Enterprise Restructuring Research Articles

MODERN RESTRUCTURIZATION MECHANISMS OF AGRICULTURAL ENTERPRISES IN THE SYSTEM OF INTEGRATION RELATIONS

Introduction. Agricultural enterprises are in a state of permanent search for effective management solutions that can ensure their full effective development. In some cases, one of these decisions is the need to restructure the enterprise, which leads to changes in organizational, legal, management, production structure of the enterprise. Given that the bulk of value added for agri-food products is concentrated in the field of processing and trade, it is advisable for agricultural enterprises to restructure on the basis of integration with enterprises belonging to these industries. The purpose of the article is to develop conceptual foundations for the formation and functioning of mechanisms for managing the processes and procedures of restructuring in the system of integration relations of agricultural enterprises. Results. Conceptual bases of formation and functioning of organizational and economic mechanism of restructuring of agrarian enterprises are substantiated. The latter is considered as one of the main tools for effective involvement of agricultural enterprises in the processes of agro-industrial and industrial integration through increasing the concentration of capital in the production sphere. It is established that the subject-initiator of deepening of integration interaction of the enterprise can be guided by result-oriented and process-oriented approaches to definition of economic efficiency of changes in the capital concentration of participants of integration formations. The stages of restructuring agricultural enterprises are revealed. Criteria are proposed according to which it is necessary to determine the readiness of the management of agricultural enterprises to implement integration mechanisms of restructuring. The model of the mechanism of restructuring agricultural enterprises in the system of integration relations is substantiated, which allows to combine result- and process-oriented approaches to the organization providing the specified processes. Key words: agricultural enterprises, mechanism, integration relations, model of restructuring mechanism.

Шляхи диверсифікації розвитку промислових підприємств через призму їх технічної реструктуризації

Анотація. У статті розкрито основні підходи до трактування реструктуризації промислових підприємств, зокрема і в контексті технічної реструктуризації. Визначено основну мету реструктуризації підприємств, яка полягає у максимально швидкій адаптивності до перманентних змін. Водночас виокремлено цілі задля її досягнення, що мають ознаки правових, управлінських, економічних, фінансових, виробничих, техніко-технологічних і структурних змін.
 Проведено аналіз сучасного стану промислових підприємств. Визначено структуру валової доданої вартості за видами економічної діяльності, зокрема підприємств переробної промисловості, торгівлі, фінансової та страхової діяльності, транспорту тощо. Наведено індекси промислової продукції за окремими видами діяльності, що мають місце в умовах сьогодення, що дало змогу констатувати структуру доданої вартості як невиробничу і зменшення (чи відсутність) технологічного укладу промисловості. В розрізі аналізу виявлено наукоємні галузі, серед яких аерокосмічна; виробництво комп’ютерів і конторського обладнання; виробництво електронних засобів комунікацій; фармацевтична промисловість; постачання нафти, газу і електроенергії. Шляхом порівняння кількості осіб, зайнятих в науково-дослідних та дослідно-конструкторських роботах в Україні та світі, констатовано надзвичайно низьку їх кількість, що пов’язано із щорічним зменшенням фінансування НДДКР.
 Значну увагу в роботі приділено лізинговим відносинам, які значно спрощують процес технічної реструктуризації. Загалом перманентні зміни породжують економічні перетворення, які виникають в результаті самоорганізації, цілеспрямованих зусиль та змін у зовнішньому середовищі, тому потребують періодичного проведення реструктуризації. Окреслено основні перешкоди у виборі шляхів диверсифікації розвитку промислових підприємств і запропоновано напрями їх вибору, що мають на меті модернізацію, реорганізацію, адаптацію та впровадження нововведень до повної реструктуризації з метою підвищення ефективності їх діяльності.
 Ключові слова: реструктуризація, технічна реструктуризація, промислові підприємства, диверсифікація, розвиток.

