Corporate Management Systems Research Articles

ISO 55001 Certification at EPAL – the pains and the gains

Abstract In the second half of the 2000s, EPAL developed an integrated approach to asset management, designed according to the logic of PAS 55. Since then, asset management has been recognized as an invaluable function within the company and the portfolio of measures identified in the above-mentioned integrated approach has been implemented. With the release, in 2014, of ISO 55001, certification of the asset management system was made possible. Given the work already developed towards the deployment of asset management at EPAL, and because this had been based in the PAS 55 philosophy, EPAL was well positioned to obtain the ISO certification. The key challenges regarding the above-mentioned process were associated more with the implementation of the asset management at EPAL, rather than with the certification in itself. Because asset management was already an established practice at EPAL, key benefits of the certification are related to the documentation of such practice, which is something very important that was missing. Preparing for the certification also enabled the redesign of the Corporate Management System in order to meet the ISO and appendix SL requirements, making it more robust. And, of course, ISO 55001 certification became an asset in terms of image and reputation for EPAL!.

THE NEED FOR FORMATION OF ANALYTICAL SYSTEM OF CORPORATE GOVERNANCE

Introduction. The process of substantiating the decisions made by corporate governance entities requires reliable analytical tools. One of the most pressing issues of an applied nature is to improve the analytical support of corporate governance based on the specific information needs of its subjects, which were formed in recent years with the emergence of new information sources and complicating the environment of corporate structures. Methods. The methodological basis of the article is the fundamental provisions of modern economics and scientific works of scientists. The research used methods of analysis and synthesis – to study the object and subject of research, abstract and logical – for theoretical generalizations and conclusions, constructive – to form the variability of management decisions through analytical support. Results. The necessity of improving the analytical support of corporate governance is substantiated. The specific needs of corporate management of analytical information are not provided. Two main subsystems (corporate information system of analysis, analytical system of corporate management) are allocated as a part of system of analytical maintenance of corporate management. There are two approaches to building a corporate information analysis system (functional, object). The necessity to include in the system of analytical support of corporate management methods that would ensure the formation of an idea of the quality and transparency of the information support of the corporate reporting system is substantiated. The essence of the analytical system of corporate governance is substantiated, which provides the directions of analysis that provide the specific information needs of the subjects of corporate governance. Discussion. The obtained results are intended for the development of an analytical system of corporate governance, as one of the subsystems of the general system of its analytical support, which will ensure the following areas of analysis: transparency of corporate reporting; the level of specificity of assets; additional disclosure of information.

Interconnection of functional subsystems of corporate governance

The article discusses the features of corporate governance associated with the distribution of ownership and management functions. The components of corporate governance elements are considered in two directions: from the standpoint of the requirements of the current law; from the position of identifying corporate governance with the overall management system in the enterprise. The necessity of applying a systematic approach to the allocation of management functions is justified and their relationship in the corporate governance system is determined. The authors argue that in analyzing corporate governance, one cannot identify it with the enterprise management system in general and exclude the influence of owners on the corporate governance process. The authors propose from the set of corporate governance functions called the following list of functions arranged according to their priority, ambiguity, essence: planning, organization, accounting, control, analysis, regulation. The article describes the goals of implementing individual corporate governance functions and outlines the relationship of some functions with others. The authors call the features of the implementation of the analytical function associated with the opposite of interests. So, if for the management of the company carrying out analytical calculations should contribute to the scientific justification of management decisions, then carrying out analytical calculations by owners is most often aimed at assessing the effectiveness of the enterprise through the activities of management personnel. It is substantiated that the need to study the analytical subsystem, taking into account the requirements of a system-functional approach, is dictated by the fact that it is a subsystem in the general corporate management system, which has an informational relationship with other functional subsystems and is implemented both by the owners and the management of the enterprise. In the course of the study, it was found that the main feature of corporate governance is associated with the distribution of the overall management system between the enterprise management and its owners. At the same time, certain functions are implemented only by certain corporate governance bodies, while others are inherent to both owners and management.

