Industrial Statistics Research Articles

ECONOMIC IMPACT OF COVID-19 ON AIR TRAFFIC INDUSTRY: CHALLENGES IN CROATIA

By the end of September, 2020 total worldwide number of Covid-19 infections has surpassed 34 million inhabitants, while the number of deaths caused by health pandemic crisis stands at more than one million. It’s predicted that the year 2020 will see about 10 percent drop in economic growth compared to the previous year. Different macroeconomic scientific and professional authors in their forecasts agree that the worse scenarios will be suffered by global and regional tourism industries together with air transport industry. The consequences of Covid-19 on air transport results in 2020 compared to results in the last three decades are analysed on four different levels - worldwide, European, South-East European and Croatian aviation achievements. Besides, the correlation between the global touristic and air carriers’ results in last three decades is considered in the paper with adequate conclusions. IATA monitors developments related to the Coronavirus outbreak, publishes industry statistics and analysis of COVID-19 impacts on the financial and traffic performance and produces outlook for the global air transport industry. According to its latest forecast, full-year 2020 traffic is expected to be down by 66% compared to 2019 while revenues are expected to fall by even more than demand. ICAO has prepared few models and analyses of final business results with different magnitudes on air transport industry recovery. Special attention and business details in the paper are devoted to the Croatian air transport situation in light of Covid-19 with conclusions, suggestions and proposals for future survival and development scenarios, including appropriate actions and measures as well as state, regional or local financial support. The activities and measures taken by Croatia Airlines can be characterized as an example of good practice in the conditions of the Covid-19 pandemic and are articulated as guidelines for the operations of regional airlines in the mentioned conditions.

Foreword to the Special Issue on “Statistics, Statistical Engineering, and Innovation for Industry 4.0”

Foreword to the Special Issue on “Statistics, Statistical Engineering, and Innovation for Industry 4.0”

The Print Media Convergence: Overall Trends and the COVID-19 Pandemic Impact

The study presented in the paper aims to analyze the Russian print media market before and during the COVID-19 pandemic, as well as the prospects of local media transformation in the challenging environment. In the pre-pandemic decade, there was a growing body of literature on media convergence in emerging markets confirming that this concept is growing in importance as a strategic path of conventional media transformation. Still, the research on the Russian conventional media transformation is scarce, the impact of the COVID-19 pandemic risks on Russian print media and their business models have not been investigated so far. To fill the gap, we combined desk research, processing of published industry statistics, and data obtained by means of expert interviews. The results confirm that in the first decades of the 21st century Russian print media paid less attention to the opportunities of media convergence than Western ones. At the same time, those Russian conventional media that set ambitious goals for their future considered the adoption of the media convergence approach as crucial, even before the pandemic. The findings show the lack of systemic measures to improve the overall situation on the national media market that faces difficult times, and the need to take into account pandemic risks in the print media management activities.

ACTUAL ISSUES OF PUBLIC POLICY IN THE FIELD OF CINEMATOGRAPHY

Cinematography is one of the least studied and emerging areas of research in public administration. The main principles of state policy in the field of cinema are support for domestic cinema and providing access to Kazakhstani film products. The purpose of the article is to analyze the topical problems of domestic cinematography, taking into account the principles of state policy in the field of cinematography. The methodological basis of the research is based on scientific works on the issues under consideration, regulatory legal acts. The work used the official statistics of services in the field of cinema. A factorial analysis of the current state of the film industry was carried out using the analytical tool PEST-analysis. In addition, a discursive analysis of the representation of ideas of state policy in modern Kazakhstani cinema was carried out. Modern Kazakhstani films of the last 10 years were considered as additional materials. The study showed that the support of national films is an important direction in the public administration in the field of cinematography. Socially significant films have non-commercial, spiritual and artistic value. Financial profit belongs to commercial films of private companies. The sharp decline in industry statistics confirms that the global pandemic in 2020 was a tough time for the film industry. Further development of the industry should be a common task not only of the state, but also of all interested parties.

