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Science and art of management

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No 1 (2022)
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Business development management

8-22 149
Abstract

The article considers the main types of legitimate domination according to Max Weber, which cannot exist without mutual interest in management and subordination; for full-fledged domination, a “headquarters” is usually needed, that is, a group of trusted people implementing general instructions; domination cannot do without faith in the legitimacy of management. On the basis thereof the scientist identifies three types of legitimate domination: rational-legal, traditional and charismatic. Each of them, as a rule, is determined by the nature of the motives of the interested parties: whether it is material interest, value-rational motives or emotional attachment.
The most famous model is considered to be “bureaucratic”. Its key elements include the division of labor; a stable hierarchy of power, formed according to the official principle; permanent payments, a system of fixed rules governing the activities of the organization; the objectivity of the head and the high level of qualification of employees corresponding to their competence. The second traditional model is based on the faith of traditions and the personal rights of the person in power. It is no longer just a boss, but an absolute overlord who manages not employees, but subjects. That is, there is a complete opposite of the rational-legal type: subordination is not conditioned by an objective contract, but by the importance of the role of the dominant person, who, due to the established culture, has no restrictions at all, is capable of arbitrariness and requires unconditional personal devotion from subordinates. The third model takes into account the charismatic characteristics of the leader, revered by his followers.
The authors of the article are tasked to study, first of all, the strengths of the rational-legal model against the background of other alternative types of domination, as well as to address criticism that allows identifying shortcomings that were not taken into account personally by M. Weber. The result of the study is to determine the impact of his organizational concept on modern society.

Business development management

23-39 95
Abstract

In the context of the COVID-19 virus global pandemic the Russian healthcare system faced important challenges. On the one hand, it is required to provide the population with all the necessary medicines, and, on the other, to support domestic pharmaceutical manufacturers in conditions when foreign manufacturers occupy a priority position in the market in value terms. Thereby hospitals and other medical and preventive institutions sharply increased procurement by tenders from Russian manufacturers since, as a rule, those infected with coronavirus were sent to hospitals. The sharp increase in morbidity and the “waves” of the pandemic created an additional burden on both the hospital system and the medicines manufacturers’ capacity, as a result of which medicines sales increased significantly, and with them, the companies’ revenue and profits.
The article gives a general description of the Russian pharmaceutical market in 2020 and 2021, emphasizing its attractiveness to manufacturers, high competition level and growth prospects. Using the example of the 20 largest Russian pharmaceutical companies it shows the revenue and profit dynamics in 2020 compared to 2019.
It was also noted that the demand and, as a result, sales of “anti-covid” medicines changed over 2020 and the 1st half of 2021 along a trajectory similar to the trajectory of the number of people infected with “waves” in May and October 2020, and then by July 2021. Therefore, it was hypothesized that there would be a correlation between the cases’ number and medicines’ sales of certain therapeutic groups. By “anti-covid” drugs are meant antibacterial, antiviral drugs and immunostimulants. Hence it is possible to build a regression model with the help of which to predict the change in medicines’ sales depending on the epidemiological situation.
According to the results of the study, it was revealed that about 50% of sales changes are explained by the morbidity dynamics in Russia. The remaining 50% of the changes can be explained by the fact that the considered therapeutic groups of medicines are used to treat not only the COVID-19 virus, but also other respiratory diseases. The author draws conclusions about the main trends of the new era in the pharmaceutical industry.

40-48 125
Abstract

The article reflects an idea of the undeniable importance of money in the modern economic system. Recently, many experts, as well as governments in many countries, are increasingly talking about a new form of money, namely digital money. The relevance of the study of digital currency is provided by the novelty of the topic under consideration. The Russian economy is not quite ready for the development and implementation of such a mechanism. That is why the issue of creating, maintaining and regulating the digital ruble is very acute. The purpose of the study is to determine the essence of the digital ruble and methods of its introduction into the economy. The subject of the study is socio-economic relations, which are formed in the process of implementing the concept of a digital currency. The digital ruble should become an additional means of payment, combining usability, the promptness of processes, the autonomy of the digital repositories of each participant – the owner of digital money, as well as ensure safe, “clean” payments. The proposed conveyorization technology will contribute to all the above-mentioned objectives.

49-62 151
Abstract

In the current economic situation, most developing countries strive to increase the competitiveness of their science and products at the international level through an accelerated transition to an innovative economy, which is based on new ideas, knowledge, technologies. With that process, a great importance is attained to the speed of transformation of new ideas and knowledge into a marketable product. Therefore, the issue of commercialization of innovations is very relevant. It is the process of commercialization of innovations that plays an important role and determines their further development. However, at present, the issue of an innovation entering the market remains not fully resolved, which is due to both objective and subjective reasons. It is worth noting the insufficient development of the infrastructure of the Russian national innovation system, insufficient attention to the possible development of innovations throughout their life cycle, and little experience in the successful promotion of Russian innovations to the world market. In addition, there is widespread active opposition from competitors who are by no means interested in Russia’s entry into the global innovation market. Hence, in addition to the existing task of developing the infrastructure of the national innovation system in Russia, it is necessary to develop a mechanism and use tools that will comprehensively develop and promote Russian innovations to the world market throughout their entire life cycle.
To overcome the challenges in the commercialization of innovations, the process of promoting innovative products can be improved based on the concept of engineering. With regard to the commercialization of innovations, engineering involves the construction of an effective model for bringing innovations to the market, which implies diversification of responsibility between all participants in order to minimize risks and ensure the maximum coincidence of supply and demand indicators.