Corporate employee health management system

As you know, the main goal of any organization is to make a profit, build financial capacity and maximize income. In this process, the work of the company’s management is important in finding any ways to reduce the company’s costs. But, nevertheless, the functioning of the organization is impossible without the use of human resources, their development in the future. Statistics show that often an ill employee costs the organization much more than the savings on working conditions that many organizations are trying to realize in order to reduce staff costs. The article emphasizes the need to implement a corporate employee health management system, discloses how it can be cost-effective for organizations and useful for employees. In Russian companies, caring for employees, developing corporate policy as a strategy for the future has not yet become widespread. Many are looking for benefits in reducing the number of employees, in reducing wages, in making temporary employees, in the effectiveness of managerial decisions. Objectively, companies want instant results without long-term and mixed investments. According to Rosstat, in Russia, about 30% of the employees of all the companies surveyed work in conditions that simply do not meet sanitary and hygienic requirements. Meanwhile, in foreign countries, health management programs are reaching a new, progressive level, which includes not only improving working conditions, but also holding Health Days, changing the lifestyle of employees (promoting a healthy lifestyle, adjusting nutrition programs, increasing physical activity, etc.), as well as regular monitoring and health monitoring of employees. The main research methods were: review method, which allows to obtain accessible and complete information on the topic of the article; cross-cultural analysis used to compare the attitude of employers to the health of employees in Russia and abroad and to identify the degree of similarity and difference in the modality of health values in different countries, as well as a method of secondary analysis of the results of sociological studies on the topic of research.

Управление рисками в проекте цифровизации процессной модели объединения компаний на основе стандартов ERP-II

The paper analyzes the features of digitalization of the management system in a group of geographically distributed companies united by a common strategy. Consolidation of the activities in several legal entities and their coordinated management is ensured by the process model, which includes local and cross-cutting processes and regulates the interaction of management structures within a distributed object. The authors analyzed the suitability of the process model for digitalization of a distributed control system, taking into account external and internal risks, and justified the choice of international standards for builing a corporate management system. It is presented a structure of the project for implementation of an automated corporate governance system based on the ERP-II concept «Management of internal resources and external relations of an enterprise» using the 1C-ERP product «Enterprise Management» and a risk assessment method.

Searching for mechanism of correlation of interests of the transport holding’s managers and employees

Digital transformation is the current development paradigm of any modern organisation. Digitalisation, automation and robotisation actively affect the activities of both large and small enterprises and have an impact on all spheres of life. Studying the correlation of corporate interests of employees and managers of Russian Railways, JSC transport holding allowed us to identify areas of their correlation, as well as areas where we defined their inconsistency. At the same time, this area of interaction between employees and employers requires active research since it does not always fall into the research field. Based on empirical research, analysis of corporate reports on the company’s business activities, as well as content analysis of interviews with managers, the authors show that alignment of interest can be achieved by means of systematic development and meeting the needs of staff in training and development; availability of a clear program of the company’s development and provision of a wide range of social benefits and guarantees contribute to the achievement of stable position on the market of logistic services, stable work teams, high level of staff involvement in the activities of the company, higher job satisfaction, greater confidence of staff in developing and implementing changes, as well as improving technical, technological and operating processes. On the other hand, the study shows that in the opinion of managers and potential employees (based on the analysis of the generation Z’s system of values) the corporate management model of Russian Railways, JSC may create barriers to the development of the company and fulfilment of employees’ labour potential. This problem can be avoided by improving corporate management systems and increasing the independence of the staff.

The development trend of the safety management system (sms) and the quality management system (qms), the formation of a unified corporate governance system in the “compliance management” format in the civil aviation

The article considers the role of integration processes of the quality management system in the field of civil aviation. The process of effective implementation of IMS in the corporate environment is taken into consideration and substantiated. The analysis of ICAO-9859 Document is carried out and the need for the implementation of an integrated corporate management system in organizations operating in civil aviation is substantiated. The advantages of using integrated systems are substantiated. General and specific principles of the Safety Management System (SMS) and Quality Management System (QMS) are highlighted. The created system for the effective implementation of the IMS is considered using a specific example of applying the requirements of the “Safety Management Manual”.

