Digital transformation of Ukraine: challenges of theory and practice in implementation of digital quality of life
Economic Annals-ХХI: Volume 172, Issue 7-8, Pages: 38-43
Citation information:
Boronos, V., Plikus, I., Aleksandrov, V., & Antoniuk, N. (2018). Digital transformation of Ukraine: challenges of theory and practice in implementation of digital quality of life. Economic Annals-XXI, 172(7-8), 38-43. doi: https://doi.org/10.21003/ea.V172-07
Viktorya Boronos
D.Sc. (Economics),
Professor,
Sumy State University
2 Rimsky-Korsakov Str., Sumy, 40007, Ukraine
vg.boronos@gmail.com
ORCID ID: https://orcid.org/0000-0003-3847-9830
Iryna Plikus
PhD (Economics),
Associate Professor,
Sumy State University
2 Rimsky-Korsakov Str., Sumy, 40007, Ukraine
plikusirina@gmail.com
ORCID ID: https://orcid.org/0000-0002-0657-7260
Vadym Aleksandrov
PhD (Technical),
Associate Professor,
Sumy State University
2 Rimsky-Korsakov Str., Sumy, 40007, Ukraine
aleksandrov_v@ukr.net
ORCID ID: https://orcid.org/0000-0001-5213-1676
Nataliia Antoniuk
PhD (Economics),
Associate Professor,
Sumy State University
2 Rimsky-Korsakov Str., Sumy, 40007, Ukraine
n.antoniuk@finance.sumdu.edu.ua
ORCID ID: https://orcid.org/0000-0001-8610-3219
Digital transformation of Ukraine: challenges of theory and practice in implementation of digital quality of life
Abstract. Introduction. The complexity of predicting the digitalisation processes with regard to all existing challenges and potentials of digital transformation raises the relevance of both theoretical and empirical studies related to the indicators development that allow analysing the current level of digitalisation of the socio-economic development of the territory, the transformational potential, the digital quality of life and the creation of methods for its evaluation, as well as determining the perspective directions in the digitalisation policy.
The purpose of the article is to develop methodological approaches to the evaluation of the digital quality of life.
Methods. The methods of formalisation, hypothetical assumption, system approach and scientific abstraction were used in the study. The Pareto principle and the ABC analysis method were used while determining the transformational potential (the significance of the digital space components tendency). In the developing of the indicators for assessing the digital quality of life in terms of the digital space components the process approach and the EFQM excellence model were used. The basis for calculating each indicator is the method of linear scaling.
Results. The paper proposes a conceptual model of the digital transformation in the economy and society which is represented both from the position of three digital spaces: business, education and science, state and society and from the viewpoint of process-industrial and technological approaches. In this model, the functions of business, education and science, the state and society are mutually complementary. It is suggested to monitor the development of individual components of the digital space in two directions: 1) the readiness of each component to digital transformations; 2) the use of information and communication technologies and their impact on the development of the specific component of the digital space and the quality of digital life. This approach to monitoring allows us to assess the digital quality of life. A methodology for assessing digital quality has been developed and indicators for its evaluation have been proposed. The assessment of the digital quality of life on average in the European Union (EU) and Ukraine by components of the territory’s digital space for 2015 showed that the EU requires progress in the dissemination of digital public services (0.39) and the integration of digital technologies into business activities (0.48), Ukraine is far behind the EU in terms of the digital quality of life.
Conclusions. In comparison with similar studies, the proposed methodology for assessing the digital quality of life allows us to identify problem areas and competitive advantages of digitalisation of the economy and society, and provides the ability to model the development the level of the digital quality of life in view of changing conditions.
Keywords: Digital Space; Digital Economy; Transformation Potential; Digital Quality of Life; Indicators of Digital Quality of Life
JEL Classification: С19; С82; О10; О11; О39
DOI: https://doi.org/10.21003/ea.V172-07
References
- Boston Consulting Group (2012). GeSI SMARTer 2020: The Role of ICT in Driving a Sustainable Future. Boston: Boston Consulting Group.
