Problems of assessing defence contractors’ efficiency

Valery Zh. Dubrovsky, Ekaterina M. Ivanova and Natalia V. Chuprakova
Additional contact information
Valery Zh. Dubrovsky: Ural State University of Economics, Ekaterinburg, Russia
Ekaterina M. Ivanova: Technological Institute of National Research Nuclear University MEPhI (Moscow Engineering Physics Institute)
Natalia V. Chuprakova: Technological Institute of National Research Nuclear University MEPhI (Moscow Engineering Physics Institute)

Journal of New Economy, 2019, vol. 20, issue 5, 92-107

Abstract: The latest completed state armament programme in Russia contributed significantly to the development of the technological and innovative potential of the Rosatom State Corporation’s enterprises. Along with a number of organisational decisions on the withdrawal of non-core assets, it provided other prerequisites for a substantial increase in efficiency. However, the prerequisites need an objective economic assessment, which not only will characterise the actual results of organisational and technical changes, but also offer a tool for monitoring the movement and use of strategically important resources of the country, thus influencing positively the national economic security. The paper explores the problems of evaluating efficiency of the defence contractors forming part of the Rosatom State Corporation. Methodologically, the research relies on the new classical economics. The authors apply index method, factor analysis, and graphical modeling. The obtained regression model illustrates the dependence of the financial performance of the Rosatom enterprises on the labour productivity growth in 2008–2017, and allows scrutinising the correspondence between the planned short- and midterm changes in the organisational and technical potential, and the economic results of these enterprises’ production. The findings indicate a decrease in capital productivity accompanying considerable investments in enterprises’ equipment, which is a glaring contradiction, but also an expected result of low efficiency of using fixed assets.

Keywords: defence contractors; innovative activity; index method; labour productivity; structure of fixed assets; capital-labour ratio; capital productivity. (search for similar items in EconPapers)
JEL-codes: B23 C53 D24 (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://jne.usue.ru/images/download/85/6.pdf (application/pdf)
http://jne.usue.ru/ru/2019/837 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:url:izvest:v:20:y:2019:i:5:p:92-107

DOI: 10.29141/2073-1019-2019-20-5-6

Access Statistics for this article

Journal of New Economy is currently edited by Yelizaveta A. Belousova

More articles in Journal of New Economy from Ural State University of Economics Contact information at EDIRC.
Bibliographic data for series maintained by Victor Blaginin ().