Theoretical and methodological approaches to the development of modern corporate management systems at an industrial enterprise

The paper explores different approaches to the concept of "corporate governance" and the operation of the organizational and communication platform as a tool for securing an enterprise’s efficient activity. Theoretical and methodological approaches to the development of modern corporate governance systems are also considered. The paper addresses the main problems of developing the management decision-making mechanisms, corporate governance issues, as well as the impact of corporate governance on investment attractiveness, which is a determining factor in ensuring the investment attractiveness of the company and its ability to adapt to rapid changes in the internal and external environment. Analysis of the peculiarities of the institutional environment of corporate interactions in the domestic engineering industry reveals that the new competitive market model increases the interest of private owners of machine-building assets as well as end users in the efficient operation of industrial enterprises that perform specific infrastructure functions. Today, the study of the functioning of both individual enterprises and industry complexes requires the use of a systematic approach that focuses not only on the enterprise itself but also on the factors of its environment. In this case, the object of study is not considered as an isolated and independent structure, but as an open socio-economic system. In economics, due to the short period of research, there is no holistic theory of corporate governance, therefore, the analysis of theoretical and methodological approaches to the development of corporate governance systems and the definition of institutional opportunities for their application is important and necessary in the domestic industrial complex, in particular at the machine-building enterprises.

USE OF CORPORATE ACCOUNTING AND CONTROL SYSTEM IN MANAGEMENT

The issues of formation of accounting and control system as a tool of corporate governance, information and analytical support of management goals have been examined. The principles and bases of its formation for tactical and strategic goals of business management have been defined. According to the results of the study a conclusion has been made, that the corporate accounting and control system is one of the modern algorithmized and automated tools of the corporate management system of economic development strategy in a highly competitive environment and the unpredictability of the behavior of economic entities in the market of goods, works, services, currency, securities, etc., which is integrated with other management systems in the mode of their parallel automation.

Improvement of corporate governance of publishing and printing enterprises

The article is devoted to the improvement of corporate management of enterprises of publishing and printing activity. The substantiation of the features and problems of corporate governance, the relations between shareholders and managers, aspects of joint stock ownership has been grounded. The essence of the national system of corporate management of enterprises of publishing and printing activity is revealed. The justification of the influence of various institutional factors, which resulted in transformational transformations in publishing business and polygraphy, was made. Keywords publishing and printing activity, corporate governance, transformation processes, share ownership, institutional factors.

Upgrading the System of Corporate Management in Company in Order to Raise its Economic Sustainability and Investment Appeal

The article studies the issue of investment appeal of Russian corporate organizations, political, legal, economic and social factors of external environment in the Russian Federation. It analyzes the internal environment of Russian companies and specific features of investment activity of Russian and foreign companies, as well as principles and recommendations of international organizations of economic cooperation and development, European associations of stock brokers and European shareholders and shows their potential use in Russian companies. The authors estimate the degree of compliance of the system of corporate management and corporate social responsibility in Russian companies with principles of justice, responsibility, accounting and transparency. They study processes of developing corporate strategies in Russian companies, practice of building vertically-integrated companies, horizontal and conglomerate integration processes. As a result of researching the investment climate and economic sustainability of Russian companies the authors prepared recommendations aimed at strengthening the ties between companies and investors on the basis of the system of corporate management in the aspect of managerial practice standardization, accounting consolidation in accordance with international standards and others. Restructuring the system of corporate management in company is essential in order to improve the company predictability for investors and to cut risks in investment.

