of public management” and the problems of its implementation in practice, but there are no systematic developments on the application of strategic management technology to public strategic management.
3. The reviewed works contain important theoretical, methodological, methodological and practical developments related to the improvement of public administration, including regional management, which must be used in the formation of the concept of public strategic management. At the same time, they do not sufficiently reflect issues related to strategic approaches to managing the state and regions, and there are practically no comprehensive studies that consider the entire system of methods, approaches, and strategies for modernizing state strategic management, which necessitates the need for systematic research in the field of strategy modernization of management in general, including in the Russian Federation, both at the level of the national economy and individual regions.
1.4. Stages of formation of the theoretical and methodological basis of public administration
The achievements of public administration science, including many approaches and concepts (structural-systemic, neo-institutionalist, cybernetic, managerial, network, synergetic, postmodern, etc.), have been developed and studied today by scientists from many disciplinary areas 82 . Many scientific works are devoted to the history of the development of management thought. Based on the analysis of research on the history of management, four main stages in the formation of the theoretical and methodological foundations of public administration can be distinguished:
Stage 1 – the last decades of the 19th century – the beginning of the 20th century;
2nd stage - from 1910 to 1950;
3rd stage - from the beginning of the 50s to the end of the twentieth century;
Stage 4 – from the beginning of the 21st century to the present.
Each stage was distinguished by the existence of dominant approaches to the problems of public administration, the existence of dominant theories, concepts, and the existence of national schools of management. The essence and content of each stage of management are presented in table. 1.
Analyzing approaches, theories and concepts of public administration, one can note a significant influence on their content and the desire to use the most effective methods of organization and management, borrowed from business and corporate management systems. The rapid development of corporate governance has always influenced the evolution of management thought and, as a consequence, the formation of models of public administration.
Table 1
Stages of formation of the theoretical and methodological basis of public administration 83
This can be traced by analyzing the sequence of development of theories of public administration and the main characteristics of scientific schools of management, presented in Table. 2.
table 2
Evolution of scientific schools of management and management models 84
Based on an analysis of the history of the development of management thought, we can conclude that with a change in the conditions of economic development, there is a change in management paradigms that differ in theories, concepts, and approaches. The dominant approaches, characteristic of both state and intra-company management, were: administrative, managerial, institutional, competitive.
In accordance with the dominant approaches in public administration, it can be stated that during the 20th century there was a consistent change in management paradigms, which can be preliminarily defined by the content of the dominant approaches as administrative, managerial (managerial approach), institutional, competitive. In countries with different levels of socio-economic development, these paradigms dominated in different periods, in different sequences.
Taking into account the trends in the development of state and intra-company management in the modern period, the peculiarities of the development of the world economy, it can be assumed that the dominant paradigm for the development of management in the countries of the world will become strategic. The theory of strategic intra-company management (strategic management) is key, explaining and predicting the prospects for the development of companies in a market economy, has more than 40 years of history and is developing dynamically, while the theory of strategic public management is only in the stage of formation, searching for basic principles , patterns, approaches, management methods.
1.5. Development of theories and concepts of public administration
Currently, there are two competing approaches to the organization of the state: centralized (A State-Centric Approach) and decentralized (A Decentered Theory of Governance or Decentering Governance), which underlie two competing management paradigms: bureaucratic and managerial 85 .
For a long time, the best way to organize management was considered to be the model of “rational bureaucracy” by M. Weber, who at the beginning of the twentieth century substantiated the model of the ideal form of administrative organization. According to the scientist, the bureaucratic organization in terms of accuracy, consistency, and reliability is superior to other forms of constructing a management system. However, in the late 70s and early 80s of the twentieth century, active reforms of the public administration system were observed in foreign countries (from the countries of Southeast Asia to the American continent). They differ both in the type of political system and in the level of development. These transformations continue to this day and pursue ambitious goals: governments, in the course of reforms, redefine the role and tasks of the state, its relations with citizens and public institutions. They are based on the bureaucratic and managerial paradigms in management, respectively. The main existing concepts of public administration and their content are analyzed in table. 3.
Table 3
Evolution of concepts and content of ongoing public administration reforms in the 20th–21st centuries 86
Despite the presence of many supporters of the bureaucratic paradigm, recently the ideas of entrepreneurial management have increasingly penetrated into the sphere of public administration. They are based on management methods of private companies (for example, reengineering of business processes in government agencies - periodic revision of functions and established ways of solving problems, “new reporting”, changes in performance assessment, etc.).
Public Administration is giving way to Public Management. Accordingly, bureaucracy in theory (but not in practice) recedes into the background. Authors usually define managerialism as a combination of the following components. 90
1. Customer Focus, including expanding the area of responsibility of state institutions due to new areas of needs of citizens that were not previously included in the area of responsibility of the state. Government organizations conduct essential operations to meet customer needs. They use market dynamics—that is, competition and customer choice—to create an incentive for employees to think about the customer first.
2. Market assessment of the efficiency of government agencies, where achievement of results is assessed rather than compliance with requirements. They modernize budget, personnel, supply chain, giving organizations the freedom to carry out their missions; reorient control systems to focus on identifying and solving problems; remove provisions that hinder innovation; deregulate those organizations that are financially dependent on them, such as lower levels of government. Personal responsibility for the quality of work is established through the assessment of performance results using modern methods.
3. Privatization of many areas of activity of government agencies, when government functions are transferred to private organizations, usually through contract. Over the past decade, some countries have experienced some difficulty in introducing methods of privatization of public services, where a private monopoly could become even worse than a public one. Nevertheless, this is an integral element of increasing the efficiency of public administration and the transition to a new model.
4. Decentralization of management, which is expressed in the intensification of the activities of local authorities, as well as in the increased use of the potential of non-state institutions to ensure the implementation of state policy goals. In addition, power is increased, empowerment is expanded so that they can make their own decisions and resolve more problems that arise for them. By reducing staff and empowering lower-level employees, public management increases accountability for achieving results.
5. Expanding the range of methods, which can be used for effective management. Thanks to this concept, such a management tool as strategic planning. In the 70–80s of the last century, such methods such as political analysis, programs for solving priority problems, monitoring the execution of reports, financial management and electronic data processing, that is private sector methods aimed at reducing costs and controlling expenses.
6. Increasing budget transparency with costs tied to the results of activities, and not to the resources used. The results should be presented in the form of quantitative indicators of efficiency and productivity.
Public management is focused on improving organizational effectiveness which includes the following:
Supporting discussions on the rationale for the need and effectiveness of programs and goals between the relevant government bodies to which they report;
Comparison during the implementation of new mechanisms for their optimal effectiveness;
Providing information for monitoring and evaluating the effectiveness and rationality of the actions of government organizations and their programs;
The study of costs and benefits based on clearly defined budgets and expected results of the organization's actions (performance budgeting);
Comparing the effectiveness of similar organizations or similar activities in different organizations and identifying those activities where improvements can be made.
Within the framework of the concept of managerialism, management methods developed in private business penetrate into public administration. These include consideration of the activities of the state as a process of providing services to the population, the development in public administration of such new areas as territorial marketing (land marketing, housing marketing, marketing of economic development zones, investment marketing, tourism marketing), innovation, team management technologies , measurement of achievements (performance management), reengineering of business processes in government agencies (periodic review of functions and established ways of solving problems), “new reporting”. Managerial methods are based on decentralization and delegation of responsibility to independent agents.
The reason for the success in the development of management practices is that progress in the management of economic organizations was stimulated by the benefits that entrepreneurs, owners and managers received from improvements. Unlike the private sector, in the sphere of public administration the interests of the society for the purposes of which management is carried out and civil servants do not coincide. As a rule, officials and employees must work selflessly for the benefit of society; the result of their efforts does not contribute to the improvement of their personal well-being, which is the immediate goal of commercial organizations. Therefore, control technologies here are developing at a slower pace. The commercial sector is almost always more active than the public sector. The advantage of public administration lies in the possibility of borrowing and adapting approaches, management methods, and strategic management for government management at the federal and regional levels, which makes it possible to reduce the development time of this process.
1.6. Interdisciplinary methodological approach and theoretical prerequisites for improving regional management
Any socio-economic process occurs within a certain space, a certain territory. Each territory has its own characteristics: a certain supply of resources, features of historical development, a certain level of socio-economic development. The development of the country and the national economy is the result of the development of the territories that make up the country, the result of the development of each socio-economic process occurring within the territory. Therefore, in order to effectively develop the national economy and minimize the consequences of financial and economic crises inevitable in a market economy, it is necessary not only to regulate the macroeconomic parameters of its development, but also to ensure effective spatial and regional policy, and to take into account the peculiarities of territorial development.
When developing concepts of regional management, it is necessary to pay special attention to interdisciplinary research - the achievements of a complex of sciences that deal with the problems of studying economics, space, and management (Fig. 2).
The most important categories of public administration at the regional level are: mesoeconomics 91, region, regional management, regional policy, patterns, principles, factors of regional socio-economic development, regional strategies, regional risk management, type of region according to the level of socio-economic development, integrated mesoeconomic complex and etc.
The system of methodological and organizational foundations for the development of regions and the formation of a regional economic structure, showing the relationship between the most important categories of regional development, is presented in Fig. 3.
The theoretical and methodological basis of regional strategic management consists of: classical theories of location; classical and neoclassical economic theories; theories of international trade; spatial organization of the economy; theories of regional growth and concepts of innovative development; theories and concepts of cluster development, studied by scientists since the first half of the 19th century (Table 4).
Rice. 2. Interdisciplinary connections in the formation of theoretical and methodological approaches to the study of regional management
Important for the development of regional strategies is concept of integrated mesoeconomic complexes. In recent years, taking into account the peculiarities of economic development, the complication of economic relationships, in the context of globalization, according to a number of authors, “...traditional approaches to the study of the economy as a set of industries (sectoral approach) and regions (regional economy) in the context of globalization are becoming practically impossible, and the higher the degree of globalization of the world economy, the more industries and regions are transformed into mesoeconomic complexes” 93.
Based on the currently most common definition of mesoeconomics 94, we can highlight the concept of “integrated mesoeconomic structure” and give it a definition.
Rice. 3. System of methodological and organizational foundations for the development of regions and the formation of a regional economic structure
Integrated mesoeconomic structure– a set of interrelated elements of sectoral, intersectoral and territorial affiliation, characterized by certain proportions, relationships and involved in certain types of reproductive activities.
The successful development of the national economy of any country, its economic growth and global competitiveness increasingly depend on the effective development of mesoeconomic structures and their constituent elements, their rational interaction. The development of integrated mesoeconomic structures is associated with the peculiarities of regulation of large businesses and will have an increasing impact on the regional economy. Regional strategies should develop methods for assessing the development prospects of large businesses based on the use of methods from the theory of strategic management (the Boston Consulting Group method, SWOT analysis, etc.). Examples of using the Boston Consulting Group method to analyze the industrial structure of large Russian businesses are presented in Fig. 4 and 5.
Table 4
Theoretical and methodological basis for improving regional management 92
Indicators of the concentration of large businesses based on the calculation of the decile distribution of product sales across the 400 largest Russian companies, as well as the decile differentiation coefficient in 2010, are given in Table. 5 and 6 and in Fig. 6.
