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DOI: https://doi.org/10.34069/AI/2024.74.02.26
How to Cite:
Pryimak, M., Kalyta, L., Sokolov, M., Kaplun, V., & Krasnykov, Y. (2024). Innovative approaches to risk management in the field
of public administration in Ukraine: prospects and limitations. Amazonia Investiga, 13(74), 308-322.
https://doi.org/10.34069/AI/2024.74.02.26
Innovative approaches to risk management in the field of public
administration in Ukraine: prospects and limitations
Enfoques innovadores para la gestión de riesgos en el ámbito de la administración pública en
Ucrania: perspectivas y limitaciones
Received: January 3, 2024 Accepted: February 23, 2024
Written by:
Mariia Pryimak1
https://orcid.org/0000-0003-3249-9902
Larysa Kalyta2
https://orcid.org/0000-0001-6529-3164
Mykola Sokolov3
https://orcid.org/0000-0002-1907-9041
Vladyslav Kaplun4
https://orcid.org/0000-0001-5787-4786
Yevgen Krasnykov5
https://orcid.org/0009-0008-6137-9401
Abstract
In the dynamic landscape of public
administration in Ukraine, addressing risks
through innovative approaches has become a
critical imperative. The primary aim of this study
is to assess the prospects and limitations of
innovative approaches to risk management
within the field of public administration in
Ukraine. By scrutinizing current practices, the
study aims to provide insights into the
effectiveness and potential hurdles associated
with integrating innovative strategies into the
risk management framework. A comprehensive
review of relevant literature and case studies
related to risk management in public
administration in Ukraine was conducted. The
results of the study reveal a range of innovative
approaches employed in Ukrainian public
administration for risk management. These
1
PhD in Physical Education and Sports, Associate Professor, Sports Management and Economy Department, Sport and Management
Faculty, National University of Ukraine on Physical Education and Sport, Kyiv, Ukraine. WoS Researcher ID: AFD-9299-2022
2
PhD in Historical Sciences, Associate Professor, Sports Management and Economy Department, Sport and Management Faculty,
National University of Ukraine on Physical Education and Sport, Kyiv, Ukraine. WoS Researcher ID: JQV-3725-2023
3
Doctor of Economics, Professor, Public Administration and Management, Economics and Management, Sumy National Agrarian
University, Sumy, Ukraine. WoS Researcher ID: W-4848-2018
4
Postgraduate student, Public Administration and Management, Faculty of Economics and Management, Sumy National Agrarian
University, Sumy, Ukraine. WoS Researcher ID: KHX-8584-2024
5
PhD in Public Administration, Deputy Chief, 155 Military Representation the Ministry of Defence of Ukraine, Kharkiv, Ukraine.
WoS Researcher ID: KDQ-9330-2024
Pryimak, M., Kalyta, L., Sokolov, M., Kaplun, V., & Krasnykov, Y. / Volume 13 - Issue 74: 308-322 / February, 2024
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include technological solutions, data-driven
decision-making processes, and adaptive
governance strategies. It also identifies
limitations such as bureaucratic impediments,
resource constraints, and the need for enhanced
legal frameworks. In conclusion, the findings
underscore the importance of innovative risk
management in Ukrainian public administration.
The study advocates for a holistic approach,
emphasizing the need for legal reforms, resource
allocation, and fostering a culture of innovation
within public administration entities. Therefore,
the findings highlight the intricate balance
between prospects and limitations in integrating
innovative risk management approaches in
Ukrainian public administration.
Keywords: public administrations, challenges,
realization, Ukraine, digitalization.
Introduction
In recent years, the landscape of public
administration in Ukraine has undergone
significant transformations, marked by dynamic
socio-political changes, economic challenges,
and technological advancements. As the country
strives to enhance governance effectiveness and
foster sustainable development, the imperative
for innovative approaches to risk management
within the realm of public administration
becomes increasingly apparent (Malachynska et
al., 2022). This discourse explores the prospects
and limitations associated with adopting novel
methodologies in risk management, delving into
the intricacies of their application within the
Ukrainian public administration framework.
The relevance of this topic is underscored by the
evolving nature of risks that confront public
administration, ranging from political
uncertainties and economic volatility to
emerging threats in the digital realm. The
traditional risk management paradigms may
prove insufficient in addressing these
contemporary challenges, necessitating a
reevaluation of strategies and the infusion of
innovative methodologies.
An analysis of existing studies reveals a critical
gap in the exploration of avant-garde risk
management practices tailored to the specific
context of public administration in Ukraine
(Samofatova et al., 2019; Strakhnitskyi, (2022).
While conventional risk management has been
extensively examined, the unique challenges and
opportunities inherent in the Ukrainian
administrative landscape call for a more nuanced
and contextually informed approach (Tkachova
et al., 2021; Vasynova, 2021). This study seeks
to contribute to the existing body of knowledge
by filling this void, offering insights into how
innovative risk management strategies can be
tailored to the Ukrainian public administration
context.
