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Improving the quality of the industrial enterprise management based on the network-centric approach

Author

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  • Fedoseev, S. A.
  • Stolbov, V. Yu.
  • Gitman, M. B.
  • Pustovoyt, K. S.

Abstract

The article examines the network-centric approach to the industrial enterprise management to improve the ef ciency and effectiveness in the implementation of production plans and maximize responsiveness to customers. A network-centric management means the decentralized enterprise group management. A group means a set of enterprise divisions, which should solve by joint efforts a certain case that occurs in the production process. The network-centric management involves more delegation of authority to the lower elements of the enterprise’s organizational structure. The industrial enterprise is considered as a large complex system (production system) functioning and controlled amidst various types of uncertainty: information support uncertainty and goal uncertainty or multicriteria uncertainty. The information support uncertainty occurs because the complex system functioning always takes place in the context of incomplete and fuzzy information. Goal uncertainty or multicriteria uncertainty caused by a great number of goalsestablished for the production system. The network-centric management task de nition by the production system is formulated. The authors offer a mathematical model for optimal planning of consumers’ orders production with the participation of the main enterprise divisions. The methods of formalization of various types of uncertainty in production planning tasks are considered on the basis of the application of the fuzzy sets theory. An enterprise command center is offered as an effective tool for making management decisions by divisions. The article demonstrates that decentralized group management methods can improve the ef ciency and effectiveness of the implementation of production plans through the self-organization mechanisms of enterprise divisions.

Suggested Citation

  • Fedoseev, S. A. & Stolbov, V. Yu. & Gitman, M. B. & Pustovoyt, K. S., 2015. "Improving the quality of the industrial enterprise management based on the network-centric approach," R-Economy, Ural Federal University, Graduate School of Economics and Management, vol. 1(4), pages 608-617.
    • Handle: RePEc:aiy:journl:v:1:y:2015:i:4:p:608-617
    DOI: 10.15826/recon.2015.4.023
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    References listed on IDEAS

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    1. Sah, Raaj Kumar & Stiglitz, Joseph E, 1988. "Committees, Hierarchies and Polyarchies," Economic Journal, Royal Economic Society, vol. 98(391), pages 451-470, June.
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