The main task of the transition to a market economy in the Russian Federation was to ensure political, macroeconomic and microeconomic stabilization. These were the main tasks, and certain successes in their implementation led to the achievement of acceptable macroeconomic parameters for the development of the Russian economy and ensured fairly stable economic growth, which has been observed in recent years. Attention was also paid to the development and improvement of mesoeconomic structures:
The concept of interaction between a cluster and a value chain; laws were adopted to regulate the development of holdings, financial and industrial groups, special economic zones of various types, and the development of regions with different levels of socio-economic development. However, unlike developed countries, where mesoeconomic structures and their constituent elements are clearly defined, quite stable, characterized by stable proportions and relationships and change under the influence of modern factors in the development of the world economy (globalization, informatization, greening, etc.), the mesoeconomic component of the economy developing countries, countries with economies in transition, including the Russian Federation, is at the stage of formation. It is the effective management of mesoeconomic structures and their adequate development in the coming years that will have an increasing impact on macroeconomic dynamics and may become the most important factors in the growth of the Russian economy in the post-crisis period.
Rice. 4. Analysis of the sectoral structure of the industry of large businesses in Russia in 2010 using the method of the Boston Consulting Group (according to the rating of the largest enterprises in Russia "Expert 400" 95)
Rice. 5. Analysis of the industry structure of the infrastructure complex of large Russian businesses in 2010 using the method of the Boston Consulting Group (according to the rating of the largest Russian enterprises "Expert 400" 96)
Table 5
Decile distribution of product sales volume for the 400 largest Russian companies in 2010
Table 6
Dynamics of decile differentiation coefficients by volume of sales of products of large business enterprises in Russia
Rice. 6. Concentration coefficients and decile differentiation coefficients (according to the rating of the largest Russian enterprises “Expert 400”). Source: Statistical data of the annual study of the rating agency “Expert RA” “Four hundred largest enterprises in Russia” // Expert. 2011. No. 39
Regional typology concept. To form an effective regional management system, taking into account the level of socio-economic development of the region is of great importance. For countries around the world, it is generally accepted to divide countries into three broad types and subtypes. For the regions of the Russian Federation, the systematization method began to be used only in the last 8–10 years.
The structure of spatial development of Russia based on the use of the method systematization can be represented as a set of regions belonging to certain types. Type of subject of the Federation (SF)– an objectively developed, relatively stable set of conditions and features of socio-economic development inherent in the territory of the Northern Fleet, characterizing its place and role in the national economy. In the typologies of subjects of the Federation developed in recent years: according to the degree of penetration and dynamics of development of large business 97; according to the level of economic development, the situation of households and the degree of development of the territory 98 ; according to the level of socio-economic development 99, etc., stable types of subjects of the Federation with high, medium and low levels of socio-economic development are identified.
In accordance with the typology of regions according to the level and characteristics of socio-economic development, compiled by the Ministry of Regional Development 100, four types of regions have been identified, with the first three types including two subtypes each. The first type includes “regions - engines of growth”, two subtypes are identified: “world cities” (two subjects of the Federation - Moscow and St. Petersburg) and “centers of federal significance” (eight subjects of the Federation: Krasnodar Territory, Krasnoyarsk Territory, Leningrad Region, Moscow region, Perm region, Republic of Bashkortostan, Republic of Tatarstan, Sverdlovsk region). The main typological features of these regions: the region makes a significant contribution to the growth of the country's GDP; the region has high scientific and technical potential; in the region (urban agglomeration) a strategic initiative has been formed that is important for the entire country; in the future, the region can become a development center for neighboring territories. The second type includes “supporting regions”.
First subtype– “core regions – raw materials” (eight subjects of the Federation: Kemerovo region, Nenets Autonomous Okrug, Komi Republic, Sakha Republic, Sakhalin region. Tyumen region, Khanty-Mansiysk Autonomous Okrug, Yamalo-Nenets Autonomous Okrug) – has the following characteristics: regions are raw material zones of Russia and export-oriented territories; most infrastructure projects of the last decade are aimed at providing a transit economy; There is a lack of a highly organized urban environment.
Second subtype– “core regions - old industrialized” (15 subjects of the Federation: Belgorod region, Volgograd region, Vologda region, Irkutsk region, Lipetsk region, Nizhny Novgorod region, Novosibirsk region, Omsk region, Primorsky Territory, Rostov region, Samara region, Tomsk region, Khabarovsk Territory , Chelyabinsk region, Yaroslavl region): production is experiencing a shortage not so much of capital as of realistic and competitive development projects; traditional industrial production experiencing a structural crisis (outdated technological base, insufficient market positioning, personnel shortage, etc.); low standard of living of the population; redundant infrastructure network.
Third type includes “depressed regions” and is divided into two subtypes: 1) “background depressed regions” (32 subjects of the Federation: Altai Territory, Amur Region, Arkhangelsk Region, Astrakhan Region, Vladimir Region, Voronezh Region, Jewish Autonomous Region, Kaliningrad Region, Kaluga Region , Kirov Region, Kostroma Region, Kursk Region, Murmansk Region, Novgorod Region, Orenburg Region, Oryol Region, Penza Region, Pskov Region, Republic of Buryatia, Republic of Mari El, Republic of Mordovia, Ryazan Region, Saratov Region, Smolensk Region, Stavropol Territory, Tambov region, Tver region, Tula region, Udmurt Republic, Chita region, Chuvash Republic, Chukotka Autonomous Okrug), which are characterized by a low standard of living of the population, an outdated technological base, insufficient market positioning, and personnel shortages); 2) “depressive crisis regions” (16 subjects of the Federation: Bryansk region, Ivanovo region, Kabardino-Balkarian Republic, Kamchatka Territory, Karachay-Cherkess Republic, Kurgan region. Magadan region, Republic of Adygea, Altai Republic, Republic of Dagestan, Republic of Kalmykia, Republic Karelia, the Republic of North Ossetia-Alania, the Republic of Tyva, the Republic of Khakassia, the Ulyanovsk region) - a significant lag behind other regions of the country in terms of socio-economic development, high unemployment, poor infrastructure for the growth of urban settlements, a high level of social conflicts.
TO fourth type two “special regions” with low spatial mobility, high unemployment, economic stagnation, and a difficult political situation are classified: the Chechen Republic and the Republic of Ingushetia.
In recent years, in the practice of regional management, when developing typologies, an approach based on theory of growth poles by F. Perroux . For the first time, this approach to the typology of regions was used by the developers of the Expert RA rating agency in a study of the investment attractiveness of regions 101 .
The first three types of subjects of the Federation are “locomotive” regions, “supporting regions” and “growth poles”. They are united by the presence of high investment potential and significant internal development resources, allowing them to develop quite sustainably without significant support from the federal center.
Regions – “growth points” – are small in population and economic power, characterized by low investment risk. Unlike the “growth poles,” these regions have limited prospects for economic growth and within 10–15 years reach the limits of development due to limited labor, territorial, water and other resources.
The “problem” type includes regions that have underutilized growth resources due to a worse investment climate and lack of investment. With an increase in investment attractiveness, the largest of them can become “poles”, and the small ones can become “points” of growth.
The largest group consists of regions “with uncertain prospects”, the fate of which depends on the professionalism of the management of regional authorities.
Finally, the last group (“special attention”) consisted of regions with the highest investment risk and low potential, which currently do not have real economic and political prerequisites for moving to other categories.
The Austrian scientist J. Schumpeter, in the concept of a national system of innovation, identified five types of entrepreneurial innovation:
Entering new markets;
Use of new resources;
Use of new technologies;
Production of new goods;
Use of new management methods.
It is these innovations that ensure the economic growth of the regions, and the focus on these growth factors should be the basis of the formulation key regional strategies.
1.7. Formation of a system of strategic management of regions
Particular attention in a market economy, characterized by increasing uncertainty in the development of the external environment, incompleteness and asymmetry of information, periods of rise and fall of economic development, should be given to the formation of a system of state and regional strategic management, including its most important component - strategic planning.
The actualization of economic problems of the regions and the inability to solve them using traditional methods currently objectively require the development of the scientific foundations for the formation of a system of regional strategic management. The past two decades have seen significant changes (both national and global) at this level of government. There are already borrowings from foreign neo-bureaucratic management models built on rational decision-making processes. These changes, in our opinion, are due to the fact that in different countries classification and typological developments are applied differently to large-scale territorial systems. Therefore, it can be assumed that in a number of regions of Russia it is necessary to develop, on a new basis, promising concepts of interaction and interdependent development of a large city - the industrial, scientific and technical center of the region - with small and medium-sized cities and rural areas of the surrounding territory.
The underestimation of the place and role of regional aspects in management in the Soviet period when building integral groupings, weak consideration of functional criteria when making management decisions related to the territorial organization of society in the post-Soviet era (especially for single-industry towns), led, in our opinion, to modern deformations in a number of regions of Russia. Today they are especially clearly manifested in their systemic crisis. In Russia, there has been a continuous search for the theory of regional management since the collapse of the USSR. But its traditional techniques come from past models of classical sectoral economic management, with an emphasis on control and organizational change. In addition to the current life support in conditions of “forced” decentralization, regions began to develop in the context of choosing alternatives for strategic prospects, creating long-term investments in infrastructure development, improving their image characteristics for investors, the population, tourists, etc.
There is an urgent need to revise traditional approaches to regional management associated with the transition from tactical, operational management to strategic thinking, when in conditions of uncertainty it is necessary to quickly respond to external changes. This is due to the results of changes in regional governance, which are threefold in nature: firstly, as a consequence of reforming the role and functions of the state; secondly, changes in internal development impulses, and thirdly, as consequences of the influence of the world evolution of management and globalization processes.
Despite the fact that to date, various strategic documents have been developed, approved and are in force in the Russian Federation: the Concept of long-term socio-economic development of the Russian Federation for the period until 2020, development strategies for a number of industries, development strategies for a number of subjects of the Federation, an integrated system of state and regional strategic management has not yet been formed 102:
A generally accepted theoretical and methodological basis for strategic state and regional management has not been developed;
There is no consensus on the content of the concepts “state and regional strategic management” and “state and regional strategic planning”; these concepts are often used as synonyms;
There is no unified approach to the structure of state and regional strategic planning documents and their relationship with medium-term and long-term planning documents: various documents of a strategic nature are being developed at the federal and regional levels: strategies, concepts, programs containing forecasts and development plans for different periods - 10, 15, 20, 30 years;
Most strategic documents at the regional and municipal level are not linked to strategic documents at the interregional (federal districts) and federal levels;
There is no system for coordinating the development strategies of industries and companies with the development strategies of federal districts and regions 103;
In most developed countries, already in the 70s of the last century, a tendency began to form towards a transition to a new, more modern model of public administration (in the works of foreign scientists this direction is called “New Public Management”, that is, “new public management” - in contrast from traditional public administration “PublicAdministration”), focused on the use of methods and tools used in business, in the practice of corporate governance, while the Russian practice of state and regional management is still dominated by the approaches, methods and tools used during the period of administrative- command system of the economy and do not take into account the peculiarities of development in market conditions.
The shortcomings of state and regional strategic management are largely due to the lack of an established system of regulatory documents regulating the processes of long-term development of the country and regions. The main regulatory document for the development of forecasts and development plans for the Russian Federation since 1995 is the Federal Law of the Russian Federation of July 20, 1995 No. 115-FZ “On state forecasting and programs for socio-economic development of the Russian Federation” (as amended in 1999), in which for the first time definitions were given to the concepts of “concept of socio-economic development of the Russian Federation”, “program of socio-economic development of the Russian Federation”, the sequence of development of forecasts, concepts and programs for the development of the Russian Federation, regions, and industries was determined. However, despite the fact that thanks to this document, a legislative framework was created in the country and regions, which provided the basis for orderly and targeted strategic planning, at present the document does not fully meet the needs of long-term planning, and it is recognized that it is necessary to adopt its new edition.
One of the first documents that defined the concept of “state planning” and listed its fundamental documents 104 was Decree of the Government of St. Petersburg No. 402 of March 16, 2004 “On the organization of the activities of executive bodies in the field of state planning.” According to this document, the following regulatory legal acts are included in the state planning system:
The concept of socio-economic development valid for 20 years.
