МІНІСТЕРСТВО ОСВІТИ І НАУКИ УКРАЇНИ · 2019. 12. 3. · 2 udc 336.76...
TRANSCRIPT
MINISTRY OF EDUCATION AND SCIENCE OF UKRAINE
NATIONAL UNIVERSITY OF LIFE AND ENVIRONMENTAL
SCIENCES OF UKRAINE
FACULTY OF AGRARIAN MANAGEMENT
DEPARTMENT OF MANAGEMENT
NAMED AFTER PROFESSOR YOSYP S. ZAVADSKYI
DIGITALIZATION OF AGRARIAN
MANAGEMENT: MATERIALS OF THE
INTERNATIONAL SCIENTIFIC-PRACTICAL
CONFERENCE
ISPCDAM-2019
NOVEMBER 29-30, 2019
KYIV, UKRAINE
2
UDC 336.76
Digitalization of agrarian management: materials of the international scientific and
practical conference – 29-30, November– Kyiv: NULES of Ukraine, 2019. – 107
p.
Editorial board members:
Nadiia P. Reznik – Head of Department of Management named after Professor
Yosyp S. Zavadskyi, Doctor of Economic Sciences, Professor.
Anna M. Slobodianyk – Ph.D., associate professor of the department of
management named after Professor Yosyp S. Zavadskyi, secretary organizing
committee.
Krystyna P. Dramaretska – Ph.D., senior lecturer of Department of
management named after Professor Yosyp S. Zavadskyi.
The collection includes materials of the international scientific-practical
conference «Digitalization of agrarian management», which was held on November
29-30, 2019 at the Department of Management named after professor Yosyp S.
Zavadskyi, Faculty of Agrarian Management of the National University of Life
and Environmental Sciences of Ukraine.
The publication is intended for a wide range of readers who are interested in
the issues outlined.
The works are printed in the author’s edition. The authors are responsible for
the accuracy, reliability and content of the submitted materials.
National University of Life and Environmental Sciences of Ukraine,
2019
CONTENTS
Akymenko Olena, Petrovska Alina, Zholobetska Maryna,
Skrytskyi Dmytro
DIGITAL DEVELOPMENT OF THE ECONOMY AND ITS ROLE IN
IMPROVING THE COMPETITIVENESS OF UKRAINE AT THE
INTERNATIONAL LEVEL 8
Alaa Alshaban Tabit Niama
THE MAIN DIRECTIONS AND POSSIBILITIES OF
IMPLEMENTING INNOVATIVE STRATEGIES IN AGRARIAN
BUSINESS OF UKRAINE 9
Arefieva Olena, Polous Olga, Arefiev Volodymyr, Kopcha Yuri
INTELLECTUALIZATION OF HUMAN CAPITAL DEVELOPMENT
IN THE DIGITAL ECONOMICS: THE IMPORTANCE FOR
IMPROVEMENT OF ECONOMIC SECURITY OF ENTERPRISES 11
Arefieva Olena, Piletska Samira, Miahkykh Irina, Arefiev Serhii
PREREQUISITES FOR THE DEVELOPMENT OF THE
INNOVATION ACTIVITY OF ENTERPRISES IN THE CONDITIONS
OF THE DIGITAL ECONOMY 13
Balanovska Tetiana, Gogulya Olga, Koshchenko Kateryna,
Troian Alina, Yazlyuk Borys
PROFITABILITY OF DIGITALIZATION ON THE EXAMPLE OF
PRECISION FARMING 15
Boyko Ludmila, Bieliaieva Nataliia, Bay Sergiy
DIGITAL ECONOMY: PROBLEMS AND PROSPECTS OF
DEVELOPMENT IN UKRAINE 17
Burliai Alina, Nesterchuk Yulia, Nepochatenko Olena,
Naherniuk Diana
ECOLOGICAL CONSEQUENCES OF THE DIGITIZATION OF
AGRICULTURE 19
Chobitok Viktoriia, Obydiennova Tetiana, Us Yulia,
De’myanenko Tetiana, Skoromna Olena
FORMATION OF THE INFORMATION RESOURCE
MANAGEMENT SYSTEM OF ENTERPRISES UNDER THE NEW
DIGITAL ECONOMY 21
Danylenko Anatoliy, Satyr Larysa, Novikova Victoria, Shust Olena
SEVERAL ASPECTS OF DIGITAL TRANSFORMATION IN STATE
ADMINISTRATION OF RATIONAL AGRICULTURAL LAND USE 22
Davydova Oksana, Kashchena Nataliia, Staverska Tetiana,
Chmil Hanna
DIGITALIZATION OF ECONOMIC ACTIVITY MANAGEMENT
AND SUSTAINABLE ENTERPRISE’S DEVELOPMENT 24
Galaieva Lyudmyla, Volovodenko Lesya
MODEL OF INTERREGIONAL TRADE 26
4
Gavkalova Nataliia, Lola Yuliia, Prokopovych Svitlana,
Sybirtsev Volodymyr, Diachek Vitalii
NEURAL NETWORK MODELING OF E-GOVERNMENT
DEVELOPMENT AND THE SOCIO-ECONOMIC ENVIRONMENT 28
Gumeniuk Yuriy, Gumeniuk Olena, Huhul Oksana, Kolinets Lesya,
Tsokol Olha
SOCIALIZATION AS A NEW CHALLENGE IN CURRENT
CONDITIONS 30
Hudzynskyi Oleksii, Sudomyr Svitlana, Hudzynska Yuliia,
Zhukovs’kyi Maksym
INTELECTUAL AND CREATIVE MANAGEMENT POTENTIAL OF
BUSINESS SOCIAL AND ECONOMIC SYSTEMS 32
Ilchenko Victoria, Bondarenko Vladislava, Koroliova Oksana,
Petrovska Svitlana
THE IMPACT OF DIGITAL TECHNOLOGIES ON THE
IMPROVEMENT OF THE ENVIRONMENTAL STATE OF THE
CITIES 33
Illiashenko Sergii, Shypulina Yuliia, Gryshchenko Olena,
Illiashenko Nataliia
THE INFORMATION SUPPORT SYSTEM’S FORMATION OF
MARKETING INNOVATIVE DECISIONS IN UKRAINIAN
COMPANIES 37
Karachyna Natalia, Samofalova Mariia, Bilyak Yulia,
Drahnieva Natalia
VARIABILITY AND MUTUAL COORDINATION OF MODELS OF
ECONOMIC BEHAVIOR OF ENTERPRISES IN DIGITAL SPACE 38
Kasianova Natalia, Smerichevskyi Serhii, Klimova Olena,
Kolbushkin Yurii
MANAGING THE POTENTIAL OF DIGITAL TRANSFORMATION
OF UKRAINE’S ECONOMY 40
Kharchenko Hanna, Kharchenko Volodymyr, Tereshchenko Svitlana,
Kadebska Eleonora
MODELING OF THE CONSUMPTION LEVEL OF ORGANIC
PRODUCTS AND STRATEGIC DIRECTIONS OF INCREASING ITS
PRODUCTION 42
Koval Elena, Kravchuk Natalia
BIOECONOMY IN ECONOMIC GROWTH OF UKRAINE 44
Kozhukhіvska Raisa, Sakovska Оlena, Skurtol Svitlana,
Kontseba Serhii, Zhmudenko Viktoriia
USE OF INTERNET TECHNOLOGIES BY THE TOURISM
PRODUCTS CONSUMERS IN UKRAINE 45
5
Kyzym Mykola, Khaustova Viktoriia, Reshetnyak Elena,
Danko Natalia
RESEARCH ON PROBLEMS OF DEVELOPMENT OF SCIENCE
UNDER CONDITIONS OF ADAPTING TO THE DIGITALIZATION
OF THE ECONOMY
47
Larina Tetiana, Kupalova Halyna, Tkachuk Vadym,
Blahodatnyi Andrii
THE METHODOLOGICAL PROCEDURE OF A MISSION AND
GOALS DEFINITION OF THE INDUSTRIAL ENTERPRISE’S 49
Lehenchuk Serhii, Valinkevych Nataliia, Vygivska Iryna,
Khomenko Hanna
CURRENT DEVELOPMENT ISSUES OF ACCOUNTING SUPPORT
OF INNOVATION VENTURE FINANCING 51
Levkina Ruslana, Levkіn Arthur, Petrenko Anna, Kolomiets Natalia
BIOTECHNOLOGICAL PROCESSES DIGITALIZATION IN
ANIMAL HUSBANDRY 52
Mnykh Olga, Kostiuk Olha, Dalyk Volodymyr, Zaitseva Anna DIGITALIZATION OF ECONOMY AND ASSESSMENT OF
OPPORTUNITIES AND IMPLEMENTATION IN AGRO-BUSINESS:
WORLD AND DOMESTIC EXPERIENCE 54
Ostapchuk Anatolii, Alekseieva Kateryna, Artiukh Tetiana,
Zorgach Alona
CHALLENGES OF DIGITALIZATION OF AGRARIAN SECTOR IN
TERMS OF HUMAN DEVELOPMENT 56
Ostapchuk Tatiana, Kupalova Halyna, Hudzynska Yuliia,
Butsenko Liudmila
THE PROSPECT OF THE DIGITIZATION OF AGRICULTURAL
ENTERPRISES IN TERMS OF ENSURING THEIR
COMPETITIVENESS FOR MANAGEMENT PURPOSES 60
Petrushka Ihor, Yemelyanov Olexandr, Petrushka Tetyana,
Koleshchuk Orest
INFLUENCE OF ENERGY-SAVING TECHNOLOGICAL CHANGES
ON THE LEVEL OF INNOVATIVENESS OF AGRO-INDUSTRIAL
ENTERPRISES IN THE CONDITIONS OF DIGITALIZATION 61
Plakhotnik Olena, Korenyuk Petro, Serhieieva Natalia, Gavryluk Juliia
METHODICAL APPROACH TO ACTIVATION OF TECHNICAL
AND TECHNOLOGICAL COMPONENT OF ENTERPRISE
INNOVATION IN THE CONDITIONS OF DIGITAL
TRANSFORMATION OF SOCIO-ECONOMIC SYSTEMS 63
Prokhorova Victoriia, Korzh Roman, Mrykhina Oleksandra,
Koleshchuk Orest, Mirkunova Tamara
EVALUATION OF INNOVATIVE TECHNOLOGIES IN
CONDITIONS OF THE DIGITAL ECONOMICS 65
6
Prokhorova Victoriia, Korzh Roman, Mushnykova Svitlana,
Bozhanova Olena
DIGITALIZATION OF ENTERPRISE DEVELOPMENT SECURITY
MANAGEMENT BASED ON COGNITIVE APPROACH
67
Reznik Nadiia, Ostapchuk Anatolii, Alekseieva Kateryna,
Cherkasov Andrii, Fedun Igor
DEVELOPMENT OF PUBLIC-PRIVATE PARTNERSHIPS IN THE
AGRARIAN SECTOR OF UKRAINE: DIGITALIZATION AS A
PRIORITY 69
Rogoza Nataliia, Rogoza Kostiantyn
DIGITAL ECONOMY IS THE ECONOMY OF VIRTUAL WORLDS 73
Sakhno Andrii, Salkova Iryna, Broyaka Antonina,
Priamukhina Nataliia
METHODOLOGY FOR THE IMPACT ASSESSMENT OF THE
DIGITAL ECONOMY ON AGRICULTURE DEVELOPMENT 76
Sayapin Serhii, Skrypnyk Andriy
WAYS OF AGRARIAN INNOVATION IMPLEMENTATION:
CLASSICAL AND ELECTRONIC EXTENTION 78
Saychuk Oleksandr, Kolpachenko Nadiia, Martynenko Oleksandr,
Honcharenko Oleksandr
ON EFFICIENT USE OF MODIFYING ADDITIVES IN
RESTORATION OF AGRICULTURAL MACHINERY 81
Skrylnyk Andrii, Chevhanova Vira, Khadartsev Oleksandr,
Kulakova Svitlana
DIGITALIZATION AS VECTOR OF INCREASING
COMPETITIVENESS THE AGRICULTURAL SECTOR OF
UKRAINE 83
Skrypnyk Andriy, Klimenko Nataliia, Galaieva Lyudmyla,
Koval Tetiana
ANALYSIS OF AGRICULTURAL CROP CULTIVATION AREAS
SHIFT IN DIFFERENT AGROCLIMATIC ZONES 84
Stepasyuk Ludmila, Dramaretska Krystyna, Titenko Zoia,
Babiak Nataliia
DIAGNOSTICS OF A COMPETITIVE ENVIRONMENT IN THE
AGRARIAN MARKET 88
Taran Natalia, Krasnorutskyy Oleksii, Reznik Nadiia,
Slobodianyk Anna, Guley Stanislav
FUTURE OF TECHNOLOGIES IN THE AGRICULTURAL SECTOR 90
Tkachenko Alla, Chernysheva Olena, Sevast`yanov Rodion,
Krainik Olena
ENERGY SAVING AS A COMPONENT OF THE STRATEGIC
DEVELOPMENT OF THE TIRE ENTERPRISES 91
7
Tkachenko Alla, Levchenko Nataliіa, Pozhuieva Tatyana,
Сhupryna Nataliіa
INNOVATIVE APPROACH TO EVALUATION OF THE
DECOUPLING PHENOMENA IN MAKING DECISION ON
INVESTMENT OF AGRO-BUSINESS
93
Tkachuk Vasyl, Zinovchuk Vitalii, Tarasovych Lyudmyla,
Yaremova Maryna
DIGITAL MARKETING IN PROMOTING BIOECONOMY IN
UKRAINE 95
Tretiak Anton, Hunko Liudmyla, Medynska Nataliia,
Hetmanchik Ivanna
METHOD OF DESIGN OF LAND USE OF LOCAL ECO-NETWORK
STRUCTURAL ELEMENTS 96
Yazlyuk Borys, Guley Stanislav, Guley Anatolii
THE INFLUENCE OF INNOVATIVE DIGITAL TECHNOLOGIES
ON THE SOCIO-ECONOMIC LIFE OF THE SOCIETY AND THE
DEVELOPMENT OF FINTECH-ECOSYSTEMS 98
Zaitsev Yurii, Ponomariov Oleksandr, Krasnorutskyy Oleksii,
Slobodianyk Anna, Guley Anatolii
IMPLEMENTATION OF THE MODERN MONITORING METHODS
AS THE MAIN STAGE OF DIGITALIZATION OF THE AGRARIAN
ENTERPRISES 101
Zakharova Yelyzaveta, Patsai Bohdan
OPTIMAL INVESTMENT INDIVIDUALS`PORTFOLIO
FORMATION 103
Zubko Tatyana, Kovshova Iryna, Sydorenko Oksana
PROSPECTIVE TRENDS IN NEUROMARKETING TOOLS OF THE
FOOD INDUSTRY IN VIEW OF UKRAINIAN SOCIETY
DIGITALIZATION 104
8
DIGITAL DEVELOPMENT OF THE ECONOMY AND ITS ROLE IN
IMPROVING THE COMPETITIVENESS OF UKRAINE AT THE
INTERNATIONAL LEVEL
Akymenko Olena Chernihiv National University of Technology, Chernihiv, Ukraine
Petrovska Alina
Chernihiv National University of Technology, Chernihiv, Ukraine
Zholobetska Maryna
Chernihiv National University of Technology, Chernihiv, Ukraine
Skrytskyi Dmytro
Chernihiv National University of Technology, Chernihiv, Ukraine
The study of the digital economy as a part of economic activity that relies on
the use of digital technologies is explained by the need for digital transformations
of business and sector structures of the Ukrainian economy. The digitalization of
the economy has already become a priority for the development of most civilized
countries. Singapore, the United Kingdom, New Zealand, Estonia, Japan, Israel are
leading digital economies that have taken digital development in the areas of
transport, education, electronic equipment and the latest technologies.
Throughout the world, the share of the traditional economy is shrinking and
the digital economy is increasing, providing huge benefits for countries and
businesses. The scale and nature of such activities are changing rapidly: the digital
economy, its size and complexity of the structure are growing rapidly. Its direct
impact on economic processes in each country is obvious
In Ukraine, similar processes began to actively develop a little later than in
economically developed countries, due to a number of circumstances (political and
regulatory environment; low efficiency of Ukrainian law-enforcement bodies;
judicial system; problems with protection of intellectual property; low level of
business development of new technologies; outflow of staff capital).
But the process continues: the government adopts regulations on the
development of the digital economy and society, and created a Ministry of Digital
Transformation. Therefore, the study of digitization of the economy as the main
impetus for the development of an open information society is timely and relevant.
The purpose of the article is to investigate the reasons for the gap of Ukraine
with European countries in the development of the digital economy.
The methodological basis of the article is a set of general scientific and
special research methods, among which it is necessary to distinguish system-
structural analysis – in specifying and ordering the category digital economy»,
dialectical, method of analysis and synthesis – to summarize the principles of
digitalization, to study scenarios of digital economy development in Ukraine
assessing the criticality and necessity of dramatic changes in the economic context
(evolutionary and target).
Characteristics of the results obtained. The article explores digital
development and determines its role in improving the competitiveness of Ukraine.
The definition of the digital economy has been given as an economy where the key
9
factors and means of production are digital data (binary, information, etc.) and
network transactions, as well as their use as a resource, which can significantly
increase the efficiency and productivity of activities and value for products and
services received. It has been outlined the reasons for Ukraine’s lag in the
implementation of digitalization, namely: political and regulatory environment;
low efficiency of Ukrainian legislative bodies, judicial system; problems with
protection of intellectual property; low level of introduction of new technologies
by business; low impact of IT on the emergence of new business models; outflow
of human capital. The principles of digitalization have been analyzed.
It has been proved the expediency of choosing the target development
scenario by the state: the main motivation of Ukraine is ability of digital
technologies to rapid increase in productivity and efficiency of economy and
business (which leads to complete transformation of the old system and
modernization due to digital technologies); a key strategy is a focus on the internal
market; key initiatives are formation of motivation, demand, and digital needs for
digital technologies among consumers (business, government, and citizens). It has
also been proven that the development of e-governance, the rapid and high-quality
provision of information services to citizens is one of the important areas of
cooperation between the European Union and Ukraine.
In addition to the benefits for ordinary citizens, the development of digital
infrastructure will mean reducing corruption, improving the business climate,
creating new jobs (respectively, cessation of migration), reducing Ukraine’s
economic backwardness from developed countries and further sustainable,
innovative and intensive economic growth.
THE MAIN DIRECTIONS AND POSSIBILITIES OF
IMPLEMENTING INNOVATIVE STRATEGIES IN AGRARIAN
BUSINESS OF UKRAINE
Alaa Alshaban Tabit Niama National University of Life and Environmental Sciences of Ukraine
Two of the most perspective sectors of the domestic economy in modern
conditions are agriculture and IT. These are business opposites that are different
poles of technological advancement: online industry and business, tied to the place
and time. Despite tradition and conservative nature, agriculture generates 17% of
GDP and 40% of foreign exchange income in Ukraine [1].
However, these indicators, as well as the high incomes of agricultural market
participants, are mainly achieved not by technological breakthroughs, but by
extensive industry factors, the main ones being the low cost of land rent and the
low cost of labor.
According to expert estimates, innovative technologies on a continuous basis
use no more than 10% of about 40000 farms [2].
Agro-holdings are the engine of scientific and technological progress in
agro-industrial complex. Large companies are innovating not only in production,
10
but also in all related fields – resource management, personnel, procurement and
more. The cost of high-tech developments for the largest market players is $ 5-7
per hectare. For example, the innovation budget of one of the largest agroholdings
– Myronivsky Khliboproductin 2018 was over $ 2.5 million [2].
The speed of introduction of new technologies is usually inversely
proportional to the scale of the company – because of the complexities of
management that are common to large farms. And the structure of modern
agricultural holdings is multilevel and bureaucratic, which impedes the rapid
introduction of innovations.
Another problem is social. The increase technological efficiency
automatically reduces the need for workers. McKinsey estimates that till 2030 the
current workforce may be reduced by 15% through automation and, as a result,
productivity gains [3]. The downside of high technology is increasing wages for
other employees.
However, the most important factor hindering the introduction of innovation
in agriculture is human. First and foremost, there is a lack of competent staff
capable of managing sophisticated machinery and / or systems, as well as a
reluctance to take responsibility for it – often mechanics and tractor drivers are
afraid to sit behind the wheel or touch the keyboard, realizing that the cost of an
error is thousands of dollars.
SmartFarming founder A. Belenkov calls another reason for the slow
implementation of innovative strategies in the agricultural sector – the delayed
economic impact of the introduction of high technology, especially in the crop
sector. According to him, despite the fact that today some companies are
undercapitalized in terms of modern technology, only few of them are willing to
invest a lot of money in the upgrade, knowing that the effect will be short-lived.
However, there are no alternatives to implementing innovative strategies in
the agricultural business. Any innovative developments in the company are first
tested on pilot projects, thus testing their effectiveness. At the same time, only half
of the pilot projects reach mass implementation, and from this half – 2/3 give the
business a real benefit. Among other things, for example, HarvEast company
implemented a fuel consumption monitoring system – refueling of all equipment
and refuelers is carried out using RFID cards. Modern irrigation systems are
installed on 1100 hectares, the company is working on their automation so that
irrigation modes can be controlled from the tablet.
Despite the leading role of the agro-industrial complex, Ukraine is lagging
behind the developed countries in terms of agricultural productivity. The causes of
this phenomenon are de-industrialization of agricultural production, low crop
yields, over-employment and irrational production organization. In this case, the
greatest potential for implementing innovative strategies and technologies may be
for medium-sized farms, which are more adaptable and capable of rapid change.
Most likely, they will be the driver of innovation in the Ukrainian agro-industrial
complex – both due to the increase of their own capacity and due to the inevitable
11
transformation of very large agrarian units, including – under the influence of the
introduction of the land market.
The Agrohub Innovation Agenda research, which covered more than 150 top
managers of agro-companies with a bank of land of various sizes, identified three
major priorities for Ukrainian agrarians’ innovation [3]. The first is precision
farming. The popularity is explained first of all by a clear economic effect: the use
of technology allows to save an average of 15% of fertilizers, fuel and PPE, and
optimize field management. The second priority is innovation in the accounting
and analysis of soils and crops. The third direction is the company ERP-
management systems, which allow to control the scattered land masses all over the
country and to control a large number of people. They also help minimize the
effects of drought.
In the world, agrarian technologies solve more global problems: creation of
artificial meat, vertical farms, breeding of new varieties of plants, etc. At the same
time, the cost of innovation is about an order of magnitude higher than in Ukraine.
Thus, in the field of plant breeding, the global innovation cost index is at least 15%
of turnover [3]. Corteva Agriscience company, which specialized in products and
technology for farmers over the past two years, has invested more than $ 2 billion
in digital development: research, lab equipment and digital technology.
The main differences between the Ukrainian high-tech solutions and the
global ones are their goals and focus. In Ukraine, technologies are mainly aimed at
strengthening control and countering theft, while foreign strategies for innovation
in agribusiness are aimed at increasing the yield and overall efficiency of
production and marketing.
References
1. State Statistics Service of Ukraine. – URL: http://www.ukrstat.gov.ua.
2. Innovation and agribusiness: why the future willin such alliance. –
URL:https://mind.ua/publications/20202576-innovaciyi-ta-apk-chomu-za-takim-
soyuzom-majbutne
3. National Innovation Agenda Report – URL: https://agenda-report.
agrohub.ua/
INTELLECTUALIZATION OF HUMAN CAPITAL
DEVELOPMENT IN THE DIGITAL ECONOMICS: THE IMPORTANCE
FOR IMPROVEMENT OF ECONOMIC SECURITY OF ENTERPRISES
Arefieva Olena National Aviation University, Kyiv, Ukraine
Polous Olga National Aviation University, Kyiv, Ukraine
Arefiev Volodymyr Prima Leader Group, Kyiv, Ukraine
Yuri Kopcha
National Aviation University, Kyiv, Ukraine
12
As the economy moves to a fundamentally new level, accompanied by the
widespread use of digital technologies, its competitive advantages and
opportunities for further modernization are largely determined by existing and
realized human capital. Opportunities for economic, social and technological
modernization of a particular society are determined by people: their education,
qualifications and experience. In today’s Ukrainian realities, human capital as a
factor of innovative development in the digital economy has received little
attention, which prevents enterprises from adapting to the pace of technology and
technology updates in a timely manner. Efforts of the national innovation system
are directed, first of all, to the development of innovative infrastructure and to the
formation of effective institutions, which should become the basis for improving
the efficiency of its functioning.
The main purpose of this study is to assess the impact of intellectualization
of human capital development in the digital economics on the improvement of
economic security of enterprises. To achieve this goal have been determined
following tasks: most problematic factors for doing business in Ukraine in the
context of intellectualization of human capital was systematized; reasons that lead
to increasing motivation to receive education that will be appropriate digital
economic conditions was installed; approaches to the formation of economic
security potential management mechanism of enterprises in the digital economics
were proposed; the interconnection of the process of intellectualization of human
capital and economic security of enterprises in the digital economy was specified.
Despite the increase in positions in Global Competitiveness Index ranking,
the most problematic factors for doing business in Ukraine and, as a consequence,
for enhancing its investment attractiveness for foreign investors, among all other
whole four positions are relegated to factors that affects the formation and
development of human capital – not enough educated workforce, poor (low) work
ethic in the national workforce, lack of ability to innovate (innovation), restrictive
labor standards.
Information and communication technologies should become an integral part
of the educational infrastructure, including, actively, integration into the
educational and professional programs of socio-humanitarian specialties, because
they have a direct impact on the efficiency and quality of the learning process,
opening new opportunities to the applicants for gaining more up-to-date,
innovative knowledge. This statement emphasizes the need to develop digital
competences of different nature, which are explored by a number of leading
international organizations in the world.
Human capital intellectualization accompanies the entire manufacturing
process of modern enterprises, increasing its efficiency and simplifying economic
security management at all levels. The key role is played by issues related to
theoretical and practical principles of implementation of innovative processes in
production, which are accompanied by the need to develop new approaches to the
process of realizing the potential of economic security of enterprises.
The result of the information revolution and the transition to the digital
13
economy should be an increase in the number of intellectual workers. The process
of intellectualization of spheres of human activities and its direct influence on
improving economic security provokes the need for continuous management
innovation, the search for new and improvement of existing systems and models of
management, which characterize new level of economic development.
Significant systemic changes necessitate the justification of a new paradigm
of economic growth in the absence of economic stability, dynamism and
uncertainty, which give rise to the need for a new synthesis of fundamental
theoretical and methodological structures that reveal the topic of growth
boundaries in the substitution of knowledge. The quality of economic growth is
viewed through the prism of the interconnection of changes in the technological
basis of social production and social structure. The intellectual economy is
interpreted, firstly, as a radical reform of the system of social relations and,
secondly, as an essential criterion for the changes that take place and determine the
results of the functioning of national and world economies. In our opinion, the new
socio-economic relations, which envisage profound structural changes in the
economic system, transformation of economic behavior and the resource base,
determine the current quality of economic growth and the level of economic
security in the digital economy.
PREREQUISITES FOR THE DEVELOPMENT OF THE
INNOVATION ACTIVITY OF ENTERPRISES IN THE CONDITIONS OF
THE DIGITAL ECONOMY
Arefieva Olena National Aviation University, Kyiv, Ukraine
Piletska Samira
National Aviation University, Kyiv, Ukraine
Miahkykh Irina Kyiv National University of Technologies and Design, Kyiv, Ukraine
Arefiev Serhii Kyiv National University of Technologies and Design, Kyiv, Ukraine
The article deals with the essence of the digital economy on the basis of
research of theoretical approaches, their systematization from the point of view of
introduction of information resources and platforms, and from the viewpoint of
introduction of qualitative changes in production relations. The goal of the article
is to summarize the approaches to the essence of the digital economy, to
substantiate the prerequisites for its development, to offer ways for the
implementation of its components and model elements and interconnections of
innovation activity of enterprises in the digital economy. In order to achieve this
goal, the following tasks are set: to analyze trends in the implementation of
innovation processes and activity of enterprises in the respective areas; to justify
the factors of innovation activity by economic levels and to determine their effect
by components; to suggest a mechanism for innovation activity by economic level
14
to stimulate enterprises to innovate and enhance the capacity of the business. The
methodological basis of the article is the methods of scientific cognition, which
allow to reveal the essence of the digital economy, to substantiate the prerequisites
for its development, the ways of implementation of the digital economy
components; systematization – to identify factors that hinder the innovation
activity of enterprises; scientific abstraction – with the aim of forming the
theoretical generalization and conclusion.