The research problem at the heart of this
investigation revolves around the identification
of viable and effective innovative approaches to
risk management within the Ukrainian public
administration system. As Ukraine undergoes
transformative changes, there is a pressing need
to understand how these innovations can be
harnessed to mitigate risks, enhance decision-
making processes, and ultimately contribute to
the resilience and efficiency of public
administration. Important examples of
innovative risk management approaches used in
EU countries are the use of big data, social
network analysis and artificial intelligence.
These approaches are innovative, therefore, and
recently began to be used in Ukraine.
The aim of this study is to provide a
comprehensive examination of innovative
approaches to risk management in the field of
public administration in Ukraine, evaluating their
potential prospects and acknowledging the
inherent limitations. To achieve this aim, the
research will be guided by the following tasks:
1. Conduct a thorough review of the current
risk management landscape in Ukrainian
public administration.
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2. Identify and analyze innovative approaches
to risk management implemented in other
global contexts.
3. Examine the limitations and challenges
associated with the integration of innovative
risk management strategies in the Ukrainian
context.
Through the accomplishment of these tasks, this
study aspires to offer valuable insights that can
inform policy decisions, enhance governance
practices, and contribute to the overall resilience
and adaptability of public administration in
Ukraine. Thus, this research can have several
important implications for both researchers and
employees; in particular, an important
contribution can be the justification of the need
to reform the risk management system in
Ukraine.
Literature review
In recent years, the field of public administration
in Ukraine has experienced a notable surge in
research exploring innovative approaches to
tackle the evolving challenges of governance.
Scholars have concentrated on diverse aspects,
ranging from quality management in educational
services to the role of project management in
digital transformation. This literature review
offers a succinct overview of key works
contributing to our comprehension of innovative
strategies within the context of public
administration in Ukraine.For instance,
Akhmedova, Avedyan, Gvazava, Shumska and
Zilinska (2022) delved into innovative
approaches in public administration to enhance
the quality of educational services during
transformative phases in Ukraine. Their work
underscored the importance of adapting
governance strategies to meet the dynamic needs
of the education sector amidst societal
transformations. However, the authors focused
mainly on the local analysis, and did not discuss
this problem in a wider (global) perspective. The
work by Bannikov, Lobunets, Buriak, Maslyhan
and Shevchuk (2022) examined the role of
project management in the digital transformation
of small and medium-sized businesses. Their
research explored the essence and innovative
potential of project management, emphasizing its
significance in navigating the complexities of
digital transformation within the business
landscape. However, the shortcomings of this
study are the local nature of the small businesses
analyzed, it was worth doing a comparative
analysis of them with large state
institutions.Moreover, Blättler and Hunziker
(2019) contributed to the understanding of public
administration risk management. Their work, as
a part of the Global Encyclopedia of Public
Administration, provided a comprehensive
overview of risk management practices, offering
insights into the conceptual frameworks,
processes, and challenges associated with risk
management in public administration.
Bodemann (2018) explored considerations of
risk and the developments in risk management
within the global economy. The author analyzed
challenges and advancements in risk
management, particularly within the context of
public administration, providing valuable
insights into navigating risks in a rapidly
changing global economic environment.
Although this research provides an important
foundational framework, it is general and does
not always take into account local management
problems.The study by Kish (2023) discussed
ensuring transparency and responsibility in
public administration, particularly by the State
Bureau of Investigations. The research
emphasized the importance of transparency
measures in enhancing accountability within
public administration entities.
Bučková (2015) focused on knowledge
management in public administration
institutions. The study highlighted the role of
knowledge management practices in improving
organizational efficiency within the public
sector, emphasizing the importance of innovation
in decision-making processes. The research by
Colan, Vrabie, and Raducan (2019) discussed
marketing mix approaches in educational
services and public administration. Their work
explored the interconnectedness of marketing
strategies between educational services and the
public administration domain, contributing to a
nuanced understanding of how marketing
principles can be applied to enhance
effectiveness. Jurczak (2016) focused on
intellectual capital risk management for
knowledge-based organizations. The study
explored strategies for managing intellectual
capital risks, providing valuable insights into risk
management practices within knowledge-
intensive organizations.
In addition, Czerwińska (2016) investigated the
impact of insurance companies' investment
policies on risk management in the public sector.
The study analyzed the complex relationship
between financial strategies of insurance entities
and their implications for risk management in
public administration. Dooranov, Orozonova and
Alamanova (2022) explored the economic basis
for the training of specialists in personnel
management, focusing on future prospects. Their
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research provided insights into the economic
considerations shaping the training of specialists,
contributing to discussions on the future
trajectory of personnel management in the
economic landscape. The study by Kożuch and
Sienkiewicz-Małyjurek (2016) explored the
multidimensionality of risk in public safety
management processes. Their research
highlighted the diverse factors contributing to
risks in public safety management, providing a
comprehensive perspective on risk management
strategies. Hanushchyn (2022) investigated the
relationship between public management and
administration, applying civilization and
transformation approaches to social relations in
Ukraine. The study explored the interplay of
governance methodologies and societal
transformations, offering insights into the
dynamic nature of public administration in the
Ukrainian context. However, the study mainly
took into account the realities of Ukraine, and did
not take into account the global context of the
study. Furthermore, Ivanova (2021) delved into
the mechanisms of public administration in the
field of physical culture and sports in Ukraine.