Strategic plan (10 years).
Socio-economic development program (5 years).
Since 2006, the state has been paying attention to the strategic foundations of regional management: in 2006, the Ministry of Regional Development of the Russian Federation developed a draft document “Concept of the strategy for the socio-economic development of regions of the Russian Federation until 2020”, and in 2007 approved the “Requirements for the strategy for the socio-economic development of the subject Russian Federation". However, in the absence of a unified system of strategic management of the regions, including a system of strategic planning, the strategic development plans adopted by the regions were practically not coordinated with the existing development strategies of industries, federal districts, the Concept of long-term development of the Russian Federation until 2020, many had a limited list of development scenarios similar to this the main strategic document for the socio-economic development of Russia, adopted in November 2008, during the period of the beginning of the financial and economic crisis in Russia. As the crisis showed, “it was not those strategies that had a lot of numbers that turned out to be useful, but those that had a lot of ideas, there was a scenario analysis showing lines of behavior in different situations...” 105 .
“The absence in the country of a formed system of state and regional strategic management, the presence of only scattered, uncoordinated regulations and strategic planning documents, their insufficient theoretical, methodological and practical elaboration influenced the dynamics of the development of crisis phenomena in the regions, including regions with a high level and potential of social economic development, industries, business structures and the country as a whole” 106.
In May 2009, two Presidential Decrees were adopted aimed at improving the most important component of state and regional strategic management - strategic planning: “On the national security strategy of the Russian Federation until 2020” and “On state strategic planning in the Russian Federation”. In 2009, the Draft Federal Law “On State Strategic Planning in the Russian Federation” was prepared and is undergoing approval. The law should approve a single list and uniform requirements for strategic planning documents, rules for the distribution of federal and regional financial flows, and the use of budget funds. In August 2009, by order of the Government of the Russian Federation, a document was approved aimed at improving the quality of management of the budget process in the regions of Russia, taking into account regional budget risks that emerged during the crisis - “The Concept of Interbudgetary Relations and the Organization of the Budget Process in the Subjects of the Russian Federation and Municipal Entities until 2013 "
The creation of an orderly system of strategic management and planning, which has now begun to take shape in the Russian Federation, will help overcome a number of the above-mentioned shortcomings in state and regional management and will contribute to the introduction into public management practice of a number of methods and tools of strategic management that have proven their effectiveness in managing Russian companies.
Modern modernizations of strategic regional management are associated with fundamental transformations in the economy after the collapse of the USSR. They were influenced by the consequences of the crisis periods of the late 1990s and mid-2000s, which led to significant changes in the property rights of the regions, features of the development of their environment, socio-cultural potential, lifestyle of the population, etc. Therefore, in our opinion In our opinion, the directions for further development of new approaches to strategic modernization will be determined by the goals of management and positioning of regions, the use of benchmarking, examples of best practice and other effective management methods for this type of socio-economic systems. Real Russian management practice has come close to creating integral approaches to the strategic management of the development of regions of different sizes and types of formation.
Since the early 1990s, the role of the state as the only strategic investor in ensuring regional development has consistently decreased in Russia. Free financial and material resources began to be concentrated in private business. Therefore, to an increasing extent, regions began to manifest themselves as independent economic agents in the state management system, and their development processes began to go beyond their territorial borders. There was a surge of interest in how to effectively manage regions in the new Russia, especially in the second half of the 1990s. This was a logical consequence of fundamental political and socio-economic reforms in the country, increasing their role in the system of local self-government. Many Russian regions and large cities are aware of the need to intensify their position in economic management, in the transition to a more efficient use of their own, always limited, resources. As L.D. Kapranov and S.Ya. Zaretskaya note, it is after passing a long test in the conditions of fierce competition of a market economy that new methods are accepted as the basis for managing society in appropriate conditions. 107
Therefore, since the mid-1990s, in the theory of research and strategic management of Russian regions, approaches borrowed from foreign practice of strategic management, which prevail in the activities of large firms and corporations, have become increasingly widespread. This is due to effective examples in the management of corporate business units, which were implemented in foreign practice of regional management and in the non-profit sector.
It should be emphasized that the largest number of theoretical and practical developments in this area were made abroad in the 1960s, during the period of transition from crisis to corporate management, when the problem of a company’s survival in an unstable environment in a competitive environment became the subject of systematic discussions in management. In the context of developing models and approaches in strategic regional management, a strategic approach is also beginning to take shape as a result of proven ideas in the private sector. The effectiveness of individual methods was taken into account when developing a system of development measures in an unstable competitive environment, and new challenges formulated in the concept of sustainable development were also taken into account. However, they were limited in nature due to their elaboration for certain aspects of development in conditions of crisis development by analogy with management in corporations.
Modern theoretical concepts of strategic management for the regional level of economic development abroad, primarily in developed countries of Western Europe and the USA, began to develop only in the late 1980s. The main reasons for the interest of researchers in this area include:
The aggravation of economic and social problems in many countries of the world, which became especially noticeable starting from the second half of the 1970s (the time of global economic crises);
The growth of specific territorial problems (differentiation of living standards of the population, problems associated with the growth of urbanization, social transformations, changes in the spatial structure of the economy);
Complication of management mechanisms at the local level (development of local self-government, complication of the internal structure of the economy of regions, especially large ones, which required integrated approaches to managing them at a high quality level);
Globalization and, as a consequence, the intensification of interregional and international competition in which the regions are drawn.
The differences between the traditional approach to managing regional development and the strategic one can be seen in Fig. 7 and 8 108.
Rice. 7. Traditional approach to managing the socio-economic development of the region
Rice. 8. Signs of a strategic approach to managing the socio-economic development of the region
The specificity of the strategic approach to regional management is that the subject that determines development guidelines is located within the region itself (see Fig. 8). Let us note that, being at the forefront of using the most effective management methods and techniques in conditions of fierce market competition, corporations are carriers of promising experience for state and regional authorities since the industrial revolution of the late 19th and early 20th centuries.
Focus on development became an incentive to address issues of strategic regional management. As the processes of government reorganization develop and the scope of powers of federal and subfederal authorities is more accurately determined, it becomes possible to implement new technologies for managing the development of regions as competitive units.
1.8. Theoretical and methodological basis for the development of strategic regional management
The attention that has been paid to strategic regional management in Russia in recent years, in our opinion, is largely a response to the question of how to design future development, what techniques reliably assess the current situation and help formulate goals and implement plans. If we apply analogies of the development of a region as a special territorial organization with the development of large enterprises and firms, then taking into account many modern changes is of particular importance here, since it may entail the need for strategic maneuver, revision of goals and adjustment of the general direction of development.
The theoretical and methodological basis should be based on a system of principles, on the one hand, including general principles of management, and on the other, taking into account the specific requirements for the strategic management of regional development. The following principles are most often used: adaptability, dynamism, innovation, alternativeness (variability of development), uniqueness, external and internal integration, balance of interests.
The most important principle of strategic management of the development of municipal socio-economic systems is adaptability, which involves ensuring the adaptability of the strategic management system to changing external and internal conditions.
Dynamism means the ability to respond to changes in the environment more quickly than competitors.
Closely related to the principle of dynamism is the principle innovativeness, which involves a constant search for new forms and types of management activities, aimed at strengthening existing competitive advantages, identifying and strengthening new ones.
Principle alternatives, based on the theory of social alternatives, it provides, depending on emerging conditions, the possibility of adopting one or more decision options during the construction, operation and development of a management system to achieve its goals.
According to the principle uniqueness, The development strategies of each region are always unique, therefore there are no universal management solutions, even if there is a certain standard set of procedures.
Principle external and internal integration involves the inclusion (integration) of the regional socio-economic system into global, national, socio-economic and cultural processes to achieve maximum benefits and advantages, as well as the internal integration of activities, including investment, to reduce costs and increase efficiency.
Principle balance of interests involves taking into account the interests, attitudes and capabilities of a wide range of social actors and stakeholders 109, finding consensus between interested management subjects regarding strategic goals, priorities and mechanisms for their practical implementation. The provisions of these principles constitute not only the methodological basis of strategic management, but also the scientific basis for the implementation of the strategy.
The most important element of the methodology for strategic management of regional development is its logics as a system of ideas about the consistency and validity of processes associated with the development of strategic decisions, as well as about the stages of strategy formation and implementation. The logic of strategic management specifies the methodology and serves as the basis for the development of strategic management technology. Most publications use graphical interpretations to describe the logic of strategic management - logical diagrams or diagrams of conceptual models of strategic management. A special section will be devoted to this aspect of the theoretical and methodological basis of regional strategic management.
Under theoretical and methodological foundations of strategic regional management we will understand a system of theoretical positions, principles, and research techniques that reveal a certain commonality of approaches of scientists belonging to several branches of scientific knowledge, with the goal of a more comprehensive display of the object under study. The main scientific complexes and theories, as well as scientific fields (disciplines) that form the modern theoretical basis of strategic regional management, are presented in Fig. 9. When considering the fundamental foundations of traditional economic science, based on the theory of general economic equilibrium, it can be noted that it is unable to fully explain the transition processes taking place in Russia in the field of regional strategic management, to offer sound recommendations for the transition to a socially oriented market economy based on the technologies of the industrial information society. It is important to note the change in the scientific paradigm associated with the development of evolutionary theory, which in post-industrial society forms the methodological basis for development. It was briefly formulated by the authors of the fundamental study “Management of socio-economic development of Russia: concepts, goals, mechanisms” 110.
“The essence of what is happening in Russia is more consistent with the evolutionary direction of economic science, which includes:
Marx's theory of change in socio-economic formations depending on the development of productive forces and associated production relations, primarily property rights, based on the ideas of the great Russian economist N. Kondratiev;
The concept of a change in technological structures, according to which in the developed countries of Western Europe, Asia and the USA the fifth technological structure (its essence is computer science and telecommunications) is currently dominant, while in Russia the role of the third and fourth technological structures (pre-information technology), which indicates a noticeable lag behind Russia from the group of developed countries;
Numerous developments in the field of institutional theory, which studies how the economic rules of people's behavior change and how these changes affect economic growth, technological progress, and the well-being of the people;
J. Schumpeter's theory of economic development, within the framework of which, for the first time in economic science, the enormous role of innovators in the development of production was demonstrated, it was shown what happens when they invade the economic space; one of the main engines of evolution for Schumpeter is the principle of creative destruction;
The evolutionary theory of firm behavior developed by R. Nelson and S. Winter...” 111 .
Rice. 9.
Scientific areas (disciplines) of the theoretical basis of strategic regional management
Evolutionary paradigm is closely connected with ideas about the cyclical nature of development. An analysis of works in the field of cyclic genetic theory shows that at present it is indeed quite naturally chosen as a methodological component of the evolutionary paradigm, adding to the latter the formalization of the identified patterns, which is so significant for modern knowledge.
The methodological principles of evolutionary theory, which have a significant impact on the formation of the conceptual foundations of strategic regional management, include the following: synergetic (interactive interaction with an additional effect), genetic (a combination of heredity and variability, sustainability and stability), combinations of innovation and inertia, combinations of self-regulation with external control, the relationship between determinism and freedom of choice, principles of modeling.
The work of D. S. Lvov, A. G. Grandberg and A. P. Egorkin “Strategic management: region, city, enterprise” presents the concept of a social approach to the development of regional strategy 112 (Table 7).