What drivers the decoupling of CO2 emissions in the Indonesian manufacturing industry? An analysis of firm level factors

ABSTRACT This study identifies determinants (firm characteristics) that drive the decoupling of CO2 emissions in the Indonesian manufacturing industry. The estimation method applied was Seemingly Unrelated Regression (SUR). The data were sourced from Indonesia’s large and medium industry statistics survey for 2010–2015, prepared by Statistics Indonesia. The estimation results show that a reduction in tax/price of gas fuel or will encourage decoupling. Medium-tech firms are more polluting, while foreign investors-owned firms and firms in the Java-Bali region are less polluting, and could encourage decoupling. The Indonesian government should implement technology transfer by following the energy conversion pattern from petroleum fuels to gas fuels, increase capitalisation to firms that tend to be heavy polluters, small firms, and firms owned by domestic investors and outside Java-Bali. Novelty this study is linking firm characteristics as a decoupling driving factor of CO2 emissions in the manufacturing industry.

육묘 유통 실태와 업체의 판매액 결정요인 분석

The study is aimed at analyzing the sales determinants of the commercial seedling industry and deriving policy implications by using survey statistics of commercial seedling industry, which is a national approval statistics. For this purpose, ordinary least square and multinomial logit model are applied. According to the analysis of the determinant of sales of the commercial seedling industry, the type of a full-time of the commercial seedling company more than 10 years of experience, education of workers and representatives over college graduates, and the possession of germination rooms are the main factors. In addition, the variables identified by the main factors are all measured in the sign of positive and are analyzed to have the effect of increasing the sales volume of the firms. As estimated by the multinomial logit model, companies with relatively large sales show significant results in the case of full-time firms. It was analyzed that the long experience and high educational background of the workers (including the representatives) of the commercial seedlings company had a significant impact on the sales. Facilities such as germination rooms, are also estimated to be a major factor in the increase in sales. Based on the analysis results, some policy implications are as follows. It is necessary to provide policy support for small businesses to leap forward into mid-sized firm. The issue of manpower supply and demand with expertise is also an important policy task to be dealt with in a significant way. Facility equipment is expensive, so it is difficult for small businesses to handle it. Therefore, it is also necessary to develop and distribute seedling facilities as well as prepare measures such as support for purchasing and installation funds.

Market Structure analysis with Herfindahl-Hirchman Index and Lauraéus-Kaivo-Oja Indices in the Global Cobotics Markets

Abstract Research purpose. The study is focused on the expected market dynamics of global cobotics markets. This study investigates the current market structure of the global cobotics market. The scientific aim of the research is to report the first data-based market structure analysis of the global cobotics market with the HHI index and with the LKI index analysis. With analysis we are able to show the diversification rate of the global cobotics market. Design / Methodology / Approach. The methodology is based on conventional statistical index theory and statistics. The methodology is the calculation of the Herfindahl-Hirchman Index and the Lauraéus-Kaivo-oja Index. The authors compare the results of these two methodologies. Findings. The Herfindahl-Hirschman Index (HHI) and the Lauraéus-Kaivo-oja Index are statistical measures of market concentration, and they can be used to determine market competitiveness. This paper demonstrates novel data analytics possibilities of new market data collected by the Statzon, Ltd with various comparative analytical results and findings. By our analyses we can help multiple industrial stakeholders make faster decisions and better strategic plans with the easiest and fastest access to accurate, reliable, and up-to-date cobotics industry statistics, forecasts, and insights. The finding is that this study reveals the current market structure of global cobotics. It is a novel finding and result. Originality / Value / Practical implications. This paper demonstrates the novel and exciting possibilities of transparent index calculation tools. The authors provide original results. Authors underline that extra value added to stakeholders and customers will be provided by joint data pooling strategy of various data sources, which is a key approach of this paper. Real-time market structure analyses create reliable and knowledge-based information for decision-makers and stakeholders of the global cobotics industry.

Cell phone use and the risk of glioma: are case-control study findings consistent with Canadian time trends in cancer incidence?