Impact of Textile Industry Restructuring on the Financial Condition of Local Government Units for the Example of the Łódź Region in Poland

Technical, technological, IT and organisational progress is most evident in industry. In a situation where innovations are accompanied by structural and political changes, it is all about restructuring. In Poland, restructuring processes occurred most frequently in the 1990s. Currently, the phenomenon still occurs, but on a much smaller scale, with the transformations concerning generic, personnel and processes structures. The textile industry is still significant and is a hallmark of the Łódź region in Poland. The recent past has shown that companies from the textile industry, although very fragmented, remain on the market and are doing well in the new economic system. The purpose of the study is to assess the financial condition of municipalities and cities with district rights in the context of the restructuring activities of the textile sector, with particular emphasis on local government units of the Łódź region in the years 2007-2017. The work consists of three parts. In the first, the authors include theoretical premises for the restructuring of enterprises. The second part contains research hypotheses which have been empirically verified with an econometric model developed in the last part of the work. The purpose of the econometric model is to describe the relationship between the self-financing indicator and the explanatory variables, which largely describe the financial condition of enterprises in the textile sector in Poland over the period between 2007 and 2017. The results of the research conducted allow to conclude that the financial condition of communes and cities with district rights is diverse, and is affected by factors related to the location, type and level of development of local government units. In addition, the restructuring which took place in industry, in particular the textile industry, had a positive impact on the financial condition of local governments, in particular on their level of self-financing.

Labor Disputes in China’s Local Government-Led Enterprise Restructuring: A Litigation Case Study,

In legal practice in contemporary China, courts usually distinguish between government-led enterprise restructuring 政府主导的企业改制 and independent enterprise restructuring 企业自主改制. Following contract logic, the courts believe that labor disputes related to government-led enterprise restructuring are not contract disputes—that is, they are not disputes between equal parties, which is required for civil litigation—and are therefore generally not accepted. Moreover, in actual legal practice, the scope of application of the principle of government-led restructuring has been expanded, with the courts adopting a very broad standard. In addition, a considerable number of cases are excluded on the grounds that the time limit imposed on arbitration has been exceeded. This in effect has replaced the older principles surrounding labor relations in enterprise restructuring led by local governments. The actual practice of the principle of government-led restructuring should be understood in the larger framework of multidimensional and complex relationships between local governments and the market. The use of local government power in conjunction with the logic of contract in effect enlarges the scope for setting aside the older principles of labor relations for the purpose of enhancing the market competitiveness of enterprises and promoting economic development. The result has been a marked degree of social injustice. The construction of labor laws should be rooted in actual conditions, and not overemphasize the formalism of contract logic and ignore the substantive logic of labor relations.

On the Problem of Systematization of External Factors in the Restructuring of Machine-Building Enterprises

The presented study examines the role of machine-building enterprises in the national economy and the effects of development factors on their performance. Aim . The study aims to determine the degree of influence of external factors on the operation of machine-building enterprises. Tasks . The authors identify various effects of external and internal development factors of machine-building enterprises in the system of macro-, meso-, and micro-levels. Methods . This study uses general scientific methods of cognition to examine the role of machine-building enterprises in the national economy in various aspects. Some problems are solved using the methods of comparison and analysis. The information base of the study includes provisions of Russian and foreign theory of management of economic entities under market conditions; factual materials describing various aspects of operation of Russian machine-building enterprises; data from statistics agencies. Results . Machine-building enterprises are presented at three structural levels: first, as a key segment of the national economy, a foundation of modern industry and a source of innovative development of the economy as a whole; second, as a sophisticated complex consisting of twelve large integrated industries and over a hundred specialized sub-sectors; third, as a machine-building enterprise that is now a part of an integrated business structure (corporation). In modern economics, the three structural levels mentioned above correspond to three groups of scientific research in machine-building: macro -, meso-, and micro-economic. The concepts of external and internal operating environment of machine-building enterprises are substantiated. The authors note that in the restructuring of machine-building enterprises it is important to take into account the diversity and specific effects of these factors on enterprises and to neutralize negative and enhance positive external forces affecting the economic entity under restructuring. Conclusions . A comprehensive examination of machine-building enterprises as a part of the macro -, meso-, and micro-level of the national economic system makes it possible to determine the major effects of external factors on their development.