Table 7
Analysis of the traditional and social approach to developing a strategy for the socio-economic development of the region
As can be seen from table. 7, the traditional concept is the centralized planning of sectors and proportions of the national economy based on the inter-sectoral balance and the minimum needs of the population. Agreeing with the opinion of Ya. Yu. Startsev, we note that the social concept is distinguished by a pronounced social orientation of strategic measures, taking into account the influence of external (geopolitical) factors on the development of the environment, the priority of those goals, the achievement of which helps to improve the standard of living of the population based on the growth of material well-being and comprehensive development of the personality of citizens according to the criterion of the quality of life of the population, on which it is, in fact, based 113.
The validity of implementing strategic management techniques to administrative-territorial units (such as a region, city, municipality) as an object of management in theory in the late 1990s is also associated with the use of the accumulated scientific potential of organization theory. This is a discipline of the scientific complex of general management theory 114. The subject of its study is the patterns of construction, functioning and development of organizations of various types and forms (business, government, political, public, etc. 115 In the scientific community, the concepts of “organization”, “corporation of citizens”, “capitalization” of assets, “ values" and their derivatives. The general impetus for solving management problems, for example, such as taking into account the complex orientation and hierarchy of goals, the interconnection of the diversity of interests and the actions of direct and feedback connections in the system of regional management, etc., has led to a controversial interpretation of the term "organization". It was necessary to overcome a number of errors and more fully take into account the growing diversity of institutions in the territory.
Consideration of the region as an organization in the social, substantial, attributive, activity-based, institutional, and management aspects itself, as well as the multidimensionality of the problems of forming the theoretical and methodological foundations for the strategic management of its development, allows us to formulate the basic methodological principles of the study - interdisciplinarity and synthesis of knowledge. Taking into account the scientific works of the above researchers, we will define the main conceptual approaches of management theory that form the theoretical and methodological foundations of strategic regional management:
systems approach;
cybernetic approach;
functional approach;
program-target approach;
actor approach in decision making theory;
project approach;
decision theory approach;
marketing approach;
process approach;
resource approach;
value-oriented approach, etc.
Systems approach explores in detail the properties and elements of complexly organized systems for targeted impact.
Cybernetic approach involves consideration of the interaction of the control (subject of control) and managed (object of control) subsystems. It is fundamental when structuring a management system of any type and hierarchical level.
The basis of the functional approach in management is the study of operations, on the basis of which management functions are designed, described, analyzed and optimized. Within the framework of this approach, the line of strategic planning has been developed, which determines the content of strategic management. The functional approach involves considering the totality of management activities, their content, as well as the results of these activities depending on factors of the internal and external environment. It is necessary for a meaningful understanding of how the system operates, what is the mechanism of goal setting and achieving goals.
Logic program-targeted approach The paradigm “program – goal – result” is advocated. In this approach, the movement from a goal to a result is described using software, thus the process of movement itself from the moment of setting a goal to obtaining a result is programmed (algorithmized, operationalized). Within this approach, the results-based management system was born.
At the core decision making theories lies actor a look at management activities, the management process is considered from the point of view of preparation and decision-making. Among management decisions, researchers also distinguish such a type as strategic, considered as a means of rationalizing the problems of strategic management, primarily goal setting. Research devoted to this issue in the field of strategic management of regional socio-economic systems, in our opinion, is clearly insufficient. In this regard, we note the work of D. Yu. Lapygin, devoted to decision making in regional strategic management 116.
Project approach is based on the concept of “project”, which acts not only as a management object with some specific features, but also as a general characteristic of the essence of project management, as its new property. Most definitions of the concept of “project” are based on three main characteristics of the project: the presence of a unique goal, limited time, and resource limitations. Considering the problem of a project-oriented approach to regional management, A. A. Efremov gives his own definition of project management: it is “a special type of management activity based on the preliminary thorough development of a comprehensive action plan (model) to achieve a unique goal and consisting of the development and implementation of such plan (model)" 117.
Modern project management is a special type of management, which in one way or another can be applied to the management of any objects, and not just those with obvious signs of a project. The application of project management methodology in the field of strategic regional management makes it possible to implement the ideas of strategic and urban (local) megaprojects.
Local megaprojects are projects in which several stakeholders will participate, and decisions will be made on the basis of consensus in order to achieve strategic guidelines for the development of the region. Megaprojects will launch a mechanism of social partnership based on the principles of resource integration, respect for the goals of partners and mutual responsibility.
Decision theory approach is considered from the point of view of the process of their preparation and implementation based on typology, which leads researchers to identify strategic decisions. The disadvantage of this approach is that the results depend on the quality of work, personal competence and vision of the manager, therefore, when an official changes, the positive trend in the implementation of the strategy may change 118. American scientists E. Norberg and V. Duffy put forward a theory of decision making, according to which the economic system is defined as a socially recognized mechanism, thanks to the work of which decisions are made in the process of production, consumption and distribution of resources 119 . There are three subsystems in the economic system: decision-making, informational and motivational. The decision-making system represents a set of institutional and legal rules for the distribution of powers in the field of decision-making. An important role is given to the form of ownership, which determines the nature of the relationship between subjects. An information system includes a set of mechanisms and channels for collecting information. Its main function is to ensure coordination and coordination of economic decisions. The motivational system represents a set of rules and mechanisms that act as a form of implementation of economic decisions.
Marketing approach is associated not only with general non-commercial marketing activities, but also with improving the qualitative indicators of the territory’s development: ensuring its environmental situation and balanced development, improving working conditions and economic progress, promotion and advertising of the territory. In management theory, there has not yet been a single definition of regional marketing. Without going into detail, we note that marketing of land, housing, economic development zones, investment marketing, tourism marketing 120 is being developed. In a broad sense, “regional marketing” is a more complex concept that combines the above areas with a program of a more general and comprehensive transformation of the environment in the interests and with the aim of increasing its competitiveness.
Supporters process approach are such famous scientists as A. A. Thomson and A. J. Strickland 121, considering the process of preparing and making strategic decisions - the sequence and content of the stages and stages of the management process. It is applicable to determine the logic and build the technology of strategic management. The fundamental fact is that processes consist of functions that are arranged in such a way that they produce certain results. Strategic management technology is understood as a set of interrelated management processes aimed at developing, justifying, adopting, implementing and adjusting strategic decisions. As S.V. Sokolova and B.I. Sokolov note, “the development of control technologies is a new level of system analysis and management. It is due to the development of management technology, its functions and methods” 122.
Resource approach considers resources as sources and at the same time restrictions on any activity. The problem of the approach appears when distinguishing resources into tactical and strategic, while strategic resources are necessarily available, that is, currently existing. In the concept of sustainable managed development, resources on which the reproduction of human life and activity depend are classified as strategic; the need for a transition from extensive to intensive development, from the use of exogenous resources to endogenous ones, that is, more strategic and at the same time difficult to use, is justified. Management subjects, using available resources, build a strategy based on key success factors, which ultimately grows into competitive advantages. The problem with this approach is its focus on competition in market conditions. At the same time, firstly, the region, in our opinion, cannot be considered as a purely market object, and secondly, the problem of determining the criteria for success arises.
Value-based approach, introduced into the practice of non-profit organizations and regional bodies abroad, has required a revision of the entire management methodology over the past 10–12 years. Chapter 4 will detail the content of this approach and its implications for strategic regional management.
The analysis showed the positive and negative aspects of a number of approaches to strategic regional management described above (Table 8). As can be seen from the table, each of the presented approaches has its pros and cons. As many researchers rightly note, in Russia strategic management has always historically been and continues to be the “Achilles heel” of the Russian economy.
A transition to its new model is necessary, since, as Yu. A. Malenkov notes, in the traditional model there is no influence of the human factor, there is also no system for managing the implementation of the strategy, and the principles of effective control are violated 124. The problems of modernizing strategic regional management in theory are related to the achievements of science with many approaches and concepts. These also include areas: network, synergetic, postmodern, etc.
Table 8
Analysis of key approaches to strategic management of the region 123
Most of them come from techniques actively popularized in foreign practice during the transition in the mid-1990s from administration and bureaucratic coercion to “cooperation” on the territory. Each concept has its own advantages and disadvantages. We therefore identify the importance and necessity of developing an integrated approach to strategic regional management. It should be noted that we place the central position of the resource approach on the presence of strengths in the potential of the region, since it is the available resources that are the starting point for any development, both in the public and corporate sectors. At the same time, we believe that development should be based on the use of internal resources, which reflects the position of the concept of sustainable development. Program-targeted and functional approaches complement the region's development strategy. Information about the implementation of the strategy, as well as about the resources and effectiveness of the control action, are assessed according to a systematic approach, and on this basis, the strategy is adjusted through the control action.
The integrated approach includes the advantages of all the approaches to strategic regional management that we have considered, makes it possible to build a development strategy with the ability to operationally manage its implementation, relying on available resources and based on the use of programs aimed at achieving strategic goals using a results-based management and evaluation system implementation based on a systematic approach.
1.9. Information and analytical basis for researching public administration processes in the context of globalization
Effective socio-economic development of the country, regions, as well as public administration processes at the federal and regional levels are associated with “the need for timely receipt and analysis of complete, reliable, scientifically based official statistical information on social, economic, demographic, environmental and other social phenomena in the Russian Federation.” Federation" 125. A high-quality information and statistical base makes it possible to study and optimize the increasingly complex processes of socio-economic development of Russian regions in the context of globalization, and is the basis for conducting strategic analysis - the most important component of the strategic planning process.
The adoption of the law on official statistical accounting and the gradual adaptation of methods for collecting and presenting information to international standards of statistical reporting made it possible to significantly improve the quality and expand the system of indicators for analyzing the economy and social sphere of the constituent entities of the Federation. Significant steps in improving the use of official statistical data for analyzing regional development and the effectiveness of regional management were made in 2007–2009, when systems of indicators were approved for assessing the effectiveness of management of regions and municipalities. In 2007, a Decree was issued
Presidential No. 825 “On assessing the effectiveness of the activities of executive authorities of the constituent entities of the Russian Federation”; in 2008, the Presidential Decree “On assessing the effectiveness of the activities of local governments of urban districts and municipal districts” was approved; in 2009, Order of the Government of the Russian Federation of June 15, 2009 No. 806-r was issued, in accordance with which Rosstat began issuing a monthly statistical bulletin “Information for monitoring the socio-economic situation of the constituent entities of the Russian Federation,” which contains statistical data for monitoring processes in the real sector of the economy, financial, banking and social spheres of the constituent entities of the Russian Federation.
The conditions for the provision of statistical information and the obligations of enterprises and organizations for the provision of statistical information were specified in the Decree of the Government of the Russian Federation “On the conditions for the mandatory provision of primary statistical data and administrative data to subjects of official statistical accounting” dated August 18, 2008 No. 620.
In accordance with new approaches to the management of the regional economy, all socio-economic processes occurring in territories of different hierarchical levels, new requirements appear for the content of regional studies, which should allow for a detailed analysis of socio-economic processes, identify imbalances in existing regional structures and allow the development mechanisms for managing them. These include 126:
The transition from research based on the use of only single absolute and relative indicators to research based on the use of integral index indicators, allowing to identify the strengths and weaknesses of the development of regional socio-economic processes based on the use of the comparative analysis method;
Application of the systematization method to compile groupings, classifications, typologies of regions;
Development of a system of indicators that allows for a deep assessment of a particular socio-economic process, determining its current state, rational standards, necessity, possibility and direction of control action;
Using all information capabilities for statistical analysis of regional development based on Russian and foreign experience in conducting such research.
Currently, there are a large number of different sources of information, including regulatory, methodological, analytical and statistical components of analysis, based on the data of which it is possible to conduct studies, including comparative ones, of regional socio-economic processes in the Russian Federation (Table 9).