The research contributed to our understanding of
the specific challenges and opportunities in
managing public affairs related to sports and
physical culture. Finally, Krok (2018)
contributed insights into innovations in public
administration. The study explored the evolving
landscape of innovations within the field of
public administration, emphasizing the
importance of adapting to emerging trends and
technological advancements.
To sum up, these works collectively contributed
to the ongoing discourse on innovative
approaches to risk management and public
administration in Ukraine. The diverse range of
topics, from education and project management
to risk considerations and economic foundations,
highlighted the multidimensional nature of
challenges in the field and underscored the need
for adaptive and innovative governance
strategies .However, the topic of the main
problems and perspectives on the way of
introducing innovations into the management
system still remains relevant and incompletely
researched. In particular, an important direction
is the comprehensive analysis of innovative
approaches to risk management in the field of
public administration.
Methodology
Research purpose and prerequisites
The main goal of this study is to characterize and
analyze innovative approaches used in risk
management practices in the sphere of public
administration in Ukraine. The research is driven
by the need to understand, evaluate and
potentially improve the strategies and
mechanisms used to manage risk in the public
sector. The study will contribute to a broader
discussion of effective governance, identify
opportunities for improvement, and recognize
constraints that may hinder the successful
implementation of innovative risk management
practices.
Type of research
This study uses a qualitative approach based on
an analysis of the available scientific literature.
Being a review article, the methodology focuses
on synthesizing findings from relevant scientific
sources to provide a comprehensive
understanding of innovative risk management in
the context of public administration in Ukraine.
Data collection
For the review article, which is based on the
analysis of scientific sources, the selection of
literature was based on the following aspects:
1. Sources of literature. Using authoritative
academic databases, including but not
limited to Google Scholar, Scopus, Ebsco,
PubMet, DOAJ, IndexCopernicus Web of
Science, to collect relevant scientific
articles, books and reports. Data from
special research platforms and libraries were
also used, including AcademiaEdu,
ResearchGate, and the Vernadskyi National
Library.
2. Search keywords. The search is carried out
using key terms such as “innovative risk
management”, “innovation”, “risk”,
“governance mechanisms”, “public
administration”, “innovative methods”,
“approaches” and “Ukraine” to ensure the
inclusion of literature, relating to the
objectives of the study.
3. Date range. The search covers a defined time
frame (2015-2023), considering relevant
literature published during the last decade to
capture recent developments and trends.
4. Regional focus. The study focuses on the
Ukrainian context, so regional limitations
are set to include sources that specifically
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relate to risk management practices in the
Ukrainian public administration. However,
general fundamental works were used as the
methodological basis of the general concept
of public administration.
Eliminating biases in the literature selection and
analysis process is important to this study.
Several methods are used for this. In particular, a
comprehensive search strategy. The search for
sources was systematic based on the use of
numerous databases and search tools. This
helped to minimize the omission of relevant
sources. Also, special criteria for the inclusion of
literature were developed, which contributed to
the management of the selection process. Thus,
this study is based on various criteria for the
inclusion of literature. Table 1 summarizes the
main criteria for the inclusion of research
literature, which are based on the principles of
relevance, appropriateness of the topic, diversity,
and the language criterion (See Table 1).
Table 1.
Literature inclusioncriteria
Inclusion criteria
Description
1
Relevance to innovative
risk Management
Selected literature must directly address or contribute insights into
innovative approaches to risk management within the context of public
administration. This includes studies, articles, and reports that discuss novel
strategies, methods, or frameworks for identifying, assessing, and mitigating
risks in the public sector.
2
Publication date
Literature selected for inclusion should be recent and up-to-date, with a
focus on publications within the last ten years. This criterion ensures that the
research reflects current trends, practices, and advancements in the field of
risk management within the specified timeframe.
3
Methodological diversity
The inclusion criteria consider a diverse range of research methodologies,
including qualitative, quantitative, and mixed-methods approaches. This
criterion ensures a comprehensive understanding of innovative risk
management practices from various methodological perspectives.
4
Peer-reviewed sources
Preference is given to literature published in peer-reviewed journals,
conference proceedings, and reputable academic publishers. This criterion
ensures the reliability and academic rigor of the selected sources,
contributing to the overall quality of the literature review.
5
Thematic alignment
The selected literature should align with the overarching themes of the
research, encompassing topics such as technological innovations in risk
management, policy frameworks, organizational strategies, and the
effectiveness of innovative approaches in the public administration domain.
6
Language
Literature published in Ukrainian, English or with available English
translations is prioritized. This criterion facilitates accessibility for a wider
audience and ensures that language barriers do not hinder the inclusion of
valuable insights.
7
Diversity of authors and
perspectives
The research values inclusivity and diverse perspectives. Therefore,
literature authored by researchers from various backgrounds, including
academia, government, and industry, is considered for inclusion.
