DISCUSSION QUESTIONS ON DEFINITION OF THE ESSENCE OF THE CONCEPT OF “ORGANIZATIONAL AND ECONOMIC MECHANISM”

Анотація

In modern reality, the problem of defining and identifying the essence of the organizational and economic mechanism is too relevant in theoretical terms and practically in demand. In principle, this topic can be considered sufficiently developed, but not completed, because there is currently a certain imbalance between theoretical developments in this area and the practice of their application: the theory of organizational and economic mechanisms lags far behind the needs of their implementation, and their effectiveness remains too low. These organizational and economic mechanisms should be used in various economic spheres: in the public sector, industries or regions, in the management of individual enterprises, in solving local economic problems, such as: investment, strategic development, financial management, bankruptcy prevention and more. These mechanisms, provided they are adequately and carefully formed, should be present everywhere, in all spheres of economic activity, in which modern approaches to management are implemented. Given the management approach to the formation of such mechanisms, the control and management systems (subject and object) of management are distinguished. Despite the presence of a significant number of improvements in the definition and formation of almost all elements of the management system, absolutely insufficient attention is paid to the combination of subject and object of management, i.e. there is traditionally a lack of research on economic relations between them. The question of taking into account their economic interests in the formation of relations between them remains unexplored, which nullifies all theoretical research and negatively affects the effectiveness and efficiency of economic mechanisms. Therefore, the authors of this paper substantiate an updated approach to defining the essence and ensuring the effectiveness of the practical implementation of organizational and economic mechanisms, which is based primarily on the economic interests of interested economic actors. It is proposed to revise the basic provisions for the application of organizational and economic mechanisms in the management system, which should be economic incentives for the subject and the object of management.

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