Table 9
Main sources of information for analyzing the management system at the federal and regional levels
Data matters primary statistical reporting(official forms of statistical reporting filled out by enterprises and organizations and sent to state statistical bodies, annual reports of companies, reporting of regional and local governments, departmental statistics, which are developed in the systems of federal executive authorities in addition to the Federal State Statistics Service). There is an opinion that only the state statistics body should provide government bodies of all levels with the information necessary to solve important strategic problems, without taking into account that there are departmental statistics that are developed in the systems of other federal executive bodies. This is due to the fact that the current system of information and statistical support for federal executive authorities has a number of shortcomings 127:
Departmental fragmentation of information and statistical resources, due to which the efficiency of the work of federal executive authorities and the quality of public services provided are significantly reduced;
Lack of systematized regulation of the rights and responsibilities of federal executive authorities in the formation of statistical information resources for the purpose of widespread use of this information;
Lack of a system for monitoring and analyzing the effectiveness and efficiency of completed and ongoing programs and projects;
Lack of technological compatibility of information systems of federal executive authorities, which impedes the formation of electronic interdepartmental information exchange.
One of the most basic sources of statistical information for conducting research on the development of Russian regions is data from official Russian statistical reporting: statistical collections published by the Federal State Statistics Service (Rosstat) and territorial departments of Rosstat. Currently, statistical collections are available in printed and electronic form, including statistical indicators on all aspects of the socio-economic development of the Russian Federation and published annually by Rosstat: “Russia in Figures”, “Russian Statistical Yearbook”, “Regions of Russia”, etc. Almost annually Thematic collections are published containing detailed statistical information on the development of individual sectors of the economy, the demographic situation, labor resources and living standards of the population of Russia and the constituent entities of the Federation.
Another source for analyzing mesoeconomic processes is documents and databases of federal government bodies: ministries, federal services, federal agencies. First of all, these are the Ministry of Economic Development of the Russian Federation, the Ministry of Regional Development, the Federal State Statistics Service, line ministries, etc. A necessary condition is also the use data from regional and municipal authorities.
Important sources of statistical information that make it possible to conduct comparative studies, determine directions for improving Russian statistical accounting, and expand the list of statistical indicators possible for analysis are official statistical collections, statistical computer programs and annual reports published by international organizations: the World Bank and its structural divisions 128 , Organization for Economic Cooperation and Development, specialized divisions and organizations of the UN: UNDP, UNCTAD, UNIDO, IMF, etc. The computer data processing programs used are noteworthy, providing the ability to generate tables and export them to Excel, Access, statistical programs SPSS, Statistica, SAS.
End of introductory fragment.
The word "strategy" borrowed from military science, derived from Greek strategos - “the art of a commander.” In other words, strategy is the concept of achieving victory. Many of the problems of generalship, the main one of which is finding the right paths to achieve victory, are similar to the problems of managing the business activities of an organization operating in a complex environment.
The concept of strategy as a generalizing model of actions necessary to achieve set goals became part of management terms when the problem of an organization's response to unexpected changes in the external environment became of great importance.
Strategic management- this is management that relies on human potential as the basis of the organization, orients production activities to consumer demands, responds flexibly and carries out timely changes in the organization that meet the challenge from the environment and allow it to achieve competitive advantages, which together allows the organization to survive in the long term perspective while achieving your goals.
The objects of strategic management are organizations, strategic business units and functional areas of the organization.
The subject of strategic management is:
Problems that are directly related to the overall goals of the organization.
Problems and solutions associated with any element of the organization, if this element is necessary to achieve goals, but is currently missing or insufficient.
Problems associated with external factors that are uncontrollable.
“Strategic management problems most often arise as a result of numerous external factors. Therefore, in order not to make a mistake in choosing a strategy, it is important to determine what economic, political, scientific, technical, social and other factors influence the future of the organization.”
Strategic management is divided into:
1) for strategic planning, i.e. periodic, planned response of the company to changes within the company and in the environment (management based on anticipation of changes);
2) for management based on flexible emergency decisions, which is used in situations where management decisions need to be made urgently and waiting for a new planning period is impossible.
Management based on anticipation of changes can be of two types:
Strategic planning;
Management through the selection of strategic positions.
Strategic management based on flexible emergency solutions is divided into the following types of management:
Management by ranking strategic objectives;
Control in conditions of weak signals;
Managing in the face of strategic surprises.
Strategic management (strategic management based on flexible emergency solutions) is about filling the gap in regularly carried out planning, and not about replacing this planning. The task of these two systems is to complement each other: periodic planning is designed to determine new directions for the enterprise's activities and ensure consistency in the actions of various departments. Management of strategic objectives is intended for cases of deviations from these directions, which may arise as a result of the emergence of new opportunities and the influence of the strengths (weaknesses) of the company's activities.
Strategic objectives are managed in the annual planning cycle, where they are included in comprehensive intra-company planning.
The planning results are:
a) a set of operational programs and estimates for the current activities of the company, aimed at fulfilling immediate tasks;
b) a series of strategic objectives presented in the form of change programs.
The choice of one type of control or another depends on the level of instability of the external environment, i.e. on the amount of time allotted to the company to make a decision. Each type of control is applied at a specific level of instability.
In modern conditions, the level of instability is very high, so more and more companies are using management 4 and 5. The level of instability depends on the industry in which the company operates, on economic and political factors affecting the business.
In essence, the choice of strategic management method is made depending on the level of instability. The entire development of strategic management followed the path of increasing complexity of management methods, which had to take into account ongoing changes and an increasingly high level of instability, which required more effective management.
Thus, each type of strategic management is advisable to apply at a certain level of instability that exists around a given company.
The higher the level of instability, the more complex the control and the more effort must be expended to switch to this type of control.
Organization strategy- this is a set of its main goals and the main ways to achieve them. It is mostly formulated and developed at the top management level, but its implementation requires the participation of all levels of management.
The organization's strategy is:
Concept of achieving success;
A set of main goals and ways to achieve them;
Direction of development in a certain period;
Comprehensive development plan;
Symbiosis of planned actions and reactions to unforeseen circumstances;
Commitments to act in a certain way.
Develop an organization strategy- means defining general directions of development to achieve long-term competitive advantages and other corporate goals. Typically, a strategy is planned for a long period and is future-oriented with a step-by-step implementation process. Strategy as a function of time is not just focused on a certain period, it is first and foremost a function of direction. It is the strategy that sets the direction of the organization's activities: growth, stabilization, reduction, or a combination of options; decisions about specific products and markets to direct financial and labor resources, determining the type of competitive advantage.
The strategy can be considered as a detailed, comprehensive, comprehensive plan designed to carry out the mission and achieve the goals of the organization with maximum efficiency. The main objective of such a plan is to ensure innovation and change in the organization in accordance with changes in the environment.
The real strategy of an organization consists not only of directed (planned) actions, but also of reactions to unforeseen circumstances. Therefore, strategy must be considered as a symbiosis of planned actions (proactive strategy) and an adaptive response to the situation (reactive strategy)
Real strategy = proactive strategy + reactive strategy.
Strategy is necessary because the future is largely unpredictable, there is no absolute certainty about the future. The current pace of change in the external environment, the increase in the amount of knowledge and information flows are so great that strategy planning seems to be the only way to formally predict future problems and opportunities.
It is the basis for creating a long-term development plan for an organization, helps clarify the most appropriate courses of action, and reduces the risk of making the wrong decision due to erroneous or unreliable information about the organization’s capabilities or the external environment. Greater certainty can be achieved when choosing a strategy; the organization will be able to anticipate events in the external environment and respond to them faster. Judging by the results of the study, it is those organizations that have existed for a long time that respond most quickly to changes in external factors.
Formulated strategy is a set of decisions made by management on the basis of fundamental principles and rules. In other words, strategy is an obligation to act in a certain way: in one way and not in another. It is not enough to just have a strategic plan; We also need a set of fundamental principles and rules of conduct for personnel at all levels, taking into account activities in constantly changing conditions.
At its core, a formulated strategy is a set of rules for decision-making that guide an organization in its activities, i.e. strategy can be considered an umbrella under which all management functions are covered.
The success of an organization is ensured by a well-thought-out strategy and high quality of its implementation. A formulated strategy in itself does not guarantee success. Just as an airplane with excellent engine design cannot fly if it is fueled with poor quality fuel, so an organization developing a development strategy can fail due to errors in other management functions (organization, motivation, control, etc.) and/or ineffective actions.
A good strategy and its skillful implementation through effective action is what is needed to achieve the intended results. You can develop a strong strategy but fail to implement it, or successfully implement a mediocre strategy. In both cases, the organization does not use all available opportunities. The path to success is a brilliant strategy executed brilliantly. The impact of the impact of strategy and actions on the success of the organization is reflected in table. 5.1.
The Impact of Strategy and Action on Organizational Success
Table 5.1
The defining elements of the strategy are resource allocation decisions, adaptation to the external environment, internal coordination, creating lasting competitive advantages.
Resource allocation is the process of allocating scarce organizational resources (such as funds, technological and managerial expertise) and selecting products and markets that offer the best investment opportunities.
Adaptation to the external environment covers all actions of a strategic nature that should ensure the effective adaptation of the organization's strategy to environmental conditions, taking into account both opportunities and threats. The key to success is associated with the development of a management strategy in which the actions and internal structure of the organization optimally correspond to external conditions.
Internal coordination is an integral part of strategy and involves coordinating the strategic activities of an organization to ensure the effectiveness of internal operations.
The basis for success in business activity is the creation of a sustainable competitive advantage, which is determined by the organization’s ability to offer a product or service that is superior to the value accepted by consumers of the product or service of competitors.
Strategic management- this is an activity aimed at achieving the main goals and objectives of the organization, determined on the basis of anticipating possible changes in the environment and organizational potential, through the coordination and distribution of resources.
Strategic management can be attributed to the philosophy or ideology of business and management, where a significant place is given to the creativity of the top management and personnel of the organization.
Summarizing the considered features, we can highlight the following advantages of a strategic approach to management:
Ensuring direction for the development of the entire organization by setting goals and objectives;
Flexible response and timely changes in the organization that meet the challenge from the environment and allow you to achieve competitive advantages, which allows the organization to survive in the long term and achieve its goals;
The ability for managers to evaluate alternative options for allocating the organization's resources and make coordinated decisions at all levels of management related to the current strategy;
Creating an environment that promotes active, creative, proactive management and counteracts passive response to a changed situation.
The modern world is extremely complex and diverse, various events arise and change at such a speed that it can be quite difficult to keep track of them. While influencing the course of events, the organization's management is not always able to assess what results its actions will lead to. However, if no efforts are made to control the external environment and actively influence it, strategic goals and initiatives will never be realized by the organization's management.
The development strategy of an organization today is closely related to the quality of the organization itself, its competitiveness in foreign and domestic markets.
Also, the organization’s development strategy is closely connected with the administrative management system, and management systems in the field of quality, environmental protection, labor protection, and social responsibility are aimed at improving the quality and competitiveness of the organization.
Strategy is, first of all, a model that integrates the main goals of the organization, its policies and actions into a single whole. Strategy is not just a vision of how to behave in relation to a competitor, it addresses more fundamental aspects of the organization as an instrument of collective perception and action. Potentially, strategy deals with everything: products and processes, customers and suppliers, the organization's own interests and social responsibilities, controls, etc. A correctly formulated strategy allows management to organize and distribute the organization's limited resources in the most effective way, taking into account changes in the external and internal environment.
Strategic management (management), formed into a scientific discipline as a response to the rapidly changing external environment of the socio-economic development of any organizational and management structures, has in recent years become one of the main tools to ensure their sustainable development.
Abroad, strategic management as an independent discipline focused on creating strategic management systems dates back to the course “Business Policy”, which was taught in one of the American business schools since the early 1950s. By the 70s. The course became widespread in educational institutions and changed its name to “strategic management.” In accordance with the requirements of practice, there was a further development of tools and methods, as well as the strategic management systems themselves.
