Abstract

The article critically examines the positive and negative consequences of labor productivity growth at mining enterprises in the conditions of the old industrial region. It is suggested that for enterprises of the middle Urals it is necessary to form a mining production development strategy based on the directions of the regional strategy, which is not always connected with labor productivity growth by increasing mining volumes. The article is aimed at studying the factors affecting the prospects of mining enterprises activity from the standpoint of choosing strategic alternatives to their development. The methods of analysis: logical analysis, structural analysis, logical modeling, literature analysis. Using the logical modeling method, the following hypothesis was verified: that mining enterprises strategic development features in the conditions of an old industrial region should consider the strategy of municipalities in which these enterprises are located. For such mining enterprises, the increase in productivity through increased production is not unequivocally positive. It is concluded that in order to ensure the activities coherence of regions and enterprises, it is necessary to ensure balanced development, which can be achieved through the application of a managed strategy attenuation of the mining enterprise.

Highlights

  • Considering the issue of the mining enterprises influence on the territories development it is possible to state that their role is gradually weakening

  • Russian authors note that the performance indicators of mining enterprises show a stable position of the industry, but at the same time they reveal insufficient work to modernize fixed assets and improve the productivity of quarries' mining equipment [1]

  • The described situation shows that domestic metallurgical enterprises do not have sufficient commodity diversification, and they are located in the zone of potential risk

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Summary

Introduction

Considering the issue of the mining enterprises influence on the territories development it is possible to state that their role is gradually weakening. It should be noted that most of the mining enterprises of the middle Urals are located on the old (aging) mineral and raw materials base In recent years, this trend is typical for several post-Soviet countries. Analyzing the situation prevailing in Ukraine (especially in the coal industry) Ukrainian researchers note that in their opinion for the 15-20 years it is rational to phase out lossmaking enterprises of the industry This requires a balanced and careful approach, as well as a significant cost, including addressing complex social and environmental problems. The main efforts should be directed at managing the production resources of mines, which still have economic potential and are provided with relatively high-quality reserves for 15-20 years [3] This approach is focused only on meeting the interests of mining enterprises without considering the development peculiarities of the metallurgical industry and individual cities (regions)

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