It is established that the development of business models of the digital
economy causes changes in the logic of competence formation and their use in the
business processes of the enterprise, which provides an increase in its innovative
activity. The prerequisites, characteristics, factors influencing the development of
innovative activity of enterprises in the digital economy have been determined. It is
suggested considering the digitization of the real sector through the
commercialization of production and consumer demand, as well as the banking
sector as a source of financial resources and capital formation of enterprises. The
necessity to consider the benefits of the digital economy at economic and social
angles is justified, which allows to combine economic transformations at the
enterprise level and social adaptation of the personnel to the organization of
changes in economic activity. It is suggested the adaptation of enterprises to the
introduction of digitalization as a strategic process based on the establishment of
appropriate links between the objects, since it is multivariate with technological
constraints and unexpected influences of socio-and-economic factors in the
implementation of innovative activity. The development of predictions and
preventive measures is based on the fulfillment of the information function, since
the qualitative, adequate, reliable and timely information is needed for the
qualitative prediction of risks, threats and the definition of effective measures. It is
suggested considering the information function of the mechanism from the
standpoint of centralization, systematization and processing of input information,
forming on its basis recommendations for ensuring the emergence of potential
economic security of the enterprise.
It is concluded that the innovative activity of enterprises in the period of
digital transformation of the economy is a system of measures aimed at supporting
the innovative activity of enterprises in order to achieve long-term goals of their
operation, connected with the implementation of innovative methods of work,
which contribute to ensuring the production and competitiveness of production.
The digital economy contributes to the commercialization of current knowledge of
enterprises, technologies and equipment. The prerequisite for their efficient
functioning is the development of innovative activity of enterprises, which
contributes to the development of innovative products with new qualities and
reduces the diffusion of innovation. In the context of the digital economy, support
for the innovation activity of enterprises plays an increasingly important role in
ensuring the functioning of complex production and economic systems, which is
the enterprise. Information and its effective use become a strategic resource for
those enterprises that are transitioning to intellectual management, as the market
15
structures change, the qualitative components of the segments in which the
enterprise operates, the role of unique advantage is enhanced. The implementation
of the suggested approach to the development of innovative activity of the
enterprise requires significant accounting for specific accumulated knowledge and
is more mobile to change information in the decision-making process.
PROFITABILITY OF DIGITALIZATION ON THE EXAMPLE OF
PRECISION FARMING
Balanovska Tetiana National University of Life and Environmental Science, Kyiv, Ukraine
Gogulya Olga National University of Life and Environmental Science, Kyiv, Ukraine
Koshchenko Kateryna
«VideCom» Company, Kyiv, Ukraine
Troian Alina National University of Life and Environmental Science, Kyiv, Ukraine
Yazlyuk Borys Ternopil National Economic University, Ternopil, Ukraine
The process of digitalization has long embraced all spheres of human
activity, and it is the turn of such traditional industries as agriculture. At this stage
of human development, increasing yields is attractive from the point of view of
increasing the profitability of the agricultural business, but not yet from the point
of view of the food crisis. For a long time, the competitiveness of farmers
depended only on the amount of land, the vagaries of the weather and the
experience of agronomists that are not enough in the modern world. Agricultural
companies that are actively introducing technological innovations can harvest more
in a smaller area than its competitors with a larger field but without innovations.
The paper reveals the relevance of the expediency of digitalization of the
agricultural sector, shows the experience of farmers from different countries in the
implementation of precision farming technologies and monitoring systems, and
also the main aim of paper is to show the prospects and profitability of introducing
agricultural technological innovations.
Such a model worked for many years: there is an agronomist who solves all
problems and tasks basing on his knowledge. But the human brain cannot hold and
analyze as much information as a computer can. Especially in matters of statistical
analysis, estimation, correlation of different circumstances among itself.
Therefore, digitalization in the agricultural sector is the transfer to the
information system of a huge array of data describing all the characteristics of the
fields: agrochemical, physical and chemical, climate history, crop history, history
of pesticide application, norms, productivity of land, etc. This is the information
that must be used so that the system, for example, correctly calculates the
production plan. Proper data handling is the key to the efficiency of the agricultural
business in modern conditions of technological growth.
16
Digitalization is, in fact, a new format for using data to make the right
business decisions.
Processes, data, algorithms are very important components for the modern
model of work of agricultural companies. A reliable history of fields, quality
guides and algorithms will help the system better than any person to forecast the
results and plan actions to achieve effective indicators.
The introduction of such a system requires a large number of new devices,
gadgets that help to realize the project. For example, field sensors are able to signal
the moisture content in the soil – this is very important as part of the spring sowing
campaign. You can see the dynamics of changes in these field indicators online.
On the other hand, if we talk about monitoring, a lot of start-ups and
technologies have already appeared that allow analyzing satellite photos or photos
from drones in a different way. Due to the knowledge base and machine learning
algorithms, the first symptoms of diseases or the appearance of weeds can be
recognized from the photos. You can pre-identify the problem, plan and implement
preventive measures.
The agricultural business is turning into a business that requires maximum
precision, the most accurate, jewelry handling of data. This will help in achieving
two key goals: grow more and manage costs efficiently, achieving optimal
efficiency from each field.
The maximum productivity of land depends on the specific climatic zone,
specific soils. All fields have its own limit, and if this limit is not known, the
agricultural producer can spend super expensive hybrids, fertilizers on this field,
without ever achieving an increase in productivity.
In the current agrarian economy, when world product prices are not rising,
good cost management is a very important aspect. But if all the data is not
converted to digital format, downloaded into the appropriate system, then there is
no need to talk about a breakthrough, an increase in domestic production and the
efficiency of Ukrainian farmers.
Agricultural business is a type of activity that is based on a huge amount of
data. Until recently, all this information was accumulated by an agronomist. He
defined what would be good for his farm next year: what crop rotation to use;
which hybrids to buy; what are the norms of fertilizers in order to get optimal
productivity. In addition, to grow a good crop and optimally use land resources is a
difficult task and requires constant monitoring, which cannot be carried out
efficiently in large areas. High-tech solutions, including precision farming, helps to
solve this task in modern agriculture. The experience of American farmers vividly
demonstrates the profitability of introducing precision farming tools, despite of the
sufficient land supply of the American continent. The future of the agricultural
sector belongs to the technological innovations. When the process of «technology
race» is already actively gaining momentum in the world, countries like Ukraine,
in spite of vast field areas, should already be introduced into this process so as not
to remain at the end of the chain of successful agricultural producers.
Agricultural business is a type of activity that is based on a huge amount of
17
data. Until recently, all this information was accumulated by an agronomist. He
defined what would be good for his farm next year: what crop rotation to use;
which hybrids to buy; what are the norms of fertilizers in order to get optimal
productivity. In addition, to grow a good crop and optimally use land resources is a
difficult task and requires constant monitoring, which cannot be carried out
efficiently in large areas. High-tech solutions, including precision farming, helps to
solve this task in modern agriculture. The experience of American farmers vividly
demonstrates the profitability of introducing precision farming tools, despite of the
sufficient land supply of the American continent. The future of the agricultural
sector belongs to the technological innovations. When the process of «technology
race» is already actively gaining momentum in the world, countries like Ukraine,
in spite of vast field areas, should already be introduced into this process so as not
to remain at the end of the chain of successful agricultural producers.
DIGITAL ECONOMY: PROBLEMS AND PROSPECTS OF
DEVELOPMENT IN UKRAINE
Boyko Ludmila Kyiv National University of Trade and Economics, Kiyv, Ukraine
Bieliaieva Nataliia
Kyiv National University of Trade and Economics, Kiyv, Ukraine
Bay Sergiy Kyiv National University of Trade and Economics, Kiyv, Ukraine
In the conditions of globalization, the active introduction of the latest
information and communication technologies in different spheres of life is a
necessary and justified process. This process provides better services for the
population, reduced budget expenditures while improving the quality of services,
upgrading transport infrastructure, energy, supporting small and medium-sized
businesses, reforming the social sphere of city life, improving the quality of health,
education and environmental problems solving. All these positive changes
contribute to the sustainable development of society and the state as a whole.
The emergence of a new digital infrastructure, including wireless networks,
mobile devices and technologies, contributes to a radical shift in information
technologies, their integration into all manifestations of socio-political and
economic life of society, the formation of a new theoretical concept of industrial
society – information society. As modern information and communication
technologies work with information in digital form, so usually it is used the term
«digital society» (as a synonymous) when we talk about such a category as an
information society.
A digital society is a society created as a result of industrial revolution on
the basis of information and telecommunication technologies and information that
embraces people’s knowledge. Digital society is socially transformed and aimed to
help individuals and communities to use knowledge and ideas that help people to
realize their potential and fulfill their aspirations, add a great opportunities to
18
human intelligence, and create resources that change the way of social work and
social life. The economy of such a society is called a digital economy.
Digital economy is characterized by high added value, faced with numerous
obstacles, many developing countries cannot adequately respond to the demands of
the digital economy. The digital economy is also referred to as the
Internet Economy, New Economy, or Web Economy. The largest players in the
world market are digital economy companies – Apple, Google, Microsoft, Amazon
and others, which are among the most expensive companies in the world in terms
of market capitalization. The Fourth Industrial Revolution is rapidly driving
transformational disruption across every sector. An estimated 70% of new value
created in the economy over the next decade will be based on digitally enabled
platforms. Digital technologies should be a driving force for innovations in the
Ukrainian economic system. Digitalization of the economy and life spheres will
create new jobs, make Ukrainian business more competitive and less resource
oriented, attract new investors. Digital transformation is a daunting task. Countries
that have reached the highest level of digital maturity have had to deal with
complex cultural, organizational, and technical issues, and only counting of all
these factors have made these transformations successful. The widespread use of
digital technologies, extensive digital infrastructures are contributing to the
economy digitization.
Digital transformation is a daunting task. Countries that have reached the
highest level of digital maturity have had to deal with complex cultural,
organizational, and technical issues, and only counting of all these factors have
made these transformations successful. In order to become digital leaders today in
specific areas of the economy, it is necessary to identify priority digital projects
which are implemented by specific organizational teams. Digital teams should
focus on three key functional activities, namely, develop a digital strategy, manage
digital activity through their national companies, and turn their digital
implementation into an operational advantage.
One of the main problems with the digital economy development in Ukraine
is the lack of a systematic state policy in this area. It is necessary to create a unique
model of the digital economy development of Ukraine, which will fully take into
account not only the available resources, but also the national and cultural features
of Ukraine. The newly created model should not be one that replicates the
experience of highly developed countries, but one that «jumps» it. At this stage of
development this «digital leap» is important for Ukraine because it will have a
positive impact on the country’s image in the international arena, on the well-being
of the population and on socio-economic development in general.
Therefore, today the digital economy in Ukraine is the basis not only for
improving the economy, but also for the effective functioning of public
administration and business. The use of information and communication
technologies in economic activity is important and necessary, given all the changes
that are taking place in Ukrainian society at present times. The widespread use of
digital technologies, extensive digital infrastructures are contributing to the
19
economy digitization in Ukraine. In general we can say, that the level of the digital
economy development influences on the competitiveness of the state, region, city,
village, settlement and growth of well-being of Ukrainian citizens in general.
ECOLOGICAL CONSEQUENCES OF THE DIGITIZATION OF
AGRICULTURE
Burliai Alina Uman National University of Horticulture, Ukraine
Nesterchuk Yulia Uman National University of Horticulture, Ukraine
Nepochatenko Olena Uman National University of Horticulture, Ukraine
Naherniuk Diana
Uman National University of Horticulture, Ukraine
Agriculture is constantly confronted with the opportunities and risks of
technological advancement, which requires a study of their environmental impact.
An important element of the greening of agricultural production is the introduction
of digitization. In theory and economic policy, it is regarded as an integral part of
the fourth industrial revolution and is closely intertwined with material and
biological technologies. Businesses are much more likely to use innovative IT
solutions that have a positive impact on productivity and streamline production
than ever before. Therefore, an important task of modern economic science is to
study the risks of digitization in the field of environmental protection.
The purpose of the article is to study the theoretical aspects of digitization,
practical experience and prospects for its implementation in the agricultural sphere
of economy, to evaluate the economic and environmental effects of the
introduction of digital technologies in agriculture.
The theoretical and methodological basis of research is a modern economic
theory, a systematic approach to the study of economic and environmental aspects
of agricultural development, scientific works of domestic and foreign scientists on
the digitization of agriculture.
In the process of research were used the general scientific and economic
methods: monographic method; design and construction method; methods of
analysis and synthesis, induction and deduction for the purpose of studying the
economic and environmental consequences of the digitization of agricultural
production.
Materials of the State Statistics Committee of Ukraine, World Bank and
personal studies of the authors became the information base of the research.
The results of the research show that digitization is an inevitable trend of
modern society, which contributes not only to improving the economic efficiency
of functioning and competitiveness of the agricultural sector, but also allows
reducing the burden on natural resources and the environment as a whole.
To date, the share of the global digital economy has a rapid upward trend, it
20
is a priority for many economically developed countries and accounts for more
than 20% of the total economy. In Ukraine the processes of creation of the digital
economy are at the stage of formation and have not yet reached the full level.
Ukraine has seen an increase in the level of digitization in agriculture, which
is a significant part of the country’s economy. The industry accounts for about
12% of GDP and accounts for nearly a fifth of the country’s workforce. With the
introduction of digital technologies, the agricultural sector can become more
refined, environmentally friendly and responsive. This means lowering information
and operating costs, providing better services, creating new jobs and simplifying
the process of establishing links between farmers, processors, intermediary
structures and consumers.
The main prerequisites for the digitization of the agricultural sector are the
optimization of the costs of finance, time and resources (fuel, fertilizers, plant
protection products); improving the accuracy of calculations and planning; increase
in production productivity; rational use of nature; improving animal welfare;
greening of production, etc.
Digital agriculture means the creation, development and application of
innovative methods for the use of information and communication technologies in
the agricultural sector of the economy.
The development of digitization in agriculture has a significant economic
effect, which is manifested in increasing the efficiency of agricultural production
and increasing the competitiveness of the industry. At the same time, it is
important to note the positive environmental impact of agricultural de-
industrialization, which contributes to the sustainable development of society.
The main environmental consequences of the digitization of production
processes in agriculture have been established. These include reducing the load on
land resources, reducing soil structure and reducing its compaction, reducing the
amount of fertilizers and plant protection products, reducing the level of emissions
into the atmosphere, reducing soil structure by identifying the need for lime and
diagnosed excessive salinity or alkalinity, economic impact on the environment of
chemicals through their optimum application according to the mapping of fields
and crops, creation of an archive of data on natural and climatic conditions of the
territory. It can be concluded that digitization of production processes in
agriculture has a positive impact on the greening of the industry.
The practical significance of the theoretical statements, proposals and
recommendations being investigated is that their implementation will help to
determine the environmental consequences of the digitization of the agricultural
sector of the economy. This will improve the environmental situation, increase the
competitiveness of products, ensure the production of environmentally safe food
and agricultural raw materials, while increasing soil fertility, improving the
employment market in rural areas and creating favorable conditions for working
and living in the countryside.
21
FORMATION OF THE INFORMATION RESOURCE
MANAGEMENT SYSTEM OF ENTERPRISES UNDER THE NEW
DIGITAL ECONOMY
Chobitok Viktoriia
Ukrainian Engineering and Pedagogical Academy, Kharkiv, Ukraine
Obydiennova Tetiana Ukrainian Engineering and Pedagogical Academy, Kharkiv, Ukraine
Us Yulia
Simon Kuznets Kharkiv National University of Economics, Kharkiv, Ukraine
Demyanenko Tetiana Ukrainian Engineering and Pedagogical Academy, Kharkiv, Ukraine
Skoromna Olena Kharkiv National Agrarian University named after V.V. Dokuchaev,
Kharkiv, Ukraine
New conditions of operation require the introduction of revolutionary and
creative directions for the sustainable development of modern enterprises. The
development of IT technologies, the transition to innovation and technological
development is the basis for the emergence of a new format for the existence of an
economic system – a new digital economy, which is qualitatively different from
the classical economy, based on the use of the potential of human knowledge and
the trends of vector-innovative development. The article deals with the problem of
using information resources to form the basis of innovative development of
business entities in the new digital economy, which is quite relevant and requires
further development. The new digital economy, as a process of formation and
development of the world economy in the conditions of introduction of scientific
achievements and creative knowledge, has its advantages and disadvantages, which
are considered in the article.
The authors consider the basic components of the new digital economy:
information and communication technologies, education (fundamental and
production of innovations); intellectual services (all types of business consulting,
information mediation, marketing services, analytics, etc.).
The main element of the formation of a new digital economy is the use of
information resources, which are the result of the interaction of the processes of
functioning and automation of information systems in all spheres of functioning of
market players. Each enterprise uses a large array of information resources in its
activities. The authors classify the information resources of the enterprise.
In modern conditions of functioning the effective methodology of
quantitative and qualitative assessment and forecasting of information resources
needs has not been fully developed and tested, but it is possible to outline and
scientifically substantiate the process of managing information resources by
studying the information needs of the enterprise. In the work of the authorities, the
system of information resources management was formed as the basis of the new
digital economy.
22
In the course of economic activity, enterprises use technical tools to work
with information resources, the amount of automation, the type and intensity of
which is characterized by the essence of specific information technology.
Today, for the effective functioning of enterprises in any sector of the
economy of Ukraine, it is necessary to use and research a large amount of
information resources, so it is necessary to involve specialists with relevant
knowledge and skills in the field of ICT. The combination of knowledge,
peculiarities of conducting business activities and effective management of
information resources will provide an opportunity to achieve the goals and obtain
an effective level of development of domestic enterprises.
The introduction of innovative digital business management systems
(business operations processing), the control of production activities, the support of
corporate values and the management of personnel contribute to the effective
management of information resources in enterprises.
Thus, managing the information resources of business entities is a
prerequisite for sustainable development and efficient management in the new
digital economy.
SEVERAL ASPECTS OF DIGITAL TRANSFORMATION IN STATE
ADMINISTRATION OF RATIONAL AGRICULTURAL LAND USE
Danylenko Anatoliy
Bila Tserkva National Agrarian University, Bila Tserkva, Ukraine
Satyr Larysa
Bila Tserkva National Agrarian University, Bila Tserkva, Ukraine
Novikova Victoria
Bila Tserkva National Agrarian University, Bila Tserkva, Ukraine
Shust Olena
Bila Tserkva National Agrarian University, Bila Tserkva, Ukraine
The aim refers to specification of environmental, socio-economic and
technological aspects of public administration of rational use of agricultural land in
modern conditions. The concepts of land management and sustainable land use are
given. Under the rational use of lands it is proposed to understand the most
effective (in terms of meeting the needs of the state and society) method for their
involvement in the production process, taking into account natural, economic,
political and social conditions in accordance with existing principles of interaction
between nature and society.
The results of the analysis concern of the modern methods of combating
irrational conduct of agricultural activities on the national level. It is offered to
develop a policy framework and regulatory support of the processes of agricultural
land management; to increase the size of fines for violation of land legislation; to
use differentiated land tax depending on the degree of environmental economic
activities; to use differentiated taxes, fees and fines depending on the actual non-
compliance and standards in the field of land use and protection. The problem of
23
ecological management at the level of economic entities is studied and mainly
covers the issue of principles, features of positioning, as well as the importance of
a balanced use of agricultural land. Methods of economic incentives for
responsible land use for agricultural producers are offered. Pros and cons of
existing economic approaches to the sustainable use of agricultural land are
established. They include the lack of state programs to promote rational use of
agricultural land, low investment in agriculture ecology, lack of lending programs
of measures to increase soil fertility and so on. The effect of digitization on the
state administration of rational use of agricultural land is investigated. The main
directions of the impact of digitalization of the state administration of the
agricultural land use process have been clarified, only the rational and responsible
use and availability of agricultural land; rational use of agricultural land,
improving the efficiency of agricultural production and supply of agricultural
products; rational holistic planning and management of the process of agricultural
land use; ensuring the purity of agricultural land; rational use of agricultural land
and prevention of biodiversity loss. The analysis of the development of electronic
administrative services in the sphere of land relations of Ukraine on the principle
of their extraterritoriality is carried out. It was found that the development of
digital infrastructure relating to the identification and trust, open data, public
services and e-government so complicated uneven infrastructure development of
fixed broadband in urban and rural areas of Ukraine.
Modern ways of organizing the rational use of land at the state level
combine incentives for rational use of agricultural land and a system of penalties
for failure to comply with the land use standards established by the state. Current
methods of promoting the rational use of agricultural land are to provide tax and
credit benefits; exemption from payment of land; compensation to agricultural
producers of the lost income share due to land conservation; the use of accelerated
depreciation. In addition, it is proposed to develop the basics of policy and
regulatory support for regulatory processes for agricultural land management;
increase the amount of the fine for violation of the land legislation; differentiate
land tax depending on the level of environmental friendliness of economic activity
and the state of application of environmental management principles; differentiate
taxes, fees and penalties depending on the level of actual non-compliance with
standards and regulations in the area of land use and protection; to develop
electronic administrative services in the field of land relations on the principle of
their extraterritoriality.
Effective use of land resources of Ukraine in the digital economy will be
possible provided the optimal combination of economic and administrative
management methods, which should be embodied in the complex economic
mechanism of rational use of agricultural land, which should be implemented at the
state level. The development of such mechanism is the purpose of further scientific
research.
24
DIGITALIZATION OF ECONOMIC ACTIVITY MANAGEMENT
AND SUSTAINABLE ENTERPRISE’S DEVELOPMENT
Davydova Oksana Kharkiv State University of Food Technology and Trade, Kharkiv, Ukraine
Kashchena Nataliia Kharkiv State University of Food Technology and Trade, Kharkiv, Ukraine
Staverska Tetiana
Kharkiv State University of Food Technology and Trade, Kharkiv, Ukraine
Chmil Hanna Kharkiv State University of Food Technology and Trade, Kharkiv, Ukraine
Digital globalization and Ukrainian integration into the global economic
space have speeded up digitalization and determined it as a driver of increased
competitiveness, economic activity and sustainable development of economic
entities. Steady modernization of existing and creation of new digital and
information technologies necessitates changes in the format of business models of
business entities, approaches to their management. Radical changes in the strategy
of business development and enterprise management processes under the influence
of digitalization in the near future will become necessary prerequisite of viability
and development in the digital ecosystem «state – business – society». In view of
this, the purpose of this work is determined as study of the world experience and
prerequisites for the transition of enterprises to digital management and
development of the reference model of the economic activity and enterprise
development digitization management.
It is proved in the research paper on the base of preconditions and
implementation possibility research of the digital transformation international
experience, that the systematic state approach to the use of «digital» technologies
stimulates the open information society development, which is an essential factor
for improving productivity, creating jobs and improving the quality of Ukrainian
citizens’ life. Realization of priority targets of digitalization provides the
optimization of digital infrastructure and infocommunications, modernization of
security systems, competitiveness and economic activity of economic entities
increasing as well as realization of sustainable development goals on innovative
bases.
Digitalization leads to the emergence of new formats of doing business and,
accordingly, requires the formation of new approaches to enterprise management,
its activity and development, which allow forming their own ecosystem of
information and communication interaction with different stakeholders, which is
based on partnership, client-orientation, innovativeness and synergy. The basic
vectors of digital transformations of enterprises’ business process management are:
оmnicanality of customer service (with tools of adaptability, variability, scoring,
analytics and forecasting); infrastructure, partnerships, collaboration (for providing
partnerships and business scaling); cross-functionality of digital databases (for
enhancing possibilities of business processes modeling with simultaneous
minimizing time and labor costs); innovations and investments (for providing
25
innovative search and effective investment); data protection (for identifying the
risks with the aim of protect own business information and personalized customer
base); standardization and interoperability (for providing data compatibility and
protection against market threats); the value of the product (for stimulation the
value of the product by the stakeholders); professional competencies (for providing
professional competencies and human capital development).
It is substantiated that the enterprise management digitalization requires the
definition and rethinking of forms, trends, methods, technologies and digital
engineering tools, innovation policy and corresponding corporate culture,
communication mechanisms between all management units for quick
implementation of changes.
The applied artificial intelligence is the most effective digital management
transformation technology; it bases on big data tools and allows visualization,
cross-cutting planning, modeling and correction of business process management
in real time. This technology, by integrating with analytics applications and
services for work with smart devices, hybrid networks and other components of the
digital world, allows optimizing business processes management infrastructure and
provides the creation of digital platforms for the accumulation of information, its
analytical processing and transmission for decisions making. The approach to the
digitalization of economic activity management and sustainable development of
domestic enterprises is proposed with taking into account the global experience of
business administration digitalization.
The results of the work prove that the implementation effectiveness of
management actions and measures for enterprise management digitalization, its
activity and development depends on the selected digital transformation
technologies, the possibility of relevant data information arrays forming, their
analytical processing and presentation for certain decisions making in real time.
The reference digitalization model of economic activity management and
enterprise development is elaborated; its distinctive feature is the integration of
three platforms (information, analytical and management) in one management
loop, which allows obtaining the synergistic effect of the management process
digital transformation at all its levels. The model’s functioning bases on the
application of freely distributed information content, own databases, open software
of the analytics platform and business process management integration platform
which implements data integration technology and digital applications integration
technology that provides their consistent sharing use.
The practical implementation of the proposed digitalization model of
economic activity management and sustainable development of the enterprise
allows gaining strategic benefits from business processes conversion and managing
them into digital format, providing the management process optimization and the
possibility of decisions making in real time.
26
MODEL OF INTERREGIONAL TRADE
Galaieva Lyudmyla National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
Volovodenko Lesya Zaporizhzhya National University, Melitopol, Ukraine
The rational use of regional resources to improve the living standards of the
region’s inhabitants is very relevant at the current stage of development of the
Ukrainian economy, because apart from the heterogeneity of the regions
development, due to geographical location, availability of resources, competition,
state of the internal market, there are also external factors – global market
influence, climate change, etc. [1,2].
There are no completely reliable survey-based statistics on inter-regional
trade in Ukraine. Effective and mutually beneficial inter-regional turnover, in
particular between regions that produce mainly industrial and agricultural products,
can be an important factor in increasing their competitiveness and reducing the
difference in average incomes. In industrialized regions, per capita income is
generally higher than the national average, but their food costs more than in
agrarian and mixed regions [3].
The study of the possibility of mutually beneficial trade between the regions
of the country in the short and long term with the aim of enhancing the
competitiveness of enterprises of different profiles and, as a result, improving the
well-being of the population of the country showed some of its peculiarities. A
dearth of data has limited formal explorations of interregional trade but greater
attention should be directed to this form of connectivity between regions [4].
The kind of the model and interregional trade data may have a substantial
influence on modeling results [5].
Thus, the additional profit of the producer in the agrarian-oriented region,
provided that the production is directed to the industrial-oriented region, can be
described as a model:
)( 212 ppqIno , (1)
where oIn – extra profit;
2q – share of products of agricultural oriented region directed to the
industrialized region.
1p – prices in the industrialized region;
2p – prices in the agricultural oriented region.
At the same time, it is clear that 12 pp .
That is, prices for agricultural products in the agricultural-oriented region
will be objectively considered lower than for the same products in other regions
(industrial-oriented and mixed).
It should be noted that, despite higher per capita income in industrialized
areas and, consequently, greater opportunities to purchase food, the demand for
important livestock products such as meat and milk in these regions is lower,
27
which has a corresponding impact on imported products.
In the short term, the number of products produced does not change, and
therefore the moment will come when a sufficient number of products will be
brought to the industrial-oriented region and prices will be equal in both regions. If
this trend continues, supply will at some point exceed the demand and the price in
the industrial region for agricultural products will start to decline.
That is
21 pp .
Then the real profit that the entrepreneur will receive will
be: )()()( 2222122222212 ppqppqpqpqqpqInr
(2)
where qqq ,, 21 respectively, consumption volumes in the industrialized
region, the agrarian oriented region and the whole country.
At the same time in the short term:
111 qqq
– supply in the industrialized region, taking into account the
supply from the agrarian oriented region.
)(, 21222 qqqqq
– supply in the agricultural oriented region
(we take into account that the quantity of agricultural products imported into the
industrial region is equal to the quantity of products exported from the agricultural
region).
That is, the profit consists of the income received in the industrial region to
which is added the income received in the agrarian region and deducted the income
received before the beginning of inter-regional trade:
In this case, the first addition in the right-hand side of equation (2) can be
both positive (profit) and negative (loss) depending on the initial regional price
difference and the quantity of goods sent to the industrialized region, in addition it
is significantly less than module from the second application, which is always
positive. Thus, short-term inter-regional trade will be effective, ie it will yield
profits, mainly at the expense of the inhabitants of the producer region.
References:
1. Скрипник А. В. Світова фінансова криза та енергоефективність
економіки України / А. В. Скрипник, Л.В. Воловоденко // Моніторинг
біржового ринку / Національний університет біоресурсів і
природокористування України, 2014. №11(30). С. 18-22.
2. Розробка концепції національної політики адаптації сільського
господарства України до зміни клімату / Заключний звіт завдання Служби
експертної підтримки ClimaEastCEEF2016-083-UA , 2017. 102 p.
http://1067656943.n159491.test.prositehosting.co.uk/wp-content-
sec/uploads/2017/05/CEEF-083-UA-final-report-UKR_v7.pdf
3. Sargento A., Ramos P., Hewings, G. Inter-regional trade flow
estimation through non-survey models: An empirical assessment./ Economic
Systems Research / Economic Systems Research, 2012. Vol. 24 (2). P. 173-193.