BackgroundThere remains controversy as to whether cell phones cause cancer. We evaluated whether temporal changes in cell phone use and the incidence of glioma in Canada were consistent with the hypothesis of an increased risk. DesignWe used data from the Canadian Cancer Registry to calculate annual incidence rates for glioma between 1992 and 2015. The annual number of new cell phone subscribers was determined using national industry statistics. The number of newly diagnosed gliomas was compared to the predicted number by applying risks from epidemiological studies to age-specific population estimates. Specifically, we calculated the “predicted” number of incident gliomas by determining the annual prevalence of cell phone users and years of use. These estimates were multiplied by the corresponding risk estimates to determine the predicted number of gliomas. ResultsThe number of cellular subscriptions in Canada increased from nil in the early-1980s to approximately 29.5 million in 2015. In contrast, age-standardized glioma incidence rates remained stable between 1992 and 2015. When applying risk estimates from i) a recent pooled analysis of Swedish case-control studies, ii) the 13 country INTERPHONE study, and iii) more recent results from data collected from the Canadian component of the INTERPHONE these risks overestimated the observed number of glioma cases diagnosed in Canada in 2015 by 50%, 86%, and 63%, respectively. InterpretationPredictions of glioma incidence counts using estimates of the relative risk of glioma due to cell phone use from case-control studies over-estimated the incidence rates of glioma in Canada. The absence of an elevation in incidence rates of glioma in conjunction with marked increases in cell phone use suggests that there may not be a causal link between cellphones and glioma.

Российская розничная торговля до, во время и после коронакризиса

In this paper, we study the impact of the crisis caused by the COVID-19 pandemic on the retail sector in Russia. The study is based on a series of interviews with representatives of the sector and macro industry statistics. The crisis has exacerbated the problems that have long been observed in the sector and accelerated its transformation, including the formation of new formats of retail and business models. We show that the greatest changes occurred in the food segment, which was less affected by the lockdowns and could adapt to new conditions faster. The ongoing changes have exposed the lagging regulation in the industry, demonstrated a high dependence on consumer sentiments and business sensitivity to regional conditions, the blurring of retail boundaries associated with the entry of companies from related industries (e.g. IT sector, banks) into the industry, as well as the ongoing digital transformation of the industry. The sector's development prospects will be largely determined by the need to find conceptually new approaches to trade regulation, the availability of digital technologies and human capital to transform the industry.

Reducing search times and entropy in hospital emergency departments with real-time location systems

Although the consequences of hospital ED crowding have been studied extensively, the causes of crowding are still not well understood. Throughput factors in ED crowding models are difficult to study in a controlled fashion in a dynamic environment where healthcare demand changes rapidly, and physical and human resources suddenly become limited. Opportunities for automated, simultaneous, and low-cost observation of the location and movement of multiple units, patients and staff have recently arisen with the introduction of small, non-intrusive real-time location systems (RTLS). One such RTLS deployment reported here has initiated renewed consideration of quality and industrial statistics as applied to healthcare operations management. Novel metrics for essential constructs of throughput factors in ED crowding such as efficiency and effectiveness are proposed. In particular, causality is explained in terms of understanding of each construct, modeled in terms of entropy, information, and order. Experimental demonstration is given of how labor reduction and the probability of patients, personnel and equipment meeting in terms of less uncertainty can be explained. These novel metrics are expected to facilitate monitoring of how an ED reacts to different levels of crowding, provide insight into crowding dynamics, help evaluate interventions to decrease crowding, and ultimately improve care.

Характеристика влияния факторов внешней среды на устойчивость автотранспортных предприятий разного типа

The article outlines the problem of interrelation between the volume of road transport and the economic development. As a result of the interaction of economic, market, regulatory, legal, technological and other factors in the freight road transport market, a competitive environment has developed over three decades, which in its parameters is close to the conditions of pure competition. The current situation leads to a tendency towards market consolidation and an increase in the urgency of the issue of maintaining the stability of road transport companies. Stability as a condition for survival of an enterprise is considered through a combination of three properties: adaptability, stationarity and equilibrium. On the road freight market several types of transport companies can be distinguished, which form the clusters. The method of education, the stage of the life cycle, the scale of activity and the degree of diversification of the enterprise's activities are chosen as the classification features. It has been suggested that the preconditions for maintaining sustainability in enterprises from different clusters differ significantly. A list of important strategic environmental factors has been formed and the characteristics of their influence on the stability of a freight motor transport enterprise are given. The greatest threat is posed by market, economic and regulatory factors. Large, diversified companies have great potential for resilience, as evidenced by the industry statistics. An advantage in ensuring sustainability is also the foreign direct investment in the capital structure of the transport company. Small businesses, which form one of the main clusters on the market, have to form new models of maintaining stability, taking into account the changing conditions of functioning

