The Mechanism of the Industrial Enterprise’s Strategy Development Formation
Oleksandr Kundytskyj1, Mariana Vykliuk2, Natalia Kovalenko3, Igor Cret4
1B.Oleksandr Kundytskyj, Ivan Franko National University of Lviv, Department of Management, Lviv, Ukraine.
2Mariana Vykliuk, Department of Economics and Entrepreneurship of the European University, Lviv, Ukraine.
3Natalia Kovalenko, Department of International Economics, National Aviation University, Kiev, Ukraine.
4Igor Cret, Department of Economics of Enterprise and Investment, Lviv Polytechnic National University, Lviv, Ukraine.
Manuscript received on October 16, 2019. | Revised Manuscript received on 26 October, 2019. | Manuscript published on November 10, 2019. | PP: 4325-4331 | Volume-9 Issue-1, November 2019. | Retrieval Number: A4969119119/2019©BEIESP | DOI: 10.35940/ijitee.A4969.119119
Open Access | Ethics and Policies | Cite | Mendeley | Indexing and Abstracting
© The Authors. Blue Eyes Intelligence Engineering and Sciences Publication (BEIESP). This is an open access article under the CC-BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/)
Abstract: Theoretical and applied aspects of the mechanism of the industrial enterprise’s strategy development formation, are investigated. Based on the presented scientific achievement towards the enterprise’s strategic development formation concept, done a systematization of the existing scientific approaches towards considering the investigated concept from the point of view of different objects, in particular: systematic approach, functional approach, hierarchical approach, process approach, system-target approach, system- structural approach. Taking into account the specifics of the listed approaches, it is noted that the most rational in the current conditions of the industrial enterprises’ functioning is the use of system-structural approach. Presented the mechanism of the industrial enterprise’s strategy development formation, based on the proposed approach, as a systematic algorithm of actions, that allows on the basis of strategic management to determine the mission, goals and tasks of the enterprise, to develop the main strategic directions and measures of its development in conditions of dynamic change of the external environment at optimal use of the all enterprise’s available resources. Defined the business entity’s targeted areas of work, according to which the process of development and selection of the strategy’s development type, including: strategic plans, tactical plans and operational planning, should be carried out. There are five levels at which the industrial enterprise’s strategy development is developed: corporate level, business level, functional level, technical level, operational level, and modular level. The purpose, toolkit, factors and methods of realization diagnostics of the industrial enterprise’s strategy development are grounded. It is noted that the process of implementation of the enterprise’s strategy development and control over its implementation predicts the practical implementation of the following measures: defined plans and taking measures aimed at the implementation of the made enterprise’s strategy development; monitoring the progress of the implementation of the strategy’s development and determining the need for its adjustment; evaluation of the strategy’s implementation and taking into account the implementation’s disadvantages by developing the next strategy or modification of the existing strategy; control over maintaining the existing values of strategic development indicators, the organization’s activities and the enterprise’s strategic management effectiveness as a whole.
Keywords: Development Strategy, Industrial Enterprise Management, Mechanism of Development Strategy Formation, Strategic Management.
Scope of the Article: Data Management