Abstract

This paper describes the AISA, analyzes linkages between its components, and recommends changes in its functioning. Adopting the systems approach, the paper uses graph-theoretic concepts to characterize the AISA. Three important observations are immediate from the analysis. Firstly, the essential elements of the AISA are at an embryonic stage, and significant accomplishments in policy-making, organizational development, research, education, and credit institutions are yet to come. Secondly, there is ample scope for intermediary organizations to glue the public and the private components of the AISA by facilitating quick and effective flow of knowledge. But, the development of such organizations strongly depends on the presence of an enabling legal environment and the availability of financial and human resources. Under the current conditions Azerbaijan lacks all. Thirdly, especially in public organizations flexible management styles should be practiced to avoid unnecessary deadlocks in their interaction with private organizations.

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