Характеристика акушерської допомоги в Україні

In modern conditions of an unfavorable demographic situation, prolonged hostilities in the East of Ukraine, the transformation of the health sector, the unsatisfactory state of health of the population, obstetrics, as an important tool for the formation of public health, has a particular social and political significance. Purpose — to carry out a comprehensive analysis and assessment of the effectiveness of obstetric care in Ukraine in the modern period. Materials and methods. A comprehensive retrospective analysis and assessment of the dynamics of the main indicators of obstetric care in Ukraine based on the data of state and industry statistics for the period 2001–2019 was carried out. Methods of a systematic approach, bibliographic, statistical data processing, graphic representation are applied. Results. The data of the study showed that the current system of obstetric care is based on the principles of evidence-based practice and evidence-based management. Conducted at the population level, a continuous study of changes in the indicators of the organization of obstetric care at the pre-hospital stage showed a decrease in the number of abortions from 27.0 per 1000 women of fertile age in 2001 to 7.5 in 2019, OR from 95% CI 0.26 (0.26–0.27), full coverage of pregnant women with ultrasound, testing for syphilis, the presence of HIV/AIDS with still insufficient provision of pregnant women with early dispensary observation — 91.96–90.25%, high, with a positive trend, the frequency of gestosis — 11, 3 per 100 pregnant women in 2001 and 6.57 in 2019, the rate of decline is 71.9%, pre_eclampsia and eclampsia are 2.8% in 2001 and 2.11% in 2019, the rate of decline is 24.6%. It has been proved that the organization of obstetric and neonatal care based on the developed protocols, which are based on evidence-based medicine data, made it possible to ensure a positive dynamics of complicated labor from 67.8% in 2001 to 36.23% in 2019, OR with 95% CI 0.26 (0.26–0.27), labor anomalies from 111.2 to 41.14 per 1000 births, OR with 95% CI 0.3 (0.3–0.4), obstetric bleeding from 36,3 to 18.55, OR with 95% CI 0.5 (0.49 0.53). Issues of increasing the volume of surgical interventions in childbirth remain problematic — the frequency of cesarean sections from 114.99‰ to 253.1‰, OR from 95% CI 2.4 (2.3–2.4), instrumental vaginal delivery — from 5.27‰ up to 13.8‰, OR with 95% CI 2.6 (2.5–2.8). The level of maternal mortality remains high, despite the positive dynamics (23.9 per 100 thousand live births in 2001 and 14.9 in 2019). The registered decrease in reproductive losses from 9.1‰ in 2001 up to 8.8‰ in 2019 was accompanied by an unfavorable change in the structure of perinatal mortality — an increase in stillbirth from 4.8‰ to 5.8‰, OR from 95% CI 1.2 (1.1–1.3) against the background of a persistent increase in the part of antenatal fetal death — from 85.3% in the structure of stillbirth in 2001 to 90.5% in 2019 with a decrease in postnatal mortality from 4.3‰ to 3.0‰, OR from 95% CI 0.7 (0.6–0.8). Conclusions. The reserves for further improvement of the system of providing medical care to pregnant women. to women in labor, postpartum women and newborns is the further development and implementation of medical organizational technologies, which are based on evidence, the organization of monitoring indicators of the organization of obstetric care, its quality and availability. No conflict of interest was declared by the authors. Key words: obstetrics perinatology, pregnancy, childbirth, newborns, perinatal mortality, stillbirth, maternal mortality.

Information Measures of Ranked Set Samples In Farlie-Gumbel-Morgenstern Family

Ranked set sampling and some of its variants have been applied successfully in different areas of applications such as industrial statistics, economics, environmental and ecological studies, biostatistics, and statistical genetics. Ranked set sampling is a sampling method that more efficient than simple random sampling. Also, it is well known that Fisher information of a ranked set sample (RSS) is larger than Fisher information of a simple random sample (SRS) of the same size about the unknown parameter of the underlying distribution in parametric inference. In this paper, we consider the Farlie-Gumbel-Morgenstern (FGM) family and study the information measures such as Shannon’s entropy, Rényi entropy, mutual information, and Kullback-Leibler (KL) information of RSS data. Also, we investigate their properties and compare them with a SRS data.

Support Vector Machines Classification on Class Imbalanced Data: A Case Study with Real Medical Data

Ranked set sampling and some of its variants have been applied successfully in different areas of applications such as industrial statistics, economics, environmental and ecological studies, biostatistics, and statistical genetics. Ranked set sampling is a sampling method that more efficient than simple random sampling. Also, it is well known that Fisher information of a ranked set sample (RSS) is larger than Fisher information of a simple random sample (SRS) of the same size about the unknown parameter of the underlying distribution in parametric inference. In this paper, we consider the Farlie-Gumbel-Morgenstern (FGM) family and study the information measures such as Shannon’s entropy, Rényi entropy, mutual information, and Kullback-Leibler (KL) information of RSS data. Also, we investigate their properties and compare them with a SRS data.