4. Hewings G., Oosterhaven J. Interregional Trade Models. /Handbook of
Regional Science.Springer-Verlag Berlin Heidelberg, 2014.P.903-922.
28
5. Johansen U., Egging R., Ivanova O. Regional policy and the role of
interregional trade data: policy simulations with a model for Norway /Regional
Studies, Regional Science 2018, Vol.5 (1), P.312-331.
NEURAL NETWORK MODELING OF E-GOVERNMENT
DEVELOPMENT AND THE SOCIO-ECONOMIC ENVIRONMENT
Gavkalova Nataliia Simon Kuznets Kharkiv National University of Economics, Kharkiv, Ukraine
Lola Yuliia Simon Kuznets Kharkiv National University of Economics, Kharkov, Ukraine
Prokopovych Svitlana Simon Kuznets Kharkiv National University of Economics, Kharkov, Ukraine
Sybirtsev Volodymyr
Banking and Insurance Central Ukrainian National Technical University,
Kropyvnytskyi, Ukraine
Diachek Vitalii
V. N. Karazin Kharkiv National University, Kharkiv, Ukraine
In the 21st century, no country in the world can stay away from the process
of global informatization of the society. The development of the Internet
technologies is getting to a level where it requires transformation of interaction
among community, government and business. One of the tools of such
transformation is the introduction of e-government service. E-government makes
the administrative process convenient, efficient, transparent, and fully accountable
to the community in each country. The mechanism for measuring its progress and
level of development, as well as predicting its impact on the socio-economic and
political situation of the countries of the world, is especially relevant for the
development of the world e-government.
Hypothesis 1. Developmentofe-governmenthas non-line influence the
economic and socio-political level of societies in the countries.
To carry out the research, the global indices and variables of economic and
socio- political development were selected: E-Government Development Index
(EG), The Democracy Index (DI), The Doing Business (DB), The Global
Competitiveness Index (GC).
The objects of research are 105 countries of the world. The variablesare the
data for 2017. The countries without sufficient data were excluded from the
database.
A pair correlation matrix was constructed. High values of the even
correlation coefficients make it possible to assume that there is a fairly close direct
linear relationship between all indicators. The closest linear relationship exists
between EG and GC and the weakest (0.62), but also statistically significant –
between DI and DB.
To study the effect of EG on GC, DB, and DI we construct a complex linear
regressionusing STATISTICA package. Unknown parameters are estimated with
29
the help of ordinary least squares method (OLS).
The data of regression equations are statistically significant on the whole by
Fisher criterion, and by certain parameter’s by Student’s criterion. There is no
autocorrelation of mistakes (statistics of Darbin-Watson approximately equals to 2,
and cyclic coefficient of autocorrelation is rough 0). So we draw a conclusion that
the given model can be used for analysis.
The methods of neural network modeling were used to solve the link
regression problems between e-government development and the indicator of
different society spheres. Despite the fact that we consider the system of three one-
factor models neural network modeling was chosen, because it allows us to find
high quality models that are built automatically without the expert’s involvement
during the training process. These methods were implemented with the StatSoft’s
software package STATISTICA Automated Neural Networks (SANN).
The data set contains three target changes (GC, DB, DI) and one predictor
(EG). To teach the network, we set its type – a multi layer perceptron (MLP), that
is a feed forward neural network architecture with unidirectional full connections
between successive layers. It’s the most popular network architecture in use today.
As a result of training we received a set of 10 constructed networks. Two of
the best were selected. The performance is characterized by the coefficient of
determination (the closer it is to 1, the better the approximate data in the
model).SANN uses the determination coefficient between the targets of the data
and the outputs (predictions) of the network as a performance measure.
The selection of the best networks was carried out according to the values of
the test and validation sample correlation coefficients. In both cases the output
activation functions are Exponential function. The quality of the constructed
models can also be estimated using correlation coefficients.
Since more than one network is selected in the grid of active neural
networks, an overlapping scatter plot is created. These graphs give opportunity to
visually evaluate in three-dimensional space how well a target is related to the
network outputs: GC, DB, DI.
Due to high quality of the constructed neural networks, we can use them for
making predictions, namely, we can implement the last step of the Stage 3 of the
proposed research algorithm.
The predicted values of the linear model are quite significantly different
from meanings that gives neural networks for predicting targets (with using logistic
function). It should be noted that the gradual development of e-government leads
to the gradual improvement of ease of doing business, socio-economic
attractiveness and development of democracy in countries.
Implementing e-government has to reduce the cost of delivering government
services, and ensure better contact with citizens all areas, stimulate the emergence
of local e-cultures and strengthen democracy. To study the influence of e-
government on different society development factors were used correlation and
regression analysis (for the linear model) and the methods of neural network
modeling. The results showed that there is a close relationship between the
30
development of e-government and the development of the economic, social and
political sphere of society. The constructed nonlinear model has higher quality than
the linear model system.
This research study provides insights that may be useful in improving the e-
Government resource and services.
Further studies require an analysis of the changing impact of e-Government
development on the economic, social and political level of country development
over a period of time. Moreover, attention should be paid to the fact that e-
government progress can affect different spheres of society over time. This is due
to the fact that informatization of the society is a complex uneven process that
requires modern technical equipment and acquisition of information competencies
by civil servants and potential users of electronic services.
SOCIALIZATION AS A NEW CHALLENGE IN CURRENT
CONDITIONS
Gumeniuk Yuriy
Ternopil National Economic University, Ukraine
Gumeniuk Olena Ternopil National Economic University, Ukraine
Huhul Oksana Ternopil National Economic University, Ukraine
Kolinets Lesya Ternopil National Economic University, Ukraine
Tsokol Olha National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
The process of socialization as a new challenge in current conditions has
been studied. It has been proved that social development plays the key role in the
measures of the century we are living at. The evolution of the attitude to
socialization among the scholars has been considered. The importance of
developing social partnership mechanisms in the conditions of the current reality
has been shown. The situation in Ukraine in relation to the state of the social
development has been outlined and looked at.
The large-scale civilization transformations caused above all by the rapid
development of scientific and technological progress since the end of the last
century have touched all branches and spheres of social life of the countries and
caused the change of place of a person with its needs for development. In today’s
economic environment, the social component of development has not simply
evolved into an identical economic development component but has often begun to
determine the latter. That is why theoretical studies of social processes in public
life, its socialization, and mechanisms for achieving social agreement are relevant
in our time.
However, despite the differences in approaches and methodology, scholars
from different economics schools and fields have agreed that market mechanisms
31
need regulation, and the key feature of achieving social orientation of the market
system is the fulfillment of the state functions to support and develop the social
sphere, create a system of social guarantees and protection of different sections of
the population. Such regulatory influence on the part of the state is fully in line
with the interests of the market and business. The state is responsible for
maintaining competition, preventing crises, conflicts, shaping consumer demand,
the system of government orders and so on. In social terms, the state develops and
implements internal and external socio-economic policies, forms the legal bases of
economy aimed at stable provision of high standards of living and employment of
the population provides social protection, creates conditions for the effective
development of the whole society.
At the same time, the social responsibility of economic entities of different
forms of ownership, including those of the private sector of the country’s
economy, is that the purpose of their activity is gradually ceasing to be solely profit
maximization, and now the satisfaction of social needs and interests of workers is
decisive. That is, there is an awareness that the existence and development of a
business is inseparable from the social environment in which the business operates.
The main directions of ensuring such responsibility are the desire to provide the
market with quality goods and services, creating the right working conditions for
the able-bodied population, preserving the environment, setting wages at the labor
cost level, paying taxes to social insurance funds.
In addition, in the new social conditions, there is a change in the qualitative
characteristics of labor resources. The limited number of manpower, the dynamics
of their age characteristics (the «aging of the nation»), and the increasing need for
highly skilled workers have led to changes in the attitude of business to the
employee. Previously, in industrial production, which was extensive, economic
efficiency depended on the degree of exploitation of the workforce, which acted as
a means of maximizing economic effect. At the present stage, the employee can no
longer be considered as a means of maximizing profits, and investment in human
resources development is not only necessary but also economically viable. The
importance of state regulatory influence on the processes related to the
reproduction of labor resources (on the demographic situation in the country, on
the improvement of educational, qualification characteristics of labor resources,
financial support of social events, etc.) has increased. In developed countries, the
introduction of social mechanisms at different levels has created a powerful layer
of the so-called middle class as the basis of a developed society.
In such circumstances, it is difficult to talk about the implementation of
certain quality of life standards and the like. However, as is well known, any
economic crisis carries with it hidden opportunities for development. Ukraine’s
image in the world has significantly increased in recent years. It is now well known
that Ukrainians want to live in a democratic society, strive to ensure the realization
of European values, including social values, in domestic territories. Ukraine was
indeed perceived as part of Europe.
In our opinion, the activation of socialization processes in Ukraine is
32
possible through the introduction of mechanisms of social partnership at all levels,
the consolidation of society, the search for certain compromises. Solving economic
problems undoubtedly continues to be a key aspect of socialization, since it is
practically impossible to reach social compromise in a context of general
impoverishment.
INTELECTUAL AND CREATIVE MANAGEMENT POTENTIAL OF
BUSINESS SOCIAL AND ECONOMIC SYSTEMS
Hudzynskyi Oleksii National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
Sudomyr Svitlana SS NULES of Ukraine «Berezhany agrotechnical institute», Berezhany, Ukraine
Hudzynska Yuliia
National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
Zhukovs’kyi Maksym National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
The system approach to the formation of the intellectual and creative
management potential of business social and economic systems is substantiated in
the article.
The system approach to the formation of an effective mechanism of
management of sustainable development of business social and economic systems
with the priority of value orientation, intellectual and creative management
potential and social responsibility on the synergy basis has been developed.
The new system approach is based on (the main components):
– developed system thinking about formation of social and economic entities
as system entities in their dynamically developing aspects and in the organically
balanced unity of their components;
– system reinterpretation of scientific social and economic categories
according to the direction of development and transformation;
– possible types of behavior of business organization social and economic
systems;
– value orientated views such as: priority target units: the main criteria of
evaluation of the activity of business social and economic systems and the
effectiveness of management systems;
– types of management by the directions of the activity and types of business
social and economic systems behavior;
– synergy component as the main system requirement in substantiation of
the integrated criterion of evaluation of the effectiveness of business social and
economic systems and their management;
– information technologies of management process in the system of
accounting and analytical support of social and economic business entities
management;
– system knowledge of subjects of business social and economic entities
33
management;
– management potential as the system integrity;
– innovative component of business social and economic systems as the
main basis of intellectual and creative potential;
– intellectualization of the system of social and economic relations, filling
with new content of intellectual potential of the subjects of managerial activity;
– civilized system of social responsibility and control.
The methodology of our scientific approach requires a revision of the
existing system of training specialists both in management and specialists in the
design of business social and economic systems as system integrities with the
creative and innovative potential that is developing dynamically and intellectual
one in the context of intellectualization of social relations.
Our interpretation of the concept of «social responsibility» of a subject of
management of social and economic systems is considered as system responsibility
to the society as a social and economic system integrity by the subjects of demand
(consumers), contact audiences, subjects of functional control and responsibility
and companies’ employees according to:
– maintenance, retention and provision of sustainable development of
ecological, social, economic environment in their organic unity as the fundamental
basis of existence and vital activity of the humanity;
– maintenance and development of values, standard, generally accepted
norms of behavior;
– maintenance and development of the organization culture, organization
behavior, organization interaction, social climate as the fundamental basis of
communication connections and power relations;
– support and development of the system of relations of power-ownership,
subject-subject, subject-object, etc. in the system of interests of internal and
external direction;
– discharge of obligations to the interest subjects, etc.
The system of factors that we take into account in substantiating the criteria
for evaluating the effective management of social and economic systems that
underlie the development of semantic models based on the goal settings of value
orientations is formed. The key directions of the development of types of reaction
and behavior of social and economic systems are substantiated. The main aspects
of the systematic approach to the formation of the potential of social and economic
systems management are revealed. The methods of determination of synergy effect
of realization of the potential of social responsibility and intellectualization of
social and economic systems management has been developed.
THE IMPACT OF DIGITAL TECHNOLOGIES ON THE
IMPROVEMENT OF THE ENVIRONMENTAL STATE OF THE CITIES
Ilchenko Victoria National Transport University of Ukraine, Kyiv, Ukraine
34
Bondarenko Vladislava
National Transport University of Ukraine, Kyiv, Ukraine
Koroliova Oksana National Transport University of Ukraine, Kyiv, Ukraine
Petrovska Svitlana National Transport University of Ukraine, Kyiv, Ukraine
Digitalization of the transport sector of the economy is by far the only
possible way out of this difficult environmental situation in large cities of Ukraine
and other countries. The technogenic human impact on the environment causes a
number of environmental problems, first of all, in cities – it is air pollution due to
the functioning of road transport. Transport is one of the most powerful factors of
anthropogenic impact; especially air pollution and noise pollution are among the
most serious technogenic loads on environmental components. An increase in the
number of vehicles leads to an increase in traffic intensity, which leads to transport
problems in urban conditions. This creates the need for new innovative solutions to
improve the quality of life of people in large cities. As the first stage in the
development of an ecosystem of standards for smart cities, scientists today
consider mobility as a service (MaaS).
Mobility as a Service (MaaS) is a new concept for custom and eco-friendly
mobility services. Mobility as a service provides consumers with flexible, efficient
and convenient services covering multiple modes of single window transport. Also,
MaaS makes it possible to provide new transportation services (e.g. carsharing,
joint travel, etc.) in the context of strong IT support for new mobility services,
access to services at any time and anywhere, and use real-time information time.
The global automotive industry is now experiencing an unprecedented
period of declining car sales. The influence of several factors caused this tendency.
First, the steady increase in environmental requirements for cars in the EU
leads to the gradual transition of carmakers to the production of electric vehicles.
Secondly, the current generation of young people does not want to buy a car
for ownership, and this trend is already evident.
Thirdly, carsharing is becoming increasingly popular around the world when
many people use one car. Particularly successful since the beginning of the 21st
century, it has developed in large urban agglomerations of developed and
developing countries.
The term «carsharing» appeared in the mid-1970s during the oil crisis in
1973, but only in the late 1990s due to the emergence of GPS navigation and the
development of innovative security systems, the service of short-term car rental
began to spread in the US and Europe.
Сarsharing is a model of a short-term minute or hourly car rental. Car search
and contract signing are done through the app on a smartphone. The service is as
simple as possible: the user books the car with the application, finds it on the map,
and once the trip is done, the car can be left in the city or on the marked parking.
Payment is only made for the actual use of the vehicle. The driver requires a
driving license and experience only.
35
Currently, there are three main types of carsharing:
1) Free-floating. This is a short-term rental that involves trips within one
locality. In this case, the consumer can pick up and leave the car in different
parking places, which is very convenient. The booking of the car is made through
mobile applications or at the companies engaged in the carsharing;
2) Peer-to-peer. The consumer rents transportation from owners or
companies specializing in rental services through aggregator sites. The main
advantage of such a service is its low cost;
3) co-ownership of transport. A group of residents or colleagues buys a
car for sharing. This is often done by large organizations, homeowners’
cooperatives, etc.
Often such services are residents of cities that can not afford a purchase of a
personal car and do not want to bother themselves with loan commitments; do not
require the daily use of their own vehicle and wish to minimize the cost of
maintaining it; constantly faced with dense road traffic and difficulties with
parking; care for the environment in their city.
The benefits of carsharing include:
a) possibility to rent transport for a short time, the payment is made for
actual use;
b) 24/7 access to cars of different makes, classes, body types or capacity;
c) location of vehicles parked in all areas of the city;
d) simple booking – no need to go to the office of the company and sign
a contract;
e) comprehensive service – fuel, washing, insurance, and transport
depreciation are included in the price of the service;
f) the ability to leave the car in the nearest parking lot – you do not have
to go strictly to the site of the company;
g) most of the rental vehicles are of the latest generation, equipped with
systems to reduce exhaust toxicity and save fuel costs (for example, hybrid electric
cars and electric cars);
h) the use of telematics systems to monitor the vehicle and analyze driver
behavior in real-time. Smart driving can also be attributed to MaaS services.
Among the key performance criteria for telematics systems are the following:
improved driving safety; control of fuel consumption and emissions (including
CO2) in transport; timely service of a vehicle; on-the-go optimization; reducing the
risk of car theft and more.
i) reducing the number of cars in the population, which has a positive
impact on the ecology of large cities. On average, one carsharing 6-20 replace
personal cars;
j) incentives to reduce car use. People who use short-term rentals reduce
the number of unnecessary trips, walk more, and cycle more often;
k) the cost of a short-term car rental is cheaper than a taxi (in the
European Union – 2-4 times cheaper).
Carsharing appeared in Ukraine in the summer of 2017 and has not gained
36
much popularity. The service is available only in Kyiv and Odesa, but the car can
be taken from a few companies. For the further development of this service, a
high-quality mobile application is not enough. This requires a significant
investment in a great increase in the fleet of eco-friendly vehicles, arrangements
with insurance companies, and owners of car parks where you can pick up or leave
your car.
Shared trips are becoming more common in the world, including:
• typically, this occurs through the mediation of firms that specialize in
this field and charge for their services fee. The people who would like to rent as
well as to rent out the car register their accounts on the website of the carsharing
company. The fare depends on the type and time of use of the vehicle;
• ridesharing. With the use of a mobile app (like Uber), drivers can
share trips with other companions to any place (e.g. work, home, business trips);
• shared taxi. With the help of a modern smartphone app, a customer of
a transportation company can find other passengers heading in the same direction.
The travel time will increase, but the cost will be greatly reduced;
• route on demand. It is the average between a taxi and a regular bus.
Passengers pre-book a ride on a smartphone, reserve a seat, and receive fair
payment, and the possible time of arrival of the bus at their chosen seat. Their
booking is then compared to other passengers who wish to travel to the same (or
close) destination. A smart technology platform calculates the shortest and fastest
route for picking up or disembarking all onboard customers instead of following a
fixed route. The service is as personalized as possible, passengers receive text
messages indicating their arrival time, bus number, and their driver’s name.
Realizing that «new mobility» – carsharing services – is a product of the
future, global carmakers, leasing and transportation companies are increasing their
investment in the market every year.
There are several reasons why automakers may cooperate with carsharing
companies:
1) to better understand the psychology of people who do not want to buy
a car;
2) the opportunity to sell your new models not only to carsharing
companies;
3) perspectives on the development of unmanned technologies. The
convenience of an autonomous on-demand taxi – cloud transport – will quickly
become the dominant form of transportation, displacing not only private cars but
also public transport. Car manufacturers are interested in being the first to enter the
market of such taxi services.
Carsharing will become the basis of transportation for the future. Shortly, the
main customers of the auto business will not be private individuals, but the
corporate sector and car services, and the strength of the brands that brought up the
previous generations have been weakened. This trend is already quite evident in
the US and Europe, and Ukraine is on this path of development.
Therefore, the rapid urbanization of the Ukrainian population, the increasing
37
demands of people for personal mobility have led to a great burden on urban road
networks and the environment, economic and social problems. The implementation
of innovative digital solutions will help urban development, address transportation,
and the needs of urban systems. But it should be noted that Ukraine’s digital
transformation can be achieved through partnerships between the state, business,
and citizens.
The results of the study can be used as a source of information for the
implementation of the digital transformation of the infrastructure of large cities of
Ukraine to improve their environmental status.
THE INFORMATION SUPPORT SYSTEM’S FORMATION OF
MARKETING INNOVATIVE DECISIONS IN UKRAINIAN COMPANIES
Illiashenko Sergii
National Technical University «Kharkiv Polytechnic Institute», Kharkiv, Ukraine
University of Economics and Humanities, Bielsko-Biala, Poland
Shypulina Yuliia National Technical University «Kharkiv Polytechnic Institute», Kharkiv, Ukraine
Gryshchenko Olena Sumy State Pedagogical University, Sumy, Ukraine
Illiashenko Nataliia National Technical University «Kharkiv Polytechnic Institute», Kharkiv, Ukraine
Nowadays the main strategic goal of companies can be described as the
improvement of the efficiency in order to achieve higher profitability. Under these
circumstances, information systems and technologies should be considered as key
tools that allow achieving higher levels of business efficiency and productivity.
They allow businesses to create new products and services, as well as brand new
business models. Innovations in ICT and management information systems have
led to significant changes in managerial methods, processes and vision.
The aim of the research is the development and justification of theoretical
and methodological foundations of the information support system’s formation for
marketing innovative decisions.
To achieve the goal of the study the following methods and instruments
were used: comparative and statistical analysis; method of generalization; system
and structural analysis; structural and logical modeling; fundamentals of marketing
and management; scientific findings devoted to the study of information support of
decision-making.
The literature review has revealed that studies of numerous researchers deal
with issue of information support of management activity. They examine the
information system in general and the management information support in
particular as a prerequisite for effective management, and note the close
relationship between the management process and information flows. However, the
particular attention should be paid to studying the peculiarities of information
systems implementation at Ukrainian enterprises and the distribution of functions
38
of information systems components in the process of developing and
implementation of marketing innovative decisions.
As a result, the authors have developed the principles of forming an
information support system for marketing innovative decisions in Ukrainian
companies. The functions, marketing information system’s structure and its
components interactions, sequence and content of stages of marketing innovative
decisions development and creation, information flows interactions scheme are
developed.
The information support of the process of development, adoption and
implementation of marketing innovative decisions depends on the means and
sources of its formation. The development, adoption and implementation of
marketing innovative decisions process uses information from three sources:
experience; research (specially organized marketing researches on investigated
problems); expertise.
Information support of business couldn’t be accomplished without building
an appropriate marketing information system. Implementation of which assists to
solve not only basic economic problems, but also to carry out a deeper analysis,
such as determining consumer priorities and requests, identifying future strategic
actions, determining market trends, and, as a result, more informed decision-
making resulting in positive impacts to the company’s competitiveness.
The functions of marketing information system components during the
development, adoption and implementation of marketing innovative decisions
process are analysed and the nature of the information provided by MkIS and the
threats to decision-making are explored, the ways to overcome such threats are
suggested.
Marketing information system can be an important tool for business
activities (including innovative activities) of a company and provide a number of
competitive advantages, namely: performance and prospects of economic activity;
company’s flexibility and adaptability; information security and awareness;
distribution and implementation of information resources; development and
implementation of innovations. Key problems in marketing information system
functioning in Ukrainian companies are identified.
The research results contribute to the theoretical and practical principles of
innovation management in terms of increasing the level of information support for
marketing innovative decisions in Ukrainian companies. Further research should
focus on improving the methodological tools for supporting marketing innovative
decisions.
VARIABILITY AND MUTUAL COORDINATION OF MODELS OF
ECONOMIC BEHAVIOR OF ENTERPRISES IN DIGITAL SPACE
Karachyna Natalia Vinnytsia National Technical University, Vinnytsia, Ukraine
Samofalova Mariia National University of Life and Environmental Sciences of Ukraine, Kiev, Ukraine
39
Bilyak Yulia
National University of Life and Environmental Sciences of Ukraine, Kiev, Ukraine
Drahnieva Natalia
National University of Life and Environmental Sciences of Ukraine, Kiev, Ukraine
The interpretation of the category «model of economic behavior of the
enterprise» as a generalized description of the economic behavior of enterprise is
formed with the help of a system of appropriate logical (and/or mathematical)
dependencies, which reflects the nature and essence of economic activity, as a
consequence of the relevant determinants. This interpretation is a synthesis of the
established position for the definition of the category «model of economic
behavior», the essence of the model of economy as a conditional vision of the
economy which is designed to simplify the process of its research in the context of
personification the enterprise with the micro-model of the economy and own view
to the nature of the researched process.
The variability of modern models of economic behavior of enterprises is
disclosed in the context of the relevant generalization criteria: strategy of activity,
mechanism of adaptation to market conditions, transformation of economic
conditions and readiness for adaptation. The author’s position concerning the
determination such types of models of economic behavior of enterprises as
production-oriented, rent-oriented and mixed is substantiated. These models do not
contradict other models, which had been determined by scientists and probably
logically include such models, because, acting in market or close to market
(mixed) conditions, each of the three models can be conservative or active;
destructive, constructive, or mixed. In the basis of the model of production-
oriented economic behavior of the enterprise means the production development,
which is revealed as a diverse process of change of technology and technology,
improvement the organization of production units, production processes,
improvement (but not excluded, and deterioration) of economic activity indicators
of the enterprise.
The mixed economic behavior model is characterized by the combination of
production development with other activities (rent, leasing, financial transactions,
investment etc.). The model of rent-oriented behavior is a reflection of the absence
of productive development, entrepreneurial foundations based on providing social
and productive activity and satisfying the self-interest of the most important agents
without any benefit for enterprise.
The coherence of certain models of economic behavior of enterprises is
established and characterized. Model of production-oriented behavior can include
sufficiently large variability models with other signs: active, mixed, conservative;
destructive, constructive, mixed; approximate to reform, market, mixed. Relatively
to the mixed economic behavior model, it is almost responsible for the full
combination of the production-oriented behavior model except for the active and
market-based behavior model. At the same time, the model of rent-oriented
economic behavior generalizes conservative and destructive models.
In the context of digital space, based on the statistics of the activities of 13
40
enterprises, the modeling of economic behavior of enterprises is made in
correlation with the revealed variability of the models of economic behavior of
enterprises. The results of the study show that among 13 enterprises, only 4
enterprises operate using the model of production-oriented behavior, including 3
enterprises characterized by active, constructive and market behavior.
The presented theoretical, methodological and applied research proves that
there are a number of variations in the models of economic behavior of enterprises,
which are mutually consistent in the corresponding set of characteristics. However,
the most methodological determined and which are possible to use as analytical
tools are offered by the author models of production-oriented, mixed and
rentoriented enterprise behavior. Regarding further prospects of research, we
consider it necessary to extend the methodological tools for evaluating the activity
and development of enterprises from the position of models of their economic
behavior.
MANAGING THE POTENTIAL OF DIGITAL TRANSFORMATION OF
UKRAINE’S ECONOMY
Kasianova Natalia National Aviation University, Kyiv, Ukraine
Smerichevskyi Serhii National Aviation University, Kyiv, Ukraine
Klimova Olena National Aviation University, Kyiv, Ukraine
Kolbushkin Yurii National Aviation University, Kyiv, Ukraine
The possibilities of digitalization should become a point of growth for
economic systems when the classical tools of increasing efficiency begin to
exhaust themselves. The main goals of digital transformation are to increase the
speed of decision-making, increase the variability of processes depending on the
needs and characteristics of the client, and reduce the number of employees
involved in the process.
The problem of identifying the main drivers of digitalization of the economy
requires the study of the possibility of implementing digital transformation by
enterprises of Ukraine. A typical problem of modern domestic enterprises is the
gap between automated production and outdated forms of management. The level
of technology development in the world is such that if earlier individual functions:
accounting, warehouse, design, etc. were automated, today, fully digital production
management is possible. All mentioned above determined the aim of the paper – to
assess the digitalization potential of Ukraine’s economy and identify the
problematic issues of digital technologies at industrial enterprises. For the
transition to the digital form of business, it is necessary to conduct a digital
transformation of business entities, which implies the use of the entire pool of
modern information and communication technologies.
41
The effectiveness of transformation processes depends not only on the
power of external influences but also on the potential of enterprises and the
economy as a whole to perceive these impacts. In this regard, the first stage of
development of the strategy of digitalization of the economy of Ukraine has to
become a stage of an assessment of the potential of digitalization. Under the
potential of digitalization of the economy of Ukraine, we will understand the
combination of resources and catalysts that make it possible to use these resources
to achieve the goal of the digital transformation of the system, increasing its
competitiveness in the digital economy. Digitalization resources determine the
ability of the digitalization system and act as its sources. Catalysts are conditions
that ensure optimal use of available resources to achieve the strategic goal of
digitalization. Catalysts accelerate the transformation of innovative ideas into
innovative products. The main components of catalysts are proposed to include the
motivational mechanism, digital culture, the level of readiness of organizational
and managerial elements for digitalization.
The proposed approach to assessing the potential of digitalization of the
economy is based on the need to quantify the individual components of the
resources and catalysts, to determine their harmony under the strategic goal and
taking into account the degree of involvement of the enterprise in digital processes.
The application of econometric analysis of digitalization potential allowed
identifying the essential resources of digitalization and building a model of
multiple regression. The leading factors of digitalization are the share of
enterprises that use digital technologies in economic activity; total expenditures on
innovation activities in the country; the percentage of information and computer
technologies in the GDP of the country.