It is customary to consider the book by W. Newman, published in 1951, as the first publication on this topic. However, much earlier, separate publications on military strategic development appeared, a number of provisions of which were theoretically developed and successfully used in competition.
The most famous and most ancient treatise on the art of war belongs to the pen of Sun Tzu (400 BC). He was the first to develop a number of maxims - standard strategies for various options for “playing with the enemy”, relating to the appropriate type of relationship on the playing field, the strength of the strategic position (the number of troops, their location on the ground), the advantages of the first move (aggressiveness, innovation, etc.). ).
Among the later works on military control strategy, one can name the still significant work of Carl von Clausewitz, published in the first half of the 19th century, which pointed out the advantages of concentration of forces, the relative effectiveness of defense, and the ability to predict future actions of the enemy based on an analysis of his current position .
At the initial stages of the development of strategic management, fundamentally new aspects were present only in one of the blocks of planning strategic decisions - in the planning - programming - budgeting system. Previous strategy planning procedures were not formalized and were mainly focused on determining the organization’s development goals and management by goals. At the same time, extrapolation forecasting methods inherent in the long-term planning system were also used, and subsequent annual updating of environmental development forecasts based on new actual data.
The above analysis of the experience of strategic management of the EU countries shows that the effectiveness of the indicative plan is actually incommensurate with the efforts to develop it, in addition, it is difficult to control and adjust.
Strategic planning abroad is especially evident in the activities of research forecasting and design “think tanks” in the United States, such as Silicon Valley. The most typical examples are the development of plans within the framework of the American military-political strategy. Beginning in 1945, the United States initiated and implemented the “Marshall Plan” to control the post-war development of West Germany, Japan, and other countries that came under American control. State Department and CIA in 1994–1995 developed the G7 strategic plan, within the framework of which 11 global pilot projects were delivered on the topics: computer science development, ecology, emergency situations, entrepreneurship, training, healthcare, e-government, small business, maritime inter-navigation with division of functions participation of countries in projects. This plan was adopted at a meeting of ministers of seven leading countries in February 1995 in Brussels.
US strategic planning was aimed primarily at creating a powerful information and communication infrastructure within the country, involving huge amounts of investment from the largest concerns and corporations. Each "Project Area" includes "Grand Projects" (GIP) and Sub-Projects (1S). The principle of the "Strategic Defense Initiative" ("SDI") was adopted as an example of organizational technology: each GIP project tracked the "trajectories" of the corresponding IS subprojects in real-time and queuing systems. Project management was carried out using “positive feedback”, which made it possible to increase the financing of new developments through sales of “high technology” products and products within the country. In order to effectively develop strategic plans, research and development customers (municipal environmental departments, military departments, the US State Department) attracted existing centers (MIT in Boston, university groups, the US Army Research Laboratory in Los Alamos), and also created organizational structures to conduct and bringing to the implementation of multi-level targeted programs.
The official date of birth of strategic management is considered to be 1973, when the first international conference on strategic management was held in Nashville (USA).
Currently, there are many definitions of strategy, but they are all united by the following: management strategy is a conscious and thoughtful set of norms and rules that underlie the development and adoption of strategic decisions that influence the future state of the organization. Thus, a strategy is a general program of action that identifies the priorities of problems and resources to achieve the main goal. It formulates the main goals and the main ways to achieve them in such a way that the organization receives a single direction of movement.
Strategic management is a process of making and implementing strategic decisions, the central link of which is strategic choice based on a comparison of the enterprise’s own resource potential with the opportunities and threats of the external environment in which it operates.
The foundations of modern methodology and theory of strategic management were laid in the second half of the 20th century. Basic contributions to the formation and development of this section of management science were made by F. Abrams, I. Ansoff, S. Argyris, P. Drucker, J. Quinn, G. Mintzberg, T. Peters, M. Porter, K. Prahalad, G. Simon , P. Senge, A. Strickland, A. Thompson, G. Hamel, K. Hofer, E. Chandler, G. Steiner, K. Andrews. Their work began the classical theory of strategic planning, and then strategic management.
An analysis of foreign experience has shown that foreign methods of strategic management and planning are based on the active involvement of the population in the process of developing and implementing strategic planning decisions. This is facilitated by the developed practice of social partnership: business – state – population. It should also be noted that the methods and approaches used in strategic management and planning are aimed at the perception of new factors and innovations in the external environment, which is reflected in the increased flexibility and adaptability of strategic management and planning at the level of the state, region, industry, and organization.
Strategic management and planning in Russia also has a long history. The facts of the formation and stages of the evolution of strategic planning in the USSR are known. These include the GOELRO plan, developed on the initiative of V.I. Lenin and implemented by G.M. Krzhizhanovsky in Russia (1920–1924), a long-term plan for the development of agriculture and forestry (II. D. Kondratyev, 1927) , V.V. Leontiev’s model of inter-industry balance and the Soviet system of “balance sheets of the national economy” (BNH) of the 30–40s. XX century. A logical continuation of large-scale planning (even without using the term “strategic”) were the five-year plans of the 50–80s. XX century They were based on the theory of the so-called objective law of socialism (1952), in particular, in the form of the “law of planned, proportional development of the national economy.” The next attempt to organize strategic planning on a national scale was the creation of the Automated System of Planned Calculations (ACIIP) in the 70-80s. XX century
In relation to the conditions of a centrally controlled economy in the 80s. XX century under the leadership of academicians S. S. Shatalin, L. V. Kantorovich, N. I. Lapin, the theoretical foundations were laid for the use of forms and methods of program-targeted management to solve complex intersectoral problems and develop the national economy; a concept of coordination and contractual forms of organizing intersectoral management was developed; Comprehensive forecasts for the development of industrial infrastructure sectors (transport, communications, material and technical supply, water supply and engineering infrastructure) for the long term were constructed. On this basis, a number of strategic government decisions were prepared, including on improving the organization of territorial management of the national economy, improving the organization of management of scientific and technological progress, and much more.
During Russia's transition to a market economy, the traditional concept, based on centralized planning of sectors and proportions of the national economy based on inter-sectoral balance, minimal needs of the population and the preferential growth of means of production compared to the production of consumer goods, lost its significance.
The strategy of any organizational and management structure depends on the level of instability of the external and internal environment of the organization. The organization's strategy consists of two components: on the one hand, the strategy is deterministic, i.e. clearly planned, and on the other hand – stochastic, i.e. formed under the influence of random factors. The higher the instability of the external environment, the more random the creative approach of managers to assessing the market situation is in the organization’s strategy, i.e. a combination of planned actions and quick decisions to adapt the organization to a new situation, to new opportunities for gaining competitive advantages and new threats to weaken its competitive position.
In this regard, issues of strategic management and planning of socio-economic systems as objects of strategic management and planning become especially relevant.
Strategic management in the context of economic globalization is considered as a mechanism for managing the world community in an unstable external environment. These strategic management techniques are system-wide and applicable at any hierarchical level: state, region, industry and micro level - organization and economic entity; The strategy is applicable to any field of activity, regardless of its scale and economic characteristics.
In Fig. Figure 11.2 shows a hierarchical diagram of strategic management objects.
Objects of strategic management of the national economy on a hierarchical basis, from the primary link (economic entity) to the state economy as a whole, represent an interconnected set of projects for strategic decisions in the field of development and improvement of socio-economic systems.
Stakeholders external to them, for example, local authorities at the regional and federal levels, potential investors, public organizations, etc., can also participate in the formation of a development strategy for objects of strategic management and planning.
Thus, in strategic management there is always a system of subjects of this management, which covers many participants, and above all employees of the organizational structure under study.
Business entities - corporations, holdings, organizations - can be considered as micro-level socio-economic systems, since their development is based on economic laws and management decisions aimed at achieving sustainable development under the negative influence of external and internal environmental factors.
Rice. 11.2.
Any organization as a complex socio-economic system includes the following subsystems: management systems for technical development, production, personnel, economics and marketing. Each subsystem in turn consists of functional control subsystems. The proposed model of strategic management of an organization as a micro-level socio-economic system makes it possible to significantly reduce the costs of developing a development strategy and, accordingly, increase the efficiency of making strategic development decisions.
The task of strategic management of a socio-economic system of any hierarchical level in our case is to ensure such interaction of the control object with the environment that would allow maintaining its potential at a level necessary and sufficient to achieve the set goals, and thereby give the control object the opportunity to survive in short and long term.
Thus, an organization as a socio-economic system represents, on the one hand, a symbiosis of the social and economic spheres of life, and on the other, a constantly developing complex of human relations associated with the distribution of limited resources in order to satisfy the interests of staff, owners and society as a whole. It can be presented as a continuous process that determines the sequence of actions of the organization related to setting goals, determining the necessary resources and maintaining relationships with the external environment.
The development strategy of an organization as a management process must simultaneously provide for the establishment of goals and objectives, the development of basic directions taking into account development alternatives, the implementation of a set of organizational, technical, economic, educational and other measures to implement the strategy, the determination of the stages of strategic management of the organization and its position in the market, systematic control, adaptive operational regulation to maintain sustainable operation of the organization.
Consequently, strategic management of an organization is a means of achieving desired results (goals). To a certain extent, it embodies the organization’s management model, and in general, ensures the quality and competitiveness of its activities.
Today, the strategic management system involves achieving strategic management goals through the effective work of management personnel to mobilize efforts to achieve these goals on the basis of making informed management decisions.
Without correctly setting the goals and objectives of strategic management and planning and determining ways to solve them strategically on the basis of postulates, principles and rules developed by foreign and domestic practice, without a creative approach, without taking into account domestic experience in strategic management and planning, no innovations of modern strategic management will give the expected result.
Strategic management is based primarily on making management decisions focused on taking into account the specifics of the external environment, achieving the competitiveness of an enterprise in the market, and success in competition. Determining a variety of strategic alternatives for the management of the organization is in this case a difficult task.
Based on the analysis of domestic and foreign literary sources, all subprocesses of the studied micro-level management objects - the organization - can be divided into subsystems in the following areas (areas) of activity:
- technological development management;
- activity quality management system;
- Production Management;
- economic management;
- marketing management;
- personnel Management.
Pa fig. 11.3 shows the system of relationships (subsystems) of strategic management of an organization.
In general, strategic management at the organizational level is a dynamic process that should be based on taking into account market conditions, take into account all stages of strategic management (forecasts, plans, targeted and comprehensive programs), analysis, control and evaluation of management decisions.
The main stages of the formation of the process of strategic management of an organization are shown in general form in Fig. 11.4.
The main stages of the strategic management process can be characterized as follows.
M.: 1989. - 358 p.
The book offered to the reader was written by the famous American specialist in the management of industrial corporations, Igor Ansoff, an honorary professor at the International University in San Diego, who has experience of practical work in leading corporations, a very famous and prolific author on the problems of strategic planning. I. Ansoff published a number of fundamental works in this area: “Corporate Strategy” (New York, 1965), “From Strategic Planning to Strategic Management” (New York, 1976), “Fundamentals of Strategic Management” (New York, 1979), dozens articles devoted to this problem in leading American journals. This book occupies a special place among these publications. It is not only the most comprehensive, covering historical and modern, theoretical and applied aspects of strategic management, but also the most specific, revealing the very essence of the methodology and organization of this function in a modern enterprise.