Еволюція малюкової смертності в Україні

Over the past decades in Ukraine, the unfavorable indicators of population reproduction, the state of health of women and children, acquired in the previous period, have become persistent, one of the integrative indicators of which is the mortality of children under one year of age. The infant mortality rate is a sensitive indicator of the general sanitary and socio$economic well-being of the country, a strategic indicator of the health and survival of children, the level and quality of medical and social care, and the effectiveness of obstetric and pediatric services. Purpose — to study, analyze and determine the general and regional features of the state and dynamics of infant mortality and its components in Ukraine. Materials and methods. A retrospective analysis and assessment of the dynamics of infant mortality in Ukraine for the period 1990–2019 was carried out in the context of regions and separate states according to state and industry statistics, perinatal audit for the methodology of the WHO «MATRIX-BABIES». Methods of a systematic approach, statistical, graphic representation are applied. Results. The study found that the unfavorable demographic situation in Ukraine is accompanied by a still high, with a positive trend, the mortality rate of children in the first year of life — 12.8‰ in 1990, and 7.0‰ in 2019 (loss rate — 30.9%), a direct dependence of infant mortality rates on indicators of total fertility (r=0.340) and morbidity in children in the first year of life (r=0.888) was found with an excess of mortality under 1 year in boys compared with girls (OR with 95% CI 1.1 (1.0–1.2). Infant mortality rates are relatively low, below the average for Ukraine, in Vinnitsa, Volyn, Kyiv, Lviv, Poltava, Ternopil, Khmelnitsky regions and City Kyiv, and above average — in Dnepropetrovsk, Donetsk, Transcarpathian, Kharkiv regions. The decrease in the overall infant mortality rate was due to the positive dynamics of all its components — early neonatal (5.8‰ in 1990, 3.04‰ in 2019), neonatal (7.3‰, 4.57‰) and postneonatal mortality (5.7‰, 2.52‰, respectively) with a more intensive decrease in postneonatal mortality (rate of decline — 55.8%). However, there are doubts that the registered data on neonatal mortality, as well as on infant mortality in general, are real, since according to the perinatal audit data, the «MATRIX-BABIES» method revealed an underestimation of early neonatal mortality — an underestimation of its real level in general by 2.1–2.3 times. It is shown that the infant mortality rate has decreased from all the main causes of mortality with a more accelerated rate of decrease in infant losses from exogenous, manageable causes — respiratory diseases (rate of decline — 83.7%), infectious and parasitic diseases (rate of decline — 80.7%). At the same time, the key causes of mortality in children under 1 year of age throughout the entire observation period remain separate conditions that arise in the perinatal period (52.8–38.4 per 10,000 live births) and congenital malformations, deformities, and chromosomal abnormalities (38,6–17.2 per 10,000 live births). It was found that against the background of a decrease in infant losses in the structure of infant mortality by 43.2%, the part of mortality from certain conditions of the perinatal period increased with a significant decrease in the part of losses from exogenous causes of death — respiratory diseases by 66.7%, some infectious and parasitic diseases by 57.8%. Conclusions. In general, despite the positive dynamics of all components of infant mortality, its level characterizes a pronounced lag behind developed countries, and according to the rating of the countries of the world as of 2018, Ukraine ranks 61st among 193 countries of the world and administrative territories without state status. The research was carried out in accordance with the principles of the Helsinki Declaration. The study protocol was approved by the Local Ethics Committee of these Institutes. The informed consent of the patient was obtained for conducting the studies. No conflict of interest was declared by the authors. Key words: infant mortality, morbidity, newborns, children in the first year of life.