Evaluation of the impact of the catalysts on the digitalization of the economy
is implemented using the Fuzzy Logic Theory. The structure of the model for the
catalysts impact evaluation contains four submodels: model of digitalization
potential dependence on the level of professionalism and qualification factors;
model of potential dependence on financial and investment state; model of
dependence on the state of infrastructure support of digitalization processes; model
of dependence on management actions and organizational support.
The results of the simulation allow concluding that the indicators of the level
of digitalization potential of the Ukrainian economy based on expert assessment
and those based on a harmonious concept differ. The interpretation of the results
obtained is based on E. Harrington’s desirability function. The digitalization
potential of Ukraine is below average level: the digitalization of the economy
conducted at an average level, educational activities carried out at a sufficiently
high level but have no particular impact on the level of the digitalization potential.
According to the level of catalysts impact, the digitalization potential is in
the range of the average level of activation (75 %). That is, after the transformation
process completed in the steady-state mode, the level of the digitalization potential
of the economy will make forced harmonic oscillations with the same frequency,
but with different amplitude. Furthermore, the interval value of the resource
42
potential of digitalization will determine the boundaries of digital transformation in
the country.
The developed model allows estimating with sufficient reliability the
dynamics of the potential level of digitalization of the Ukrainian economy at
known statistical and expert values of input parameters.
Taking into account the results of the simulation, we can identify the main
problems of digitalization of the economy of Ukraine:
personnel problem – specialists who work currently are not ready for
changes;
changing the structure of the labour market in favour of specialists who work
with information;
outdated education system – the knowledge provided does not meet the
requirements of production digitalization;
deficient lifetime level of fixed assets of enterprises and organizations for
the transformation processes implementation;
lack of government support for the digitalization of industry.
Overcoming those problems requires to equip enterprises with cyber-
physical systems without stopping production gradually; to combine the ability to
manage unstructured content and intelligent enterprises with analytics capabilities;
to implement educational and infrastructure projects regardless of changes in the
related processes; to step up financial investment state support for digital
innovation.
MODELING OF THE CONSUMPTION LEVEL OF ORGANIC
PRODUCTS AND STRATEGIC DIRECTIONS OF INCREASING ITS
PRODUCTION
Kharchenko Hanna
National University of Life and Environmental Science of Ukraine, Kyiv, Ukraine
Kharchenko Volodymyr National University of Life and Environmental Science of Ukraine, Kyiv, Ukraine
Tereshchenko Svitlana Sumy National Agrarian University, Sumy, Ukraine
Kadebska Eleonora Volyn Institute named after Vyacheslav Lypynsky Interregional Academy of
Personnel Management, Lutsk, Ukraine.
Nowadays traditional methods of agriculture often lead to reduction of
production volumes, decrease of soil fertility, increase of content of residues of
chemical fertilizers and other chemical elements in agricultural production. That is
why organic production is becoming increasingly popular worldwide. It should be
noted that nowadays the organic products market is one of the most dynamic and
promising areas of agricultural production. Organic agricultural production is a
prerequisite for the food security of the country, that provides healthy nutrition and
is based on innovative developments of alternative land usage and conservation of
natural resources. The objective of this study is to determine the amount of organic
43
production per capita by forecasting and developing strategic directions for
increasing organic production that will contribute to sustainable economic growth.
It is determined that economic sustainability of agricultural formations is achieved
by improving the educational level of employees, implementing scientific and
technological breakthroughs, improving the quality of products, increasing
revenues of enterprises with the help of diversification of their activities.
Methodological basis of the study has been mathematical mechanism of
system analysis, economic-mathematical modeling and multidimensional statistical
analysis. In order to study the dynamics of organic products consumption per
person the model of the Auto Regressive Integrated Moving Average (ARIMA)
was used. This technique does not foresee any structure of the time series data, but
only applies an iterative approach to determine the admissible model from the
aggregate of the models under study. Next, it was compared the selected model
with the data sources and to verify the correctness of the time series description.
The investigated model was considered adequate if the residuals were small
enough and did not contain useful information. Otherwise, with not appropriately
chosen model, it was necessary to repeat the selection process, but with the use of
the new model.
To ensure the accuracy of forecast such indicators were used: MAD (Mean
Absolute Derivation), MSE (Mean Squared Error), MAPE (Mean Absolute
Perceptible Error), which are used for comparing and evaluating different
investigated models.
Results of the research showed that in 2020 the amount of organic products
consumed per capita (euro) is forecasted to increase in average by 30 %, that will
enable agricultural enterprises to strengthen the production potential level. This
increase in organic products consumption per capita will allow the effective
formation and development of the resource potential of agricultural formations,
which in turn will contribute to the increase in the level of efficiency of production
and economic activity of agricultural formations and to the ensuring of food
security in the country.
In order to increase the organic products consumption and ensure the
sustainable development of agriculture, strategic directions for the development of
organic production were proposed. These suggestions should be based on a
systematic and integrated approach. The main strategic directions should be
divided into: economic, legislative, environmental (ecological), informational,
productional and socially oriented ones.
Further increasing of organic products consumption requires a systematic
approach. First and foremost, it is necessary and important to create the conditions
for proper stimulation of agricultural producers, reducing the risks of organic
production. It is important to note that the increased level of production and
consumption of organic products will contribute to the improvement of social and
environmental state, integrated rural development and improvement of population
health.
44
BIOECONOMY IN ECONOMIC GROWTH OF UKRAINE
Koval Elena National University of Life and Environmental Sciences of Ukraine, Kiev, Ukraine
Kravchuk Natalia National University of Life and Environmental Sciences of Ukraine, Kiev, Ukraine
Energy crisis prompts European countries for searching an alternative
sources of renewable energy. Ukrainian alternative energy sector is considered as
one of the most fast-growing and attractive European market among the
developing economies. This is explained by the advantageous geographical
conditions in Ukraine and favorable legal framework. Also Ukraine has a high
intellectual, creative and innovative potential but it does not use it in implicitly,
which leads to deceleration of the economic growth and hamper the development
of bioeconomy [1]. An actual innovative source of economic growth is
biotechnology.
The largest share of biomass in the total contribution of all Renewable
energy sources take place in Estonia – 93.1%, Latvia – 87.6%, Poland – 87.3%,
Finland – 86.3%, Hungary – 85.7%.Leaders in biomass energy use in Europe are:
Lithuania – 33.6%, Finland – 33.5%, Sweden – 31.9%, Estonia – 26%, Latvia –
22.9% [3].
In National Renewable Energy Action Plan Ukraine the target of producing
11% of its energy from renewable sources by 2020 is established [2]. Main sources
of biomass are forestry and agriculture. Both sectors are well-developed in
Ukraine. Felling of wood followed by the wood processing and production of
finished products is the source of various wastes and residues. Ukraine takes the
7th place in Europe in wood stock after Russia, Sweden, France, Germany, Poland
and Finland.
In the structure of consumption of biofuels in the EU-28, the largest share –
69% or 89.5 million tons of oil equivalent per year, comes from solid biomass
(except charcoal), biogas (12%) is second only to biofuels [2]. To meet the targets
set by Ukraine’s National Renewable Energy Action Plan for biomass by 2020 it is
necessary to widely involve energy crops (along with agro-residues) in energy
production. For Ukraine the most suitable energy crops are willow, miscanthus and
poplar. The area under energy crops in 2020 is estimated to be over 118,000 ha.
The supply side of the market is represented by the forestry and wood
processing companies and crop and animal farms that are sources of biomass.
Pellet producers process available waste into pellets. Biomass-to-energy facilities
produce electricity and heat for a variety of users: industrial, commercial, and
residential. Although agricultural companies have direct access to biomass, they
are not its leading users for energy production. In total, 11% of the agro-companies
use their agricultural waste for burning in their own boilers.
There are several examples of agricultural biogas plants in Ukraine. They are
Ukrainian biogas plants are already implemented at pig, cattle and chicken farms,
at sugar plants, breweries and other food production enterprises, using a broad
diversity of raw materials such as pig and cattle manure.
45
There are currently about 10 larger electricity-producing biogas plants in
Ukraine. Some of them are: Biogas plant of Ecoprod in Volnovas; Biogas plant in
the Obukhov district Kyiv (biogas from waste deposit); Biogas plant Seaside
landfill in Mariupol, Donetsk region; Biogas plant of the Rokitnyansky sugar
factory (Kyiv region); Biogas Plant of Myronivsky Hliboproduct, handling the
dung of the Oril-Leader Poultry Farm in the region of Dnipropetrovs’k [1].
Therefore, Ukraine has a considerable natural potential for generating energy
from most of the renewable sources – proper solar radiation level, powerful wind
potential on the coasts and in the mountains and large-scale resources for biomass
production. Ukraine will accelerate the formation of the bioeconomy, the main
purposes of which are: the need of economic security; whole economic system
integrity; government control in socio-economic development; balance of
economic structure; strengthening of national awareness.
References:
1.Ukrainian Energy Market (2018). URL:
https://www.flandersinvestmentandtrade.com/export/sites/trade/files/market_studie
s/Ukrainian%20Energy%20Market.pdf
2. Lakyda P.I., Vasylyshyn R.D., Matushevych L.M., Zibtsev S.V.
Utilization of biomass of Ukrainian forests for energy purposes in conditions of
global climate change // Science bulletin of National forest technical University of
Ukraine. – Lviv, 2009. – Vol. 19.14. – P. 1822 [in Ukrainian].
3. Renewable Energy (2017). URL:
http://dspace.nbuv.gov.ua/bitstream/handle/123456789/142419/19-
Geletukha.pdf?sequence=1
USE OF INTERNET TECHNOLOGIES BY THE TOURISM
PRODUCTS CONSUMERS IN UKRAINE
Kozhukhіvska Raisa Uman National University of Horticulture, Uman, Ukraine
Sakovska Оlena Uman National University of Horticulture, Uman, Ukraine
Skurtol Svitlana
Uman National University of Horticulture, Uman, Ukraine
Kontseba Serhii Uman National University of Horticulture, Uman, Ukraine
Zhmudenko Viktoriia Uman National University of Horticulture, Uman, Ukraine
In recent years the importance of modern information and communication
technologies in the economic and social life has steadily increased. The Internet
creates new opportunities to provide services and meet needs. Tourism enterprises
are interested in making a big profit from their sales and want the customers to
give their preferences to them. The tourism services sale using Internet
opportunities as one of the important tools of a tourism enterprise brand formation
46
can provide additional benefits in forming a positive image of a tourism enterprise
and enhancing consumer loyalty, since Internet allows providing unlimited amount
of information. In this case, the amount of information consumed is determined by
the user himself. Compared to traditional advertising technologies, Internet makes
it possible to provide a dialogue with the consumer, to establish feedback and, in
terms of investment, it is much cheaper. Taking into account the above, the study
of online sales features and the scope of online services use by consumers of
tourism products is a matter of current interest.
The purpose is the study of the peculiarities of Internet services use by the
tourism product consumers in Ukraine.
Without a clear understanding of the social nature of I-customer orientation
and its peculiar characteristics, it is impossible to apply the customer-oriented
approach correctly and for the good of society. Besides, it seems to be impossible
in the absence of results of empirical research including the corporate employees
and customers as respondents.
The method of survey is used to conduct an empirical research. There are
plans to use a questionnaire-based survey in the Internet to interview the target
audience, І-consumers of tourist services and managers of tourist enterprises. In
this manner, one can achieve the values of I-customer orientation of the enterprise
as realized by managers and customers, as well as their ideas of just what kind of
social customer-oriented technologies would be applied at the enterprises. The data
obtained by employing the method combinations will allow for the analysis of
application of І-customer which oriented technologies by tourist enterprises and
comparison them with the customer preferences.
The struggles that exist in the modern world and the technological revolution
have a global impact on the service establishments functioning, as well as on the
way of services delivery and contact with consumers. This has led to the
emergence of such phenomena as the Internet business (the I-business).
The components of І-business are: security, flexibility; integration. These
components are intended to lay the groundwork for the latest marketing strategy
built between the І-business and І-consumer, that is, a consumer who meets the
needs via the Internet, based on feedback. Without a clear understanding of the
social nature of I-customer orientation and its peculiar characteristics, it is
impossible to apply the customer-oriented approach correctly and for the good of
society.
The deals with the peculiarities of Internet use by the tourism services
consumers. Determined that the compared to traditional advertising technologies,
Internet makes it possible to provide a dialogue with the consumer, to establish
feedback and, in terms of investment, it is much cheaper. The data representing the
social characteristics of the sphere of Ukrainian Internet consumers are
generalized. The main reasons and motives for making online purchases by
tourism services consumers are indicated. The barriers that hinder the further
development of Internet commerce and the promotion of online tourism services
have been identified. Quantitative and qualitative research on the use of tourism
47
Internet services in Ukraine has been carried out.
Has been summarized that among the main universal reasons that motivate
the population to use І-services are: the time-saving; variety of proposals;
convenience; overcoming geographical and temporary barriers; finance saving.
The research findings can be used as a source of information on the behavior
of consumers of tourism services in the process of forming innovative marketing
strategies for tourism enterprises.
As a result of the conducted researches it should be noted that the main
reasons and motives for making online purchases of tourism services are: time
saving; variety of offers; convenience; overcoming geographical and temporary
barriers; financial saving, etc.
Among the reasons and obstacles to the development of І-commerce and
promotion of І-services in the tourism sector are: low awareness of the population
about the benefits of Internet commerce in the tourism sector; inability to check the
quality of tourism services; distrust of travel companies and agencies operating on
the Internet; sale of prepaid tours; the absence of a legal framework to regulate
virtual commerce, especially concerning reimbursement of poor tourism services.
RESEARCH ON PROBLEMS OF DEVELOPMENT OF SCIENCE UNDER
CONDITIONS OF ADAPTING TO THE DIGITALIZATION OF THE
ECONOMY
Kyzym Mykola Research Centre for Industrial Problems of Development of the National
Academy of Sciences of Ukraine, Kharkiv, Ukraine
Khaustova Viktoriia Research Centre for Industrial Problems of Development of the National
Academy of Sciences of Ukraine, Kharkiv, Ukraine
Reshetnyak Elena V. N. Karazin Kharkiv National University, Kharkiv, Ukraine
Danko Natalia
V. N. Karazin Kharkiv National University, Kharkiv, Ukraine
Digital technologies are rapidly transforming society, making a significant
contribution to achieving sustainable development goals, creating new
opportunities for the emergence of innovative technologies and products, changing
the existing technologies and products, forming new and modernizing traditional
knowledge. The essence of the digital economy is considered with regard to
several scopes of relevance, namely, Core: Digital (IT/ICT) Sector (Hardware
manufacture, Software & IT consulting, Information services,
Telecommunications); Narrow Scope: Digital Economy (Digital services, Platform
economy); Broad Scope: Digitalized Economy (Sharing economy, Gig economy,
e-Business, e-Commerce, Industry 4.0, Precision agriculture).
Digitalization is radically changing life sciences and results in
transformation of industrial production, teaching methods and technologies;
48
emergence of new financial tools, customer centric business models, organization
and methods of scientific research, forms of employment in science. However, the
digital economy can lead to an increase in the inequality between advanced
countries and developing ones, which cannot keep pace with changes in the
modern world. Nations that want to be competitive in the future need to develop
digital technologies using their own scientific potential. Therefore, considering
problems of development of science under conditions of countries’ adapting to the
digitalization of the economy is of relevance today.
The complexity, multidimensionality, and ill-structuredeness of problems
associated with countries’ adapting to the digitalization of the economy require
applying the cognitive approach.
Thus, the aim of the article is studying problems of development of science
under conditions of countries’ adapting to the digitalization of the economy with
the use of the cognitive approach.
The article proposes a methodological approach to studying problems of
development of science under conditions of adapting to the digitalization of the
economy, which consists of the following stages: Stage 1. Studying the research
object, which includes: describing a problem situation, compiling a catalog of
problems on the basis of a priori analysis, forming blocks of problems, compiling a
primary cognitive map, determining the degree of importance of problems ( with
the help of the Analytic Hierarchy Process developed by T. Saaty) and the
relationships among them (based on calculating the Pearson correlation coefficient
and linguistic variables, which were measured using the developed scale in
accordance with the Fibonacci series), constructing a cognitive model for studying
the problems.
The proposed methodological approach allowed to build a cognitive model
for studying problems of development of science under conditions of a country’s
adapting to the digitalization of the economy. The development of the cognitive
model is carried out using the example of Ukraine.
The presented model for studying problems of development of science in
Ukraine under conditions of adapting to the digitalization of the economy reveals
risks and helps identify opportunities for reforming the scientific sphere. It is
proved that the lack of clear priorities in the field of development and
implementation of digital technologies at the state level can result in an increase in
the gap between the level of innovative and economic development of advanced
countries and Ukraine. The decrease in the share of innovatively active enterprises
and the unwillingness of Ukrainian businesses to introduce digital innovative
developments exacerbates the country’s economic problems, results in a drop in its
global competitiveness. The lack of adequate funding for the scientific sphere and
the outdated material and technical base of research organizations makes it
impossible to develop competitive scientific products in the field of digital
technologies. The low level of communication and integration between Ukrainian
scientific organizations and the international scientific community does not allow
taking part in the development of modern digital technologies corresponding to
49
international standards. All this leads to unsatisfactory results in the field of digital
technologies, exacerbation of the current problems and a slowdown in the
processes of Ukraine’s adapting to conditions of the digital economy.
The conducted research allows to conclude that there is a need for reforming
the scientific sphere in Ukraine. Taking into account the existing trends, it is the
only way to ensure the functioning of socio-economic systems under conditions of
the digitalization of the economy without a decline in the level of the country’s
competitiveness and economic security.
THE METHODOLOGICAL PROCEDURE OF A MISSION AND
GOALS DEFINITION OF THE INDUSTRIAL ENTERPRISE’S
Larina Tetiana
Petro Vasylenko National Technical University of Agriculture, Kharkiv, Ukraine
Kupalova Halyna
Taras Shevchenko National University of Kyiv, Kyiv, Ukraine
Tkachuk Vadym National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
Blahodatnyi Andrii National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
In the conditions of globalized processes and transition to new forms of the
industrial enterprise’s economic functioning are in the stage of constant market
transformation and reformation, searching for the most rational ways of managing
these processes. The opportunities and benefits offered to businesses must be
underpinned by a plan of appropriate actions, a model for their rational
implementation on a competitive basis. The implementation of the entity’s
development model provides important strategic solutions to the problems and
challenges that may be encountered by the enterprise. The leading role in these
processes is given to the mechanism of the enterprise’s strategic development
formation. The main purpose of this mechanism is to ensure the rationality,
effectiveness and economic feasibility of the enterprises’ functioning and the
implementation of their business processes.
Therefore, a problem of content, structure, rationality of use in the
management system of development strategy is constantly in the field of scientific
discussion. For effective formation and practical implementation of the enterprise’s
strategy development, a necessary condition is development of a special
mechanism that provides a choice of development strategy and meets the needs of
the enterprise. That is why the study of theoretical and applied aspects of the
mechanism of the industrial enterprise’s strategic development formation is
extremely relevant and occupies one of the defining places in the strategic
management system.
All strategies form a set or matrix of development strategies. Their
combination determines a model of the enterprise’s development, stages and
phases of development. At this stage, the selected strategy is evaluated, namely:
50
the key success factors that characterize the development strategy; predicting the
future results according to goals; identifying the alternative types of strategies.
This allows you to determine whether the chosen strategy will lead to the
achievement of the company’s goals.
The stage of the plan creation and measures for the strategy implementation
includes: the process documentation and making a decision to carry out a
comparative analysis of the selected strategies, the definition of the «Strategic set»
of the organization, the strategy of specialized types of activities, the strategy of
the main business subsystems. The strategy development includes: strategic plans
(tasks, standards, organizational concept); tactical plans (business programs),
operational planning.
Creating a strategy development is the basis for an overall the enterprise’s
strategic plan. The company chooses sections and indicators independently, based
on its own positions, taking into account its own resources. For the strategy
implementation, the resource needs are identified, the ways of their mobilization,
the plan for creating and executing the budget strategy.
The implementation process of the enterprise’s strategy development and
control over its implementation predicts the practical implementation of: defined
plans and measures aimed at implementation of creating enterprise’s development
strategy; the progress monitoring of implementation of the development strategy
and necessity definition for its correction; implementation evaluation of the
strategy and taking into account the implementation disadvantages when
developing the next or changing the existing strategy; control over maintaining the
existing values of strategic development indicators, the organization activities and
the strategic management effectiveness of the enterprise as a whole.
The final stage predicts the effectiveness evaluation of the industrial
enterprise’s strategy development based on a comparison of the level development,
direction, sphere or specific indicator before and after the measures
implementation; calculation of achievement percentage of strategic changes.
The conducted researches have shown, that the industrial enterprise’s
strategy development is rather complex and creative process that requires high
accuracy and qualification of management personnel. Generalization, allowed to
present the mechanism of the industrial enterprise’s strategy development on the
basis of algorithm of step-by-step actions: from formation of purpose and goals,
definition of strategy development and results prediction to its practical realization
and efficiency evaluation, this is implemented at five levels: corporate level,
business level, functional level, technical level, operational level and modular
level. The practical implementation of the proposed algorithm by the economic
entities will contribute to the complexity, systematic and validity of strategies
development in each business context.
51
CURRENT DEVELOPMENT ISSUES OF ACCOUNTING SUPPORT OF
INNOVATION VENTURE FINANCING
Lehenchuk Serhii
Zhytomyr Polytechnic State University, Zhytomyr, Ukraine
Valinkevych Nataliia
Zhytomyr Polytechnic State University, Zhytomyr, Ukraine
Vygivska Iryna
Zhytomyr Polytechnic State University, Zhytomyr, Ukraine
Khomenko Hanna
Zhytomyr Polytechnic State University, Zhytomyr, Ukraine
Modern economic conditions require solving the issues of efficiency of
functioning of domestic enterprises performing venture activities and
corresponding main provisions of the Strategy of development of high-tech
industries for Ukraine until 2025. In this context, the issue of developing the
concept of information support for the venture capital management of innovative
enterprises in the conditions of formation of a post-industrial society is a question
of acute need. The development of the concept of information support of venture
capital management of enterprises in the conditions of formation of post-industrial
society is quite new and relevant for the modern world and especially for Ukraine,
as well as the intensification of innovation processes.
In the course of solving certain research tasks, general scientific and special
research methods were applied (theoretical generalization, system approach,
formalization, analysis), which are the basis for developing accounting and
analytical support for managing venture activities of innovative enterprises in the
conditions of risk and economic transformations in Ukraine and the world by
improving the capital market infrastructure in terms of the venture industry,
minimizing information management risks of venture activities, improving the
system of tax calculations of subjects of the venture industry and etc.
Studies of accounting and analytical support of venture capital management
over the past few decades have become a central issue in the scientific works of
many scientists, which is caused by the gradual formation of an innovative model
of economic development and the emergence of a venture industry. In the works of
scientists, the basic theoretical and methodological principles of the functioning of
the venture capital industry, the particularities of the implementation of venture
capital activities and the directions of development of accounting for and analytical
support of its implementation have been developed.
The basis of the study of information support of venture activities of
enterprises can be grounded on the following developments:
–the concept of organizing a modern venture capital industry, specifying the
peculiarities, mechanisms, and identifying specific objects of accounting and
analysis of venture activity;
– theoretical and organizational provisions of accounting for the costs of
venture capital activities of venture capital enterprises indicating the degree of risk
and the need for venture capital;
52
– the directions of reforming the legislation of Ukraine regarding the
implementation of venture activities of the enterprise;
– accounting and analytical support for managing venture financing of
innovative enterprises in conditions of risk and economic transformation.
To develop the theoretical foundations, as well as the organizational and
economic principles of building a system of accounting and analytical support for
the management system, it is necessary to resolve the following tasks: to identify
and analyze the needs of internal and external (existing and potential venture
investors) users of accounting information on venture activities of enterprises; to
identify and classify risks associated with venture activities of enterprises,
formulate ways to minimize them; to develop a system of accounting reserves to
minimize the risks of venture capital enterprises; to develop a business model of a
venture company, which will serve as the basis for building a system of accounting
and analytical support for its management; to develop risk-oriented models for
processing and presenting information on venture activities of enterprises
(financial, managerial, tax, engineering), which will act as the means of generating
operational, tactical and strategic information for managerial decision making; to
develop a system of internal and external accounting reporting on the status and
results of venture activities of enterprises, taking into account the requests of
domestic and foreign investors, as well as institutional investors; to form
information support and a methodology for the formation of strategic scorecards
for risk-oriented management of venture activities of enterprises based on the use
of a balanced scorecard; to develop a regulation (standard) of accounting for
expenses of start-up companies, which will allow providing information about
them from the moment of their creation and throughout the entire period of their
functioning; to develop a methodology of economic analysis of venture activities
of enterprises at different stages of their life cycle, taking into account
improvements in the existing accounting and analytical system of the enterprise; to
suggest an assessment procedure and risk management algorithm for venture
capital enterprises to minimize their negative economic consequences.
Thus, in modern conditions, solving the problems of developing information
support for the process of creating innovative infrastructure and attracting venture
investments in the innovative activities of business entities by domestic and foreign
investors is one of the priority tasks for researchers.
BIOTECHNOLOGICAL PROCESSES DIGITALIZATION IN ANIMAL
HUSBANDRY
Levkina Ruslana Petro Vasylenko National Technical University of Agriculture, Kharkiv, Ukraine
Levkіn Arthur Petro Vasylenko National Technical University of Agriculture, Kharkiv, Ukraine
Petrenko Anna University of Technology «STEP», Kharkiv, Ukraine
53
Kolomiets Natalia
Petro Vasylenko National Technical University of Agriculture, Kharkiv, Ukraine
The article analyzes the agrarian enterprises business processes management
and enterprises which providing their activity, based on the digitization
technologies and other innovative solutions. High rates of technological and
technological upgrades for their implementation require constant monitoring and
implementation of innovative solutions in the agricultural management field and
established economic links with organizations, which create and spread such
innovations.
The innovation implementation in a broad sense contributes to the labor
productivity growth, saving resources, reducing costs, increasing production and
sales, and improving efficiency.
Authors propose to consider the digitalization technologies application in
embryo transplant enterprises (laboratories) that provide agricultural enterprises
with cattle embryos. The software, in combination with the biotechnology laser
embryo division system, allows authors to automate the process and ensure its high
quality, and the mathematical model formalization – to transfer the process
methodology to almost all areas of animal husbandry. The result within Ukraine is
the livestock herds restoration and higher productivity level transition in the
direction of the slaughter weight and milk yield increasing, and improving the
corresponding indicators of enterprises, industry, economy of the country. Such
technologies form the requirements for agrarian management system, a
qualitatively new level of professional education and behavior of specialists, which
motivates to the end result. The formation of the agrarian management system as a
whole requires the digitalization tools involvement in the process of innovations
implementation. Thus, embryo transplant enterprises (laboratories) can and should
make extensive use in addition to special (surgical) equipment and state-of-the-art
laser equipment, digital equipment, software, IT tools.
The state of embryo transplantation technologies development in animal
husbandry and its improvement possibility through biotechnological processes
automation and digitization with the use of a laser embryo division system allows
increasing the process’ quality indicators. The system consists of a source of laser
radiation, collimating optics, a rotating mirror, a focusing optical system, an
inverted microscope and a device. This device provides the functions of
digitization of the biotechnological process and management of the viability of
cattle embryos for agricultural enterprises. The system consists of: a laser radiation
source, a collimating optics, a rotating mirror, a focusing optical system, an
inverted microscope and a device. This device provides the biotechnological
process digitization functions and the cattle embryos viability management for
agricultural enterprises. Algorithms that visualize the process of laser control and
laser beam focusing are implemented by computer software. It is the «brain» of the
biotechnological system and requires optimization of all system components’
parameters.
Therefore, authors have solved the problem of technical means operating
54
parameters optimization by biotechnological process automation and digitization
means of elite farm animals’ embryos laser division. The thermal stability
(viability) of the resulting embryo portions is ensured by controlling the parameters
of the moving radiation source and the embryo temperature field limitations. The
quality functional of the embryo division biotechnological process is formulated
with the laser system help, which allows to take into account the basic parameters
of this process and to offer its optimality criterion. The formalized parameters
constraints system of the laser embryo division biotechnological process provided
the opportunity to move to the operating parameters values substantiation of the
technical means, which provides quality embryo division biotechnology based on
the laser system. The hardware implementation of the laser division method of
early embryos in animal husbandry and the software developed application on the
mathematical model basis on bioobject laser beam trajectory optimization of
software allow increasing the accuracy of focusing.
The research results practical significance, proposed methods, mathematical
models and tools is to create the conditions for the industrial breeding technology
implementation and reproduction Ukraine’s livestock.
In fact, the digitization of this process in the sense of device control that
improves the embryo fission quality by implementing algorithms for laser beam
control visualization and focusing accuracy.
At the corporate executives’ level, there is an awareness of the importance
and expanded production regularity, increasing profitability through the
innovations implementation, whose key function in the agrarian management
system is to create conditions for innovative receptivity to all types’ innovations
implementation, including digital technologies.
