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Mechanism for Adjustment of the Companies Innovative Activity Control Indicators to Their Strategic Development Goals

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  • Alexander Nickolaevich Melnik

    (Kazan Federal University)

  • Kirill Andreevich Ermolaev

    (Kazan Federal University)

  • Mikhail Sergeevich Kuzmin

    (Kazan Federal University)

Abstract

Innovative activity is an important factor for the development of companies, which to a large extent determines their competitive positions in the global market of goods and services. During the research, a hypothesis was put forward stating that the current company management mechanisms do not fully realize innovation development potential to achieve strategic outcomes. On the basis of the activity analysis of the largest Russian companies, it was estimated that innovation development indicators are not always aimed at achieving strategic outcomes. The identified problem hinders development of companies in the current context. For this reason, in order to solve it, the mechanism for the adjustment of innovative development indicators to the company strategic guidelines has been worked out. Its design was based on the groundwork of the demand to necessarily provide increasing payoff from innovative activity. To implement it, a certain procedure was suggested for maintaining the ratio between individual indicators of the company innovative activity efficiency and its strategic development indicators, reflected in the devised dynamical model. The proposals we suggested on forming the mechanism for control indicators adjustment were brought to the level of methodological support of investigated process. Experimental approbation of the devised approach was done from the perspective of functionality of the leading companies in the world market of civilian and military helicopters, including Textron (Bell Helicopters), Airbus (Helicopters), Leonardo, Sikorsky, Boeing, and Russian Helicopters. The possibility of practical application of the devised mechanism for indicators adjustment was demonstrated with regard to handling of applied problems of developing the helicopter manufacturing company Russian Helicopters, aimed at improving its competitiveness in the world market. Results of the conducted research, first, broaden scientific perceptions of the innovation impact on the achievement of strategic outcomes of the companies activity; second, contain methodological support for devising and further functioning of the mechanism for adjustment of innovative activity indicators to achieve the company strategic development benchmarks at the account of secured increasing payoff from innovative activity; third, represent practical interest from the point of handling applied problems of national companies development in various branches and fields, first of all those from developing countries, and so can be used by them when working out strategic and program documents for improving competitiveness in the global economic space.

Suggested Citation

  • Alexander Nickolaevich Melnik & Kirill Andreevich Ermolaev & Mikhail Sergeevich Kuzmin, 2019. "Mechanism for Adjustment of the Companies Innovative Activity Control Indicators to Their Strategic Development Goals," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 20(3), pages 189-218, September.
    • Handle: RePEc:spr:gjofsm:v:20:y:2019:i:3:d:10.1007_s40171-019-00210-z
    DOI: 10.1007/s40171-019-00210-z
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    3. Ghaith M. Al-Abdallah & Kym E. Fraser & Abbas N. Albarq, 2021. "Internet-Based Entrepreneurial Ventures: An Empirical Investigation of Startup Business Strategies on Firm Performance from the MENA region," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 22(1), pages 29-41, March.
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    6. Manoj Kumar Sharma & R. C. Sharma, 2021. "Innovation Framework for Excellence in Higher Education Institutions," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 22(2), pages 141-155, June.

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