Retrieved from https://www.telenor.com/wp-content/uploads/2014/04/SMARTer-2020-The-Role-of-ICT-in-Driving-a-Sustainable-Future-December-2012._2.pdf - Organisation for Economic Co-operation and Development (2017). OECD Science, Technology and Industry Scoreboard 2017: The digital transformation. Paris: OECD Publishing.
doi: https://doi.org/10.1787/9789264268821-en - McKinsey & Company (2018, January). Analytics comes of age. McKinsey Analytics.
Retrieved from https://www.mckinsey.com/business-functions/mckinsey-analytics/our-insights/analytics-comes-of-age - Atkinson, R. D., & Castro, D. (2008, October 2). Digital Quality of Life: Understanding the Personal and Social Benefits of the Information Technology Revolution. Social Science Research Network.
doi: https://doi.org/10.2139/ssrn.1278185 - Castro, D. (2008, October 2). Digital Quality of Life: Communities. Social Science Research Network.
doi: https://doi.org/10.2139/ssrn.1284987 - Castro, D. (2008, October 2). Digital Quality of Life: Government. Social Science Research Network.
doi: https://doi.org/10.2139/ssrn.1285002 - Lupton, D. (2015, January 20). Digital Health Technologies and Digital Data: New Ways of Monitoring, Measuring and Commodifying Human Embodiment, Health and Illness. In F. X. Olleros and M. Zhegu (Eds.), Research Handbook on Digital Transformations. Edward Elgar, Northampton, MA, Forthcoming.
Retrieved from https://ssrn.com/abstract=2552998 - Constantinescu, M., & Marinescu, G. (2016). Smart Economy – the Potential of Digital Infrastructure for the Circular Economy. Social Economic Debates, 5(1).
Retrieved from https://ssrn.com/abstract=2890887 - Stucke, M. E., & Ezrachi, A. (2017). How Digital Assistants Can Harm our Economy, Privacy, and Democracy. 32 Berkeley Technology Law Journals,1239; University of Tennessee Legal Studies Research Paper, No. 324.
doi: https://doi.org/10.2139/ssrn.2957960 - Faisal, F. (2017, March 27). Digital Adoption by Businesses: Challenges and Opportunities. Social Science Research Network.
Retrieved from https://ssrn.com/abstract=2941668 - Murina, S. (2009). Methodological approaches to the study and assessment of the quality of life of the population: the regional dimension.
Retrieved from http://resources.krc.karelia.ru/krc/doc/publ2009/Innovatika_4_088-99.pdf (in Russ.) - Lazarev, A. N. (2011). International indices for the evaluation of the development of the information society: new indicators. Open Education 4, 75-84 (in Russ.).
- Simakina, M. A. (2012). Information society as the basis for the formation of a new quality of human life.
Retrieved from http://uecs.ru/economika-truda/item/1262-2012-04-16-07-00-12 (in Russ.) - Andreeva, O. N. (2013). Methods of assessment of living and life quality of population. Ojkumena. Regionovedcheskie issledovaniya (Ojkumena. Regional Researches), 2, 112-120.
Retrieved from https://ojkum.ru/arc/lib/2013_02_14.pdf (in Russ.) - Kurushina, E. V., Nikonova, A. S., Luzin, D. A., & Sheveleva, N. P. (2017). The formation of digital environment in the Eurasian Economic Union (EAEU). Management of economic systems: an electronic scientific journal, 95(1), 1-17.
Retrieved from https://cyberleninka.ru/article/n/formirovanie-tsifrovogo-prostranstva-v-stranah-eaes (in Russ.) - Castells, M., & Himanen, P. (2011). The information society and welfare state: The Finnish model. Oxford Scholarship.
doi: https://doi.org/10.1093/acprof:oso/9780199256990.003.0007 - The Cabinet of Ministers of Ukraine (2018, January 17). Concepts for the development of the digital economy and society of Ukraine for 2018-2020. Resolution No. 67-p.
