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Features Of Formation Of Performance Management In The Forestry Sector

Maksym Shestak
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Maksym Shestak: National University of Life and Environmental Sciences of Ukraine, Kyiv

Economics of Nature and the Environment, 2014, pages 98-100

Abstract: This paper presents a theoretical analysis of the views of many scientists as to understanding the content and features of the functioning of the forest sector as a complex open eco-economic system that requires new approaches to the management of all the processes that occur in it in view of its sectoral specifics. As the forest complex in the affluent areas of forest resources, it is proposed to consider a system that creates the conditions for the convergence of forest service and economic activities, providing the planting, cultivation, exploitation of forest resources, integrated wood processing and the use of other utilities of forest, and is characterized by organizational ordering and territorial integrity. It is supported the conception of a number of scientists that the key elements in effectiveness management process are: focusing on the achievement of goals; control system; results management and effectiveness management system. Taking into consideration the strategic importance of forest resources to the state's economy, it is theoretically grounded the necessity of establishing the strategic system of effectiveness management of the forest sector. In order to evaluate the performance of the proposed effectiveness management system, it is offered to introduce into practice of the entities of the forest complex the balance score card, which will allow investigating the positive and negative consequences of management actions from different perspectives. It is determined that one of the main characteristics of the effectiveness management system is to be flexibility in decision-making, which provides the possibility of making some adjustments to the tasks according to the changing market environment and economic conditions. It is concluded that the formation of the effectiveness management system of forest complex functioning should be based on classical models, but also consider sectoral specifics, where it is important to take into account the considerable time lag between woods reproduction and them reaching the age of maturity.

Date: 2014
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