DIGITALIZATION OF ECONOMY AND ASSESSMENT OF
OPPORTUNITIES AND IMPLEMENTATION IN AGRO-BUSINESS:
WORLD AND DOMESTIC EXPERIENCE
Mnykh Olga
Lviv Polytechnic National University, Lviv, Ukraine
Kostiuk Olha
Lviv Polytechnic National University, Lviv, Ukraine;
Dalyk Volodymyr
Lviv Polytechnic National University, Lviv, Ukraine
Zaitseva Anna
V. N. Karazin Kharkiv National University, Kharkiv, Ukraine
Abstract. The article shows the relevance of the implementation of the
digitalization policy in the agricultural sector of Ukraine at different levels of
government, which is characterized by high losses, regardless of the growth rate.
The export-oriented agribusiness sector, which holds a significant share of GDP
(15-17%) and accounts for about 40% of foreign exchange earnings in total export
revenue, has not been able to strengthen its competitive position in international
55
markets serviced by the development of new marketing metrology management
and logistics, both for the purpose of improving resource management efficiency
and for identifying new sources of value and knowledge based on knowledge in
Industry 4.0, Agriculture 4.0.
The limited opportunities for diversification of the development of different
types of economic activity and markets in the agricultural sector of Ukraine due to
illiterate state economic policy put agrarian management and various related
market agents in the face of modern challenges and the need to actively seek
adequate responses to dynamic market conditions. The reproduction of the old
model of agriculture in Ukraine has aggravated the starting conditions for its
development with the increased impact of new globalization challenges at the stage
of building Industry 4.0 and the formation of new signs of competition in
international markets.
Generalization of the world experience of digitalization and priority
directions of research and development of startups in the agrarian sector,
identification of the main reasons for the passivity of domestic agribusiness in the
processes of digitalization and its lagging behind the growth rate of the Ukrainian
IT sector and identification of new opportunities for transformation of the
informational sector , where a new foundation of capital accumulation is laid
through the digitalization of business processes and management ińsko decisions is
the main purpose of this study. The enriched global experience in digital economy
management proves the benefits of a policy that is viewed from different
perspectives.
The transition to a new stage of information support for agribusiness
management systems based on the digitalization of production and economic
processes, management decisions and transactions is caused by certain factors that
force market agents to switch to new agribusiness models and introduce
international communication technologies with different market entities
internationally (type B2B, B2I, B2C).
The evolution of agribusiness and interconnected market structures based on
the achievements of the scientific progress entails a critical rethinking of different
economic theories: competition, comparative advantage, protectionist policies,
socially-oriented and environmental marketing, ecology, systems and systems
analysis, free market, value formation.
Although, farmers are spatially divided, each of them is a participant in the
formation of a culture of economy, development of social and economic process of
formation of value and value and is in some way integrated into the national and
international system of statistics and rating comparisons through indicators of
environmental friendliness of agriculture, technologies used, labor productivity,
productivity of cultures, developed innovations. At the same time it is the subject
and object of agrarian management in a multilevel economy and a market agent in
domestic and international transactions.
In the last decades of the development of agribusiness in the context of
globalization processes, large agroholdings and investors are stepping up export-
56
import operations in industrial, consumer and stock markets, which is accompanied
by the development of business practices in related industries and focusing on the
competitive value management system. , the implementation of stringent
requirements for environmental friendliness in the agricultural sector and
environmental friendliness of food products, exchange of good practices to
agribusiness management, technology transfer and commercialization of business
ideas, with appropriate profitability assessment at each stage of implementation,
contract logistics and marketing control principles development, information
support improvement and CRM and HRM systems development that simplify the
relationship management process with clients, and partners. A modern model of
agribusiness has become in demand, adequate to the opportunities and constraints
of the market environment, competitive conditions or conditions of co-operative
relations, which open up new opportunities for enrichment of knowledge and
exchange of experience.
The long technological backlog of the agricultural sector in Ukraine in terms
of digitalization is a consequence of the absence of a state ecosystem development
policy, an effective mechanism for smart specialization of regions, and a public-
private partnership to support innovators, and a poor quality of the institutional
environment.
These sectors are detached in terms of both current and strategic
development goals and their resource provision. It is necessary to create clusters
(network economics) based on digital transformation maps in industries with the
maximum integration of innovation 4.0 into Ukraine’s food security strategy,
which requires specific scientific and applied research. Only the development of
the domestic manufacturing industry based on the effective interaction of
economy, science and business will determine the demand for digital innovation as
a component of smart specialization policy
CHALLENGES OF DIGITALIZATION OF AGRARIAN SECTOR IN
TERMS OF HUMAN DEVELOPMENT
Ostapchuk Anatolii
National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
Alekseieva Kateryna
National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
Artiukh Tetiana
National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
Zorgach Alona
National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
It is a well-known fact that the process of digitalization has interfered into all
the spheres and branches of economy and changed drastically the life of people.
That is why it is necessary to study this process in its close connection to human
development. We can observe penetration of the digital technologies in the day-to-
day life of people, changes in the ways they spend time and money. The processes
57
of digitalization essentially change the process of business doing, domestic
businesses of different countries become integrated into the world economy; the
turnover of the sales on-line is rising constantly. The term «digital economy» has
been being spread all over the world since the middle of the 90-s years of the
previous century. It was the period when it became understandable that only a
country that managed to implement digital technologies into all spheres of lives of
people will survive in the new conditions. Nowadays digitalization defines the
prosperity of the country and all the developed countries of the world have been
being stimulated the digital processes by different means. Agrarian sector plays a
very important role in the economy of Ukraine. This is proved by the statistical and
economic reports. The agrarian sector is closely connected to the social
development because of the large quantity of people living in the villages. Thanks
to the agrarian sector many young people obtain their chances for better life. The
Ukrainian economy has met many crises, but agrarian sector remained the leading
sector of the Ukrainian economy. There are very favorable conditions in Ukraine
for developing of the agrarian sector and these conditions define its development.
Nowadays there are vivid achievements in the process of digitalization of the
agrarian sector. Ukrainian agrarian companies use innovations which have no
analogues in any other branch of industry of Ukraine. To develop the process of
digitalization of the agrarian sector of Ukraine it is necessary to meet challenges
which are partly the challenges met all over the world and partly they are specific
for our country. There are two things which define the production process in the
agrarian sector. These are technologies in different digital forms and trained people
for using these technologies. In case if people are not ready to use these
technologies because of lack of education for example or being reluctant to do this
a staff crisis inside the company can occur. Taking into consideration everything
mentioned above the current research has been oriented at highlighting the main
challenges of the digitalization of the agrarian sector in terms of human
development.
The results of the research can be used as a source of information concerning
the steps in digitalization of agrarian sector in order to provide proper economic
and human development.
As a result of the carried out research there should be noted the main
challenges of the digitalization of the agrarian sector in current conditions. These
are simultaneous implementing of innovations and preparing people in the villages
to using them. There are basic and enabling conditions, which are to be met
obligatory in order to transform the agriculture digitally in different contexts. The
basic ones can be seen as the minimum conditions needed to implement
technology. These are availability, affordability, possibility to connect, different
educational programs raising informational skills of people and stimulating
Government policies for digital development. Enabling conditions include the
factors which can lead to adoption of the technologies by wide quantities of people
working in the agrarian sector. These are Internet, mobile phones and social media
using, digital skills development, and support for digital culture in the agrarian
58
sector. Unfortunately there are still problems with providing the «digital literacy»
among people in the rural areas. There is lack of relevant skills among teachers and
there is no enough material and technical providing of the schools in the villages.
Even the Internet connection has not covered all the area of Ukraine. To meet the
challenges of digitalization of agrarian sector of Ukraine in terms of human
development it is necessary first of all to provide a public policy aimed at
stimulating the «digital literacy» in the villages and overcoming the resistance to
digitalization in the agrarian companies.
To achieve the formulated goal of the research and to fulfill the stated tasks a
set of well-known scientific methods and techniques have been used. The method
of logic synthesis has been applied in order to well-ground theoretically the
importance of studying the challenges of digitalization of the agrarian sector in
terms of human development. Using the methods of analysis and synthesis allowed
showing the importance the agrarian sector for the economy of Ukraine and the
present achievements in the digitalization of it. The method of finding logical
connections was used to demonstrate the necessity of simultaneous providing
innovations and preparing workers for manipulating them. Method of building
schemes and models has been used for a visual representation of results of the
research and their schematic representation.
It is worth saying that digitalization does not only change the economic life
but it brings essential transformations into the human development process in the
direction of its simplifying and raising its quality, creating new working places and
changing the way of thinking of people. There should be noted that the term
digitalization has not yet obtained one meaning. It is connected to knowledge,
information, or network. In our mind the process of digitalization can be
understood as process the digitalization of significant amounts of knowledge and
data, which leads to qualitative changes in human and economic development. It is
implemented through transformation of information into digital forms.
The agrarian sector of Ukraine can be considered a leader of the economy in
the macroeconomic measures. It possesses the potential to become a leader in the
world measures, although the export of agrarian products still mostly contains raw
product and products with low added value. But even this fact can be explained by
the specifics of the domestic agriculture, in particular large areas with fertile soil
quality which can be used for yields rising and their following selling. A unique
feature of the sector is the availability of a wide variety of natural resources and
extremely favorable conditions for its development. Among such conditions there
are geographical position that provides a connection with the whole world, fertile
land which makes up two-thirds of the entire territory of Ukraine, weather and
climate conditions and people able to work in the fields.
It is the agrarian sector of Ukraine where the successful debt restructuring
projects, investment and infrastructure projects and the activity of donor
organizations as well as technical assistance projects can be observed. The
Ukrainian agrarian companies have been recently introducing the new digital
technologies and providing the new methods of working in order to catch up with
59
the requirements of the current world. Such progressive digital technologies as
Farming Management System (satellite online monitoring), GPS navigation,
mapping, drones, and networks of weather station are used in the fields and in the
processing.
However to develop the process of digitalization of the agrarian sector of
Ukraine it is necessary to meet challenges which are partly the challenges met all
over the world and partly they are specific for our country. There are two main
things which define the production process in the agrarian sector. These are
technologies in different digital forms and trained people for using these
technologies. In case if people are not ready to use these technologies because of
lack of education for example or being reluctant to do this a staff crisis inside the
company can occur. There are examples in the history of the world when people
even ruined the new equipment showing their resistance to implementing it. Today
the resistance to digitalization is not normally showed so brightly but as matter of
fact it is often hidden (latent) and dangerous anyway. In such conditions education
and training become very important because thanks to them it is possible to
minimize the shock and stress caused by innovations, in particular by
implementing of digital technologies, to get people perceived that the changes are
needed. In such conditions managers of agrarian companies of Ukraine are now
introducing educational and training programs for their employees to make it not
so difficult to accept digital changes but anyway there is evidence of firing of
people because of crises caused by providing digital technologies. Public support
through public policy aimed at digitalization of agrarian sector is also important
nowadays.
Thus digitalization of agrarian sector plays a crucial in current conditions in
Ukraine as well as in other countries of the world. This is due to the facts that on
the one hand nowadays the agrarian sector can be considered a locomotive of the
Ukrainian economy; on the other hand digitalization is a process that brings
qualitative changes in all spheres of life raising both economic and human
development. Digitalization of agribusiness is a task set by major market players
and industry leaders. It is important for them to get stably high yields at optimal
costs, to produce high-quality, but at the same time cheap products. And high
technology plays a key role in this. Simultaneously thanks to digitalization life of
people alters qualitatively, new working places are being created, the way of
thinking of people changes and the life standards rise.
Today we can witness a lot of important new innovations and technologies
introduced by representatives of big agrarian companies and implemented into the
process of production of the agrarian goods. But the main problem that arises here
is low preparation of people in the rural areas to manipulate these technical
achievements. The solution to the problem is providing of Government supportive
programs for lifting the e-literacy of people in the villages, facilitating of
conditions and creating digital culture.
60
THE PROSPECT OF THE DIGITIZATION OF AGRICULTURAL
ENTERPRISES IN TERMS OF ENSURING THEIR COMPETITIVENESS
FOR MANAGEMENT PURPOSES
Ostapchuk Tatiana Zhytomyr Polytechnic State University, Zhytomyr, Ukraine
Kupalova Halyna
Taras Shevchenko National University of Kyiv, Kyiv, Ukraine
Hudzynska Yuliia National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
Butsenko Liudmila National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
The prospect of digitization as a competitive advantage of domestic
agricultural enterprises is substantiated in the article. The basic directions of
digitization in the agricultural sphere are defined, in particular: analytical
platforms – interactive databases for managing the economy; precision farming
technologies – sensory means of monitoring the physical and chemical state of
plants and soil, which allow to correct agronomic measures promptly, reducing the
risk of resources and funds wasting; marketing platforms that facilitate
communication with consumers and counterparties by presenting comprehensive
product information and terms of engagement.
A methodological aspect of determining the usefulness digitization to
enhance the competitiveness of enterprises is proposed. It is based on the classical
approach to evaluating the competitiveness of enterprises, such as polygon of
competitiveness. Taken as a basis for such criteria as financial position, efficiency,
effectiveness of sales, the competitive potential of enterprises, environmental
friendliness of production, social efficiency, enterprise image, product
competitiveness. These criteria comprehensively cover the system of
competitiveness formation, revealing it from the standpoint of socio-economic and
environmental-economic responsibility.
The list of indicators for determining partial indicators of competitiveness,
including the level of digitization as a factor of formation of competitive
advantage, and the integral indicator of competitiveness as a whole based on the
selected criteria, is offered. This approach allows the implementation of
digitization in the system of performance evaluation of the enterprise,
comprehensively assess the level of competitiveness of the company in a highly
competitive environment and predict the results of potential organizational and
economic changes for the future.
The actual state of development of agricultural sector digitization has been
analyzed, in particular the technologies responsible for planning, business process
management, sales of products, as well as communications with potential buyers
through various channels, in particular CRM (Customer Relationship
Management) and BPM (Business Process Management) systems have been
61
evaluated. It is established that the widespread bpm’online platform in Ukraine,
which contains tools for customer relationship management and business process
management, enables planning and recording external meetings in the application,
demonstrating to the customer available agricultural products and immediately
ordering, which determines its convenience and efficiency on optimization of
management processes in the enterprise.
The main prerequisites and obstacles to the digitization of the agrarian sector
in Ukraine have been identified. In particular, the prerequisites to be considered
such as: the presence of all the natural areas of the country spatial heterogeneity of
soil, physical, chemical, agrochemical properties, which requires the use of
individual measures for specific sites to obtain the best results; the rapid
development of the agro sphere in recent years, which determines the availability
of capital, business, market relations, which, together with various factors, already
provides Ukraine with the first position in the world for certain types of products;
successful commercial activities of numerous companies producing the necessary
equipment, software, technologies; successful experience in developing accurate
farming systems and interactive management systems by Ukrainian enterprises.
The expediency of digitization of agricultural enterprises in order to increase
their competitiveness from the point of view of compliance with the concept of
sustainable development is substantiated. From an economic point of view, it is a
means of reducing the costs of organizing individual production and economic
operations and optimizing the process of managerial decision-making. From an
environmental point of view, investing in digitization is justified, since
contributing to the reduction of agricultural chemistry while improving farm
efficiency means limiting their migration beyond the topsoil, thereby reducing soil,
summer, weather, hydro, and soil pollution as a whole. From a social standpoint,
the introduction of «digital» technologies will help to increase the attractiveness of
working in the agro-sphere, translating field workers into offices, raising their level
of economic culture and environmental awareness.
INFLUENCE OF ENERGY-SAVING TECHNOLOGICAL CHANGES
ON THE LEVEL OF INNOVATIVENESS OF AGRO-INDUSTRIAL
ENTERPRISES IN THE CONDITIONS OF DIGITALIZATION
Petrushka Ihor Lviv Polytechnic National University, Lviv, Ukraine
Yemelyanov Olexandr Lviv Polytechnic National University, Lviv, Ukraine
Petrushka Tetyana
Lviv Polytechnic National University, Lviv, Ukraine
Koleshchuk Orest
Lviv Polytechnic National University, Lviv, Ukraine
The development and implementation of innovations at enterprises should
ultimately ensure the growth of their profit at the expense of transition to the
62
manufacturing of new or improved products, changes in technological processes,
sales promotion, etc. In particular, an important reserve for increasing the profits of
enterprises is the implementation of innovative resource-saving technological
changes, first of all, technologies that provide for the saving of energy resources.
At the same time, the question of how significant is the role that energy-saving
technological changes play or can play in the future among other areas of
innovative activity of enterprises arises. In other words, the problem arises of
assessing the impact of energy-saving technological changes on the level of
innovation of enterprises, and, accordingly, on their profitability.
The main purpose of this study is to assess the impact of energy-saving
technological changes on the level of innovativeness of agro-industrial enterprises
in the conditions of digitalization. The indicators of evaluation of the
innovativeness of enterprises are systematized. The indicators characterizing the
influence of the innovative activity of the enterprise on the economic efficiency of
its functioning are proposed.
The methodological approach to assessing the impact of energy-saving
technological changes on the level of innovativeness of the enterprise is
substantiated. This approach is implemented on the example of the agro-industrial
enterprises of Ukraine.
The conducted study showed that it is reasonable to distinguish five groups
of indicators, which assess the level of innovativeness of the enterprise, namely:
indicators of the volume of innovative activity of the enterprise for a certain period
of time; indicators of the amount and quality of innovation resources of the
enterprise; indicators of the level of novelty of innovations that were developed
and implemented at the enterprise; indicators of the impact of innovative activity
on economic performance; indicators of the impact of innovative activity of
enterprise on its competitive advantages. Among the listed groups of indicators to
assess the impact of energy-saving technological changes on the level of
innovativeness of enterprises, first of all, the indicators of the fourth group should
be used. In particular, there are two indicators, namely the share of enterprise profit
from the implementation of innovative activities in the total amount of its
operating profit in the reporting period and the relative profitability of the capital
of the company by its operating profit through the implementation of innovative
activities. To assess the impact of energy-saving technological change on the level
of innovativeness of enterprises, these indicators should be calculated twice
accordingly with and without the application of enterprise’s energy-saving
technologies, and then find the difference of their values.
As shown by the empirical analysis, the average level of innovativeness of
the investigated agro-industrial enterprises on their operating income ranges from
0.246 for horticulture to 0.527 for the processing of livestock products. Thus for all
types of economic activity which are considered, the level of innovativeness of the
enterprises which carried out energy-saving technological changes considerably
(on average more than twice) exceeds the level of innovativeness of the enterprises
which did not conduct energy-saving technological changes. It should also be
63
pointed out that there is a strong influence of energy-saving technological changes
on the level of innovation of agro-industrial enterprises in terms of their operating
profit. In particular, the average level of innovativeness of the investigated
enterprises that have implemented energy-saving technologies is 0.484. At the
same time, the average value of the indicator of assessment of the impact of
energy-saving technological changes on the level of innovation of enterprises is
0.331. Thus, approximately 68% of the level of innovativeness of the investigated
agro-industrial enterprises, which have carried out energy-saving technological
changes, is conditioned by this realization.
At the same time, according to the managers of the investigated agro-
industrial enterprises, the main obstacle to the implementation of energy-saving
technological changes is the lack of necessary information. One of the means of
overcoming this obstacle is the digitalization of agricultural business in Ukraine.
Especially, it concerns the creation of databases on manufacturers and consumers
of energy-saving equipment, as well as indicators on the basis of which the
economic efficiency of investment projects for the purchase of such equipment is
estimated.
METHODICAL APPROACH TO ACTIVATION OF TECHNICAL
AND TECHNOLOGICAL COMPONENT OF ENTERPRISE
INNOVATION IN THE CONDITIONS OF DIGITAL TRANSFORMATION
OF SOCIO-ECONOMIC SYSTEMS
Plakhotnik Olena
Dniprovsk State Technical University, Ukraine
Korenyuk Petro
Dniprovsk State Technical University, Ukraine
Serhieieva Natalia
National scientific centre «Institute of agricultural engineering and
electrification», Ukraine
Gavryluk Juliia
National University of Life and Environmental Science, Kyiv, Ukraine
The main focus in the development of socio-economic formations, and in
particular industrial production, is shifted to the use of fundamentally new
progressive technologies (built on the principles of the active use of
environmentally friendly materials, safe ways of disposing of production and
human wastes, non-waste production, material and energy efficiency and etc.),
modern outputs with new consumer properties.
The need to accelerating the processes of digitalization and digital
transformation of the economy is proved in order to achieve competitive positions
in the emerging digital space of the new world economy.
At the theoretical and methodological level, it has been proved that the
development and implementation of mechanisms for controlling the technical and
technological component of innovation in the context of the digital transformation
64
of socio-economic systems will contribute to increasing the strategic potential of
subjects of the real sector of the economy, increasing their adaptive capabilities
and strengthening competitive advantages.
In the new economic conditions, all domestic economic entities aiming at
stable functioning are forced to go through the process of digital transformation,
which is understood as the introduction of modern technologies into the business
processes of socio-economic systems at all levels. It implies not only the
installation of modern equipment or software, but also fundamental changes in
approaches to management, corporate culture, and external communications. As a
result, the profitability and business activity of the enterprise increase and it gains a
reputation as a progressive and modern organization.
Digitalization issues for the innovative development of Ukrainian industry
are the number one priority. They find a place in specifying the development
strategies of the leading sectors of the national economy, especially export-oriented
ones. They provide the flow of processes based on digital technologies. More and
more digital products are emerging that provide digital, computing,
telecommunications, and networking devices. At the same time, the digital
economy is increasingly seen as a set of social relations that are formed as a result
of the use of electronic technologies, as well as technologies to ensure the analysis
of large volumes of information to optimize the processes of forecasting, planning,
output and consumption of science intensive and high-tech products, as well as
increasing the level of economic development of the country.
The systematization of scientific work in the field of studying the factors
influencing the innovative activity of an enterprise made it possible to develop the
following classification of factors influencing the effectiveness of innovative
processes, as well as to justify groups of factors (barriers) that impede the
development and implementation of technological innovations in the context of
structural changes in the global economy caused by its digitalization.
A very important stage in the development of relevant indicators is the
formation of the information area on which they are defined. First of all, it is about
the content of the initial indicators and their indicators, which are able to assess the
effectiveness of the implementation of technical and technological innovations in
enterprises of the real sector of the economy, while they should be objective
characteristics of the relevant influence factors and can be obtained on the basis of
official statistical information. The definition of the integrated performance index
for the introduction of technical and technological innovations in enterprises of the
real sector of the economy in the context of structural changes in the world
economy caused by its digitalization and the corresponding sub-indices in its
structure is based on a four-level hierarchical model, i.e., the integrated
performance indicator is a vector with the types of sub-indices components on
influence factors.
The developed hierarchical model allows us to build several types of sub-
indices, differentially by hierarchy levels, for a deeper analysis of the current level
of effectiveness of the introduction of technical and technological innovations in
65
enterprises of the real sector of the economy in the context of structural changes in
the world economy caused by its digitalization.
This approach provides an opportunity to accurately determine the main
factors (and the degree of their impact) that affect the effectiveness of the
introduction of technical and technological innovations in enterprises of the real
sector of the economy in the context of structural changes in the world economy
caused by its digitalization and justify management decisions in the structure of the
corresponding management mechanism.
The practical implementation of the methodology for assessing the
effectiveness of the innovative economy activating in the context of structural
changes in the world economy caused by its digitalization is based on statistical
data on the value of the relevant indicators (financial, economic, socio-economic,
technical, technological, institutional and legal factors) for a certain period of time.
This involves the use of official materials of the State Statistics Service of Ukraine,
namely: structural statistics indicators for business entities, indicators of cost,
availability and condition of fixed assets of enterprises of Ukraine by type of
economic activity, capital investment by type and source of formation, indices of
industrial products produced and sold and other technical and economic indicators
of industrial enterprises.
As the main directions of enhancing and development of technical and
technological innovations of enterprises in the real sector of the economy in the
context of structural changes in the world economy caused by its digitalization
we should consider: effective state support of innovative programs for the
development of production enterprises (especially export-oriented), attraction of
venture capital , increasing the financial stability of the enterprise, increasing the
flexibility of production processes, the use of advanced methods of organizing
production, labor and enterprise management.
EVALUATION OF INNOVATIVE TECHNOLOGIES IN CONDITIONS OF
THE DIGITAL ECONOMICS
Prokhorova Victoriia
Ukrainian Engineering and Pedagogical Academy, Kharkiv, Ukraine
Korzh Roman
Lviv Polytechnic National University, Lviv, Ukraine
Mrykhina Oleksandra Lviv Polytechnic National University, Lviv, Ukraine
Koleshchuk Orest Lviv Polytechnic National University, Lviv, Ukraine
Mirkunova Tamara
Lviv Polytechnic National University, Lviv, Ukraine
Digital technologies are both a market and a vehicle for the emergence and
development of new markets, they have actualized the importance of market
phenomena and effects (convergence, spillover effect, diffusion of technologies,
66
etc.), which have a colossal influence on the economic evaluation, transfer, and
commercialization of innovations. In this regard, one of the important scientific
and practical tasks for economists is to develop a methodology for the evaluation
of innovative technologies, which would take into account the modern features of
digitalization and would increase the competitive position of technologies.
The purpose of this study is to substantiate the method of evaluation the cost
of innovative technologies in the digital economics. The object of the work is the
process of assessing the cost of innovative technologies, the subject – theoretical,
methodological and applied foundations of evaluation of innovative technologies
in conditions of the digital economics.
Generally, there are three approaches to the evaluation of the product in the
world: profitable, costs, comparative. Among the most common approaches to
assessing the value of innovative technologies, consider comparative. The study,
the results of which are presented in this work, was conducted in the field of
industrial electronics in Ukraine (for example, LLC «Diada Group», Kyiv), thus
the basis is the legal document – the Methodology for Assessing Property Laws of
Intellectual Property, approved by the Order of the State Property Fund of Ukraine.
Using a comparative valuation approach, it is important to have reliable data
on prices and other conditions of objects-analogs, the validity of their selection,
taking into account the mutual dependence between the factors by which they are
compared, etc. In practice, during the determination of the cost of innovative
technologies, it is quite difficult to establish the size of the cost of objects-analogs,
but it is possible to know the market prices, from which you can move to the cost
of the analyzed technology. So, according to the comparative valuation approach,
the price of the estimated technology can be determined at the price level of its
analogs on various grounds, namely:
(1)
where: Pint– price of innovative technology, border units; Pa– the sale price
of similar technology, border units; m– the number of features for comparison;
ΔPaj– correction in the price (+, –) of the sale of a similar technology, according to
the j-feature of comparison. The number of selected objects-analogs is more than
one of the number of correction factors, that is, n = k +1, where n – the number of
objects-analogs; k – the number of correction factors. In accordance with the
equation (1), the evaluation object is compared with each of the selected analog
objects and the formation of a system of linear equations for this, gave the
expression for correction:
, (2)
where: x0j – the value of j-that coefficient of correction for the object of
estimation; xaj– the value of j-that coefficient of correction for a-analog; ΔPj–
contribution to unit price of j-that coefficient of correction.Taking into account (2)
and based on mathematical transformations and for ease of further solving, the
system of linear equations is written in matrix form:
67
Gradation of qualitative assessments of the factors influencing the pricing of
innovative technology (1…10)has been developed: the weakest influence (1,0-1,9);
weak influence (2,0-3,9); average influence (4,0-5,9); strong influence (6,0-7,9);
the strongest influence (8,0-10,0).
For the formation of the price of a set of devices of smooth start, protection
and braking of three-phase asynchronous electric motors of LLC «Diada Group»
nine objects-analogs were selected (Siemens, Carlo Gavazzi, Danfoss, Samsung,
Powtran, ABB, SV Altera, LLC «NPF Oberon») and market factors which
influence the pricing for this production were substantiated (according to the
mutual correlation of factors): the level of consumer utility of the technology; the
level of market willingness for the acceptance of the technology; indicator of the
technology potential to generate market effects (convergence, spillover effect,
diffusion, multiplicative effect, etc.); the level of knowledge-intensity of the
technology; the level of competitiveness of the technology; the level of the legal
protection of the technology; the level of the social impact of the technology; the
level of environmental friendliness of the technology.
15 experts from the subject area participated in the work, whose opinions
were tested for consistency using the concordance factor. Applying the software
package MATLAB, is calculated. Calculations have shown that taking into
account the relevant market conditions and aggregating them, in the analyzed
period on the device of the smooth start of LLC «Diada Group» it is possible to set
the price of 85.6 thousand UAH. This is a price that takes into account the
characteristics of the market, the behavior of its consumers at a particular time.
Other elements of the resulting matrix for the soft-start device show the price
adjustment, according to the economic value of the influence factor.
The peculiarity of the method of evaluation of innovative technologies in the
framework of a comparative valuation approach is the matrix structure, which
contributes to the flexibility of accounting and/or adjustment of factors of influence
of the market environment on the technology at a particular time. This allows
increasing the efficiency of pricing. The method can be used as a basis to
substantiate the pricing strategy of innovative technologies or to make tactical
management decisions regarding their market development in the digital
economics.