ЦИРКУЛЯРНА ЕКОНОМІКА: УКРАЇНСЬКІ РЕАЛІЇ ТА МОЖЛИВОСТІ ДЛЯ ПРОМИСЛОВИХ ПІДПРИЄМСТВ

Стаття присвячена дослідженню теоретичних засад концепції «циркулярної» економіки та становлення її в процесі виробництва та споживання ресурсів, наведені ключові принципи формування циркулярної економіки та пропозиції розвитку моделі циркулярної економіки в промисловості. Охарактеризовано сучасний стан поводження з відходами та проаналізовано показники утворення і поводження з відходами в Україні за останні вісім років. Визначені напрями поводження з відходами та наслідки для українського навколишнього середовища. Наведено найбільш привабливі галузі національного господарства та види економічної діяльності для впровадження циркулярної моделі виробництва. Визначені проблемні питання, що виникають у процесі реалізації циркулярної економіки. Сформовано пріоритетні напрями впровадження циркулярної економіки на промислових підприємствах.

STATE AID FOR RESTRUCTURING ENTERPRISES

The article deals with the problem of enterprise restructuring and state support in this regard. The authors presented and analyzed various types of instruments and support activities for companies in crisis and just before bankruptcy. Selected examples of quantitative financial support for restructured enterprises by the Social Insurance Institution and tax offices in Poland were presented. The thesis about the lack of coordinated state support for enterprises during restructuring processes was confirmed

Model of Process Management System in Enterprises of the Hard Coal Mining Industry

Abstract The primary objective of this paper is to present a model of a process management system developed to support the restructuring of Polish enterprises of the hard coal mining industry. The development of this model required research in three stages using several research methods. The stage I of the research was oriented towards the recognition of the existing state of knowledge in the scope of previously developed models of process management in enterprises. At this stage, a method of reviewing the literature, the analysis and synthesis of the results of considerations, was used. The stage II was oriented towards presenting of the current state of knowledge in the field of process management to the managerial staff of mines in order to identify their needs, capabilities and preferences. The research were attended by 24 managers from PGG SA and JSW SA. At this stage, the method of targeted free-form interview and discussions, was used. The stage III of the research was oriented towards the development of a process management system model in enterprises operating in the hard coal mining industry, based on the scientific achievements to date in the field of process management and consensus on the needs, preferences and capabilities of mine managerial staff with regard to its specific elements. At this stage, the method of analysis and synthesis was used. The results of the research presented in this publication are primarily addressed to the managerial staff of polish hard mines, as they provide a synthesized response to the problem of the lack of consistent process management guidelines that could set a standard within a mining enterprise. The model presented in the publication is of a general nature, although it may provide a basis for the application of process management for mines.

REPORTING OF AGRARIAN ENTERPRISES: FOREIGN AND DOMESTIC PRACTICE

At the present stage the problems of transformation of the domestic agricultural sector are relevant due to the need to change the structure of agricultural production, restructuring of agricultural enterprises and the creation of new economic structures based on the basis of public-private partnership. This, in turn, requires changes in the accounting and reporting of agricultural enterprises, taking into account international standards in the context of intensifying the integration of Ukraine's economy into the world accounting system. The purpose of this research is to study and summarize foreign experience in accounting and reporting of farms in order to provide suggestions on the possibility of its application in Ukrainian practice. To achieve this goal such research methods as analysis and synthesis, comparison, generalization, classification, structural and logical have been used. The article analyzes the current legislative and regulatory framework governing the accounting and reporting of enterprises in the field of agriculture. The peculiarities of the organization of accounting of agricultural enterprises are determined taking into account the changes in tax legislation in 2020. It is established that the reporting of farms depends on the form and system of taxation (general and simplified). The specifics of financial reporting of farms as legal entities and natural persons-entrepreneurs are revealed. A farm as a legal entity compiles the same financial statements as a regular agricultural enterprise. Farm as a natural person-entrepreneur report as usual natural person-entrepreneur. Farms-legal entities prepare financial statements, which include the balance sheet and statement of financial performance. Farms as a natural person-entrepreneur do not prepare financial statements, because the individual does not have a balance sheet (statement of financial position), as his personal property is not separated from the property of the farm. The form of establishment of the farm and the taxation system determine the set of reports that should be submitted to government agencies. Key words: agribusiness entities, farming, accounting, financial reporting, taxation system, legal regulation, foreign practice.

