JEL Classification: F 15; G 34; L 22; L 74.
Rakytska S., PhD in Economics, Associate Professor, Associate Professor of the Department of Economics and Entrepreneurship, Odessa State Academy of Civil Engineering and Architecture, Odessa, Ukraine
Zhus O., Senior Lecturer, Department of Economics Enterprise, Odessa State Academy of Civil Engineering and Architecture, Odessa, Ukraine
USING MATRIX METHODS OF PORTFOLIO ANALYSIS IN DESIGNING VERTICAL-INTEGRATED BUILDING STRUCTURE
Introduction. Ensuring productive functioning of corporations requires assessment and management decisions in terms of choosing effective areas of its activities.
Purpose. Investigation of the possibilities of using matrix methods in the formation of a business portfolio in order to create a vertically-integrated structure in the construction complex.
Results. Portfolio analysis is an effective tool, first of all, for functionally flexible, “many grocery” companies, who have the opportunity to quickly make changes to their business portfolio.
For the production of the final construction product, you need the entire technological chain – from the supplier of primary raw materials, to the implementation and further maintenance of finished products. The strategy of the integrated structure is designed to: coordinate the objectives of the merged enterprises, determine the degree of their interaction, maximize the effect of the integration of business entities, develop ways to react newly formed corporation to changes taking place in the external environment, determine the most effective way of its development time, to ensure the competitive advantages of an integrated structure.
The construction of a complex multi-level corporation in a building complex requires the development of a certain algorithm of action, which will ensure the optimality of the newly created structure and effective functioning.
- Construction of the “technological chain” of the production process.
- Estimation of attractiveness and strategic importance of the analyzed element of business for the functioning of the corporation.
- Estimation of the element of the business system in comparison with the market.
- Positioning of all parts of the business system on the matrix, built on these two factors. Horizontally postponed a competitive position, and vertically – the strategic importance of the element of the business system.
- Designing a future business system.
Conclusions. Using the modified matrix of portfolio analysis provides the opportunity to design a “technological chain” taking into account the type of final construction products, assess the degree of competitiveness of existing or potential participants of the corporation, position them depending on the strategic importance for the productive work of the entire association and develop a strategy for each zone management.
Keywords: strategic management, portfolio analysis, matrix approach, strategic business unit, construction corporation.
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