DIGITALIZATION OF ENTERPRISE DEVELOPMENT SECURITY
MANAGEMENT BASED ON COGNITIVE APPROACH
Prokhorova Victoriia
Ukrainian Engineering and Pedagogical Academy, Kharkiv, Ukraine
Korzh Roman
Lviv Polytechnic National University, Lviv, Ukraine
68
Mushnykova Svitlana
National Metallurgical Academy of Ukraine, Dnipro, Ukraine
Bozhanova Olena National Metallurgical Academy of Ukraine, Dnipro, Ukraine
Recently, the necessity of digitization of all levels of the national economy,
from meso-, macro-levels to micro-levels has been determined. This is due both to
the need to enter the world community, to further expand the markets for products,
goods or services, and to ensure the development of domestic national markets,
improve competitiveness, etc. However, there are some obstacles to implementing
effective socio-economic development today. In this case, there is an unstable
economic situation in country where there is a real sector of the economy, and,
above all, it is caused by the influence of external factors such as: the general
economic situation in the country, the volatility of political expectations, the
imperfection of regulatory and regulatory activity, antitrust regulation, etc. This,
first of all, affects the performance of each individual enterprise and the direction
of the vectors of their economic development, the formation of internal factors
affecting the level of security of development. Therefore, the digitalization of
enterprise security management is one of the priority places in its management
system. The key objective of digitalization is to meet public needs in the most
efficient way through the introduction of digital technologies and platforms. On the
other hand, existing methods of analyzing the impact of factors on the level of
security of enterprise development require generalization and concretization in the
appropriate conditions of enterprise functioning. It is the use of cognitive methods
of analysis that makes it possible to take into account the factors of external and
internal influence for poorly structured systems such as enterprises.
The introduction of digitalization as an innovation in economic processes is
necessitated by the need to enter the world community, in order to further expand
the markets for products, goods or services, to ensure the development of domestic
national markets, increase the level of competitiveness, etc. The digitalization of
enterprise security management is one of the priority places in the enterprise
management system. The key objective of digitalization is to meet public needs in
the most efficient way through the introduction of digital technologies and
platforms. On the other hand, existing methods of analyzing the impact of factors
on the level of security of enterprise development, need generalization and
specification. It is the use of cognitive methods of analysis that makes it possible to
take into account the factors of external and internal influence for poorly structured
systems such as enterprises.
In the digital economy, the key place of any enterprise’s resource is
occupied by information resources expressed by digital data: numerical, textual,
etc. The use of digital data as a resource in managing enterprise development
security can significantly improve the effectiveness of management decision
making by defining more scenarios while reducing the time to analyze relevant
data.
69
Adhering to the basic principles in the digitalization of the security
management of the development of the enterprise, it is possible to completely or
partially (depending on the conditions of functioning of the existing) to avoid the
negative consequences of the influence of factors of external action. To date, a
large number of principles for digitizing the economy as a whole and the real
sector separately have been formulated and generalized. However, considering the
digitalization of development security management as an innovative process in the
enterprise management system, the general scientific and specific principles of
digitalization are highlighted.
With digitalization, the use of a cognitive approach to managing the
enterprise’s development security becomes more effective through the use of
digital platforms: BlockChain, Digital Marketing, CRM & BPM, Digital Insurance
– by which it is possible to increase the number of scenarios to form a generalized
model of the situation and choose the best management solution in the enterprise
management system.
The cognitive approach, combined with the digitalization of enterprise
security development management, is focused on the activation of intellectual
processes in presenting a problematic situation in the form of a formalized model.
This is possible when using a cognitive map, which is a set of interrelated
underlying factors and objects of the situation in the form of an oriented sign
graph, in which its vertices are signs of the situation, and the arcs between them
represent are cause and effect relationships, among which are the positive and the
negative. With a positive connection, increasing the value of the factor-cause leads
to an increase in the factor-consequence, with a negative – to its decrease.
An apparatus of sign and weighted oriented graphs is effectively used to
describe cognitive models. The weights of the arcs of the cognitive model are
determined either by statistical information processing or expertly. Changes in the
values of factors are introduced step by step to determine the response of the
system, after which, through multicriteria selection, many favorable scenarios to be
ranked are determined. Cognitive analysis and modeling allow you to investigate
the problem, take into account changes in the environment, determine the response
of the system. For cognitive models, there is a requirement for their stability with
respect to single impulse effects.
DEVELOPMENT OF PUBLIC-PRIVATE PARTNERSHIPS IN THE
AGRARIAN SECTOR OF UKRAINE: DIGITALIZATION AS A
PRIORITY
Reznik Nadiia National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
Ostapchuk Anatolii
National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
Alekseieva Kateryna
National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
70
Cherkasov Andrii
Institute of Personnel Training at the State of Employment Service of Ukraine,
Kyiv, Ukraine
Fedun Igor
Kyiv National University of Trade and Economics, Kyiv, Ukraine
The new reality requires providing digital technologies into all spheres of
economy. This causes many problems especially for small agrarian producers.
They need support in attracting funds from different sources. This leads to
development of cooperation between the state and business.
In our country we can observe the intensifying of the process of cooperation
between the Government and business in different spheres of economy. Especially
this touches the real sector of economy, the agrarian sector, medicine, education,
infrastructure branches (transport, housing and communal services) and military-
industrial complex. The gap between the countries which provide digital
technologies into their economy and those which do not manage to do that
continues growing. It is possible nowadays to provide urgent digitalization of all
the branches of economy and in particular of the agrarian sector through involving
of such new and progressive form of cooperation between the private companies
and the state as public-private partnerships.
Agrarian sector plays crucial role in the economy of Ukraine and the
production of the sector is a basis for food security of the country. According to the
statistical data the agrarian sector of Ukraine has been recently showing the
increase of all the indicators. Simultaneously the agrarian sector has a crucial
social significance because of its close connection to human development. Very
often the agrarian sector becomes a social lift for the young people born in the
villages.
At the same time there have not been enough attempts done in Ukraine to
implement working public-private projects oriented at digitalization of agrarian
sector of economy. All the public-private projects were implemented in other
spheres and branches of economy. It is high time to start such projects in the
agrarian sector of economy in order to make it possible to stimulate the digital
processes in the sector because of its important economic and social role. Public-
private partnership model can be provided to stimulate the digitalization of rural
areas by concluding contracts between public and private partners in agricultural
production and representatives of the social sector in villages.
In this connection the research aimed at studying the problem of creating
public-private partnerships in the agrarian sector of Ukraine to stimulate its urgent
digitalization as a priority of development is relevant and corresponds to the
challenges of the current reality.
The results of the research can be used as a source of information concerning
providing public-private partnerships oriented at digitalization of agrarian sector in
current conditions in Ukraine in order to stimulate the economic and social
development as a whole.
With the help of providing of public-private partnership in the agrarian
71
sector it is possible to start projects aimed at organizing precision agricultural
schemes via digitalization of the logistic process of the agrarian products. For
example, involving block chain technologies is one of the examples of raising the
effectiveness of the process and lowering the risks.
Thanks to such projects in the agrarian sector it is also possible to implement
effective mechanisms of control over the produced agrarian products. It is obvious
that Government should provide control over the health of the animals, climate and
environment, water management and development of the villages. A lot of these
important things are not guaranteed by the market and require the public support.
Stimulating of the public-private projects oriented at digitalization of the
agriculture makes it possible to meet such public interests as control over the food
safety. For instance, implementing of public-private projects in the system of
control of the animals’ health via digital technologies does not require the direct
public penetration into the market but allows providing control over the food of
animals, their diseases, etc. The market mechanisms are not touched and the
Government control is carried out. But this is possible only through creating
electronic animal cards containing information about what they eat, what they are
sick with, with what drugs they are treated, and the like, i.e. by providing the
digitalization of the production process. Digitalization of the agrarian sector also
allows automating and optimizing procedures of quality control of food products in
the supermarkets, making this information more open and transparent.
To fulfill the stated tasks of the research a number of scientific methods have
been used. The method of analysis and synthesis to analyze the role of the agrarian
sector in the economy of Ukraine and work-out the main solutions to the problems
in it through providing public-private partnerships oriented at digitalization of the
sector. Using the method of logical conclusions allowed summing up the
information and offering the SWOT-analysis of providing the public-private
partnerships oriented at digitalization of the agrarian sector. Using the method of
constructing schemes made it possible to present visual schemes of the research.
There was also used the statistical method to show some important figures
indicating the importance of the agrarian sector for the economy of Ukraine.
Providing of the public-private partnerships in the digitalization of the
agrarian sector can become an important step in the development of the sector and
it can stimulate the economic growth. Importance of agriculture to the Ukrainian
economy becomes more visible in the context of foreign trade. Over 2010 – 2017,
share of agricultural products in total export increased from 21% in 2010 to 44% in
2017, while share of agricultural products in total imports fluctuated around 10%.
Agricultural exports have been the largest export category since 2013. In 2017, its
share was almost twice larger than that of the second largest export category
(ferrous and nonferrous metals). Agricultural production is the basis for food
security of a country, which is determined by the following criteria: sufficiency of
food consumption, availability of food consumption, reasonable standards of
healthy eating for one person and food independence, i.e. the share of food imports
in total food consumption.
72
There has not been given a unique definition to the term public-private
partnership. The scholars have not yet come to some consensus. They define it as
indirect privatization, as a form of optimizing the process of implementation and
provision of public goods to the public or give other definitions. However there is
something common in all their points of view. It is the statement that under a
public-private partnership one can understand any interaction between the state and
private capital. Thanks to the public-private partnership creation of greater value
added through providing digital technologies into economy can be provided that
can lead to stimulating of economic development in the long run.
Despite all these facts which show the importance of the agrarian sector for
the economy of Ukraine there have not been enough attempts to implement
working public-private projects oriented at digitalization of agrarian sector of
economy and there are many obstacles in Ukraine in the process of implementing
such projects. Among such obstacles there is penetration of certain business groups
into political circles and lobbying their interests there in an illegal corrupt way.
This prevents implementing of the process of institutionalizing relations between
the state and business in the sector. The united business elite frequently becomes a
part of state or municipal government and starts to care about their own economic
interests. Unfortunately there can be seen the formation and development of
powerful oligarchic clans able to initiate not only economic, but also political
shocks in case of any threat to their monopoly impact on the legal government and
non-government structures. Digitalization of the agrarian sector through providing
the public-private partnerships becomes a difficult assignment in the conditions.
It is necessary to admit that there are some important steps done in the
direction of institutionalization of relations between the state and business. They
are adoption of Law of Ukraine «On Public-Private Partnership» and other
important legal documents. Now it is possible to choose a form of cooperation
between the public sector and agribusiness (concession, agreement, leasing).
Choosing the form of the agreement defines the form of management of an
agrarian enterprise.
There is positive experience in the world that should be taken into
consideration by the Ukrainian agrarian sector of economy. Choosing a form of
public-private partnership it is possible to pick up such form as contractual
farming. It is a comparatively new and progressive institutional form oriented at
increasing agricultural productivity through its digitalization, especially in small
farms. By involving farmers in the block chain, contract farming gives
opportunities for development from natural to commercial farming, in particular
for small owners, and can provide access to loans, technologies and markets. Both
public and private agribusinesses need investments and resources. In agrarian
business, contract farming virtually (thanks to the involved digital technologies)
eliminates the need to buy resources for farming. As for the state, contract farming
allows controlling over the food security also via digitalization of the process. It is
a very convenient form for instance in the poultry farming and promotion of
aquaculture. As a matter of fact fish and poultry have the qualities to quickly spoil
73
and it is very difficult to deliver the finished products by agribusiness enterprises.
Development of public-private partnerships, including contract farming helps
making the process «digital» and fast.
So that in current conditions in Ukraine it is necessary to provide new forms
of cooperation between the state and private agrarian business in the direction of
digitalization of it. The agrarian sector plays a crucial role for the economy of
Ukraine and some indices prove its primer position in it. Its development
contributes a lot to the development of the whole country. Besides it bears a set of
very important functions connected to both economic and social development, such
as food security, agrarian products logistics to the final consumers, control over the
animals’ health, providing of the appropriate life level in the villages and becoming
a social lift for people living there. Implementing public-private partnerships
oriented at digitalization of agrarian sector can stimulate its development under the
Government control on the paritybasis without direct penetration of the state in
agrarian business stimulating the competition in the sector. To do this it is
necessary to overcome the present institutional and bureaucratic barriers in
Ukraine.
DIGITAL ECONOMY IS THE ECONOMY OF VIRTUAL WORLDS
Rogoza Nataliia National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
Rogoza Kostiantyn
National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
The globalization of the world economy is associated with a harsh increase
in the activity of transnational corporations, which create regional and global
industrial networks, where the share of the traditional economy is shrinking and the
digital one is increasing, providing powerful benefits for countries and businesses.
Today, the European Union is literally digitizing its economy, increasing the global
impact of the latest technologies and growing revenue from e-commerce, data
sharing and services. The realities of the global world require precisely such
conditions for the modernization of economies and the creation of clear rules for
the new innovation era, but the time to implement them is short.
The main space of the digital economy is the Internet. But it should be
understood that not only the Internet determines its directions of development – it
is about technology as a whole. The digital economy is consumer oriented.
Therefore, you can often hear instead of «digital economy» – on-demand economy.
Statistics show that the most widespread technologies are in the countries with the
highest ratio of GDP to the working population. Ukraine is in the process of
European integration and this process requires solving complex and important
problems in the plane of its economic methods on a digital basis. However, the
digital economy remains an area with untapped potential for Ukraine. The digital
economy involves the digital transformation of all spheres of life, giving them
significant economic and social effects. All this opens up new powerful
74
opportunities for the state, society and citizens.
The idea of «digital economy» is derived from a concept known since the
1960s: first, Daniel Bell’s theory of «information economy», later transformed into
the concept of «network society» or «network economy» by Manuel Castells.
Domestic works of N. Kraus, S. Kolyadenko, I. Malik, N. Meshko, A. Filipenko
and others are devoted to the problem of formation of new models of economies,
including the digital economy. But at the same time, many of the problems that the
digital economy is producing and delivering remain insufficiently addressed.
The European Union’s Digital Economy Initiative has been an extremely
important step for social development, strategies for developing traditional sectors
of the economy and public administration, and now is a field with unrealized
potential in both the European Union and Ukraine.
The prospect is to create a Digital Community that combines the
communication markets of 28 EU Member States and non-EU countries to
simplify the process of sharing information, enhance the security of systems and
data protection to enhance the business opportunities of the digital community.
Ukraine and the other 5 EaP partner countries are considered by the European
Union as top candidates for gradual integration into the Digital Single Market,
which is an important unchanging item of the EU Digital Agenda through the
creation of the Digital Community and the digital economy [1]. Limit values
(€ 10,000 and € 100,000) will be introduced in the EU from the new year for cross-
border e-services, and the MiniOneStopShop (MOSS) system will be
implemented, which is designed to simplify VAT – small and medium-sized
businesses reporting.
Responding to today’s challenges, the Government, in conjunction with Hi-
Tech Office Ukraine and market experts, has developed and approved the Digital
Economy Concept and Plan for Ukraine by 2020 [4].
The Concept defines the basic principles of a digital economy based on
information and communication technologies and digital technologies, and data is
a key resource of the digital economy, it generates and provideі electronic-
communication interaction through the operation of electronic-digital devices,
tools and systems. The definition of digitalization in the context of influencing the
main productive economic indicators as well as improving the quality of life of
Ukrainian citizens is also given. The main purpose of the Concept is to implement
the accelerated scenario of digital development, as the most relevant for Ukraine in
terms of challenges, needs and opportunities. The Concept also outlines the
principles of digitization and outlines key measures for their implementation. The
main goals of digital development and the areas of digital development are
identified: harmonization with digital initiatives, Digital Agenda for Europe,
Digital Single Market. Co-operation and development projects in the following
areas are presented: Interoperability and eServices; electronic identification (eID);
open data.
Therefore, the Concept is actually a roadmap for the digital transformation
of Ukraine’s economy. And in order for everything to work, many laws and
75
regulations still need to be developed and adopted. However, the first step towards
implementing digital services has already been made.
The following digital products and services are already operating today as
innovative trends in today’s socio-economic environment:
BlockChain – built by certain rules, a continuous sequential chain of blocks
containing information. Based on this, you can define blockchain as a way to store
and reconcile a database, each participant has a copy;
Digital marketing is a set of promotion tools in which digital channels are
involved. Internet marketing has evolved into digital marketing, which uses
integrated methods of on-line strategy, site and mobile application development,
creative and copywriting, contextual advertising and SMM as well as other
interactive products;
CRM & BPM CRM – a system for sale: ready processes for managing all
types of transactions. Bpm’online CRM combines the capabilities of Customer
Relationship Management (CRM) and Business Process Management (BPM). This
is the first application developed on the bpm’online platform;
Grid technologies are a geographically distributed infrastructure that
integrates many different types, which user can access from anywhere, regardless
of their location. Grid provides a collective distributed mode of access to resources
and related services within globally distributed organizations (enterprises sharing
global resources, databases, specialized software).
Digital Insurance – allows insurance companies to reduce costs and improve
customer service. Digitization provides standardization and improves the quality of
responses and services provided. A significant benefit of Digital Insurance is that it
reduces the likelihood of fraud and improves the security of your insurance
operations. In addition, the implementation of cloud platforms provide insurance
companies with greater speed, flexibility and scalability, improve responsiveness
and optimize processes;
TeleHealth – Digital technologies for remote medical services and physician
support.
Today, Ukraine is at a unique stage of development when there is a chance
to make the so-called «digital leap» in key areas of the economy. That is, quickly
move to a new stage of development in these areas, bypassing the intermediate
stages, and starting to use modern systems at once, bypassing several generations
of technology. Ukraine will either fall behind for lifetime from the world or
integrate into the overall trend.
A breakthrough is possible only if global «digitization» covers all spheres of
society, and the creation of digital infrastructures is a major factor in increasing
citizens’ access to the global information environment and knowledge. Traditional
sectors of the economy and public administration will also benefit from the
introduction of data-driven analytical services.
References
1. Asia and Pacific: Building on Asia’s Strengths during Turbulent
Times. / International Monetary Fund. World Economic and Financial Surveys.
76
Regional Economic Outlook. 2016. [Type of medium]. Volume(issue). Available
https://www.imf.org/external/pubs/ft/reo/2016/apd/eng/pdf/areo0516.pdf.
2. Digital economy. [Online]. Available:
https://ec.europa.eu/growth/industry/policy/digital-transformation_en
3. Digital strategy 2030 – SlideShare. [Online]. Available:
рttps:www.slideshare.net/UIFuture/digital-strategy-2030-145529503
4. Kontseptsiia rozvytku tsyfrovoi ekonomiky ta suspilstva Ukrainy na
2018-2020 roky[Online]. Available: http://zakon2.rada.gov.ua/laws/show/67-2018-
%D1%80
5. Rohoza N. Asymmetry of information in agricultural sector of
ukraine. Roma, Italy, Economics and Finance, 2017, pp. 89–96.
6. Ukraine to switch to the «digital economy». What do you mean?
[Online]. Available: /https://www.ukrinform.ua/rubric-society/2385945-ukraina-
perehodit-na-cifrovu-ekonomiku-so-ce-oznacae.html
7. N. M. Kraus, O. P. Goloborodko, K. M. Kraus. Digital economy:
trends and perspectives of the abangard change of development. 2018. № 1.
[Online]. Available: http://www.economy.nayka.com.ua/?n=1&y=2018
METHODOLOGY FOR THE IMPACT ASSESSMENT OF THE
DIGITAL ECONOMY ON AGRICULTURE DEVELOPMENT
Sakhno Andrii Vinnytsia Finance and Economics University, Ukraine
Salkova Iryna Vinnytsia National Agricultural University, Ukraine
Broyaka Antonina Vinnytsia National Agricultural University, Ukraine
Priamukhina Nataliia
Vinnytsia National Agrarian University, Ukraine
The issues of economic development and the impact of digitization,
digitalization and globalization processes on it are now more acute in Ukraine than
ever. The agricultural sector, which is the main national budget-forming industry,
remains a prospective direction for the development of the state’s economy.
Unfortunately, rural areas remain at a disadvantage due to poor digitalization,
resulting in brain drain of skilled professionals who move to urban areas. Some
farmers do not even have access to the Internet and consequently agribusinesses
have got poor opportunities for growth. digital economy contributes to the
development of an innovative information space in agriculture.
The significance of the digital economy should be seen in the context of
specific sectors of the national economy. An assessment of the role of the digital
economy should be carried out according to the data on the types of economic
activity (KVED – 2005) in agriculture, in particular: cultivation of annual and
biennial crops, plants reproduction, animal husbandry, cultivation of perennial
crops, mixed farming, supporting and after harvesting activities in agriculture,
77
hunting, catching animals and providing related services, forestry and other
forestry activities, logging, harvesting wild-growing non-timber products,
provision of support services in forestry, fishing, fishery (aquaculture). The most
optimal representation of the development of the digital economy in Ukraine is the
level of computer technology introduction, in particular: the production of
electronic components and boards, computers and peripheral equipment,
communication facilities, electronic household appliances for receiving, recording
and reproducing sound and images, instruments and equipment for measuring,
researching and navigating, watches, radiological, electro-medical and electro-
therapeutic equipment, optical instruments and photographic equipment, magnetic
and optical data carriers.
The impact of the digital economy on the development of the agricultural
sector was investigated, using the M. J. Farrell’s method of analyzing the
functioning environment. For this purpose, two factor indicators were used –
personnel costs (L), value added for production costs (K), as well as the resultant
indicator – the volume of sales (goods, services) (Y) based on the website data of
the State Statistics Service of Ukraine.
Using the data, the coefficients of coverage of the volume of sales (goods,
services) of personnel costs (L / Y) and value added at production costs (K / Y)
were calculated. As a result of calculating it was found that in two cases it exceeds
«1»: hunting, catching animals and the provision of related services (1,952), and
fishery (aquaculture) (1,036). Thus, for these two types of activities, personnel
costs exceed the volume of sales (goods, services).
The highest coefficient of coverage of the volume of sales (goods, services)
of value added at the cost of production is fishing (3,005), and the lowest is the
reproduction of plants (1,460). according to the calculations, it can be concluded
that types of economic activities for the production of computers, electronic and
optical products should be considered as having an impact on economic activity in
agriculture, within the framework of which the development of the digital
economy is studied.
Based on the method of analysis of the functioning environment, the line of
technical efficiency based of the need to minimize personnel and production costs
is a line consisting of items «Harvesting of wild-growing non-timber products»,
«Cultivation of perennial crops», «Plants reproduction», and «Hunting, catching
animals and providing related services». The line consisting of items «Harvesting
of wild non-timber products», «Growing annual and biennial crops», «Fishing»,
«Fishery (aquaculture)», «Hunting, catching animals and related services»
indicates the availability of technical efficiency based on the need to maximize the
volume of sales (goods, services). The positions of the types of economic activities
for the manufacture of computers, electronic and optical products are not
components of any line of efficiency. It was revealed that the current state of the
agricultural sector in Ukraine does not significantly depend on the influence and
provision of the digital economy.
Modeling of the digital economy development in the context of the state of
78
the types of economic activity in agriculture was carried out minding the need to
form new lines of efficiency from the standpoint of the manufacture of computer,
electronic and optical products. Thus, new boundaries of technical efficiency for
economic activities in agriculture, forestry and fisheries were identified. As a
result, specific indicators of agricultural production can be calculated, which upon
achieving technical efficiency, they will be obtained in case of cost reduction and /
or increase in the volume of sales (goods, services).
It is proposed to carry out the development of the agro-industrial complex
based on priorities for achieving the technical efficiency of economic activities
related to the manufacture of computers, electronic and optical products. An
assessment of the development of the digital economy in the context of the state of
the types of economic activity in agriculture the features of the backlog were
revealed and the prospects for the development of agricultural activities through a
fundamental reorganization of the economy by developing the manufacture of
computer, electronic and optical production were evaluated. The need of the agro-
industrial complex of Ukraine for modern information developments that will
increase the volume of sales and reduce production and personnel costs is
substantiated. Research indicate the necessity for further adjustments to the line of
technical efficiency by the method of analyzing the functioning environment in
order to develop digital technologies in agriculture, forestry and fisheries.
WAYS OF AGRARIAN INNOVATION IMPLEMENTATION:
CLASSICAL AND ELECTRONIC EXTENTION
Sayapin Serhii
National University of Life and Environmental Sciences of Ukraine, Ukraine
Skrypnyk Andriy
National University of Life and Environmental Sciences of Ukraine, Ukraine
According to the Law on Agricultural Advisory Activities [1], advisory
activities are a set of actions and measures aimed at meeting the needs of personal
peasant and farms, business associations, other agricultural enterprises of all forms
of ownership and management, as well as the rural population in improving the
level of knowledge and improvement practical skills of profitable housekeeping.
The main purpose of the advisory activity is to improve the standard of living of
the rural population through the introduction of innovative management methods.
However, according to the available statistics, income sharing processes continue
in rural areas, and the growth rates of urban population nominal incomes continue
substantially exceed similar indicators for rural areas. In January-August 2019,
agricultural output at nominal prices amounted to UAH 405.6 billion (January-
August 2018: UAH 394.3 billion). Increase in agricultural output [2] was observed
only in agricultural enterprises (11.8% in January-August 2019 to the same
previous period 2018) while in households the decrease was 2.3%.
The main source of households innovations is the large agricultural business
(contact method), which closely cooperates with global innovation centers.
79
However, this way of diffusing innovation is not always effective because it does
not take into account the scale effect. Approximately UAH 30 million (5 million
USD) was spent on extension services financing from 2007 to 2011, after which
funding was discontinued, and the existing advisory services and advisers are
operating on a small-scale, self-supporting basis [5] without public funding.
However, this does not mean that the existing agricultural advisory
infrastructure is able to address the increasing flow of issues arising from the rapid
changes that have taken place in the recent economic and social environment. In
our opinion three basic problems which must be dissolved by extension: 1) the
transition to the land market, 2) global climate change, which already affect the
development of our agrarian sphere, 3) the tendency to increase the share of
renewable energy. It should be emphasized that broadband Internet penetration into
rural areas has increased recently, and although access problems remain, the
process will continue. Therefore, the dissemination of useful information for rural
areas through the Internet will prevail.
In Ukraine, the total rural population at 1.01 2019 was 12.9 million,
accounting for 30.59% of the total population [2]. Of these, 7.6 million are of
working age (16-59 years). Therefore, the demand for urgent issues of rural
development is likely to grow and be met not through a cost ineffective network of
consulting points (rental of premises, staff salaries, field trips and other costs), but
rather through an electronic advisory system with Internet access which becoming
more and more widespread among the rural population.
The implementation in Ukraine of the system of electronic agricultural advisory
was based on the previous experience of developing information and reference
systems of advisory guidance using international experience [3].The practical
experience gained has shown the high efficiency of the use of electronic platforms
for consulting activities [4]. The concept of a modern vision of the organizational
structure of resources for access to the electronic agricultural advisory system is
presented in Fig.1.
The starting point for navigating the user for advice or advisory information
may be the information-analytical portal of the Ukraine APC, the official web-site
of the National Association of Agricultural Advisory Services of Ukraine, or
directly the electronic agricultural advisory system.
Each of the resources presented in the scheme is self-sufficient in purpose
and functionality, as shown by the practice of their operation. However, for the
high efficiency of this tool, you need to consider the presented resources as a
system of interconnected web resources through mutual integration at the
organizational and program level. However, if we analyze the performance of these
web resources, we can make not too optimistic conclusions about the levels of
filling them with useful information and traffic.
In our opinion, filling the content at the expense of the state budget will lead
to expenses by an order of magnitude lower than the potential costs of establishing
a classic advisory service, so we propose the following list of topical issues that
should be included in the priority:
80
1) introduction of the land market: the level of prices that will be established
under different variants of implementation, regional and local characteristics,
trends of rent changes; 2) renewable energy: payback period of individual types,
impact of environmental component, green tariff and electricity tariffs, cooperation
in energy use [6]; 3) climate and weather risks: objective assessment of changes in
the main factors affecting yields, the use of technologies for risky farming areas to
which almost the entire territory of Ukraine already applies. Having basic
recommendations in the open access will allow to seek in-depth consultations on a
contractual basis.
