Yaroslavl, Russian Federation
Yaroslavl, Yaroslavl, Russian Federation
JEL L60 General
JEL M11 Production Management
JEL D24 Production • Cost • Capital • Capital, Total Factor, and Multifactor Productivity • Capacity
The article examines the impact of digitalisation of key business processes of an industrial enterprise on production, financial efficiency, and the indicators determining its competitiveness. The purpose of the research is to develop an integrated approach to improve the activities of an industrial enterprise based on the digitalisation of business processes and assess its impact on regional and international competitiveness. The methodological framework includes systematic and process approaches, investment analysis methods (NPV, IRR, ROI, payback period), and a comparative analysis of indicators influencing on the introduction of digital solutions. The empirical basis is the data of OOO Novakhim, Ivanovo, Russia, specialising in the production of industrial chemicals. The introduction of an integrated ERP system, MES module, digital logistics, and management analytics provides a reduction in the production cycle, reduces losses and downtime, increases productivity, and improves working capital turnover with positive NPV values and an acceptable payback period for the project. The proposed approach to digitalisation and assessment of the effectiveness can be used by industrial enterprises to justify investments in digital transformation aimed at strengthening their regional and international competitiveness. It ensures the practical significance of the research.
digitalisation; industrial enterprise; business processes; digital transformation; regional competitiveness; international competitiveness
1. Vial, G. (2019). Understanding digital transformation: A review and a research agenda. Journal of Strategic Information Systems. https://doi.org/10.1016/j.jsis.2019.01.003
2. Verhoef, P. C., Broekhuizen, T., Bart, Y., Bhattacharya, A., Dong, J. Q., Fabian, N., & Haenlein, M. (2021). Digital transformation: A multidisciplinary reflection and research agenda. Journal of Business Research. https://doi.org/10.1016/j.jbusres.2019.09.022
3. Bharadwaj, A., El Sawy, O. A., Pavlou, P. A., & Venkatraman, N. (2013). Digital business strategy: Toward a next generation of insights. MIS Quarterly. https://doi.org/10.25300/MISQ/2013/37.2.03
4. Teece, D. J. (2018). Business models and dynamic capabilities. Long Range Planning. https://doi.org/10.1016/j.lrp.2017.06.007
5. Frank, A. G., Dalenogare, L. S., & Ayala, N. F. (2019). Industry 4.0 technologies: Implementation patterns in manufacturing companies. Journal of Cleaner Production. https://doi.org/10.1016/j.jclepro.2019.118173
6. Xu, L. D., Xu, E. L., & Li, L. (2018). Industry 4.0: State of the art and future trends. International Journal of Production Economics. https://doi.org/10.1016/j.ijpe.2018.02.020
7. Kagermann, H. (2015). The concept of Industry 4.0: Prospects and directions of development. https://doi.org/10.13140/RG.2.2.29269.22248
8. Breque, M., De Nul, L., & Petridis, A. (2021). Industry 5.0: Towards a sustainable, human-centric and resilient European industry. European Commission. https://doi.org/10.2777/308407
9. Ivanov, D., & Dolgui, A. (2019). Digital supply chains and sustainability. International Journal of Production Economics. https://doi.org/10.1016/j.ijpe.2019.107579
10. Kritzinger, W., Karner, M., Traar, G., Henjes, J., & Sihn, W. (2018). Digital twin in manufacturing: A categorical literature review and classification. Procedia CIRP. https://doi.org/10.1016/j.procir.2018.03.174
11. Brynjolfsson, E., & McAfee, A. (2019). Digital economy and productivity. Journal of Economic Perspectives. https://doi.org/10.1257/jep.33.2.3
12. Westerman, G., Bonnet, D., & McAfee, A. (2014). Leading digital: Turning technology into business transformation. Academy of Management Perspectives. https://doi.org/10.5465/amp.2011.0034
13. Porter, M. E. (2020). Competitive advantage: How to achieve a high result and ensure its sustainability. Alpina Publisher. https://doi.org/10.1007/978-1-349-11336-1
14. Schwab, K. (2019). The Fourth Industrial Revolution. Eksmo. https://doi.org/10.7591/9781501188899
15. Damodaran, A. (2021). Investment valuation: Tools and methods for evaluating any assets. Alpina Publisher. https://doi.org/10.1002/9781118011529
16. Babkin, A. V. (2020). Digital economy and industrial development in Russia. Scientific and Technical Bulletin of SPbPU. https://doi.org/10.18721/JE.14204