Source: Author’s development
By adhering to these inclusion criteria, the
literature selected for the research contribute
substantively to the exploration of innovative
risk management practices in the field of public
administration in Ukraine, offering a well-
rounded and insightful overview of the current
landscape and future prospects. However, it is
also worth highlighting certain limitations of this
methodology, since the research is based on the
analysis of literature, it is worth defining the
subjectivism that may be present in the works.
Data analysis
Data analysis involves a thorough study of the
selected literature to obtain key insights into
innovative risk management in public
administration. This process includes thematic
analysis, generalization of opinions and
comparative analysis.
In particular, the thematic analysis enabled the
identification of recurring themes, concepts and
methodologies present in the literature to
categorize and organize the results. The method
of summarizing opinions has become important
for the integration of information from different
sources to build a coherent narrative about
innovative risk management practices in the
Ukrainian context of public administration. At
the final stage, a comparative analysis was used,
that is, a comprehensive comparison was made
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between various studies, methodologies and
results to identify patterns and variations in
approaches to risk management.
Using these methods, the research aims to
provide a comprehensive and detailed
understanding of innovative strategies, prospects
and limitations related to risk management in the
sphere of public administration in Ukraine.
Results and discussion
Innovativeness in public administrations (PA)
can be defined as the readiness and ability of
administration to create, adopt, and implement
solutions that contribute to improving both its
internal processes and tasks carried out at the
interface of administration and society
(Akhmedova et al., 2022).
The criterion of scale of changes is usually
closely related to the criterion of process
stability. Thus, we can distinguish:
radical innovations causing breakthrough
changes, involving a complete revolution in
a given area; regarding process stability,
such innovations are usually discontinuous;
incremental innovations involving the
introduction of minor modifications to
improve the current state; such innovations
are typically continuous (Krok, 2018).
Considering the criterion of originality, or the
degree of novelty:
creative innovations, also known as
pioneering or absolute innovations, which
result from original solutions that have not
yet been used;
adaptive innovations, also known as
imitative or replicative innovations, which
replicate existing solutions but not in a
negative sense. These are highly
recommended for poorer countries that
cannot afford extensive research on a large
scale (Krok, 2018).
The classification according to the first three
criteria largely overlaps with how innovations
are applied in commercial firms. However, when
it comes to the criterion of the object of
innovation, innovations typical for public
administration have been identified:
1. Service-related (new/improved public
service), e.g., improving the quality of
public transport (including its accessibility,
frequency, environmental friendliness,
punctuality, travel comfort, or reducing
travel time), introducing city cards, making
public bicycles available, creating industrial
zones for entrepreneurs, developing
incubators, establishing technological parks;
2. Process-related, technological (changes in
the way of
manufacturing/implementing/delivering
services), related to the informatization of
administration and the development of e-
services;
3. Administrative (changes in procedural
approaches, using new policy instruments),
e.g., public consultations, citizen budgets;
4. Organizational (changes in the
organizational structure of administration),
e.g., quality management systems, formal
solutions: communal associations
intermunicipal, inter-district, informal
metropolitan networks (agglomerations);
5. Systemic (new way of
interacting/cooperating with other
organizations), e.g., public-private
partnerships as an example of innovation in
financial management (a private entity
undertakes to implement a project for
remuneration and to bear “all or part of the
expenses for its implementation”; the public
entity, in turn, undertakes to cooperate in
achieving the goal of this project),
cooperation with clusters (Mura, 2022;
Krok, 2018).
Modern information society requires innovative
methods of operation. The public sector is under
increasing pressure to improve its organizations
in terms of increasing efficiency, effectiveness,
and raising the standard of services. One can
observe the shaping of a specific culture of
continuous improvement in the management of
public institutions, using methods and tools
applied in the private sector (Muliarevych, 2022;
Savchuk et al., 2023). Aware of their rights,
citizens are gradually raising the bar for public
administration, demanding high quality, quickly
delivered services, and full access to information.
In the literature, it has been discussed general
perspectives on risk management in the public
sector administration (Fedulova, 2019).
Researchers have specifically addressed the risk
associated with innovations in Public Service
Organizations (PSOs) (Czerwińska, 2016;
Ivanova, 2021). Similar to the commercial
sector, innovations in the public sector involve
investments and entail inherent risks. Both social
and public innovations require resources for
implementation, necessitating risk management
(Tsekhmister et al., 2021a). The need for risk
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management in the public sector stems from the
focus of innovations on service profiles and
delivery methods, which are crucial for society.
Public risk arises when new services are created,
existing ones are improved, or changes are made
in service provision methods, customer
interactions, market expansion, or organizational
adjustments for public service delivery. This
indicates that public risk is inherent in such
processes and is pervasive. PSOs may face
different risks (See Table 2).
Table 2.