Інформаційний підкаталог
Ministry of Economic Development, Trade and Agriculture
Inform-analytical portal of
Ukraine APC
https://minagro.gov.ua/
Directions
(main portal menu items)
Rural development
(https://minagro.gov.ua/ua/tag/r
ozvitok-silskih-teritorij)
Agrarian extension
(https://minagro.gov.ua/ua/na
pryamki/rozvitok-silskih-
teritorij/silskogospodarske-
doradnictvo)
Agricultural advisory services,
register of services
(https://minagro.gov.ua/ua/napryamki/rozvi
tok-silskih-teritorij/silskogospodarske-
doradnictvo/silskogospodarska-doradcha-
sluzhba)
Agricultural advisers and expert advisers,
official register of advisers
(https://minagro.gov.ua/ua/napryamki/rozvitok-
silskih-teritorij/silskogospodarske-
doradnictvo/reyestr-silskogospodarskih-doradnikiv-i-
ekspertiv-doradnikiv)
National Association of
Agricultural Advisory Services
of Ukraine
(www.dorada.org.ua/)
Electronic Advisory System
(http://edorada.org/)
The system of electronic
training courses
(learn.edorada.org)
Agrarian Sector of Ukraine
Information-Portal
AgroUA.net
(http://agroua.net/)
Navigation between Ukraine APC internal
resources
Navigate between the resources of the e-
advisory system pool and the transition
point from the registers of the APK portal to
the designated resources of that system
Figure 1. Organizational structure of resources for access to the e-farm
advisory system web resource pool
References:
1. Law of Ukraine «On Agricultural Advisory Activities» No. 1807-IV of
June 17, 2004 [Electronic resource]. – Access mode:–
81
https://zakon.rada.gov.ua/laws/show/1807-15
2. Ukraine socio-economic development. Archive 2019
http://ukrstat.gov.ua/operativ/operativ2018/so_ek_r_u/soekru_u/arh_soekru_19.ht
m
3. S. Sayapin, M. Shvidenko Implementation of the e-advisory system in
Ukraine // Proceedings of the International Scientific and Practical Conference
«Sustainable Development Goals of the 3 Millennium: Challenges for Universities
of Life Sciences» 23-25.05.2018, NULES of Ukraine. – pp.445-447.
4. Sayapin S. Why the system of electronic advisory (on the example of
Agroua.net web portal) is beneficial// The collection of scientific works of Sworld
(CIT: 314-457). – 2014.- Volume 17, Issue 3 (36), pp. 50-53.
5. Kalna-Dubiniuk T., Litovchenko A. Estimation of the effectiveness of
information and consulting support for the dissemination of innovative
biotechnologies in conditions of risk and uncertainty // APC Economics. – 2014. –
№ 1. – pp. 70-75.
6. Kudin T., Sayapin S. Small bioenergy from the point of view of
ecological and economic optimization // APC Economics. – 2019 – №9 – pp. 43-
52.
ON EFFICIENT USE OF MODIFYING ADDITIVES IN
RESTORATION OF AGRICULTURAL MACHINERY
Saychuk Oleksandr
Educational and Scientific Institute of Technical Service, Ukraine
Kolpachenko Nadiia Educational and Scientific Institute of Technical Service, Ukraine
Martynenko Oleksandr
Educational and Scientific Institute of Technical Service, Ukraine
Honcharenko Oleksandr Educational and Scientific Institute of Technical Service, Ukraine
The work is devoted to the analysis of mechanical engineering parts quality,
on the basis of which innovative technologies of their production were developed.
These are engine cylinder liner sleeves of high-strength cast iron cast by the
centrifugal method on machines of horizontal type and case details of the
agricultural machinery with alternating and identical section made by stationary
method from gray cast iron and carbon steel.
Based on the analysis of domestic and foreign sources of scientific
information, data on the production of body parts made of high-strength and gray
cast iron have been generalized, regulatory and technical documentation on the
requirements to quality assessment, crystallization conditions and metal structure
formation have been studied. Factors in the operation of parts affecting changes in
the properties of cast iron are considered. Much attention is paid to changes in
chemical composition of alloys, methods of modification and the effect of their
deviations on quality and properties of metal castings, structure, occurrence of
82
various defects, as well as methods of their recovery.
Statistical analysis and planning of the experiments were performed both
directly on the castings and comparatively on the rings selected from them. The
analysis has revealed that the main factors of deviation are: chemical composition,
metal structure, presence of non-metallic inclusions, clogging of charge materials
with different chemical components, as well as preparation of equipment prior to
pouring of metal and technology of its modification.
The effect of chemical composition, non-metallic inclusions, modifying
impurities, deviations in the phase composition (appearance of carbides, coarse
inclusions of graphite) and their influence on the properties and formation of
defects were assessed by methods of statistical analysis.
A new approach with the evaluation of all the formed phases by photographs
of different magnifications and obtained by the method of optical-mathematical
description was used for a detailed study of the structure of different zones in the
restoration of defects, which allows us to substantiate the advantages of the
proposed technology.
Optical-mathematical method of research is one of the complex methods
based on the detection of previous metallographic, electron-microscopic, locally
spectral evaluations of the chemical and phase composition of cast iron. To change
the degree of its manufacturability, various methods and parameters for the
introduction of modifying impurity were used. This is practically free secondary
raw material from the disposal of ammunition, specially ground and processed for
their use.
This research method has been used for the first time not only to identify the
qualitative and quantitative composition, different zones of the recovered layer, but
also to search for, to ensure the maximum bonds of the same phases between the
recovered deposition zone, transition, the base, because it forms the maximum
adhesion strength and minimizes stresses. In addition, the way and place of stresses
in homogeneities in the surfacing zones and around the rough inclusions of
graphite that are the places of defective zones formation were analyzed. Their
influence on changes in the dislocation structure and diffusion processes was
considered.
The methodological approach was based on studies of microstructure
photographs obtained on an optical microscope «MIM-8M», an electronic «YEOL
JSM-6390LV», scanning «YSM-820» Link «YEOL» with magnifications from 70
to 1000 times.
The photographs of micro- and electronic images of structures were
analyzed optically-mathematically to evalute the homogeneity of the phase
distribution and to identify those that would provide the greatest connection
between local recovery zones and the primary (original) cast iron.
On the basis of the performed researches the following results have been
obtained.
Statistical analysis of the quality of gray iron parts of agricultural machinery,
according to which the Hc measurements were made, has revealed that the level of
83
this characteristic on the surface has different indicators, varying from 4,3 to 8,0
A/cm, and on the inside – they reach 5,0 – 9,4 A/cm, indicating the formation of
defects more often in this area. By metallographic and micro-X-ray spectral
studies, zones with disturbances of the metal quality (cracks, pores, local stresses,
structural deviations of the liquidation phenomena with the formation of non-
metallic inclusions) were established, where the Hs indexes increased and reached
7,8-11,3 A/cm.
A new approach to assessment of structure formation at the restoration of
body parts from gray iron has been developed based on detection of defects and
structure in them by non-destructive method according to the Hs indices and opto-
mathematical method.
Recovery of defects by melting, using a detonation charge from the disposal
of ammunition, has confirmed the effectiveness of such a modifying impurity use
when dosing it into a liquid solution of gray iron.
DIGITALIZATION AS VECTOR OF INCREASING
COMPETITIVENESS THE AGRICULTURAL SECTOR OF UKRAINE
Skrylnyk Andrii Poltava National Technical Yuri Kondratyuk University, Poltava, Ukraine
Chevhanova Vira Poltava National Technical Yuri Kondratyuk University, Poltava, Ukraine
Khadartsev Oleksandr Poltava National Technical Yuri Kondratyuk University, Poltava, Ukraine
Kulakova Svitlana Poltava National Technical Yuri Kondratyuk University, Poltava, Ukraine
The modern realities of globalization processes indicate that the ability to
overcome socio-economic problems depends on the potential capabilities of the
domestic agricultural industry to adapt to new world innovative forms, methods
and tools of growing and selling products. So domestic agriculture faces new
challenges: to master new innovative technologies for digitalization of economic
processes in the agricultural sector, to adopt a new system of world values and
production quality, to achieve European standards for sustainable development, to
provide a basis for inclusive development of employment processes and the
redistribution of public goods.
The authors of the article argue that the implementation of these tasks is in
the plane of an innovative approach to managing economic processes in the
agricultural sector and is the main challenge and prospect for Ukraine to achieve
«Industry 4.0». Today, domestic agricultural enterprises need to change their
approach to introducing the latest technologies into production and concentrate all
available investment resources in this direction. The share of the digital economy
in the GDP of advanced countries until 2030 will reach 50-60%., in Ukraine, this
figure can be at 65%, provided that the economic processes of the agricultural
complex are digitalized, provides agricultural producers and processors with real
84
opportunities to increase profitability and reduce operating costs.
The paper concludes that the digitalization of economic processes in the
agricultural sector of Ukraine will create unique opportunities for ensuring the
internal balance of the consumer market, increasing the stability of rural areas and
increasing the competitiveness of the agricultural business environment of Ukraine
at the international level.
The authors identified the main goals of the digitalization processes of
representatives of the agribusiness of Ukraine and argue that in the future 5-6
years, Ukraine will carry out an innovative transformation of the agricultural sector
to 40% of fixed assets and 75% of intangible assets, while the rates of market and
innovative transformation will be set by agricultural holdings.
Based on the results of an expert assessment of the financial and economic
status of domestic agricultural holdings (KERNEL, ASTARTA), representatives of
small and medium-sized agribusiness, the authors of the article formed the most
probable structure of investment resources that can form a platform projects for the
development of digitalization of the agricultural sector of Ukraine. It should be
noted that today agricultural holdings in Ukraine have a sufficient supply of their
own investment resources and a significant potential of attracted investment
resources through the sale of securities. At the same time, representatives of small
and medium agricultural businesses can only rely on grants (USIDO, GIZ, etc.)
and financing of technical assistance projects of the European Union. Given the
rather high payback of digital agribusiness technologies in Ukraine, representatives
of small and medium agribusiness do not have obvious investment resources for
their implementation. Therefore, to increase their competitiveness, it is necessary
to develop a number of regional programs of technical and financial assistance for
the implementation of digitalization projects, and the removal of project payback
periods up to 3 years. The authors of the article note that the deeper the
digitalization technologies will penetrate into the agribusiness of Ukraine, the more
detailed should be the staff retraining program, both at the individual company
level and at the regional level. This will make it possible to preserve the personnel
potential of agricultural companies and balance regional labor markets.
ANALYSIS OF AGRICULTURAL CROP CULTIVATION AREAS
SHIFT IN DIFFERENT AGROCLIMATIC ZONES
Skrypnyk Andriy National University of Life and Environmental Sciences of Ukraine, Ukraine
Klimenko Nataliia National University of Life and Environmental Sciences of Ukraine, Ukraine
Galaieva Lyudmyla
National University of Life and Environmental Sciences of Ukraine, Ukraine
Koval Tetiana National University of Life and Environmental Sciences of Ukraine, Ukraine
85
In recent decades it has been practically proven, that due to climate change
there is a process of shifting the area of cultivation of a number of crops in the
northern direction. With the change of the average annual temperature and the
amount of accumulated heat, the agro-climatic zones of Ukraine – the Steppe,
Forest-steppe and Polesie – undergo dramatic changes, having significantly shifted
to the north. Ukraine consists of three agroclimatic zones: Steppe, Forest-steppe,
Polesie. This classification was made according to the ratio of precipitation to the
amount of accumulated heat. Due to the changes in the average annual temperature
and the amount of accumulated heat, these agroclimatic zones are shifting, and
therefore, these changes affect the management of plant growing.
Due to the increase of the duration of the basic time interval, the temperature
in the areas (which was insufficient for the cultivation of a certain crop several
years ago) begins to steadily exceed the thresholds and the crop begins to
cultivated successfully [1]. For many regions, there is already information on the
losses of agricultural production from climate change [2,3].
It should be emphasized that climate change is not the only factor of
affecting the benefits of agricultural producers. A significant factor influencing the
choice of crops is the level of agricultural products prices of the global and
domestic raw material market and the cost of acquiring the means for the
production process.
The studies were conducted according to the State Statistics Committee of
Ukraine on the acreage of individual crops in all regions from 2000 to 2018 [4].
For research the traditional Ukrainian sunflower, corn and wheat were
selected, which occupy the largest part of the area and provides the highest income
from agricultural export. In total these three crops occupy approximately 50% of
all acreage.
It should be emphasized that Fig. 1 does not reflect the cultivation area, but
the data from crop area where the crop was harvested. Therefore, to the random
factor of crop selection the influence of weather risks is added. This explains the
fact that the area under wheat remained in the range of 5-7 million hectares during
2000-2018 except in 2003, when they decreased to 2 million hectares due to the
crop freezing during spring frosts.
Another thing with the cultivation of corn and sunflower. The corn area has
grown over the studied time interval from 1.0 to 4.5 million hectares, sunflower
area – from 3.0 to 6.4 million hectares.
We believe, that the process of growing sunflower and corn areas is fully in
line with the growing demand for these crops in the domestic and global food
markets. Hence, the area distribution achieved by 2018 is likely to remain as it is
with minor fluctuations.
86
Figure 1. Dynamics of change of areas under corn, sunflower and wheat in
Ukraine in the period of 2000-2018 (thousand hectares)
Source: own calculations
Consider the yield factor as a reason for changing the climate zone for the
cultivation of each of the considered crops.
For almost all considered crops, the highest yield was observed in the
Forest-steppe area (Table 2), however, the average values of Polesie yields are
better than those of the Steppe in the 2000-2018 time interval.
Using the Student’s t-criteria, we analyzed the significance level of the
difference between average yields in the Steppe and Forest-Steppe [5]:
2
)1()1(;
2
2
2
12
22
SL
SL
p
S
p
L
p
SL
nn
nn
nn
yyt
where
SL yy , average yields of Forest Steppe and Steppe;
22 ; SL yield variance;
SL nn , –the number of observations.
Let’s make t-statistics estimates for three crops:
sunflower
For all three crop the yields at Forest-Steppe compared to Steppe are more
significant. The highest level of significance (the probability of errorof the
hypothesis deviation concerning the equal yield in the Forest Steppe and Steppe) –
0.05 for wheat, for corn and sunflower the significance level does not exceed
0.0001.
87
Table 2. Statistical yield indicators for the years 2000-2018 by climatic
zones (c/ha)
Climate
zone
Steppe Forest Steppe Polesie
Indicator Indicator Indicator
Crop Average
value
The standard
deviation
(average
error)
Average
value
The standard
deviation
(average
error)
Average
value
Wheat 28,5 7,5(1,7) 35,2 10,1(2,3) 31,7
Corn 35,9 8,2 (1,9) 54,6 14,6(3,3) 55,4
Sunflower 25,0 6,2(1,4) 35,4 11,6(2,7) 31,2
Source: own calculations
This demonstrates the extremely high yield stability of selected crops in the
forest-steppe zone compared to the yield in the steppe zone. A similar situation is
observed when comparing yields in the Steppe and Polissya (the yield in Polissya
is much higher).
Moreover, studies have shown that this process has a positive dynamic. The
difference in crop yields across different climatic zones increases over time and the
NullHypothesis H0 (lack of this tendency) is rejected at an extremely low level of
significance (with confidence exceeding 99.9%), where spatial and temporal
information were combined to build the model.
The studies used panel regression of area dependence in different climatic
zones from time andlatitude.
The northward shift factor should be reflected in the product of the time
andlatitude factors.
It turned out that this effect is relevantonly for one crop – corn. Further
studies (except of data on crop structure, yields and other indicators of agrarian
business) should include information on weather and climatic conditions in
farming areas.
References:
1. How do weather and climate influence cropping area and intensity
https://www.sciencedirect.com/science/article/pii/S2211912414000583
2.Xiong W., Holman I.P., Lin E., Conway D., Li Y., Wu W. Untangling
relative contributions of recent climate and CO2 trends to national cereal
production in China // Environmental Research Letters. 2012. Vol 7. P.14 – 44.
3. Tao F., Yokozawa M., Liu J., Zhang Z. Climate-crop yield relationships at
provincial scales in China and the impacts of recent climate trends // Climate
Research. Vol. 38. P. 83 – 94.
4.Державна служба статистики України URL: http://www.ukrstat.gov.ua.
5. Dowdy S., Wearden S. Statistics for Research // 1982. – USA. – P.214-
232.
6. Croissant Y., Millo G.Panel Data Econometrics in R: The plm Package //
Journal of Statistical Software, 2008. Vol.27(2). URL
http://www.jstatsoft.org/v27/i02/.
88
DIAGNOSTICS OF THE COMPETITIVE ENVIRONMENT IN THE
PRODUCTS MARKET
Stepasyuk Ludmila National University of Life And Environmental Sciences of Ukraine, Ukraine
Dramaretska Krystyna National University of Life And Environmental Sciences of Ukraine, Ukraine
Titenko Zoia
National University of Life And Environmental Sciences of Ukraine, Ukraine
Babiak Nataliia Kyiv National Economic University named after Vadym Hetman, Ukraine
The process of integration of Ukraine into the world economic community
should be based on the specialization profile of the Ukrainian economy with the
identification and enhancement of unique competitive advantages of the industry-
specific level. In the contemporary context, competitive advantages are the basis of
effective performance of an economic entity in the long run, which means that the
economic entity’s competitiveness is ensured by its competitive advantages, as
they allow for offering goods to the consumer that are of obvious value to them.
In the age of economic globalization, the issues of competitiveness come to
the fore and the extent to which they are solved largely determines the economic
and social status of any country. Ukrainian integration into the global economic
space requires domestic manufacturers to produce competitive goods. The
transformation of market relations between economic entities in the agrarian sector
and the enhancement of competitiveness and efficiency of agricultural production
are directly related to the development of foreign agricultural trade. Ukraine’s
place in the global food market is determined by the quantity of exported products,
export volumes and price. The dairy industry in Ukraine is ranked 10th in the world
in milk production (about 2%), which is why a significant amount of its production
is exported. Achieving stable income from exports of agricultural raw materials
and food products requires constant monitoring of the agri-food markets, as well as
systematic and effective diagnostics of competitiveness of tradable commodities in
the world market.
The operation of the livestock products market exerts a considerable impact
on the economic potential of the agro-industrial complex of Ukraine and the level
of national food security in particular, as it provides the essential foods for the
population and raw materials for the processing industry.
Fiercer competition, the need to increase the supply of animal husbandry
products, improve their quality, boost the profitability of production and levels of
consumption of the products lead to the objective necessity for comprehensive
research aimed at studying the issues of analyzing the competitive environment
and identifying the main trends and threats to strengthening own positions.
Pricing has a decisive influence on the development of the industry, because,
on the one hand, prices stimulate the increase in supply, and on the other hand,
they significantly affect the solvent demand of the population. During the
formation of the market prices of milk and beef, the following factors are
89
determinant: the value-for-money factor in terms of resources and market capacity,
the level of supply of domestic products, consumer incomes, etc. [1, p.51].
Analyzing the market structure and assessing the level of its monopolization
requires studies on the degree of concentration of sellers in the market, and as
ancillary information the use of data on the level of market (monopoly) power of
sellers and non-strategic factors of market structure.
As noted by scientists [2 p. 16], concentration indicators characterize the
degree of uneven distribution of production or sales of goods between economic
entities, as well as the possibility of influence of each of them on the general
conditions of circulation of goods in the relevant market.
The estimations show that the concentration level in Ukraine animal
husbandry market is low, as the Herfindahl-Hirschman index is 32.71 and 30.57
respectively, which is less than 1000 (Table 1). It is analytically established that
20% of all agricultural enterprises sell 55.5% of milk and 49.35% of beef.
Therefore, these markets are not highly concentrated, which is explained by
the fragmentation of producers. Studies show that in 2018, 1471 enterprises of
Ukraine (or 17.7% of all) were engaged in the sale of milk, it should be noted that
in 2012 their number was 2010 (21.9%). Concerning the sale of cattle meat, in
2018 only 19.6% or 1627 enterprises were engaged in the sale of this type of
products, for comparison in 2012 their number was 2230 (24.3%).
Expanding markets in the domestic and global economic space, enhancing
the image of Ukraine and enterprises in particular, require accelerating the process
of harmonization of national legislation with European and world requirements.
However, it is logical that in the current situation of raw material shortages,
processors are more concerned not only with the quality but with the problem of
their availability in sufficient quantity and at an affordable price. But it should be
noted that for the economy as a whole, improving the quality of production will
mean strengthening the position of domestic enterprises in the domestic market and
expanding opportunities to enter foreign markets.
In the conditions of globalization tendencies of the world economy, the task
is to study the theoretical prerequisites for ensuring the competitiveness of
enterprises. In the international economy, with modern integration processes, there
are many problems, both at the practical and theoretical levels. Undoubtedly, one
of the most important is the development and implementation in practice of a
system of agricultural products competitiveness indicators system, which would
fully characterize the efficiency of enterprises. There is no clear system of
indicators of product competitiveness at the moment. Different authors allocate
their range of indicators to evaluate the competitiveness of a product only in a
particular market.
Considering the above, the main directions of improving the efficiency of
the animal husbandry industry should be: creation of new and reconstruction of
existing mechanized large-scale farms with the use of modern developments in the
field of meat and dairy cattle breeding; ensuring mutually beneficial integrative
relationships «production – processing – marketing» on the basis of a
90
comprehensive state program of industry development; development of special
lending programs, etc. The investigated industry requires significant state support
that would shape the economic attractiveness of animal husbandry production and
facilitate the expanded reproduction of animal husbandry. All this in combination
can shorten the payback period of investments in the industry.
References:
1. Pshenychnyi O. Price formation. Agro Perspective. 2012. №3 P.51-52.
2. Gorniak O.V. Theoretical approaches to measuring the level of
concentration and monopolization in modern markets. Bulletin of the OSU them.
I.I. Mechnikov. 2014. vol.17 vol. 1 (6). C14-23.
FUTURE OF TECHNOLOGIES IN THE AGRICULTURAL SECTOR
Taran Natalia
Petro Vasylenko National Technical University of Agriculture, Kharkiv, Ukraine
Krasnorutskyy Oleksii Petro Vasylenko National Technical University of Agriculture, Kharkiv, Ukraine
Reznik Nadiia National University of Life and Environmental Science, Kyiv, Ukraine
Slobodianyk Anna
National University of Life and Environmental Science, Kyiv, Ukraine
Guley Stanislav Ternopil National Economical University, Ternopil, Ukraine
High technologies have penetrated into all spheres of production, and
recently they have been applied even in such traditional industries as agriculture.
Technology development also has influence on the appearance of new company
functions and motivates the appearance of new professions and new types of
services. In order to understand the future of innovative development in the field of
agricultural enterprises, it is necessary to forecast what technologies the future and
what related professions will arise in the near tomorrow that demonstrates the
relevance of this paper. In addition, we need to know what condition of this market
is now, which areas are actively developing, and which are only just beginning to
be implemented into the agricultural sector. The paper answers on these questions.
Agrarian business is changing rapidly. The development of technology and
new technical investigations force farmers to implement new and to compete with
each other. Habitual combines and seeders are modified beyond recognition, the
number of workers per 1 ha of farmland is reduced significantly. Nevertheless, the
FAO (Food and Agriculture Organization of the United Nations) continues to talk
about the threat to food security. External factors which have influence on the
productivity and saturation of the market with food often reduce supply in the face
of growing demand. Therefore, the first position is the need to implement new
technologies into the agricultural sector, which will help to solve emerged
problems and respond in time to adverse changes of climate, of the environmental
and other factors. What is the near future of agriculture? What changes is expected
91
and what should be prepared for? What technological innovations in the agrarian
sector have already taken its niche among world producers of agricultural crops,
and what are just starting to gain popularity?
The main aim of the paper is to find out the current condition of things in the
agricultural technology market, to demonstrate the effect of technology
implementation in different regions of the world and to define the future of
technological innovations and services in the agricultural sector.
Technology develops at an astonishing pace, and if earlier it had a greater
influence on relatively new and high-tech industries, now the time has come for
traditional and conservative businesses. The agricultural sector was no exception.
But the list of technologies that will greatly influence on the development of this
direction in the coming years is adjusted from year to year. Many technologies
have already conquered farmers, but there is still a whole range of solutions that in
the near future will be implemented into the agricultural industry.
At this stage of development of technological innovations, the market of
precision farming is most actively developing. Along with hardware and software,
precision farming has been growing rapidly since 2014 with an indicator of 2.3
billion euros, in 2018 it amounted to 3.7 billion euros, and by 2020 it is expected to
grow to 4.5 billion euros with 12% of CAGR (Compound annual growth rate). The
potential of the precision farming market exceeds even the global agricultural
equipment market, which is growing at a much slower pace with 4% of CAGR till
2.4 million vehicles in 2020.
The technologies are actively developing and due to this, new agricultural
giants may appear on the market. Small companies that are no longer afraid to
implement technological innovations may soon become leaders of the agricultural
market. And large companies, on the contrary, lose its positions, because they have
not used its resources so optimally, even if they have a larger agricultural land.
Future novelties will be relevant for all spheres of human production, but in the
face of the arising food crisis due to the progressive growth of the world’s
population, they are simply necessary precisely in the agricultural sector.
Therefore, the introduction of at least the most accessible new products should
already be thought out by all representatives of the agricultural business, so as not
to be left behind its competitors.
ENERGY SAVING AS A COMPONENT OF THE STRATEGIC
DEVELOPMENT OF THE TIRE ENTERPRISES
Tkachenko Alla National University «Zaporizhia Politechnic», Zaporizhia, Ukraine
Chernysheva Olena
Ukrainian State University of Chemical Technology, Dnipro, Ukraine
Sevast`yanov Rodion
National University «Zaporizhia Politechnic», Zaporizhia, Ukraine
Krainik Olena
National University «Zaporizhia Politechnic», Zaporizhia, Ukraine
92
The article is devoted to the formation of the scientific and methodic
providing based on the estimation of the product competitiveness for the energy
saving as for a component of the tire enterprises strategic development. It was
noted that the current stage of development of the tire production is characterized
by trends of growth of the level of the population motorization, the changing
customer requirements to the operational characteristics, the aggravation of
environmental problems of production and operation of tires as well as the
formation of a regulatory framework for their solution in the countries with high
volume consumption of tires. The global trends in the tire markets are the increase
in requirements to the environmental friendliness and economy of tires. These
requirements form the parameters of the estimation of quality of tires by the
consumers and determine the directions of competitiveness development of the tire
enterprises. Since a car consumes 10% of fuel due to tires, it is advisable to take
the energy efficiency into account as an impact factor on the production and
consumer characteristics of tires when estimating of the competitiveness of the tire
enterprises products. The energy costs amount from 5% to 9% in the cost structure
for the production of tires. The main items of energy costs in the cost of production
are costs of electricity and water vapour. The environmental problems of tire
production were revealed. These problems include high energy intensity,
application of environmentally harmful materials, air pollution indoor of
production, contamination of water drains. Fuel consumption as well as high noise
during the movement of the car, formation a rubber dust, and growth of the amount
of used tires are regarded as environmental issues in the consumption of tires. The
quantitative estimation of the level of competitiveness of the tire products by the
integral indicator that is calculated as an average arithmetic indicator weighted
according to the conditions of sales on the markets of each group of tires on the
base of the complex indicators of competitiveness for every model of standard size
of tires in the conditions of production and consumption is offered in this research
work. This approach to the estimation of the product competitiveness allows tire
enterprises to take into account aspects of the energy efficiency in the production
and consumption of the model of standard size of tires as well as to make the
market positioning of the energy-saving tires. In the conditions of production the
energy saving is determined by the equipment energy intensity (rubber mixing and
vulcanizing), whereas in the consumption conditions it is determined by fuel
consumption by car. Therefore, it is necessary to consider the energy saving in the
tire enterprises at the production and consumption aspects, which should be taken
into account in the system of the enterprises’ strategic development as a necessary
condition of the product competitiveness providing. Based on the components of
the integral indicator of estimation of the level of competitiveness of the model of
standard size of tires, it was proved that the rolling resistance coefficient and the
content of silica acid filler are the defining indicators of energy efficiency in the
group of tires for passenger cars. The product energy efficiency should be
estimated by means of the indicators of tire weight and pressure level inside the
tire in the groups of tires for trucks and tires for agricultural machines. The level of
93
weight of indicators of energy efficiency as components of the indicator of tires’
quality in the conditions of consumption is: for tires for passenger cars 10%, for
tires for trucks 12%, for tires for agricultural machines 25%. By the investigation
of the innovative technologies of the leading world manufactures, it was revealed
that the efforts of producers are aimed at improving the level of quality of tire
products according to key consumer characteristics: grip, rolling friction,
aquaplaning, level of noise and vibration, protecting the tire against puncture,
mileage, load and safety, the dependence of the pressure inside the tire on the mass
of the load. Innovative technologies provide quality, above all, due to material and
construction components of tire production: the composition of the rubber
compound and materials inside the tire, construction materials, elements, pattern
and height of tread, construction of tire profile. The leading world manufacturers
create brand technologies that allow positioning of the energy-saving tires among
products of the similar standard size in dependence on the competitive advantages
in their production and consumption. They also conduct research and development
on the application of new materials, including the materials from renewable
sources, in the recipes of rubber compounds and constructions of tires to increase
the energy efficiency of the products. The application of new materials in the tire
production allows achieving the required properties of rubber with less energy
costs for rubber mixing and vulcanization as well as reduces the rolling resistance
while increasing tire grip for operation of tires. Achieving energy efficiency as a
component of product competitiveness should become the basis for the strategic
development of tire enterprises.