DEVELOPMENT OF INNOVATIVE ACTIVITY AT PROCESSING ENTERPRISES OF AGRO-INDUSTRIAL COMPLEX

The article deals with the current state of innovations in agro-processing industry. Indicators of innovative development of the economy are analyzed and the main functions of centers of innovation stimulation are determined. The basic problems of development of innovations at the enterprises of processing industries of the agro-industrial complex are investigated. Determination of gas oil consumption by regions of the state. Strategic directions of development of innovations in the food industry are investigated. Measures on adaptation of processing enterprises in terms of integration into the world economic space are proposed. The mechanisms of complex restructuring of the enterprises of the branch on the basis of investment and innovation basis are defined. The model of development of innovative activity at processing enterprises of agrarian sphere is developed. The necessity of insurance of financial risks at carrying out restructuring of enterprises of processing sector of agrarian sector is substantiated. Prospective directions of development of agro-processing industry on the basis of investment and innovation basis are determined. In order to create sustainable competitive advantages of the enterprises of these industries, it is necessary to approach from the point of view of a systematic approach and to carry out a set of measures aimed at: restructuring of inefficient enterprises of the industry, comprehensive state support of agriculture, reorientation from production of raw materials to production of finished products, diversification of production, attracting sufficient volume development of agricultural processing industries. This set of measures will allow to improve the enterprises of processing industry and adapt them to the requirements of globalized markets of agro-food. The development of an appropriate organizational and economic mechanism for the creation of an innovative type of entrepreneurial activity, which will help to overcome the above obstacles to the development of this type of activity, should include the following stages: in-depth studies in the field of closed cycle for the processing of oilseeds, including on the basis of NNC «All-Ukrainian Scientific and Educational Consortium»; economic justification, on the basis of experimental studies, the feasibility of creating processing cooperatives for biodiesel production; creation of project-design documentation on organization of oil production processing and restructuring of alcohol factories on an innovative basis: development of the state program of development of servicing cooperatives with anticipation of the state subsidy of agro-processing industry.

Restructuring of the grape and wine industry enterprises: innovative approaches

The article presents the innovative approaches to the restructuring of the grape and wine industry enterprises. The purpose of research is a detailed and systematic review of current problems of restructuring of the grape and wine industry enterprises; substantiation of cluster creation as one of the promising directions of external restructuring. The subject of research is the restructuring of the grape and wine industry enterprises. The methodological basis is: researches of domestic and foreign scientists in the field of enterprises restructuring, legislative and regulatory acts of Ukraine. In researching and analyzing the problematic issues of the article, the following general scientific technique and methods of research were applied: logical – to clarify the concept of «enterprise restructuring», a comparative assessment – in the study of modern approaches to restructuring; historical – in the study of the stages of evolution of the enterprise restructuring concept; statistical analysis – in determining the problems, tendencies and prospects of the grape and wine industry enterprises development. Various approaches regarding the definition of enterprise restructuring essence, as well as the main stages of evolution of enterprise restructuring concept and their characteristics, are presented. The availability of many approaches to the restructuring definition, their generalization, allowed us to determine the main characteristics of the restructuring process in a complex and present them in the classification form. In order to increase the competitiveness performance of Odessa region wineries, for stimulating their development in the context of the European integration, as well as for the targeted use of public funds for the viticulture development, it was proposed restructuring of these enterprises by creating an integrated structure – a regional-industrial cluster (a type of external enterprise restructuring).

Typology of contractors for forestry services: Insights from Slovakia

The forestry services market in Slovakia has begun to form in the early 1990s under unstable and changing conditions due to the restitution of forest property rights and the restructuring of state-owned enterprises. The transition of State Enterprise Forests towards outsourcing of forestry activities was completed in a relatively short time period, which was insufficient for an adequate formation of this sector. Therefore, it is weakly developed, undercapitalised and has a low competitive ability. On the other hand, at present, there is a high dependence on contractor firms, which carry out the most part of logging, silviculture and transport activities within the forestry. Nowadays, the forest business community consists of more than 10,600 contractors, 88% are self-employed persons and 12% represent business companies. According to the structure of revenues and cost items, the aim of the study was to identify and characterize the firm types of contractors in the forest service sector in Slovakia, with an emphasis on Limited Liability Companies. Methodologically, it is based on the analysis of basic economic data from a representative sample of 152 contractors and a vertical analysis of their income statements. A detailed analysis of revenue and cost items showed that the most significant part of total income of the selected companies comes from the sale of own products and services (58%). On the other hand, the highest value within the total expenses were found for production consumption (57.2%) and cost of merchandise sold (31.8%). Subsequently, five types of business strategies were identified and characterised. Business strategies of contractors are influenced by the current situation within the sector. Low prices for provided services and a lack of qualified workers in the labour market cause mean that it is not possible to apply the classic business strategies. Contractors try to apply their own strategies such as orientation to business or management of subcontractors. They mostly prefer the so-called „Classic strategy”, which focuses on providing services as well as trading activities to complement their business activities. We therefore expect an increased number of contractors who provide forestry services through their own employees. Another possible way is to allow contractors to implement new business strategies and innovations through a higher degree of the standing timber sale.