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Content
Introductory article
1.1. Evolution of tasks
1.1.1. The era of mass production
1.1.2. The era of mass marketing
1.1.3. Post-industrial era
1.1.4. conclusions
1.2. Evolution of system solutions
1.2.1. Accurate assessment of the nature of change
1.2.2. Evolution of management systems
1.2.3. Long-term and strategic planning
1.2.4. Management by choosing strategic positions
1.2.5. Management by ranking strategic objectives
1.2.6. Weak signals and firm actions
1.2.7. Managing in the face of strategic surprises
1.2.8. Choosing a management system for a company
1.2.9. Managing complex situations
1.2.10. conclusions
Part 2. Planning for choosing a strategic position
2.1. Is it worth discovering your strategy? - 2.1.1. Concept of strategy
2.1.2 Strategy and performance
2.1.3 When should a strategy be formulated?
2.1.4 Difficulties in mastering the strategy process
2.1.5 Conclusions
2.2. Strategic segmentation
2.2.1 Strategic economic zones and strategic economic centers
2.2.2 Demand and technology life cycles
2.2.3 Identification of strategic management zones
2.2.4 Strategic Resource Zones
2.2.5 Groups influencing strategy formation
2.2.6 Boston Advisory Group Matrix
2.2.7 Assessing the attractiveness of a strategic management zone
2.2.8 Assessing the level of strategic investments
2.2.9 Determining the future effectiveness of the current strategy
2.2.10 Assessing future competitive status
2.2.11 General Electric-McKinsey Matrix
2.2.12. Setting a strategic goal
2.2.13. Analysis of a set of strategic management zones
2.2.14 Limits of application of the McKinsey matrix
2.2.15 Conclusions
2.3 Strategic recruitment management
2.3.1 Balancing a set of strategic management areas with different life cycles
2.3.2 Balancing the firm’s positions in different phases of life cycles
2.3.3 Strategic flexibility
2.3.4 Assessing flexibility
2.3.5 Synergies and internal relationships
2.3.6 Assessing synergies
2.3.7 Set control with multiple landmarks
2.3.8 Overview of strategic position planning
2.3.9 Review of strategic analysis techniques
2.3.10 From strategy to action
2.3.11 Diversification through strategic experience
2.3.12 New burden on general corporate governance
2.3.13 Conclusions
2.4 Strategic aspects of technology
2.4.1 Technology as a means of competition
2.4.2. Variability of technology
2.4.3 Importance of research and development
2.4.4 Bridging the gap between the general management of the company and scientific and technical specialists
2.4.5 Determining the impact of technology on business strategy
2.4.6 Incorporating technological factors into the formulation of competitive strategy
2.4.7 Relative amounts of investment in R&D
2.4.8 Comparison of research- or development-oriented organizations
2.4.9 Interrelation of types of functional activities within the company
2.4.10 Product life cycle
2.4.11 Reaching a high level of development
2.4.12 Conclusions
2.5 Company strategy in relation to society
2.5.1 Introduction
2.5.2 Evolution of social difficulties
2.5.3 Alternative scenarios
2.5.4 Elements of a community relations strategy
2.5.5 Analysis of firm preferences
2.5.6 Impact of restrictions
2.5.7 Analysis of the "field of forces"
2.5.8 Analysis of the approved strategy
2.5.10 The need for new management qualities
2.5.11 Conclusions
2.6 Strategic aspects of internationalization
2.6.1 Distinctive characteristics of internationalization
2.6.2 Goals of internationalization
2.6.3 Objectives and strategic criteria
2.6.4 Stages of internationalization
2.6.5 Global synergies versus local responsiveness
2.6.6 Selecting a strategy
2.6.7 Distribution of powers and responsibilities
2.6.8 Progressive internationalization process
2.6.9 Managerial capacity for internationalization
2.6.10 Conclusions
Part 3 Matching the firm's potential to the variability of its environment
3.1. The original concept of strategic management
3.1.1. Two styles of organizational behavior
3.1.2. Entrepreneurial Behavior
3.1.3. Differences in organizational appearance
3.1.4. Strategic and operational management
3.1.5. conclusions
3.2. From strategic planning to strategic management
3.2.1. Doubts about strategic planning
3.2.2. Is planning beneficial?
3.2.3. Research Design
3.2.4. Research results
3.2.5. Chandler's perspective
3.2.6. Four stages of evolution
3.2.7. Fundamentals of Strategic Capability Management
3.2.8. conclusions
3.3. Organizational Capacity Concept
3.3.1. Functional potential
3.3.2. Development of the general management of the company
3.3.3. Identifying company-wide leadership opportunities
3.3.4. Characteristics of General Management Capacity
3.3.5. Illustrations
3.3.6. conclusions
3.4. Strategic position analysis
3.4.1. Degree of variability - aggressiveness - openness
3.4.2. Diagnostics of variability of conditions
3.4.3. Determining the aggressiveness of a company's strategy
3.4.4. Identifying Opportunities
3.4.5. The origins of our example
3.4.6. Variety of possibilities
3.4.7. Planning and analysis of strategic position
3.4.8. Managing the transformation of the strategic position
3.4.9. conclusions
Part 4 Managers, systems, structures
4.1. Chief Executive Officer of a Diversified Firm
4.1.1. Management as a problem solving cycle
4.1.2. Manager Archetypes
4.1.3.The main leader is a man of his time
4.1.4. Firm of the future
4.1.5.Functions of the chief executive
4.1.6. Gaining experience using experts
4.1.7. The tendency for the formation of multiple management of the company
4.1.8. conclusions
4.2. Scientifically based choice of management system
4.2.1.Systems and structure
4.2.2. Relationship between system and structure
4.2.3. Management of implementation of solutions
4.2.4. Control-based management
4.2.5. Extrapolation Method Control
4.2.6. Entrepreneurial management system
4.2.7. System components
4.2.8. How to choose a control system
4.2.9. System readiness diagnostics
4.2.10. Design and use of systems: distribution of roles and responsibilities
4.2.11. Planning procedure in an organization
4.2.12. Human factor in systems
4.2.13. Future trends
4.2.14. conclusions
4.3. Designing a company structure
4.3.1. Evolution of structure
4.3.2. Organizational response
4.3.3. Determining Preferred Reaction
4.3.4. Classification of reactions
4.3.5. Characteristics of the organizational structure project
4.3.6. Functional structure
4.3.7. Divisional structure
4.3.8. Matrix structure
4.3.9. Multiple structure
4.3.10. The role of the company's main headquarters
4.3.11. Staff and overhead functions
4.3.12. Change of structure
4.3.13. conclusions
Part 5 Strategic Response in Real Time
5.1. Management response to unexpected changes
5.1.1.Introduction
5.1.2. Basic model
5.1.3. Active and reactive control
5.1.4. Planned management
5.1.5. Behavior after the start of the reaction
5.1.6. Comparison of behavior types
5.1.7.Conclusions
5.2. Strategic information
5.2.1. External environment as an information filter
5.2.2. Psychological filter
5.2.3. Development of thinking
5.2.4. Strategic and creative thinking types
5.2.5. Filter of real power in the company
5.2.6. Conclusions. Strategic Information Model
5.3. Strategic Objectives Management
5.3.1. Why is it important to manage strategic objectives?
5.3.2. What is a strategic task management system
5.3.3. Identification of strategic objectives
5.3.4*. Assessing the consequences of solving strategic problems and the degree of urgency of the response
5.3.5*. Eurokip matrix
5.3.6. Periodic planning and management of strategic tasks
5.3.7. Behavioral factor
5.3.8. conclusions
5.4. Technique for using weak signals
5.4.1. Why are the signals weak?
5.4.2. Levels of awareness
5.4.3. Strong and weak signals
5.4.4. Weak signal control
5.4.5. Identifying Weak Signals
5.4.6 *. Impact calculation
5.4.7. Alternative Response Strategy
5.4.8. Possible responses
5.4.9. Dynamics of response
5.4.10*. Readiness diagnostics
5.4.11*. Scatter plot
5.4.12. Selection of solution options
5.4.13*. Periodic planning and control in conditions of strong and weak signals
5.4.14. conclusions
Part 6 Managing in the face of strategic change
6.1. Individual and group resistance to change
6.1.1. The phenomenon of resistance
6.1.2. Identifying Resistance
6.1.3. Resistance and rate of change
6.1.4. Example
6.1.5. Individual resistance
6.1.6. Group resistance
6.1.7. Loyalty to the Corporation
6.1.8. Reality and its perception
6.1.9. Sphere of culture and company policy
6.1.10. Generalization of influencing factors
6.1.11. From reactive management to proactive influence
6.1.12. Creating a “launching pad”
6.1.13. Analysis of the nature of change
6.1.14. Creating an atmosphere of support
6.1.15. Considering behavioral factors when planning transformations
6.1.16. Managing the process of change through changing employee behavior
6.1.17. conclusions
6.2. System resistance
6.2.1. The duality of the organization's activities
6.2.2. Potential for strategy development and implementation
6.2.3. Professional level of managers to carry out current production, economic and strategic activities
6.2.4. Dependence of resistance on managerial competence
6.2.5. Consistency and resistance to change
6.2.6. Motivation for the sequence of changes
6.2.7. Resistance and power in the organization
6.2.8. Accounting for Resistance to Change
6.2.9. conclusions
6.3. Other Ways to Make Spontaneous Changes
6.3.1. Forced method of making changes
6.3.2. Adaptive Changes
6.3.3. Crisis management
6.3.4. Resistance control (accordion method)
6.3.5. Comparison of methods
6.3.6 *. Choosing the right method
6.3.7. conclusions
6.4. Introducing Spontaneous Change Using Resistance Management
6.4.1. Resistance management and alternative methods
6.4.2. Japanese and Western decision making methods
6.4.3. Creating a “launching pad”
6.4.4. Development of a modular change plan
6.4.5. Ensuring implementation of plans
6.4.6. Planning process control
6.4.7. Consistent solutions and early implementation
6.4.8. Institutionalization of the new strategy
6.4.9. conclusions
6.5. Institutionalization of managerial response
6.5.1. Introduction
6.5.2. Why strategic planning doesn't work
6.5.3. Dual control system
6.5.4. Control and encouragement of strategies
6.5.5. Double financing
6.5.6. Double structure
6.5.7. Institutionalize the culture and power structure for strategic action
6.5.8. Managing the process of institutionalizing strategies
6.5.9. How deeply to institutionalize strategies
6.5.10. conclusions
6.5.11. Change Management Checklist
Approaches to the process of developing and implementing strategy
The importance of strategic behavior that allows a firm to survive competition in the long term has increased dramatically in recent decades. Acceleration of changes in the environment, the emergence of new demands and changes in consumer position, increased competition for resources, internationalization and globalization of business, the emergence of new unexpected business opportunities opened up by the achievements of science and technology, the development of information networks that make possible the lightning-fast dissemination and receipt of information, wide the availability of modern technologies, the changing role of human resources, as well as a number of other reasons have led to a sharp increase in the importance of strategic management.
However, there is no single strategy for all companies, just as there is no single universal strategic management. Each company is unique in its own way, therefore the process of developing a strategy for each company is unique, since it depends on the company’s position in the market, the dynamics of its development, its potential, the behavior of competitors, the characteristics of the goods it produces or the services it provides, the state of the economy, and the cultural environment and many more factors. At the same time, there are some fundamental points that allow us to talk about some general principles for developing a command strategy and implementing strategic management. These include the strategic management process.
An analysis of the literature on strategic management shows that the authors’ opinions on the process of developing and implementing strategy are ambiguous. Different authors propose different approaches.
I. Ansoff identifies the following group of key decisions when formulating a strategy: internal assessment of the company; assessment of external opportunities; formulation of goals and selection of tasks; decision on portfolio strategy; competitive strategy; creation of alternative projects, their selection and implementation.
According to M. Meskon, the strategic management process consists of nine steps. These are: developing the mission and goals of the organization; assessment and analysis of the external environment; management survey of strengths and weaknesses; analysis and selection of strategic alternatives; implementation and evaluation of strategy.