Land Resource Management: Geoinformation Support of Internal Controlling

The trend towards globalization of the world economy is currently increasing. Therefore, corporate entities seek to expand their economic power and influence. It spurs them to constantly look for ways to improve the efficiency of their activities, both in the domestic and foreign markets. These circumstances force corporate structures to accelerate the pace of their development. In this regard, they introduce innovations, reduce costs, use available resources more efficiently, as well as optimize the selection of missing ones, including land resources. Comprehensive and up-to-date information on the existing assets and liabilities contained in the geographic information system(s) and assessment of the efficiency of their use can help companies expand their economic possibilities. The creation of relevant databases and their interpretation become possible with the use of modern geoinformation technologies for creating and processing localized geospatial information about land plots and everything closely related to them.
 The purpose of the study is to identify the possibility of using and assessing the total data on land resources and everything related to them. These data are stored in the relevant geoinformation system(s) to increase the efficiency of controlling in the framework of the corporate management system.
 The main scientific results and conclusions obtained by the authors in the course of this study are as follows:
 
 The possibility of improving the efficiency of controlling through the use of geoinformation support and geoinformation systems as a source of receiving, processing, interpreting, and visualizing geospatial data on corporate and other land and property resources has been proved.
 
 The methodology for assessing the efficiency of land use based on the author’s cube model and the suggested rating criteria has been proposed.

Application solution for preparing business processes information for the 1C: Enterprise platform using ERwin process modeller

At present, it is obvious that an increase of the enterprise efficiency indicators is achievable in providing a process approach to manufacturing management. The process approach allows eliminating fragmentation in flow of works, organizational and informational gaps, duplication of functions, inefficient use of material and human resources, as well as significantly reducing transaction costs. However, it should be noted that its successful implementation is a multi-step problem, which takes significant time, labor and material costs. It is important to use CASE-tools for analysis of business processes in integration with corporate management systems (ERP-system) implementing these business processes. One of the well-known CASE-tools in structural analysis and design methodology is the ERwin Process Modeler. The article proposes a universal solution for transforming the process models of ERwin Process Modeler business into business process models in the ERP system environment «1C: Enterprise». The developed software-tool allows supporting and updating business processes without changing the configuration of the ERP system, and it is important for manufacturing enterprises with a complex technological process.

Corporate water management systems and incentives to self-discipline

Purpose Water management is an emerging practice. This paper aims to propose a theoretical model of a corporate water management system (WMS) and empirically explores whether superior water management improves water use performance. Design/methodology/approach Our model of WMS consists of 10 structural elements. We draw on self-discipline theory to predict the results and use archival data from the Carbon Disclosure Project to measure and evaluate the overall quality and effectiveness of the water management of our sample companies. Findings Companies motivated to adopt self-discipline tend to proactively implement high-quality WMSs. However, further analyses suggest that water management without regulatory sanctions appears insufficient for reducing water usage, at least in the short term. Overall, this study reveals a clear and growing tendency for businesses to manage water risks and a corresponding momentum toward more rigid control of water consumption. Research limitations/implications Corporate participation in the Carbon Disclosure Project survey is voluntary. Thus, the data in this paper are subject to self-selection bias, and what the companies claim concerning their behavior may not reflect the reality of their business practices. In addition, the inferences drawn here are based on data from only large firms. Future researchers could investigate whether and how corporate WMS continued to develop or decline in recent years, and how such practices integrate with other aspects of management (including carbon and energy). Practical implications This paper responds to water scarcity by exploring how the development of corporate WMS is driven by self-discipline motivation. This study sets out an agenda for the future of water accounting and management which can be used to guide research and stimulate extension in practice. Governments and non-governmental organizations may utilize the results to guide and bind corporations to achieve sustainability. Social implications The efficient use of freshwater is essential for sustainability, but limited studies have addressed the issue. The current paper explores this important issue, and our findings suggest regulatory institution is necessary to effectively enhance water usage. Originality/value This paper represents an early attempt to model corporate water management practices. A WMS should facilitate resilience in water management, measurement of water performance, and comparability among firms. This study contributes to the conceptualization and empirical assessment of self-discipline in motivated water management and enhances the validity and applicability of the theory of self-disciplining in sustainability research.

