Organisational and economic mechanism of business entities’ innovative development management

Economic Annals-ХХI: Volume 165, Issue 5-6, Pages: 80-83

Citation information:
Grуnko, T., & Gviniashvili, T. (2017). Organisational and economic mechanism of business entities’ innovative development management. Economic Annals-XXI, 165(5-6), 80-83. doi: https://doi.org/10.21003/ea.V165-17

Tetyana Grуnko
D.Sc. (Economics),
Professor,
Oles Honchar Dniepropetrovsk National University
72 Gagarin Str., Dnipro, 49010, Ukraine
greisy25@gmail.com
ORCCID ID: http://orcid.org/0000-0002-7882-4523

Tetyana Gviniashvili
PhD (Economics),
Assistant Professor,
Oles Honchar Dniepropetrovsk National University
72 Gagarin Str., Dnipro, 49010, Ukraine
g_tanya@ua.fm
ORCCID ID: http://orcid.org/0000-0002-7961-2549

Organisational and economic mechanism of business entities’ innovative development management

Abstract. Introduction. One of the problems of Ukrainian enterprises’ innovative development ensuring is lack of effective innovative development management. Purpose. To form the organisational and economic mechanism of the innovative development management, and to develop scientific and methodical approach to evaluating the efficiency of the innovative development management. Results. We proposed a structure of the organisational and economic mechanism, a distinctive characteristic of which is the composition of the interaction process of the subjects and objects of management. As the subjects of management in the mechanism we singled out three subsystems: functional, process and administrative which are the bases of innovative development. The object of management is subprocesses of innovative development. In addition, the structures of subprocesses of the organisational and economic mechanism of the entities’ innovative development management are formed in this article. Also, we proposed the indicators of efficiency to manage them. The scientific and methodical approach to evaluate the efficiency of the entities’ innovative development management allows considering the impact of science and technology, resource, economic, financial and social types of effect. The basis of our research is six enterprises of information and telecommunications field of Ukraine. On the basis of the assessment, we can make companies’ grouping by the level of innovative development, provide the characteristic of the current state, and form proposals for improving innovation strategy. The results of efficiency evaluation of the innovative development management of the studied enterprises in 2012-2016 have shown that LLC «Telsvit», LLC «Mehalink», LLC «ISP Riad», LLC «Promtel» belong to the group with average level of development. The enterprises should strengthen the innovative potential through the development of production capacity, improvement of management practices, and sustainable use of resources. LLC «Laynkord» and LLC «Kvazar Mikro Radio» achieve high level of innovative development within the implementation of a developed organisational and economic mechanism. They are advised to improve assimilated products and technologies to maintain competitive advantage.

Conclusion. Proposed organisational and economic mechanism of innovative development management, allows us to take into account functional relationship between all management elements. As a result of the research, it is found that the process of innovative development management should be considered as a set of subprocesses reflecting the combination of the main stages of the innovation life-cycle. We proposed scientific and methodical approach to evaluate the efficiency of the entities’ innovative development management, assess their level of innovation and generate proposals for innovation strategy adjustment.

Keywords: Mechanism; Innovative Development; Innovation Management; Efficiency; Telecommunication and Information Industry; Index

JEL Classіfіcatіon: О10; О31; О32

DOI: https://doi.org/10.21003/ea.V165-17

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Received 4.06.2017