Реструктуризация предприятий и управление ими в нефтяной промышленности

Реструктуризация предприятий и управление ими в нефтяной промышленности

政策变动、股权重组与利益共享机制的构建——电网多经企业重组之路

政策变动、股权重组与利益共享机制的构建——电网多经企业重组之路

Management of economical and structural changes of business in energy-intensive industrial sectors: Using the example of the petrochemical industry

The petrochemical industry is one of the main branches of Russian industry development. The average growth rate of the petrochemical industry in 2016-2018 was higher than in the manufacturing sector-about 5%; in 2019, it was 2.7%. The growth of production due to the high level of demand for the products of petrochemical enterprises determines the same characteristic of their investment activity. The desire of Russian petrochemical companies to develop the production of high-value products, economic analysis of production, structural analysis of production, availability of raw materials, assessment of energy intensity and competitiveness of existing technologies is extremely important. In this regard, the article is devoted to the management of structural changes in the business in the petrochemical industry. Recently, an analysis of average electricity consumption by petrochemical enterprises in Russia and abroad shows that enterprises lag far behind, although foreign enterprises produce slightly more than Russian enterprises in terms of production volumes. The main reason for the desire of enterprises to restructure are, of course, unsatisfactory values of financial indicators, there is also a shortage of working capital, large amounts of accounts payable, operating costs. In the process of enterprise restructuring, it is increasingly planned to create gas and petrochemical conglomerates-clusters that form the basis for the development of production; the production chain will be implemented from the production of hydrocarbons to the production of consumer goods.

Development of information technology elements for decision-making support aimed at re-structuring production at virtual instrument-making enterprises

This paper considers issues related to the re-structuring of virtual industrial enterprises, in particular the prospects for developing a virtual instrument-making enterprise (VIE). Such enterprises operate by employing external geographically distributed resources and could be flexible in terms of making a product demanded by market. We have proposed elements of information technology (IT) to support decision making on the organization of VIE operation. The IT elements include models and structures for decision making, including those aimed at the rational use of resources in the operation of VIE. The purpose of the proposed IT is to solve a task on supporting decision-making in the restructuring of production processes at virtual instrument-making enterprises based on market conditions. The need for re-structuring of production is caused by difficult conditions of market economy for small and medium instrument-making enterprises. A production program is formed on the basis of the currently existing demand for different categories of articles included in the product range of an enterprise, or correspond to the direction of VIE operation. The IT elements include models for an informational-analytical portal (IAP), as well as a block diagram for deploying and supporting a unified knowledge space, at flexible re-structuring of production according to market conditions. The IAP also includes expert systems (ES). The designed IT for a decision-making support to a VIE head would make it possible to produce the product demanded in the market and profitable in manufacture. IT could enable determining the number and types of necessary resources according to the assigned criteria, their distribution, taking into consideration a direction of production re-structuring