R&D-project team in corporate management system

R&D-project team in corporate management system

Социальная ответственность бизнеса в системе корпоративного управления

Социальная ответственность бизнеса в системе корпоративного управления

КОРПОРАТИВНАЯ СИСТЕМА УПРАВЛЕНИЯ АКЦИОНЕРНЫМИ ОБЩЕСТВАМИ В РЕСПУБЛИКЕ БЕЛАРУСЬ

Formulation of the problem. The development of the economy of the Republic of Belarus actualizes the improvement of corporate governance in joint-stock companies, since the largest enterprises of the republic are joint-stock companies. The subject of the research is to assess the current state of the corporate management system of joint-stock companies. The aim of the research is to reflect the role of the corporate management system of joint-stock companies in the Republic of Belarus as a tool for minimizing financial risks. The object of research is the development processes of the corporate management system of joint-stock companies of the Republic of Belarus. The methods used of the research are logical, comparative, analytical, scientific and methodological. The hypothesis of the study is the assumption of the dependence of the quality of the corporate management system of joint-stock companies and their financial risks. The statement of basic materials. An analysis of the world experience of the corporate governance system of joint stock companies shows that the number of independent directors ranges from 15 to 50% of the members of the board of directors (supervisory board) of the joint stock company. These are primarily requirements for issuers of securities, their corporate management system. Originality and practical significance of the research. Banks have obliged to include in the supervisory board at least two independent directors, making high demands on them. They should confirm their business reputation by certification in the National Bank of the Republic of Belarus. Conclusions of the research. The stages of creating a corporate governance system for joint-stock companies confirm the existence of a sufficient regulatory framework and best practices for creating effective corporate governance systems that allow you to manage risks, especially financial ones, and attract international investors.

GENESIS AND REALITIES OF CORPORATE MANAGEMENT IN UKRAINE

The article deals with genesis and realities of corporate management in Ukraine. In today’s conditions of aggravation of market competition in all branches of domestic economy, the level of quality of corporate management system is gradually becoming the most important component of their investment attractiveness and the main criterion when making a positive decision by potential domestic and foreign investors. The research of forming and current state of corporate management is important both in theoretical and practical terms. The main objective of the research is to study genesis and state of realities of corporate management functioning at enterprises in Ukraine, taking into account historical aspects and normative and legal ground. The concept of corporate management is defined as a system by which the company activities are directed and controlled; it is a factor for further development and integration of Ukrainian enterprises into the economy adapted to the current world realities. The genesis of corporate management in Ukraine starts at the beginning of the 1990s, after the country gained political and economic independence. On the basis of normative and legal ground of JSC activity, there are three stages of corporate management forming, and the fourth one has been identified – it is balancing and improvement. The main characteristics of corporate management in Ukraine were formed by influence of local factors, which continue to have a significant impact on development and improvement. In order to improve realities of formal usage of corporate management at enterprises, it is necessary to use a system of corporate management standards that includes international and national experience of corporations.

The Mechanism for Building a Corporate Management Model

This article presents a model of the corporate management system within the framework of the cluster approach, developed by the example of production enterprises of the Lipetsk region. The article analyzes theoretical approaches to defining the essence and content of the concept of cluster and analyzes the main participants of a territorial-production cluster by the example of the Lipetsk region. The cluster approach to forming the company's corporate strategies assumes the realization of a way of creating and developing cluster formations in the region with the purpose of increasing the value of the company participating in the cluster. The article presents an algorithm for selecting the method of implementation of the corporate management system in creating company value.

Hotels as Critical Hubs for Destination Disaster Resilience: An Analysis of Hotel Corporations’ CSR Activities Supporting Disaster Relief and Resilience

Disaster management has begun to examine the unique role of the private sector in disaster relief. The hotel and lodging industry is an especially critical infrastructure for community disaster relief and resilience, providing many lifeline services in addition to core skills and competencies contributing to the community’s social and human capital. Social and human capital empower the community to better cope with disturbance, and companies’ efforts to build social and human capital are often tied to their corporate social responsibility (CSR) management systems. A framework was developed to evaluate the management system maturity of the hotel and lodging industry’s CSR management for disaster relief and resilience. An analysis of three hotel and lodging corporations was performed to understand the current state of the industry. While many hotel properties are engaging in CSR activities during disaster relief, the analysis revealed that corporate management systems have room for maturation and growth to support the resilience of their community.