Risks, which PSOs may face with
Risk
Description
Technological innovations
Innovations such as improper integration and utilization of current technologies,
inadequate adaptation of technologies to a specific PSO's needs, ineffective
advanced IT and ICT processes, inadequate automation of routine processes,
substandard service quality, unreliable IT support, inadequate delivery of ICT
services, including online services in electronic communication, and a low level of
quality control in public service performance) [i.e. technological risk, which arises
from the deviations mentioned above in PSOs].
Organizational innovations
It is including low internal effectiveness of the organization, ineffective and poorly
organized combination of control and coordination processes, inadequate staff
selection, low quality of human resources training and utilization, insufficient
improvements in functional specializations, inadequate advisory support in
management, ineffective management of a PSO, insufficient legal support and
auditing, and low quality of HR services) [i.e. organizational risk, arising from the
aforementioned deviations in PSOs]
Іtrategic innovations
Innovations such as inadequate flexibility, leading to a failure to adapt to a dynamic
environment for a PSO, inadequate positioning of a PSO, insufficient defense
against contradictory or non-compliant regulations, deficiencies in PSO
management, inadequate online services, poor auditing and legal support, and
ineffective marketing of services); [i.e. strategic risk, arising from the deviations
mentioned above in PSOs],
Operational innovations
It is including inadequate functional division of work, insufficient focus on PSO’s
key activities, neglect of PSO’s operational capacity and image, inadequate
language services, substandard courier services, poor quality of operational
services, and inadequate security services, including lack of safety) etc. [i.e.
operational risk, arising from the deviations mentioned above in PSOs].
Source:adapted from analysis Krok (2018); Akhmedova et al. (2022)
There are numerous other types of risks
encountered when implementing innovations in
public organizations, such as poor public
relations. The significance of legal risk should be
highlighted. Ignorance of the law is not an
excuse, and all processes in PSOs require some
form of legal support, especially concerning
innovations. Legal errors can have specific
consequences, including financial effects.
Among the risks associated with innovations in
public services, the focus should be on the risk of
public service quality and cost (Kożuch &
Sienkiewicz-Małyjurek, 2016). These are two
primary components of innovation-related risks
in public services. A third element to consider is
the risk related to the time required to implement
innovation processes in PSOs. All efforts to
introduce innovations in PSOs aim to improve
service quality. However, low quality of public
services or service performance that fails to meet
recipients' expectations should be seen as a
fundamental type of risk (Raczkowski &
Tworek, 2016).
Many post-socialist countries aspire to
implement public administration reforms, but
even those that have joined the EU have not
achieved much success in a comprehensive
reform of their PA systems to approach European
standards. For example, Croatia has succeeded
only in two areas, namely openness/transparency
and regulatory policy. In the Czech Republic, the
reforms that are needed are adopted formally
without following up with substantive changes in
public management. In Lithuania, the reform
agendas have changed depending on the
politically dominant parties, which have
hindered overall progress. After 25 years of PA
reform, Slovakia still lags behind the EU average
level for most governance quality indicators due
to path-dependency and excessive politicization
(Mura, 2022).
By the middle of the 2010s, the Ukrainian public
administration (PA) system had significantly
deteriorated and was effectively destroyed,
unable to ensure the well-being and security of
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its citizens or even maintain statehood itself.
Public institutions served the private interests of
the ruling elite, which seized control of the most
lucrative sectors of the national economy through
state capture. This situation was not surprising,
as Ukraine was among the post-socialist
countries most resistant to PA reforms. This
viewpoint was widely held among Ukrainian
scholars, who attributed the nation’s political,
economic, and social development challenges to
the outdated post-Soviet PA system, which was
incapable of formulating adequate policies or
implementing them efficiently in the face of
volatile internal and external conditions.
The essence of management innovations in
Ukraine encompasses the strategic
implementation of novel approaches within the
management system to enhance efficiency and
effectiveness in achieving organizational goals.
This is particularly crucial in the context of the
country's ongoing reform programs, where the
successful integration of management
innovations aims to create and maintain
sustainable competitive advantages, ultimately
expanding the socio-economic capabilities of
management objects and subjects (Portnoy,
2023). In the Ukrainian context, the development
and implementation of innovative mechanisms
are deemed essential for fostering a conducive
environment for innovation, leveraging
advanced scientific achievements, and
incorporating successful practices into the
management activities of public authorities.
These innovative mechanisms operate across
various levels of economic management,
contributing to the formulation of the state's
innovative development strategy at the macro
level. They play a pivotal role in creating a
favorable innovation climate for the national
economy and driving the implementation of
state-led innovative projects.
At the regional level, similar tasks are performed,
with a tailored approach that considers the
distinctive characteristics of different regions
within Ukraine. The importance of innovative
mechanisms is particularly highlighted in the
local context, especially with the decentralization
of power (Fedulova, 2019).
At this level, innovative mechanisms become
instrumental in resource utilization, strategy
implementation, and the execution of
development projects within united territorial
communities (UTCs).In the micro-level
landscape of Ukraine, innovative mechanisms
play a vital role in providing favorable conditions
for the development of creative thinking,
research, and the successful implementation of
innovations. Civil society's active participation
becomes an integral component, emphasizing the
importance of grassroots involvement in the
innovation process (See Table 3).
