The tools of sustainable development of industrial production management

Abstract

The key condition of achieving or maintaining the company competitive advantage is appropriate strategy formulating, providing sustainable development of an economic object. The BCG, General Electric, Ansoff, McKinsey and PIMS strategy formulating tools are the most well-known. Recently suggested in literature, the SPACE method enables to overcome some of these approaches limitations. The SPACE model is being applied to analyze the company position in external and internal environments and to develop strategic directions that enable to achieve and maintain the favorable company competitive position. The primary objective of this article is to offer the adaptation of the SPACE model as an sustainable development management tool of economy sectors and to apply it for the Volga Federal District. The results of method applying enable to make a conclusion about high differentiation of economic sectors competitive position. According to the place on the SPACE diagram economic sectors were classified on four types (aggressive, conservative, competitive, and defensive), it enables to identify tendencies of enterprises development with the help of the strategic decision map. It was shown that the region does not use potential in corpore. It is one of the factors that impedes region economic growth and demands actions complex for improving conditions that exists for investors and entrepreneurs. The methodic and the theoretical conclusions can be utilized for developing and implementing the strategic plans of sustainable development of administrative-territorial units.