63-74 119
Abstract

The paper deals with the application of communication tools in the business sphere, as in today’s world it is becoming an integral element of the life of every single organisation. Currently, the tools of communication have shifted towards new information technologies, namely communication with customers usually takes place through social networks. Besides, in entrepreneurship, communication acquires an obligatory characteristic feature – interaction with the external environment, as it directly affects the promotion of one’s product or service. Every entrepreneur, in order to improve the quality of his products and increase demand, must develop an effective system of interaction with consumers, and it must be both one-way, namely posting information about his products, advertising, and two-way, that is, receiving feedback, direct communication with customers. And as time goes on, more and more attention is given to the professionalism of employees, since they exactly are a reflection of the organization’s activities and, accordingly, its valuableness and usefulness.
Therefore, every professional must be proficient in business communication skills and adhere to ethical rules when interacting both internally as well as with clients and partners. For a business, of course, external communication is a necessary element in increasing profits, but one should not forget about the internal environment of the company too. Communication between employees also affects the quality of the product and the performance of the tasks at hand. Due to recent conditions, namely the global pandemic, entrepreneurs must become more flexible and adapt to new conditions, including the use of new communication tools. It is the approach that will ensure competitiveness in the market and improve performance.

75-86 118
Abstract

The article considers global issues such as the climate risk, rising regulatory pressures, and social and demographic shifts that represent new or increasing risks for investors and business development. Environmental, social and governance (ESG) themes have become a top priority in investor programs.

International experience

87-111 128
Abstract

In present-day conditions, the positioning of energy saving and energy efficiency processes is one of the priorities of the National Strategy for Sustainable Socio-Economic Development of the Republic of Belarus.
The article builds an innovation and investment model for managing energy-saving technologies of an energy enterprise based on the analytical research results, reasonable parameters and criteria, which makes it possible to create a framework for industry 4.0 and a basis for sectoral scientific and technological integration within the EAEU. The object of the study is the management of energy-saving technologies at the Mogilev CHP-2 Branch of RUE Mogilevenergo in the system of innovative development. The authors present the organizational and economic foundations for the research of an innovative approach to the management of energy-saving technologies at an energy enterprise and conceptual approaches to the construction of an innovation and investment model in the control unit. The results of a retrospective and prospective analysis of energy efficiency in the format of the use of fixed assets of the branch are summarized, which made it possible to identify the need and objects of the innovation and investment activity.
Low-cost projects are recommended for implementation, as well as a largescale project of energy-saving technologies at production sites of equipment with a high level of physical and moral wear and tear, requiring increased efficiency and innovativeness of implemented technologies for generating the energy and providing its flexible release. In the hierarchy of measures, priority is assigned to low-cost technologies of modernization and reconstruction of Mogilev CHP-2. An investment project is developed for the introduction of low-cost technologies for the modernization of Mogilev CHP-2 with a high level of innovation, providing increased capacity, maneuverability and the energy efficiency of the organization. The effect of mutual influence of energy saving, energy efficiency and innovative development of an energy enterprise on achieving the goals of its sustainable development is substantiated.
The article treats of the development of the analytical control unit for the energy saving and efficiency improvement in the conditions of innovative development on the basis of a systematic and integrated approach to the interrelationships and interdependencies between the effective and factor indicators of the information and analytical management environment.
An investment project that provides the effect of mutual influence of energy saving, energy efficiency and innovative development with the target vector of sustainable development of the energy enterprise is considered as a result of the practical use of an innovative approach to the management of energysaving technologies.

Legal aspects of management

112-126 142
Abstract

Achieving the goals of the climate policy and broader ESG issues requires the UK to make rapid changes in the regulatory and legal field, especially in the financial sector. That requires an operational change in strategic goals, including those of the regulator, which is currently a pioneer in the field of ESG regulation. The article analyzes the gradual development of Financial Services Authority, the transformation of its ESG strategy, the formation of goals and objectives for the effective adaptation of the British economy to a more sustainable long-term future. The study confirms that Financial Services Authority needs to play a leading role at the international level, helping to move towards global solutions in the field of ESG. The results of the study also show that the introduction of new rules for the disclosure of non-financial information is necessary, since expanded disclosure of information to customers and consumers will help make more sound financial decisions, what, in turn, increases competition between suppliers and intermediaries, protects consumers from inappropriate financial products and promotes the flow of funds into more sustainable projects and activities.



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ISSN 2782-2222 (Print)