Table 3.
A structured overview of how innovative mechanisms operate at different levels of economic management
in Ukraine
Level of
Management
Key Functions of Innovative
Mechanisms in Ukraine
Examples and Context
Macro Level
Formulation of state's innovative
development strategy, fostering a
conducive innovation climate, and
driving state-led innovative projects.
Implementation of the "Concept for the
development of the digital economy and society of
Ukraine0," integration into the EU Program
Interoperability Solutions, participation in
eCODEX and e-Invoicing projects. |
Regional Level
Similar tasks performed, considering
distinctive characteristics of different
regions within Ukraine.
Tailoring digitalization initiatives to regional
nuances, adapting strategies for innovation based
on regional needs.
Local Level
(Decentralized)
Innovative mechanisms become
crucial in resource utilization, strategy
implementation, and execution of
development projects within united
territorial communities (UTCs).
Implementing digital tools for local governance,
utilizing innovative approaches in resource
allocation, and community-driven development
projects. |
Micro Level
Providing favorable conditions for the
development of creative thinking,
research, and the successful
implementation of innovations with
active participation from civil society.
Encouraging local innovation hubs, supporting
community-driven initiatives, and involving
citizens in decision-making processes.
Source: Fedulova (2019).
Therefore, the deployment of innovative
mechanisms in Ukraine operates at various levels of economic management, tailoring strategies to
regional and local dynamics. These mechanisms
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actively involve the micro-level, promoting
community-driven innovation and fostering an
environment that encourages creativity
(Akhmedova et al., 2022). In the Ukrainian
context, innovative mechanisms not only adapt to
the evolving landscape but also proactively shape
and drive the trajectory of management practices,
ensuring continual progression and
competitiveness in alignment with the country's
socio-economic goals.
In the realm of public management of Ukraine,
the pursuit of innovation is paramount for
addressing contemporary challenges and
fostering sustainable development. The practical
application of innovative approaches in public
administration encompasses a spectrum of key
issues that are central to advancing governance
and enhancing the quality of public services. The
most pertinent issues in the field of public
management innovation in Ukraine include:
1. Formation of an innovative model of city
development.
Knowledge economy foundation. The emphasis
lies in establishing a city development model
grounded in the principles of the knowledge
economy. This involves leveraging intellectual
capital, fostering research and development
initiatives, and promoting educational
advancements to drive economic growth
(Fedulova, 2019).
2. Search for investments in innovative
entrepreneurial areas.
Attraction of foreign investments. A critical
aspect is the active pursuit of investments for
innovative entrepreneurial activities. This
extends to the proactive engagement with foreign
investors to fuel local and regional development,
thereby stimulating economic growth through
innovative ventures (Fedulova, 2019; Bannikov
et al., 2022).
3. Development of a network of innovative
structures.
Establishment of Business Centers and Startups.
To cultivate innovation, the focus is on creating
a network of innovative structures, such as
business centers and startup companies. This
initiative is aimed at fostering entrepreneurship,
providing a supportive ecosystem for startups,
and promoting a culture of continuous innovation
(Bannikov et al., 2022; Tsekhmister et al.,
2021b).
4. Management of Quality Services through
ISO 9001:2000.
International Standards Implementation. A
critical facet involves the management of the
quality of public services through the adoption of
the International Organization for
Standardization (ISO) 9001:2000. This
international standard serves as a framework for
ensuring the effectiveness and efficiency of
administrative services.
5. Institutional development of analytical
centers (Fedulova, 2019)
Integration of Knowledge into Local
Governance. An essential component is the
institutional development of analytical centers
and consulting structures. These entities serve as
instruments for injecting knowledge into the
activities of local self-government bodies,
enhancing informed decision-making and policy
formulation (Bučková, 2015; Tsekhmister et al.,
2021b).
6. Cultural and Economic Regionalization.
Localization of Cultural Industries. Another key
consideration is the cultural and economic
regionalization strategy. This involves the
localization of models for the development of
cultural (creative) industries, thereby
contributing to the formation of an innovative
capacity within the social environment
(Fedulova, 2019).
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Figure 1. Modern organizational structures of public administration.
Source: based on Fedulova (2019)
In Ukraine, the government's operational agenda
has explicitly outlined the digitalization of the
country as a pivotal innovative approach, as
outlined in the priorities. This strategic emphasis
on digitalization aligns with overarching goals
that encompass the comprehensive
transformation of public services, widespread
digital literacy training for a minimum of 6
million Ukrainians, and the ambitious target of
integrating up to 10% of the IT sector into the
country's gross domestic product (Kostenyuk et
al., 2021). The strategic roadmap for digitization
prioritizes specific sectors crucial to the nation's
development, including customs, tax
administration, urban planning, land protection,
healthcare, education, social protection, pension
provision, judicial proceedings, and information
security (Digital Agenda of Ukraine-2020,
2016). The overarching aim is to enhance the
efficiency, transparency, and accessibility of
these sectors through the strategic application of
digital technologies (HITECH office, 2016).