S. Wooton and T. Horn consider the strategic planning process in the context of three stages, which in turn are decomposed into nine steps. This:
1) strategic analysis, consisting of: analyzes of the external and internal environment and their cumulative assessment;
2) choice of strategic direction, including: forecasting; definition of mission and goals; and identifying strategic “gap” between forecasts and goals;
3) implementation of the strategy, which includes: consideration of alternative strategy options; analysis of each option for competitiveness, compatibility, feasibility, risk, etc.; drawing up a strategy implementation plan.
A. Thompson and D. Strickland consider strategic management from the point of view of solving five problems: determining the scope of activity and formulating strategic guidelines; setting strategic goals and objectives for their implementation; formulating a strategy to achieve the intended goals and results of production activities; implementation of the strategic plan; evaluating performance results and changing the plan and/or methods of its execution.
The model of the strategic process by V. Markova and S. Kuznetsova consists of four stages: defining the goal; gap analysis, including assessment of the external and internal environment; formulating a strategy, taking into account the consideration of alternative options; implementation of the strategy based on the preparation of plans and budgets.
O. Vikhansky considers the strategic management process as a dynamic set of five interrelated management processes: environmental analysis; definition of mission and goals; selection and implementation of strategy, evaluation and control of implementation.
Comparing the approaches of these and other authors to determining the substantive side of strategic management, we can state that scientists mainly adhere to the principles of I. Ansoff and G. Mintzberg. They consider the methodology of strategic management as consisting of two complementary subsystems:
1) management of strategic opportunities, including analysis and selection of a strategic position, or “planned strategy”;
2) operational problem management in real time, allowing firms to respond to unexpected changes or “realizable strategy”.
The essence of the strategic management process
Strategic management can be defined as a process consisting of the following:
1. Strategic management at an enterprise should represent a number of successive interconnected stages, each of which uses the results of the previous one as the basis for decision-making.
2. The first element of this process is the procedure for determining the company’s mission, the final element is obtaining initial data for organizing the current management of the company. Without interfering in conceptual disputes about the content of the mission, we only emphasize that all authors agree on the essence of the mission as the most general image of the company’s business success. Current control uses specific (quantitative) signals, and from this the following proposition follows.
3. Strategic management technology involves moving from abstract definitions to specific numerical criteria for development. Many reject such a requirement, calling it excessive rationalization. However, by omitting it, we will not be able to connect strategic management to the technology of current management, and therefore, we will leave strategic management as a “thing in itself” that has nothing to do with pressing business problems, and are unlikely to solve the problems formulated above.
4. If we agree that a significant number of elements of strategic management deal with quantitative information, then it is possible to use special formal methods that make it possible to process information that is not entirely structured and is not always accurate, but rather vague. It becomes possible to develop and introduce into the technological process of strategic management a number of formal techniques that use mathematical apparatus focused on working with information containing uncertainty (for example, the mathematical apparatus of the theory of fuzzy sets). Such formalization of individual procedures will increase confidence in the decisions being made.
5. Strategic decisions made must reflect a systematic approach, i.e. be the result of analysis and synthesis of individual enterprise strategies (both product and marketing and functional).
6. Such activities should be carried out at a certain frequency, related to the characteristics of the markets and the capabilities of the company.
The strategic management process involves setting goals, developing strategies, identifying necessary resources, and maintaining relationships with the external environment that enable the organization to achieve its goals.
There are two main end products of strategic management.
One of them is the organization's potential, which ensures the achievement of goals in the future.
What in this context should be understood as the potential of the organization? Let's look at Figure 3.1.
Figure 3.1 - Schematic diagram of a commercial organization
On the “input” side, this potential consists of raw materials, financial and human resources, information; on the “output” side - from the products and services produced, from a set of rules of social behavior, following which helps the organization achieve its goals. It is important to note that not all products and services of an organization can be included in its potential, but only those that have been tested for potential profitability. This means that the organization’s products are created on the basis of new promising technologies, have distinctive features and will be in demand in the market.
Another end product of strategic management is internal structure and organizational changes that ensure the organization's sensitivity to changes in the external environment. In an entrepreneurial organization, this presupposes the ability to timely detect and correctly interpret external changes, as well as to manage adequate response actions, which presuppose the presence of strategic capabilities for the development, testing and implementation of new goods and services, technologies, and organizational changes. An organization's potential and strategic opportunities are determined by its architecture and the quality of its personnel.
The architecture of the organization consists of:
Technology, production equipment, facilities, their capacities and capabilities;
Equipment, its capabilities and capacity for processing and transmitting information;
Level of production organization;
Power structure, distribution of official functions and decision-making powers;
Organizational tasks of individual groups and individuals;
Internal communications and procedures;
Organizational culture, norms and values that underlie organizational behavior.
The quality of personnel is determined by:
Attitude to changes;
Professional qualifications and skill in design, market analysis, etc.;
Ability to solve problems related to strategic activities;
Ability to resolve issues related to organizational change;
Motivation to participate in strategic activities and the ability to overcome resistance.
Thus, strategic management activities are aimed at providing a strategic position that should ensure the long-term viability of the organization in a changing environment. In a business organization, a strategic leader ensures continued profitability potential. Its tasks are to identify the need and implement strategic changes in the organization; create an organizational architecture that facilitates strategic change; select and train personnel capable of implementing strategic changes.
In contrast to strategic management, operational management is concerned with using the existing strategic position of the organization in order to achieve its goals. In a commercial organization, the manager dealing with operational issues must turn the organization's potential into real profit. Its tasks include determining overall operational objectives, motivating, coordinating and supervising both managers and performers within the organization.
Both strategic and operational management for normal functioning require the creation and maintenance of a certain organizational architecture, selection and training of personnel. However, these elements are different for the two types of control. Strategic architecture is focused on change, is flexible and does not have rigid structures. Operational architecture is resistant to change and focused on efficiency. If the manager carrying out strategic management strives for change, is inclined to take risks, and has the skills to manage the development of new directions, then the manager carrying out operational management is opposed to change, is not prone to risk, and is competent in analyzing, coordinating and controlling complex activities.
The management system of a commercial organization includes two mutually complementary types of management activities - strategic management associated with the development of the future potential of the organization, and operational management that realizes the existing potential into profit. Strategic management requires entrepreneurial organizational behavior, while operational management functions on the basis of incremental behavior. Recently, organizations have increasingly felt the need to simultaneously use both types of behavior, for which they need to create a structure of their architectonics that would allow them to successfully develop both entrepreneurial and incremental styles of organizational behavior.
Strategic management can be defined as such management of an organization that relies on human potential as the basis of the organization, focuses production activities on consumer needs, carries out flexible regulation and timely changes in the organization that meet the challenge from the environment and allows one to achieve competitive advantages, which together as a result, allows the organization to survive and achieve its goal in the long term.
Strategic Management Process
Strategic management is a process that includes the following main elements and stages (Fig. 3.2):
Figure 3.2 - Main elements and stages of strategic management
Strategic analysis;
Formation of strategy and strategic choice;
Strategy implementation;
Evaluation and control of strategy implementation.
Strategic Analysis requires a clear understanding on the part of management of what stage of development the enterprise is at before deciding where to move next. This requires an effective information system that provides data for the analysis of past, present and future situations. A well-conducted business diagnostic of the strengths and weaknesses of an enterprise provides a realistic assessment of its resources and capabilities, and is also the starting point for developing a strategy. Knowledge of the competitive environment in which the company operates is also important.
A feature of strategic management is its orientation to the future, and therefore, it is necessary to determine what to strive for and what goals to set. Along with analyzing the internal environment, the organization also needs to diagnose the external environment in order to know the opportunities and threats for development in the future.
Analysis of the external environment is carried out in seven areas (spheres), which are economics, politics, market, technology, competition, international situation and socio-cultural behavior. Thus, strategic analysis is the most important stage of management in developing an effective strategy, which is based, as a rule, on three components:
About correctly developed long-term goals;
O deep understanding of the external competitive environment;
About a real assessment of your own resources and capabilities.
Environmental analysis is considered the initial stage of the strategic management process, as it provides the basis for defining the mission and goals of the organization and developing strategy. External environment - a set of variables, threats and opportunities that are outside the enterprise and beyond the short-term control of management. The internal environment is a set of variables (strengths and weaknesses) located within the organization and controllable by management over the short term.
Formation of strategy - definition of mission and goals (long-term and short-term). Strategy formation is the process of determining the mission and goals of an organization, as well as choosing a strategy for achieving these goals.
Strategic choice includes the formation and assessment of alternative directions for the development of the enterprise. The most preferred option is accepted. There are special methods for forecasting and assessing future situations based on development scenarios and portfolio analysis. It is believed that the formation and assessment of alternative development options is of independent value for management and is implemented during strategic planning. At the same time, the time frame, resources, sources and amounts of financing and those responsible for the implementation of the planned activities are determined.
There are operational and long-term planning. The first is designed to ensure the effective organization of the current activities of the enterprise, and the second is the survival of the organization in the future.
Within the framework of long-term planning, a distinction is usually made between traditional long-term and strategic. The main factor in strategic planning is the state of the external environment. It (unlike the traditional long-term) does not use the idea that the future is better than the past and does not rely on the extrapolation method in determining the future. Strategic planning is based, firstly, on an analysis of the real state of the external environment or its individual segments from the point of view of the company's development prospects. Secondly, promising sectors of the external environment are selected, long-term guidelines and areas of activity are developed.
Implementation of the strategy - the process in which strategy is translated into actions based on developed programs, budgets and procedures, and it is also the process of carrying out strategic changes in the organization, transferring it to a state in which the organization is ready to implement the strategy.
The implementation of the chosen strategy involves adjusting the two previous stages. Management's activities are aimed at modernizing (if necessary) the management system, bringing the company's organizational structure into line with the strategic goals, allocating the necessary resources, as well as training personnel. In other words, strategic management is formed in such a way as to help the organization’s management anticipate business development trends and monitor external influences.
Strategic decisions at this stage include: reconstruction of the enterprise, introduction of new products and technologies, organizational changes in the legal form of the enterprise, structure of production and management, remuneration, etc., entry into new markets, as well as acquisition (merger) enterprises, etc.
Evaluation and control of strategy implementation - provides stable feedback between the implementation of the strategy and the goals of the organization. Strategic control is aimed at determining the extent to which the implementation of strategy leads to the achievement of the company's goals.
Strategic management also has its own algorithm: what needs to be done (conceptual aspect, formation of a general goal); how to do it (technological aspect); using what means (resource aspect); in what terms and in what sequence (temporal aspect); who will do it (personnel aspect); what the organizational management structure should be (organizational and managerial aspect).
In recent years, the paradigm for developing firm strategy has changed significantly. If previously it was believed that a strategy should be known only to a narrow circle of top managers and should not be made public, today preference is given to an openly formulated one. Strategy should be a matter not only of the company's management, but also of all its ordinary employees.
As can be seen from the diagram, the strategy development process is iterative (cyclical). Thus, the definition and selection of a strategy can occur at the stage of analysis of the external environment, and the assessment of the strategy will require additional external analysis. In addition, changes in strategy lead to the need to monitor and annually adjust strategic decisions and plans.
Questions for repetition and consolidation
1. Name the main approaches to the process of developing and implementing a strategy.
2. What is the essence of the strategic management process?
3. What elements make up the organization's architecture?
4. Define strategic management.
5. What elements and stages does the strategic management process include?
Tutorial output:
Strategic management. Fundamentals of strategic management. Textbook. M.A. Chernyshev et al. Rostov-on-Don: Phoenix, 2009. - 506 p.