СУЧАСНИЙ СТАН ТА ПЕРСПЕКТИВИ РОЗВИТКУ МЕТАЛУРГІЙНОЇ ГАЛУЗІ УКРАЇНИ: НАПРЯМИ ТЕХНОЛОГІЧНОЇ МОДЕРНІЗАЦІЇ

Сучасні тенденції економічного розвитку свідчать, що основою економіки багатьох передових країн є базові галузі промисловості, у тому числі й чорна металургія, а її продукція продовжує залишатися головним конструкційним матеріалом у світі.Показано, що вітчизняна металургійна галузь робить значний внесок у виробництво ВНП і зовнішню торгівлю. Головним джерелом функціонування вітчизняних металургійних підприємств є сировинна база, основу якої становлять значні запаси залізної руди, кам’яного вугілля та металобрухту.Доведено, що орієнтація металургійної галузі на пріоритетне задоволення зовнішнього попиту зробила її залежною від кон?юнктури на світовому ринку металопродукції, який сьогодні характеризується жорсткою конкуренцією через постійне зростання нових виробничих потужностей.Виявлено, що головною передумовою посилення конкуренції на світовому ринку металопродукції стала інноваційна перебудова металургійних підприємств, в основу якої було покладено скорочення застарілих виробничих потужностей з випуску сталі та будівництво нових, більш компактних виробництв з випуску кінцевої продукції з високою доданою вартістю.Показано, що, на відміну від розвинутих країн і країн, які розвиваються, Україна не будувала технічно нових виробництв (за винятком заводу «Інтерпайп Сталь») у секторі чорної металургії. У підсумку на більшості вітчизняних підприємств спостерігаються високі фізична спрацьованість і моральна застарілість устаткування. Використання відсталих технологій у галузі зумовлює колосальну енергомісткість екологічно шкідливого виробництва та призводить до неефективного споживання паливно-енергетичних ресурсів і, як наслідок, до зниження конкурентоспроможності української металопродукції.Для розвитку вітчизняної металургії в руслі світових тенденцій запропоновано розробити перелік заходів щодо поетапної модернізації виробничих потужностей, які полягають у заміні застарілих мартенівських печей новими електрометалургійними заводами.

The concept of the system approach of the enterprise restructuring process

The article presents methodical requirements for the restructuring programme in the context of strategic management and the shaping of strategic forms. The author described the corporate restructuring model as a basis for transformations designed to achieve a knowledge-based organisation. The author attempted to address the following question: How should the knowledge management model be perceived in modern companies? Furthermore, the importance of organisational forms in the corporate restructuring process was underlined. The restructuring process should be carried out on the basis of specific restructuring objectives resulting from the scope of changes.

THE NECESSITY OF BUSINESS RESTRUCTURING OF STATE-OWNED AND PUBLIC ENTERPRISES IN BOSNIA AND HERZEGOVINA

The restructuring of state-owned and public enterprises has attracted the attention of numerous researchers in the transition and post-transition period. The goal of restructuring as a business philosophy is to change and establish a new business philosophy, a new way of thinking. The correct interpretation of this term goes beyond its narrow and misleading translation, which equates to restructuring with a measure of change in structure. This paper examines the situation with the state-owned enterprises in Bosnia and Herzegovina. Although Bosnia and Herzegovina is characterized by the presence of two completely separate systems of corporate governance (corporate governance is regulated at an entity level without any common grounds at the level of Bosnia and Herzegovina), the symptoms of the situation are identical in both entities: state enterprises are commercially inefficient in both entities, and the reasons for their inefficiency are identical. The paper attempts to identify the symptoms and causes of such a state with a set of recommendations for the restructuring of state-owned enterprises, with clear definitions that, considering the trend of expansion of state-owned enterprises in highly developed countries, state-owned enterprises are needed here. It turns out that the privatized companies do not take into account the state interest. Following the logic of the OECD Guideline No. 2 (Ownership of State), first, it is considered how the state should manage the state-owned companies, and then by following the logic of the OECD Guideline no. 6 (Responsibilities of Committee) the complete corporation of state-owned enterprises is advocated in the way that state-owned enterprises have all the prerogatives of corruption, and are sufficiently distanced from political parties in power. Such an approach will significantly contribute to the improvement of corporate governance rating in Bosnia and Herzegovina that shows the atrophy of the system.

Реформування оборонної галузі України в контексті посилення економічного потенціалу держави

The article deals with the issues of strengthening of the economic potential of Ukraine through reformation and development of defence industry enterprises. Organizational, legal and economic factors that restrain the development of the defence-industrial complex, as well as the reasons for the lack of effective military-technical cooperation between Ukraine and foreign countries are highlighted. Within the framework of the State Target Program for the Reform and Development of the Defence Industry Complex by the year 2021, as the basis for the reform and development of enterprises of the defence industry of Ukraine some measures are proposed that aimed at restructuring, reorganization and corporatization of enterprises, provision of financial rehabilitation of enterprises, import substitution, integration of science and production, improvement of the standardization, unification and quality control system, staffing of enterprises of the defence industry complex.