Strategic Management of Enterprises Innovative Development in the

Conditions of Digitalization of Economy

Liliana Horal

, Svitlana Korol

, Inesa Khvostina

, Sofiia Dub

and Vira Shyiko

Ivano-Frankivsk National Technical University of Oil and Gas, Karpatska Street, Ivano-Frankivsk, Ukraine

Keywords: Strategic Management, Innovation Development, Digitalization, Digital, Enterprise.

Abstract: Article investigates issues of enterprises innovative development strategic management in the conditions of

digitalization on the example of oil transport enterprises. Based on the research of domestic and foreign

scientists, the author's vision of the definition of "digitalization - a production process characterized by

transformational changes aimed at the symbiosis of digitization and software." The algorithm of methods for

assessing the level of strategic management of oil main transport enterprises innovative development. The

stages of assessing the level of strategic management of oil pipeline enterprises innovative development are

determined. Suggested a system of generalized and partial indicators of enterprise functioning that affect the

level of innovation development management, which, in contrast to the existing ones, include indicators for

assessing the state of organizational, technical and economic development of the enterprise and indicators for

assessing the level of strategic management of innovation development. This allowed to determine the

effective quality indicators for assessing the level of strategic management of oil transportation company

innovative development to make innovative decisions based on digitalization.

1 INTRODUCTION

In the conditions of permanent changes in the

economy, one of the most important tasks for

enterprises is to find innovative ways to gain

competitive advantage. One of the most important

areas is the enterprise management system, which

acts as an activity that combines not only the

implementation of a predetermined algorithm of

actions and operations, but also, in fact, is a product

of these activities in the form of various management

activities. Therefore, the key role in this process is

given to business management processes, which are

directly represented by the company's management.

However, given the realities of today, the enterprise

management system acquires an innovative

component that demonstrates openness and focus on

domestic and promising market opportunities, which,

in turn, are realized through digitalization tools. The

peculiarity of such a system produces a stable

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competitive position, income maximization in order

to ensure sustainable development. The system of

enterprise innovative development management in

the conditions of digitalization is capable to eliminate

the accumulated problems of innovative character,

and also to improve the enterprise as a whole, to give

it the chance for economic growth, in particular by

introduction of digitalized actions.

In the current reality, digitalization is associated

with the latest trends in information technology,

which, in fact, correlate modern areas of production.

Despite the rapid use of digital directly due to its

significant potential, it is still in the process of its

formation and formation, thus determining the

priority socio-economic directions of development It

is obvious that digitalization to some extent

determines the competitive position of industrial

enterprises, which is characterized not only by

efficiency and productivity, but also by the level of

innovative development. It allows you to use the

latest digital forms of communication, use

230

Horal, L., Korol, S., Khvostina, I., Dub, S. and Shyiko, V.

Strategic Management of Enterprises Innovative Development in the Conditions of Digitalization of Economy.

DOI: 10.5220/0011348700003350

In Proceedings of the 5th International Scientiﬁc Congress Society of Ambient Intelligence (ISC SAI 2022) - Sustainable Development and Global Climate Change, pages 230-239

ISBN: 978-989-758-600-2

opportunities through acquired competencies and

adapt them to permanent changes in the environment.

At the same time, the issues of its implementation and

setting new benchmarks are subject to

transformational changes at the state, enterprise and

personal development levels, based on the symbiosis

of innovations of the 4th Industrial Revolution,

industrial policy development strategy and energy

strategy of Ukraine until 2035. In the same context,

experts predict the consequences of such a symbiosis,

as it is about achieving goals, objectives of

sustainable development in the use of soft digital.

Therefore, the relevance of this study is beyond

doubt.

2 LITERATURE REVIEW

In today's world, digitalization is a key prerogative of

permanent change. It is characterized by a process

that includes transformation, introduction of digital

technologies, which aim not only to optimize but also

to automate business processes, which will lead to

improved communication links and increase the

efficiency of enterprises themselves (Lazorenko &

Sholom, 2020). «Strategy of Development of

Industry 4.0”, developed by the Association of

Industrialists and Entrepreneurs of Ukraine, treats

digital transformation as social or technological

changes that are associated with the penetration of

digital technology in all aspects of human interaction

(Strategy of Development of Industry 4.0. 2019).

Such transformational changes allow to find digitized

approaches and concepts of managerial character for

the decision of classical problems as Horal L., Korol

S., Havrylenko M., Hvostina I., Shyiko V. (Horal et

al., 2020).

Digitization, according to J.-P. de Clerck, is to use

digital technologies and data (digitized

igitalizated) and existing in digital form first) to

make a profit, improve business, change/transform

business processes (other than purely digitization of

the latter) and create an appropriate environment for

their implementation based on the use of digital

information. For business purposes, digitalisation is

seen primarily as enabling, improving and/or

transforming business operations and/or business

functions and/or business models/processes, and/or

the business as a whole through the use of digital

technologies and wider use of digital data

transformed into knowledge in order to obtain certain

benefits. If digitization is mainly about data systems,

the digitization process focuses on information and

interaction systems enhanced by digitized data and

processes (De Clerck J.-P., 2019).

