Cost management for importing equipment and its improvement with tailored supporting business processes at an enterprise

Abstract

Introduction. These days, extra institutional restrictions call for new methods of managing the costs for importing equipment at the national enterprises.

Purpose. The article aims to develop methodological cost management tools for importing mineral fertilizer equipment with tailored supporting business processes at the enterprises.

Materials and Methods. Algorithmic and non-algorithmic approaches are applied to tailor businesses processes at an enterprise.

Results. The article proposes an organization-based cost management mechanism for importing equipment with tailored supporting business processes at the enterprises. Paper’s scientific novelty can be described as follows: 1) integration of algorithmic and non-algorithmic approaches, which are ambivalently applied these days, to tailoring business processes; 2) development of fundamental principles for updating the cost management system for importing equipment with tailored business processes (safety, efficiency, quality, environmental friendliness, sustainability) which account for unique operating conditions of the chemical enterprises. The proposed organization-based cost management mechanism for importing equipment with tailored supporting business processes was tested at the particular enterprise. The article shows that algorithm-based management tools refer to clear technical characteristics and a particular sequence of steps at a particular procurement stage. This contributes into organizing procurement business processes.

Conclusion. Proposed management tools derived from a non-algorithmic approach could permanently adjust the system to the changes in the enterprise’s external and internal environment. The economic efficiency of the tools developed by the authors is demonstrated. Further research is seen to be associated with the synthesis of algorithmic and non-algorithmic approaches to improve all groups of business processes (core business processes, management and development processes) at a chemical enterprise, as well as with testing the proposed tools at the enterprises in other sectors of economy.

Keywords: business process, supporting business process, tailoring, import of equipment, cost management for import, procurement, algorithmic approach, non-algorithmic approach, efficiency, chemical industry

For citation

Bazueva E. V., Modorskaya G. G., Shchelkanova M. A. Cost management for importing equipment and its improvement with tailored supporting business processes at an enterprise. Perm University Herald. Economy, 2023, vol. 18, no. 2, pp. 176–189. DOI 10.17072/1994-9960-2023-2-176-189

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