Digital technologies, as the cornerstone of the
state's digital development policy, are envisioned
to uphold fundamental principles. These
principles include default digitization, ensuring
openness, reusability of data, technology
neutrality, and portability of information, citizen-
centricity, inclusiveness, accessibility, safety,
and privacy (Portnoy, 2023). The adoption of
these principles by executive authorities is not
merely a procedural formality; rather, it marks a
pivotal shift, creating a point of no return from
analog elements in administrative and
management decision-making processes. The
commitment to digitalization reflects a
transformative agenda where the government
seeks to harness the full potential of technology
to streamline public services, empower citizens
through digital literacy, and integrate the IT
sector as a driving force in the national economy.
This strategic focus not only propels Ukraine
towards the digital future but also underscores a
fundamental shift in governance philosophy
towards a more transparent, efficient, and
citizen-centric paradigm (Kostenyuk et al.,
2021).
Acknowledging the prevailing global trends in
digital advancements within the realm of public
administration, Ukraine has positioned itself to
embrace a forward-looking approach. This
commitment is exemplified by the enactment of
the Cabinet of Ministers of Ukraine's Decree No.
67 on January 17, 2018, which formally
approved the “Concept for the development of
the digital economy and society of Ukraine for
2018-2020 (Order, 2018).” This strategic
framework envisions a synergistic integration of
social, mobile, cloud technologies, data
analytics, and the Internet of Things. The
collective application of these technologies is
anticipated to catalyze transformative shifts in
public administration, rendering the sector more
effective, responsive, and valuable to the
citizenry. Aligned with the provisions outlined in
the Concept, Ukraine embarked on a
comprehensive digitalization initiative across
three key areas during the period 20182023,
harmonizing with European legislation standards
(Order No 167, 2021). The first strategic thrust
revolves around interoperability
(Interoperability) and electronic services
(eServices). Ukraine actively participated in the
EU Program Interoperability Solutions for
European Public Administrations 2, engaged in
Modern organizational
structures of public
administration
New regional policy
Strategies, programs, and
projects for economic
development based on the
concept of "smart
specialization"
innovative ecosystems of
amalgamated territorial
communities (ATC) creative
platforms inclusive business
models
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projects such as eCODEX and e-Invoicing, and
contributed to the Single Digital Gateway
initiative (Order No. 649, 2017). These initiatives
aim to enhance collaboration, streamline
services, and foster interoperability between
Ukraine and European counterparts. The second
strategic focus area is open data, marked by the
establishment of the state open data web portal
(data.gov.ua). This portal was seamlessly
integrated into the central European open data
portal europeandataportal.eu and data.europa.eu
(Kostenyuk et al., 2021). The objective is to
boost the transparency, openness, and efficiency
of governmental operations, laying the
groundwork for the burgeoning open data
industry. The third crucial facet of the
digitalization strategy is electronic identification
(eID), aligning with the implementation
of Regulation No. 910 (eIDAS) adopted by the
EU in 2014 (EDICOM, s.f). The overarching
objective of this regulation is to set uniform
standards for electronic identification
development, provision of electronic trust
services within EU countries, and the facilitation
of cross-border e-identification (Resolution No.
56., 2019). This project is oriented towards
standardizing electronic identification in realms
such as e-medicine, electronic public services,
and e-banking. The ultimate goal is to contribute
to the development of the EU Digital Single
Market, promote cross-border collaboration,
enhance the mobility of EU citizens and
businesses, and reinforce the digital
infrastructure. Ukraine's strategic pursuits in the
digitalization landscape reflect not only an
alignment with international best practices but
also a commitment to fostering innovation,
transparency, and efficiency within its public
administration (Kostenyuk et al., 2021). The
outlined initiatives underscore Ukraine's
proactive stance in embracing digital
transformations to propel the nation into a more
connected and technologically advanced
future.On the other hand, in the context of
Ukraine, several constraints impede the seamless
digitalization of public administration. These
limitations stem from various factors, including
technological, infrastructural, regulatory, and
socio-economic aspects (See Table 4).
Table 4.
Description of constraints on public administration digitalization in Ukraine
Infrastructure Challenges
Example
Limited broadband access in rural areas hinders the widespread adoption of digital services,
as citizens may face difficulties accessing online platforms.
Technological Gaps
Example
Outdated hardware and software in some government agencies may result in compatibility
issues, slowing down the overall digitalization process.
Cybersecurity Concerns
Example
Heightened vulnerability to cyber threats poses a challenge, as inadequate cybersecurity
measures may compromise the integrity and security of digital systems.
Limited Digital Literacy
Example
A significant portion of the population lacks sufficient digital literacy skills, hindering their
ability to fully engage with online public services.
Bureaucratic Inertia
Example
Resistance to change within bureaucratic structures may impede the swift implementation of
digital solutions, as officials may be reluctant to adopt new technologies.
Resource Constraints
Example
Limited financial resources allocated to digitalization initiatives may slow down progress,
preventing the acquisition of advanced technologies or the hiring of skilled personnel.