Sustainable Energy in Telecommunications and IT Industries: Principles and Solutions

Sustainable energy is the solution for long-term developments. It is easy to access a clean, affordable and reliable energy. This paper provides a review on sustainable design in Information and Communication Technologies (ICTs), including the telecommunication sector, energy in data centers and end user devices underlining unsustainable design practices. This paper also explains energy saving, direct impact assumptions, greenhouse gas (GHG) emission reductions, rebound effect, direct footprint of ICTs in reducing it. Dematerialization, plays an important role in reducing GHG emissions, are proposed in this paper. A literature review deals with extant reviews through the synergic relationship between economic prospects, sustainability and the ICT design. This paper introduces an econometric example to investigate the ICT effect on energy output, descriptive statistics of ICT, industry and energy saving. European Union (EU) depends on the ICT to reach to its energy and environmental targets. An expectation that differs from 50% to 125% of the total 20% greenhouse gas reduction is needed in 2020.

Challenges and Opportunities in Simulations and Computer Experiments in Industrial Statistics: An Industry 4.0 Perspective

AbstractThis paper is a review of the growing role of simulations and computer experiments in industrial statistics, with an emphasis on Industry 4.0 applications. It maps the background, the current state, and the future directions of computer simulations in a wide range of process engineering, product design, and analytic disciplines.

Restricted calibration and weight trimming approaches for estimation of the population total in business statistics

Some adjustments are made to design weights to reduce the negative effects of non-response and out-of-scope problems. The calibration approach is a weighting process that agrees with the known population values by using auxiliary information. In this study, alternative calibration approaches and weight trimming process that can be used in large data sets with extreme weights and different correlation structures were analysed. In addition, the effect of the correlation structure of auxiliary variables on the efficiency of the calibration estimators was investigated by a simulation study. The 2017 Annual Industry and Service Statistics data were used in the simulation study and it was seen that restricted calibration estimators were more efficient than the generalized regression estimator in estimating the variables with a high variance such as turnover. Especially in small sample fractions, we recommend the application of restricted calibration estimators, as they are more efficient than the weight trimming in solving the negative and less than one weights problem encountered after the calibration process.

Some aspects of the problem of energy efficiency and energy saving in Russia

The article is devoted to the analysis of the current state of the Russian energy sector in the context of the gradual reform of the industry. The authors focused their attention on topical issues of energy efficiency and energy saving, using the methodology of space-time and comparative approaches to study. The following are highlighted as topical study tasks: 1) identification of trends and factors of changes in energy consumption of traditional and renewable energy sources, achievement of energy efficiency in Russia and abroad; 2) determination of the potential for investment attractiveness of traditional and renewable Russian energy; 3) substantiation of directions for increasing the level of energy efficiency and energy saving by reducing investment risks in the industry, improving the policy of tariff regulation, gradually eliminating cross-subsidizing, completing the consolidation processes in the power grid market, creating conditions for development of small-scale energy. In accordance with the tasks set, domestic and foreign scientific study in the field of energy conservation and energy efficiency, data from industry statistics, Rosstat are summarized. The results obtained are an intermediate stage in the study of the raised problem and may require clarification.

ТЕОРЕТИКО-МЕТОДИЧНІ ЗАСАДИ УПРАВЛІННЯ ЗМІНАМИ НА ПРОМИСЛОВИХ ПІДПРИЄМСТВАХ

One of the most strategic features of a modern enterprise is the flexibility of its management system and the ability to adapt to changing environmental conditions. Recently, the problem of change management in the enterprise is becoming relevant. This is due to the fact that changes are a comprehensive phenomenon and have a significant impact on economic activity in general and on business conditions. Improving the efficiency and effectiveness of enterprise management is not possible without the introduction of changes in activities and management technology. In the article it is offered to plan process of management of changes at the enterprise on the basis of an estimation of efficiency of system of social and economic methods of management. Theoretical and methodical provisions are developed and the methodical approach to substantiation of necessity of introduction of changes at the industrial enterprise is developed. Theoretical bases of change management at the enterprise are expanded by the developed scheme of integration of set of changes in the directions of activity of the enterprise with system of social and economic methods of management and functions of management. Practical testing of the proposed methodological approach according to the statistics of Ukrainian industry for 2008-2019, allowed to determine the priority of improving socio-economic methods of management of industrial enterprises and personnel on the basis of calculated mathematical models of potential functions of each management system and defined levels of their integrated indicators. The calculated values of the potential functions of the effectiveness of economic management methods indicate the need for changes in the system of incentives for success. The urgent need of domestic industry in the renewal of fixed assets and the development of innovation is also substantiated. The obtained results of the research allowed to substantiate the directions of activity of the enterprise, the implementation of changes to which is a priority in order to increase the efficiency of industrial enterprises.