INNOVATIVE APPROACH TO EVALUATION OF THE
DECOUPLING PHENOMENA IN MAKING DECISION ON
INVESTMENT OF AGRO-BUSINESS
Tkachenko Alla
National university «Zaporizhia Politechnic», Zaporizhzhia, Ukraine
Levchenko Nataliіa
National university «Zaporizhia Politechnic», Zaporizhzhia, Ukraine
Pozhuieva Tatyana
Ukrainian State University of Chemical Technology, Dnipro, Ukraine
Сhupryna Nataliіa
Ukrainian State University of Chemical Technology, Dnipro, Ukraine
The author’s suggestions for improving the method of assessing the
effectiveness of the implementation of state environmental policy of the country by
supplementing the list of common environmental performance indicators,
indicators of the decoupling phenomenon, which are based on indicators of
economic growth in both the country as a whole and individual industries are
outlined in the article.
It is substantiated that in the face of aggravated global food and climate
change problem, intensifying the search for ways to solve them for the agrarian
94
business of Ukraine with its powerful potential and favourable natural and climatic
conditions opens ample opportunities.
Therefore, agrarian business should be recognized as one of the most
promising areas of business in Ukraine in the light of these problems.
Therefore, a number of strategic documents and regulations have been
adopted in order to make the country a strong and independent government of
Ukraine that creates the foundations for the economic development of agricultural
production. Among them, special attention is paid to «Agro-strategy-2030», which
is expected in the next decade to create in Ukraine a world food supermarket and
an organic hub.
It is emphasized that the increase in agricultural production is accompanied
by environmental threats, which requires the government to ensure a balanced
environmentally-oriented development of agrarian business, and thus to meet the
interests of future generations in food security and reducing the rate of eco-system
depletion.
It is emphasized that to estimate the rate of depletion of an eco-system with
the increase in agricultural production due to the effect of decoupling (from
English decoupling is demarcation, separation, separation, disruption of
communication), which undoubtedly makes the study of the method of its
assessment quite relevant.
We emphasize that the most accurate and complete interpretation of it is
considered to be an eco-centric approach, which focuses primarily on the
environmental component of economic growth, which is primarily related to
human impact on the environment and the conservation of natural resources. The
author’s definition of the concept of «decoupling» by the eco-centric approach as a
change in the level of existing (expected) environmental threats as a result of
economic growth is proposed in the article.
It is proved that ensuring the change in the volume of gross production of
agricultural production is, first of all, capital investments aimed at expanding,
updating and modernizing the material and technical base of the agricultural
business. Multiple nonlinear dependences are determined according to the results
of correlation-regression analysis of statistical data of the dynamics of capital
investment and output of agricultural production, as well as CO2 emissions into the
atmosphere from stationary sources of pollution are determined by.
It is stated that the list of indicators of the evaluation for implementation of
the state environmental policy, determined by the Law of Ukraine «On the
Fundamental Principles (Strategy) of the State Environmental Policy of Ukraine
for the period up to 2030» of February 28, 2019 No. 2697-VIII needs to
complement the indicators of the decoupling phenomenon based on economic
growth indicators of the country as a whole and of the individual industries, which
will make clear and prudent decisions on investing capital in the development of
agricultural business, increasing agricultural production, saving the environment
and using natural resources to meet the modern needs of mankind and the interests
of future generations in food security, safety and health.
95
DIGITAL MARKETING IN PROMOTING BIOECONOMY IN
UKRAINE
Tkachuk Vasyl Zhytomyr National Agroecological University of Ukraine, Zhytomyr, Ukraine
Zinovchuk Vitalii Zhytomyr National Agroecological University of Ukraine, Zhytomyr, Ukraine
Tarasovych Lyudmyla
Zhytomyr National Agroecological University of Ukraine, Zhytomyr, Ukraine
Yaremova Maryna Zhytomyr National Agroecological University of Ukraine, Zhytomyr, Ukraine
The article deals with the substantiation of the role and opportunities of
involving digital marketing tools for the promotion of the bioeconomy in Ukraine.
The strategic development goals of our country include the necessity to form its
bioeconomic potential. Also, the focus is on socially oriented approaches to
agricultural business (first of all, separation of economic, environmental and social
blocks in the context of operational goals of strategic growth). Taking into account
the above, the article provides the substantiation of the need to establish the
bioeconomy. The need to become aware of the problems of developing a socially
oriented business on a bioeconomic basis in Ukraine makes it urgent to convey to
the society the importance of changing the concept of further development, which
will follow not only human-centric but also ecocentric paradigms. This is made
possible through the active use of modern digital technologies, one of which is
digitization.
Along with the argument that digital technologies are becoming an everyday
tool and a way for business systems to function, it has been empirically proven that
socially-oriented and economically justified digitization acquires a permanent
status in the field of inclusive growth, which will ensure the sustainability of
business and economic development. In turn, the involvement of innovative levers
for regulating socioeconomic processes is the prerogative of implementing the
strategy of sustainable development of Ukraine. It is concluded that the digitization
of the bioeconomy in the field of social digital transformation determines the
imperatives for the development of the Ukrainian economy, and the digitization of
its agricultural sector is considered one of the key tasks of the new government of
our country.
In order to visualize the concept of implication of digital marketing in the
process of the establishment of the bioeconomy, the criteria for identifying its
benefits were systematized; they include the target audience (stakeholders), the
sphere of influence on it (exogenous and endogenous business environment) and
marketing channels and tools), that is, bioeconomy as a strategic vector for
promoting the ecologization of the social and environmental processes of human
existence.
It is substantiated that the unpredictability of the external marketing
environment has a significant impact on the modeling and forecasting of business
processes within the framework of individual bioeconomic systems, the outline and
96
features of which are a sort of an indicator for the formation of appropriate toolset
for promoting bioeconomy among the public. It is emphasized that the expediency
of using immanent digital marketing toolset is determined by specific conditions,
opportunities, needs and tasks of stakeholders with clearly defined strategic
positions and their own vision of strategic mission in the field of the intensification
of bioeconomic processes.
The developed model of digital marketing implication in the field of the
bioeconomy is based on the configuration of the corresponding effects in terms of
economic, social and environmental benefits, that is, sustainable growth will be
ensured. The promotion of the bioeconomic direction of business development will
give an opportunity to obtain a synergetic effect, which will be manifested through
the social aspect (energy independence, production of high-quality food and non-
food products, increasing the level of food security, creating new jobs, improving
the standard of living of the population); environmental aspect (preservation of
biodiversity, environmental enhancement, saving fossil fuels, mitigation of climate
change); economic aspect (restoration of innovative bio-production, increase of
competitive ability of products, contributing to the economic development of the
country).
The effectiveness of digital marketing in the process of dissemination of
knowledge about the bioeconomy as a modern socially oriented way of organizing
business will be ensured through such basic principles as interactivity (active
involvement of economic entities to interact with the brand (bioeconomy);
unlimited promotion (no territorial restriction when disseminating information
about the bioeconomy among the public); accessibility and relative simplicity of
information resources; distribution of the marketing product (bioeconomy) in the
business space for expansion and interest of target audience; specification of the
formation of information resource. The generalized format of applying digital
marketing tools and defining marketing channels for promotion of the bioeconomy
will ensure the consolidation of efforts of all stakeholders in order to create
favorable conditions for running bio-based business. This is a determinant for the
sustainable development of Ukraine and for the civilized development of modern
society.
METHOD OF DESIGN OF LAND USE OF LOCAL ECO-NETWORK
STRUCTURAL ELEMENTS
Tretiak Anton
Institute of Economics and Ecology of Nature Management, State
Ecological Academy of Postgraduate Education and Management, Kyiv, Ukraine
Hunko Liudmyla
National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
Medynska Nataliia
National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine
97
Hetmanchik Ivanna
Separated subdivision of NULES «Boiarka College of Ecology and Natural
Resources», Kyiv, Ukraine
Human society uses a huge amount of natural resources at the current level
of science and technology development: not only minerals, but wildlife. That is
why the preservation and careful attitude towards nature is high-priority task for all
countries.
Аt the end of 20th – at the beginning of 21st century the need of the creation
of continuous network of nature conservation objects became definitely clear.
Under such circumstances, the problems of the formation of ecological
network of Ukraine become more relevant.
In the system of land management of any country, the planning of use and
protection of lands and other natural resources is the most important function that
determines the possibilities of environment conservancy.
Nature Reserve Fund of Ukraine takes a little more than 6% of the territory
of Ukraine. Herewith, the percentage of natural reservations is 6,4%, biosphere
reservations – 9,1% and national parks – 23,9% of this Fund.
The formation of environmental land use, under the conditions of the new
land relationships is made on the basis of the eco-economic value of natural
resources and biodiversity, natural landscapes that are not much changed by
anthropogenic activities or in the result of the reconstruction of natural and
economic systems of land use, identification of property rights to land and other
natural resources etc. by the method of planning.
By taking into account that the local schemes of eco-network are not related
to the planning documentation and in the existing planning documentation eco-
network planning cannot made, we suggest to develop independent planning
projects in terms of the designing of the eco-network components in the light of the
territories of village councils.
Detailed and current methods and standards for the planning projects
development in terms of the planning of the territory of structural elements of local
eco-network currently do not exist. That is why lets uncover the problems and
approaches to the planning.
According to the project, land with valuable species of plants listed in the
Red Book of Ukraine, which are not mentioned on the regional scheme of the
ecological network, should be included to the key areas of the ecological network.
The planning project in terms of the organization of the territory of structural
elements of eco-network will give the possibility to provide the compliance with
the restricted regime of anthropogenic activity on the proper territories.
Around the location of the rare plants, a buffer zone, represented by forest
lands. On highly-eroded and degraded soils, it is necessary to establish a
restoration area in which priority measures will be taken to restore the original
natural state. On others – to carry out remedial actions. Some lands of recreative
territories can be included to the key area or the connective territory after taking
appropriate measures.
98
The proposed change of the land use regime caused the corresponding
actions for their transformation. An important component of the technology of
planning works in Ukraine is the obligation of electronic documentation to be
subsequently submitted to the State Land Cadastre.
As a result of project changes in the structure of land, the ecological
representativeness of the structure of environmental land use is improving, which
is a positive aspect in the evaluation of the territory. Evaluation of the effectiveness
of management of environmental land use is related to the legitimate creation
(planning) of boundaries of territories of structural elements of the eco-network,
information on land rights and other natural resources and territorial restrictions
(burdens) in the use of land and other natural resources within their boundaries,
etc.
In the process of design changes, the structure of agricultural land use has
changed as well as its value according to the normative monetary valuation.
The value of agricultural land use increased by 966,51 thousand USA or
22,45 %. So, the planning projects on the formation of components of eco-network
in the context of the territories of village councils will allow to ensure compliance
with the limited mode of economic activity in the respective territories, taking into
account the requirements for rational use and protection of land, preserving the
natural diversity of landscapes, environmental protection, maintaining the
ecological balance. However, the cost of land use is not decreasing, but rather
increasing.
THE INFLUENCE OF INNOVATIVE DIGITAL TECHNOLOGIES
ON THE SOCIO-ECONOMIC LIFE OF THE SOCIETY AND THE
DEVELOPMENT OF FINTECH-ECOSYSTEMS
Yazlyuk Borys Ternopil National Economic University, Ternopil, Ukraine
Guley Stanislav Ternopil National Economical University, Ternopil, Ukraine
Guley Anatolii
Ternopil National Economical University, Ternopil, Ukraine
Digitalization and rapid penetration of information technologies into the
processes of economy creates the newest innovative basis of functioning for the
development of fintech-ecosystems as well as new approaches to analytics,
forecasting and managerial decisions. Such rapid growth in the development of the
digital media environment is due to the emergence of a new digital economy –
Industry 4.0, which is accompanied by the processes of virtualization of financial
flows through the circulation of crypto currency in the Internet based on advanced
blockchain technologies and asymmetric encryption which ensure the reliability of
transactions and operation. Digitalization is becoming a driver of the public
development as it is able to provide economic efficiency, quality and standard of
living for society.
99
In current conditions more thorough research of the levers of added value
creation in the spheres of social and economic life of society and the development
of fintech ecosystems are needed. In this connection our purpose is to study the
socio-economic effects of the introduction of digital technologies and innovative
IT systems in the main target markets of Industry 4.0.
In Ukraine, advanced innovative technologies are partly used in
manufacturing industries. A prime example is the agro-industrial, mechanical
engineering and mining industries, where leading companies are increasing their
investment from 30 to 90% through the digitalization of major technological
processes.
According to experts’ point of view, the greatest effect from the introduction
of digital technologies can be achieved in high-tech sectors of services and high-
tech branches of industry [1]. The positive trend of digitalization provides the
increase of economic indices. It expands rapidly to niches of business environment
and influences the value-added levers via advanced technological solutions. In
particular there are such visible results provided: reducing costs of quality
assurance by 10-20%, increase of productivity of technological functions as a
result of automation labor by 45-50%, reducing equipment downtime by 30-50%,
productivity gains by 3-5%, reducing product maintenance costs by 10-40%,
reducing product launch times by 20-50%, forecasting accuracy levels of consumer
demand by 85%, reducing the cost of stock holding by 20-50%.
Significant economic effects from the implementation of advanced
technological solutions in business processes are ensured in the following
directions:
1. Improving product quality through the innovative capabilities of digital
quality management IT systems, advanced business process control (ADR),
business process statistical control (SPC);
2. Improving the efficiency and safety of work through the innovative
capabilities of IT systems for robotization of production processes, remote
monitoring and control, digital control of labor efficiency, automation of
intellectual and physical labor.
3. Increasing the capacity of production equipment through the innovative
capabilities of predictive maintenance IT systems, additional reality in
maintenance, flexible routing and use of equipment, remote monitoring and
control.
4. Improvement of technological equipment functioning mode through
innovative capabilities of IT systems of energy saving, product informatization,
optimization of technological capacity of production equipment.
5. Improvement of post-warranty support technologies through the
innovative capabilities of self-service IT systems with the help of virtual
technologies, remote after-sales and predictive services.
6. Accelerating the launch of products at the market through the innovative
capabilities of IT systems of rapid modeling and experimentation, parallel
designing, open information and communication environment between the
100
manufacturers and the clients based on IT innovation.
7. Ensuring accuracy in demand forecasting through the innovative
capabilities of IT systems in forecasting consumer demand and production of
goods according to the data obtained.
8. Improving of logistic processes through innovative capabilities of IT
systems of optimization of batch sizes and sales chains in real time, 3D printing.
According to the IMF forecasts, the introduction of the digital economy in
Ukraine will affect the growth of economic indicators in particular additional GDP
growth by 5% already in 2021. Priority sectors for the development of Ukraine’s
digital economy include: the legislative environment, public administration,
infrastructure, the «smart city» concept, information security, personnel and
education, digital health, research and development. The main organizational tasks
aimed at implementing the process of digitalization of the domestic economy
include: development of digital infrastructure as a platform for the digital
economy; improving and adapting Ukrainian legislation to EU standards in the
digital field; introduction of mechanisms of state support for digital economy
development; development of digital literacy of society in accordance with the
requirements of the new economy; formation of the system of information security
and protection of intellectual property; digitization of the real economy through the
development of Industry 4.0 infrastructure, digital financial services, digital
workplaces, start-ups; digitization of major spheres of society, including digital
identification, digital transformation of high school and development of STEM
education, implementation of Health and e-security systems, implementation of the
concept of «smart cities» [2].
The carried out research of the socio-economic effect of digital technology
and innovative IT systems implementation in the main target markets of Industry
4.0. proved that qualitative changes in the process of digital transformation should
be evaluated through indicators of the level of satisfaction of business and society
with the implemented programs, i.e. creation of digital infrastructure, support of
domestic developers and manufacturers in the IT sphere, regulatory mechanisms,
training of competent personnel, development of remote medicine, IT -Systems in
transport and logistics, improving energy efficiency, security, education and many
other areas of life being.
So that, the greatest impact of the introduction of digital technology can be
achieved in high-tech sectors of the service industry and high-tech industries.
Innovative capabilities of IT systems in business processes provide growth of
economic indicators mentioned above. Besides, new technologies can improve the
functioning of the labor market, reducing the risks of professional imbalances and
adapting the professional competencies of employees to the innovative vectors of
development of companies, regions, and states.
References:
1. HSE: Digitalization is potentially a major factor in GDP growth –
[Electronic resource]. – access mode:http://kp.crimea.ua/2019/04/18/vshe-
cifrovizaciia-potencialno-glavnyi-faktor-rosta-vvp/.
101
2. Tolubko V.B. Information infrastructure based on 4G and 5G is the basis
of creating a digital future – [Electronic resource]. – access mode:
https://www.itu.int/en/ITU-D/Regional-
Presence/CIS/Documents/Events/2018/05_Kiev/ITU%20Seminar%2014.05.18%2
0-%20Volodymyr%20Tolubko.pdf
IMPLEMENTATION OF THE MODERN MONITORING METHODS AS
THE MAIN STAGE OF DIGITALIZATION OF THE AGRARIAN
ENTERPRISES
Zaitsev Yurii Petro Vasylenko National Technical University of Agriculture, Kharkiv, Ukraine
Ponomariov Oleksandr Petro Vasylenko National Technical University of Agriculture, Kharkiv, Ukraine
Krasnorutskyy Oleksii Petro Vasylenko National Technical University of Agriculture, Kharkiv, Ukraine
Slobodianyk Anna National University of Life and Environmental Science of Ukraine, Kyiv, Ukraine
Guley Anatolii Ternopil National Economical University, Ternopil, Ukraine
The relevance of paper lies in understanding that population is growing and,
at the same time, the need for food requires new methods of agriculture. Modern
technologies help agrarian producers to improve yields in conditions where
suitable fertile lands are decreasing every year and climatic conditions become
unpredictable. In addition to global problems, agrarian producers face the
competitiveness of large agrarian giants when business exists in tough market
conditions. The use of the modern tools for improvement of productivity has
influence on the big number of agricultural enterprises. The main obstacle to the
widespread dissemination of these tools is the lack of experience in using modern
means and technologies, including monitoring. The article discusses the most
available method for entering to a new level of digitization, namely, monitoring
with the help of satellites and drones. This method of increasing yields is widely
used in the world, but is only beginning to gain popularity in Ukraine. The
information which is provided in the article will help agricultural producers to
assess the need of implementation of these tools for their own businesses and to
understand the benefits of a particular method of monitoring. The paper explains in
an accessible way the advantages and disadvantages of modern methods of
monitoring, mechanism of its action and implementation; provides a comparison of
the quality of information of satellites and drones, and considers the problems and
prospects of these methods of monitoring in the future.
Crop monitoring helps to gather key data on the future prospects of the crop.
Monitoring can detect plant diseases, quality of seedlings, weeds in the field and
more. You can also identify plant growth variations in different areas of the field,
identify the causes of these deviations, and adjust further actions.
102
Monitoring is a time-consuming process. It needs to spend a lot of time
regardless of the area of the fields.
In the particular case, the agronomist must inspect the condition of the crops
on his own and circumvent the fields at least every few days. If the crops have
reached more than a meter in height, then the analysis is complicated.
Crop monitoring allows timely improvement of plant growth condition and
increased yield at the final harvest stage.
Ukraine is one of the largest exporters of agricultural products due to the
large number of fertile soils, good climate and water resources. All this defines the
great potential of the country in the agricultural business. However, insufficient
information on the crop can lead to loss of profitability for the agricultural
business, even under favorable conditions.
The market offers a large number of modern monitoring methods, but the
most common are the use of satellites and drones. These methods have made many
agricultural producers competitive enough for the international agricultural market.
The main aim is to show the necessity to implement the modern
technologies into agricultural business, to demonstrate its profitability and to
introduce with the most popular tools, which successfully used in the world.
Today, there are many ways of crop monitoring during the season, but the most
effective are modern technologies that require special attention. These include the
use of satellites and drones, leaf diagnostics, analysis of soil samples and so on. It
is the use of modern monitoring methods that will help agricultural producers to be
competitive in the national and international market of agricultural products.
Agrarians need to pay attention to satellite monitoring to spend less
resources, grow more high-quality crops and increase profit. This will help to
achieve high results without high costs.
By 2050, approximately 9.8 billion people will live on Earth and food
demand will grow by 60%. In parallel, the climate will change and the amount of
resources (water and suitable land for agriculture) will continue to decline. In this
regard, representatives of the agricultural industry around the world today have to
look for ways to optimize all processes.
Precise farming and satellite monitoring may seem incomprehensible,
inaccessible and optional today, but, in fact, the future lies with it. So far, only 10-
20% of Ukrainian farmers use new technologies. There is reason to believe that
they will occupy the top business positions in the future.
The main aim to article to light profitability and prospective of modern
monitoring methods. Drones and satellites are not often considered in scientific
literature but today it is important to provide agrarian producers with all accessible
information about it. Practically, the main problem of Ukrainian agrarians to
understand that the modern methods of monitoring are not so expensive and
complicated. Low price of land and labor are simpler method to increase profit of
agrarians. It is not need of qualified specialists and no need to study something
new. But today agrarian business goes on the new level of development and in the
immediate future quantity of lands will not save without knowledge about
103
scientific approaches to increase the yield. Digitalization as well as any process
needs to be implemented consistently, step by step. And the best decision is to start
with the cheapest and the simplest way of digitalization that is implementation of
the modern methods of monitoring.
OPTIMAL INVESTMENT INDIVIDUALS` PORTFOLIO
FORMATION
Zakharova Yelyzaveta,
Student of grade 10,
«Irpin Lyceum of Innovative Technologies – Junior Academy of Sciences»
Kyiv region
Patsai Bohdan,
Ph.D. of Physical and Mathematical Sciences, As. Professor,
«Irpin Lyceum of Innovative Technologies – Junior Academy of Sciences»
Kyiv region
According to active Ukrainian integration into the world economic space and
usage new types of currency, including a cryptocurrency, at the present stage of
investment markets` development individuals get new opportunities for effective
using own financial resources to increase them. Enhancing the possibilities is
accompanied by increasing financial risks related to the loss of cash and other
investment values that accompany any investment activity.
Modern mathematical analysis models of individuals` activity should be
applied within the domestic investment market to optimize the use of savings and
take into account the many factors that influence final investment decisions.
The relevance of the topic is determined by current challenges of the
investment market facing the individuals seeking to invest a cash in order to obtain
extra risk-based income in the current market context.
There are a number of mathematical models actively used within their
functional purpose in investment theory. Generally, researchers focus on
investment portfolios formation of establishment of different types of property. In
Ukraine, an issue of using financial resources of households was considered as
investment capacity by academics Alekseienko M., Vatamaniuk O.Z., Haidamaka
E.N., Dorofeieva N., Ilchenko T.M., Lebed V.N., Pasazhko T.S., Panchyshyn S.,
Savluk M., Smovzhenko T.S. However, this issue is still relevant due to the lack of
validity of the investment directions chosen by individuals during decision-making
and changing market economy environment.
The aim of the study is to form an optimal investment individual’s portfolio.
To achieve this goal, the following tasks have been highlighted:
- to analyze the diverse components of the investment portfolio;
- to form a list of securities that will be used in the presented
mathematical model;
- to explore mathematical models for an optimal investment portfolio
formation;
104
- to form an optimal investment portfolio according to risk-based
investment strategies.
The object of the study is a development of modern methods and models
used in the process of forming the optimal investment portfolio.
The subject of the study is a development of economic relations in the
measurement of such factors that influence the formation of an investment
portfolio of an individual.
The methodological basis is Markowitz’s, quasi-Sharp models, methods of
analysis and synthesis.
The practical significance of study:
- mathematical models used in the formation of investment portfolios
have been analyzed;
- a comparative analysis of investment portfolios containing different
types of securities, in particular a cryptocurrency, has been obtained under the
volatility of the Ukrainian economy;
- residual risks of selected assets have been established;
- the optimal investment portfolios have been formed for each strategy:
«maximal income» and «minimal risk».
References:
1. Portfolio investment. Textbook / A.A. Peresada, O.G. Shevchenko, Yu. M.
Kovalenko, S.V. Urvantseva. – Kiev, 2004. – 408 p.
2. Patsai B.D. Research of Operations: Workshop – Irpin: National University
of the State Fiscal Service, 2017. – 212 p.
3. Savchuk V.P. Optimization of the stock portfolio [Electronic resource] /VP
Savchuk, V. Dudka. – 2001. – Source:
http://www.management.com.ua/finance/fin013.html.
4. Moiseenko I.P. Investing. Textbook / IP Moiseenko., 2006
5. Yurchuk N.P. The use of economic and mathematical methods
inmanagement of innovative development of economic systems / N.P. Yurchuk. –
2015. – №18. – P. 28–32.
6. Dovbenko M. The Modern Theory of Portfolio Investment / M. Dovbenko,
O. Dovbenko. // Zh. Economy of Ukraine. – 2005. – №4. – P. 81–92.
PROSPECTIVE TRENDS IN NEUROMARKETING TOOLS OF THE
FOOD INDUSTRY IN VIEW OFUKRAINIAN SOCIETY
DIGITALIZATION
Zubko Tatyana Kyiv National University of Trade and Economics, Kyiv, Ukraine
Kovshova Iryna
National University «Kyiv-Mohyla academy», Kyiv, Ukraine
Sydorenko Oksana National University «Kyiv-Mohyla academy», Kyiv, Ukraine
105
The base of this research was to study theoretical and methodological
provisions for implementation of neuromarketing tools within food companies to
define the main needs and wishes of young people.
Nowadays business mainly uses rational arguments to increase the awareness
of the interested parties (consumers, intermediaries, partners, investors etc.)
regarding foodstuffs. The main hypotheses of the rational approach to the effect on a
society are:
before to make a decision whether to buy foodstuffs a consumer looks
for information and carries out an independent research keeping in mind and
comparing the available data on different alternatives;
the intermediaries rationally determine needs and wishes by choosing
the most advantageous offer based on the price and quality correlation;
the managerial stuff of food companies has to use rational and logical
arguments to create a loyalty of intermediaries, partners, investors and consumers.
In this approach the available tools are incomplete due to the absence of the
emotional component, which is now becoming more and more significant for the
millennial consumers who are gradually increasing their presence at the food
market.
Therefore, the goal of this article is the development of theoretical and
methodological provisions and practical recommendations for implementation of
neuromarketing tools within food companies to define the main emotional, rational
and behavioral responses of millennials and to form new consumer preferences taking
into account the society digitization factor.
The authors have developed and proposed the motivational model of effect of
neuromarketing stimuli on the food industry and society.
Theoretical and methodological basis of the research has formed the
concepts of the modern socio-economic theory, neuromarketing and behavioral
economy. The research is grounded on the dialectic method of studying the effect
of neuromarketing tools on the food industry. Within the framework of this
approach, general scientific and specific methods have been used, in particular:
comparison – to determine the advantages and disadvantages of different groups of
neuromarketing tools; a survey – to carry out a pilot research of emotional, rational
and behavioral responses of millennials when buying foodstuffs; mathematical
modeling – to evaluate the data obtained during the experiment and to define the
Ukrainian society digitization trends; analysis and synthesis – to create a
mechanism for implementation of neuromarketing tools in food companies;
induction and deduction – to make conclusions based on the study results.
In the course of the study it has been established that due to society
digitalization the Ukrainian millennials gain some different emotional, rational and
behavioral responses when choosing and buying foodstuffs. To confirm the basic
hypothesis a pilot study of consumer preferences. The level of conjugation of
psychological attitudes to the choice of foodstuffs has been revealed and
calculated, as well as the levels of the Ukrainian students’ income. The
motivational model of effect of neuromarketing stimuli on the food industry and
106
society has been developed.
Trends of Ukrainian millennial digitalization when buying foodstuffs have
been analyzed and prospects of development of neuromarketing tools in the food
industry have been defined. It has been concluded that implementation of
neuromarketing tools by food companies will contribute to establishing emotional
ties with interested parties to understand their conscious and subconscious needs
and wishes and create associations for pleasant experience of communication.
Scientific novelty of the study results lays in development of a motivational
model of applying neuromarketing stimuli for food companies’ effect on a society.
This model contains a three-level set of actions and is based on the features of
emotional, rational and behavioral responses of millennials when choosing and
buying foodstuffs in view of society digitalization.
107
SCIENTIFIC PUBLICATIONS
Digitalization of agrarian management
Materials of the international scientific and practical conference
Responsible for release: Nadiia P. Reznik
Proof reader: Anna M. Slobodianyk
Make-up: Christina P. Dramaretska
Original layout prepared at the National University of Life and
Environmental Sciences of Ukraine: 03041, Kyiv, Heroiv Oborony str., 15
Signed for printing 11.10.2019. 60x84 / 16 format. paper offs. № 1.
Acc-publ. sheets 6.77. Circulation 100 cop.