Retrieved from https://www.kmu.gov.ua/ua/npas/pro-shvalennya-koncepciyi-rozvitku-cifrovoyi-ekonomiki-ta-suspilstva-ukrayini-na-20182020-roki-ta-zatverdzhennya-planu-zahodiv-shodo-yiyi-realizaciyi (in Ukr.) - Hi Tech Office Ukraine (2016). Digital Agenda of Ukraine – 2020.
Retrieved from https://ucci.org.ua/uploads/files/58e78ee3c3922.pdf (in Ukr.) - Department of Economic and Social Affairs (2016). E-Government in support of sustainable development. Survey 2016. New York: United Nations.
Retrieved from http://workspace.unpan.org/sites/Internet/Documents/UNPAN97453.pdf - Dutta, S., Lanvin, B., & Wunsch-Vincent, S. (Eds.). (2017). The Global Innovation Index 2017: Innovation Feeding the World (10th edition). Cornell University, INSEAD, and the World Intellectual Property Organization.
Retrieved from https://www.globalinnovationindex.org/gii-2017-report - 21 Center for International Development (CID) (2016). Country Complexity Rankings. Harvard’s Center for International Development.
Retrieved from http://atlas.cid.harvard.edu/rankings - World Bank Open Data (2016). Official web-site.
Retrieved from https://data.worldbank.org - UNESCO (2016). Science, technology and innovation.
Retrieved from http://data.uis.unesco.org/Index.aspx?queryid=115 - International Telecommunication Union (2017). Measuring the Information Society Report, Vol.1. Geneva.
Retrieved from https://www.itu.int/en/ITU-D/Statistics/Pages/publications/mis2017.aspx - United Nations Development Programme (2016). Human Development Report.
Retrieved from http://hdr.undp.org/en/data - World Economic Forum (2015). Business usage of information technology.
Retrieved from http://www3.weforum.org/docs/WEF_NRI_2012-2015_Historical_Dataset.xlsx - European Commission (2018). International Digital Economy and Society Index (I-DESI). Directorate-General for Communications Networks, Content and Technology.
doi: https://doi.org/10.2759/71377 - International Organization for Standardization (2015). ISO 9001:2015 Quality management systems – Requirements.
Retrieved from https://www.iso.org/standard/62085.html - Centre for Integral Excellence (2003). EFQM Excellence Model. Higher Education Version 2003. Sheffield Hallam University.
Retrieved from http://www.academia.edu/22737193/EFQM_Excellence_Model_Higher_Education_Version_2003_
Adapted_from_the_EFQM_Excellence_Model_2003_Public_and_Voluntary_Sector_version_Produced_By_
SHEFFIELD_HALLAM_UNIVERSITY_With_endorsement_from_the_European_Foundation_for_Quality_Management - Council on regional informatization of the Governmental Commission on the use of information technologies to improve the quality of life and conditions of entrepreneurship (2016, April 20). Methodology for assessing the level of development of the information society in the subjects of the Russian Federation. Appendice 1 to the Protocol No. 172 pr.
Retrieved from http://minsvyaz.ru/uploaded/files/metodika-otsenki-urovnya-razvitiya-informatsionnogo-obschestva-v-subektah-rf-proekt.pdf (in Russ.) - State Statistics Service of Ukraine (2018). Official web-site.
Retrieved from http://www.ukrstat.gov.ua (in Ukr.) - Eurostat (2018). Official web-site.
Retrieved from http://ec.europa.eu/eurostat/data/database - Zakharkin, O. O., & Zakharkina, l. S. (2017). Stakeholder approach to the value-based management of the enterprise innovation activity. Financial and credit activity: problems of theory and practice, 2(23),133-139.
Retrieved from http://fkd.org.ua/article/view/121461/117032 - Organisation for Economic Co-operation and Development (2018). Digital economy. Official web-site.
Retrieved from http://www.oecd.org/sti/ieconomy
Received 12.09.2018