Legal and Regulatory Framework
Example
Complex and outdated regulatory frameworks may create legal uncertainties and impede the
development of clear guidelines for digital initiatives.
Interoperability Challenges
Example
Lack of standardized systems across government agencies may lead to interoperability
issues, hindering seamless data exchange and collaboration.
Data Privacy Concerns
Example
Stringent data protection regulations may limit the scope of digital initiatives, as concerns
over privacy may result in cautious implementation.
Educational System Challenges
Example
Insufficient integration of digital skills into the education system may result in a workforce
that lacks the necessary skills for effective digital participation.
Source: Author’s development
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Ukraine has shown a commitment to embracing
digital advancements in public administration, as
seen in the approval of the “Concept of the
development of digital competences and the
approval of the plan of measures for its
implementation (Order No 167, 2021) This
strategic framework aims to integrate
technologies such as social, mobile, cloud, data
analytics, and the Internet of Things to enhance
public administration effectiveness. Initiatives
such as interoperability, open data, and electronic
identification align with European standards and
aim to boost transparency, efficiency, and
collaboration. Despite these efforts, Ukraine
faces constraints in digitalization, including
technological, infrastructural, regulatory, and
socio-economic factors.
The results obtained during the study confirm the
conclusions of other scientists. In particular, it is
important to agree with the conclusions of Sayed
(2023) regarding the use of certain business
practices in modern public administration, which
is provided by state authorities. Similarly, the
proposed study confirmed the results of
Volokhova & Evseenko (2016). Volokhova &
Evseenko (2016) offer new definitions of vectors
for the development of innovative
methodological approaches to the study of social
responsibility in the field of risk management.
On the basis of the obtained results, it is possible
to confirm the hypothesis of the specified
researchers that, under modern circumstances, an
important renewal of the public administration
system is taking place in Ukraine. At the same
time, if they emphasized the digitalization of
such management as a deep prospect, it is evident
in the proposed study that such prospects did not
require a long time to be realized. It is worth
agreeing with the general concepts of Jurczak
(2016), who believed that the use of intellectual
capital is an important factor in the provision of
qualified administrative services. As indicated in
the study, despite the numerous challenges, one
of the ways of further improvement is the
involvement of high-level specialists with
relevant skills and knowledge not only in the
professional field, but also in the ability to
communicate with service users. By the way,
similar conclusions were also reached by other
scientists who identified the importance of
training and training of personnel as important
elements of the further reform of public
administration (Bodemann, 2018; Kish, 2023).
Instead, the conclusions of Razumei and
Razumei (2021), which suggest prematurely
turning to the experience of leading countries and
abandoning the paper circulation of
documentation, seem premature. Under the
current conditions in Ukrainian realities, such
initiatives look premature against the background
of not only the usual risks proposed in the article,
but also due to the armed aggression of the
Russian regime.
It is important to understand the limitations of
such a methodology. For example, limited
availability of data on corporate social
responsibility and risk management practices are
big issues for further discussions. Another
limitation is complexity in measuring corporate
social responsibility and the impact of risk
management on this metric. The third one is
heterogeneity of approaches to defining
corporate social responsibility and risk
management across different countries and
industries.In summary, innovative research
methodologies for studying social responsibility
in the field of risk management highlighted the
intersection of these two areas and offering new
perspectives for analysis and evaluation.
Conclusions
During the research analysis, it was determined
that innovative approaches in the management of
public affairs in Ukraine are key to achieving
strategic goals. It has been proven that the
development and implementation of innovative
mechanisms are of decisive importance for
creating a favorable environment for innovation
and the implementation of advanced scientific
achievements in the activities of public bodies.
These innovative mechanisms operating at
different levels macro-, regional, and micro-
levels contribute to the formulation of the
state's innovation development strategy, the
creation of a favorable climate for innovation in
the national economy, and the implementation of
state innovation projects. It is proven that these
mechanisms are important for adaptation to
various characteristics of regions at the regional
level and are key in the conditions of
decentralization of power at the local level,
ensuring optimal use of resources and
implementation of development projects of
united territorial communities.
At the micro level, innovation mechanisms are
catalysts for the development of creative
thinking, research and successful
implementation of innovations, with the active
participation of civil society, which emphasizes
the importance of their participation in the
innovation process.
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However, it is important to determine that there
are certain limitations on the way to the
successful implementation of innovations in the
management of public affairs in Ukraine. First of
all, this includes the need to overcome
administrative bureaucratic obstacles, improve
the legal framework and provide financial
support for the implementation of innovative
projects. In addition, it is important to ensure
openness and transparency in management
processes, as well as to actively involve citizens
in management decisions to ensure greater
legitimacy and support for innovation in society.
Besides, it is important to appreciate the
limitations of the research methodology. For
example, limited availability of data on corporate
social responsibility and risk management
practices are big issues for further discussions. In
addition, other limitations of the chosen
methodology should also be taken into account.
Since the research is based on the analysis of
literature, subjectivism is possible in the selected
works.
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