G. Sokolova, researching aspects of the digital

economy in Ukraine, identified that "digitalization is

characterized as the creation of a digital (based on

bytes and bits - the least addressed units of

information) version of analog things on paper

documents, video and photos, sounds" (Sokolova,

B2018).

In view of the above, we note that the definition

of "digitalization" is interpreted by scientists as a

process of using, applying, transferring and

translating information into digital format; system of

data collection, storage, analysis, application of

artificial intelligence; transformation of the

penetration of digital technologies to optimize

business processes. Under the concept of

digitalization, we understand the production process,

characterized by transformational changes aimed at

the symbiosis of digitization and software.

The above shows that the modern trend of social

development under modern conditions is the

extensive introduction of the mechanisms and

processes of the digital economy into the entire social

activities. Process digitization involves the

technological and economic development of society

and the use of technologies that have an impact on

economic growth during implementation (Lisencova

and Kseniya, 2018). Process digitization involves the

technological and economic development of society

and the use of technologies that have an impact on

economic growth during implementation (Lisencova

and Kseniya, 2018).

Digital technologies continue to expand their

fields of use, the cost of implementing the necessary

toolkits continues to decrease, the economy is

increasingly digitized, and the availability of digital

devices continues to increase. Based on the above,

We can conclude that the digitalization of modern

social economy is an inevitable process of leading

social development (Magomedov et al.,

2020).

3 APPLICATION, ANALYSIS

AND DISCUSSIONS

In the context of digitalization, strategic management

is directly related to the innovative development of

the economy, industry (region), enterprise and

technological innovations that allow to form an

effective concept of development, while changing the

planning function of organizational function creates

patterns of strategic management. Skillful use of

Strategic Management of Enterprises Innovative Development in the Conditions of Digitalization of Economy

231

digitalization tools allows to significantly influence

social, financial, energy and other issues in a

comprehensive way and achieve effective results, but

such changes require active innovative development.

The direction of innovative development vector is a

function of many variables, including the goals of the

enterprise, its income from innovative products, the

amount of invested innovative capital, as well as the

implementation of innovative projects.

Therefore, the characteristic of the enterprise

innovative development is the reorientation of

production not to the mass consumer, but to the

specific needs of individuals. Modernization of

people's lives leads to increasing demands on the

quality and variety of goods and services. Society is

becoming more open to innovation as a means to

achieve the necessary diversity. There is a

reassessment of the human factor in the economy: the

role of people with knowledge and bearers of

innovations in the field of organizational, scientific,

technical and environmental culture is growing

(Oliynyk, 2017).

Innovative development as a key factor of success

in the context of digitalization allows us to consider

enterprise management as a complex economic

system consisting of management subsystems. In the

system of strategic management in general there are

such functional subsystems as logistics management;

production management; HR; sales management;

information management; risk management;

organization management; innovation management;

financial management.

The main purpose of the implementation of

strategic management is the need to ensure

continuous and sustainable development of the

enterprise in a dynamic environment. The transition

of the enterprise to strategic management provides an

opportunity to predict future development and make

timely management decisions, goals and strategies

(Horal et al., 2021).

Given that Ukraine has defined its strategic goals

in the direction of the Energy Strategy until 2035

(Order of the Cabinet of Ministers of Ukraine, 2017)

and predicted indicators of economic and social

development of Ukraine for 2021 - 2023 (Resolution

of the Cabinet of Ministers of Ukraine, 2020), then it

is important to determine the level of strategic

management of innovative development of industrial

enterprises as those that are recognized in these

regulations as strategically important in the near

future.

Actually, the strategy for the development of the

oil and gas industry is based:

- on oil landmarks, - balance, imports and exports;

- on the characteristics of internal and external

sources, as well as proposals;

- on the development of the oil refining industry;

- on the characteristics of the current state and

development of the oil transportation system.

Based on the strategic vectors of development of

oil transportation companies that require strategic

innovation decisions, we propose to build a targeted

integrated functionality of key indicators

(parameters).

It will be carried out in order to assess the level

of innovation and strategic development of oil

transportation companies using the criteria of their

normalization in the time range according to a

predetermined algorithm (Fig. 1).

It should be noted that in the process of assessing

and forecasting the level of of oil transportation

companies innovative development strategic

management, it is important to control the stock of

financial stability. It is one of the key indicators that

the company takes into account when forming

strategic development guidelines.

This indicates that if the company has a

"sufficient" margin of financial stability, the strategy

of its development can be focused on investing in

production, human resources, development of new

markets and new products, etc.

Figure 1: Algorithm of methods for assessing the level of

strategic management of oil main transport enterprises

innovative development (author's development)

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232

The system of indicators for assessing the level of

strategic management of oil transportation enterprises

innovative development will be presented in table 1

(Resolution of the Cabinet of Ministers of Ukraine,

2020; Tyutyunnyk, 2009; Alekseev and Panchenko,

2004).

Table 1: The system of indicators for assessing the level of strategic management of oil transportation enterprises innovative

development.

Input indicators

Periods

… t

Performance

indicators

1 2 3 4 5

Subsystem of indicators of generalized assessment of the state of organizational, technical and economic

development of the enterprise

Depreciation rate of fixed assets, the share. f

… f

Organizational

and technical

level of

productive

forces

development

Fixed assets renewal rate, share. f

…f

Fixed assets turnover ratio

(

return on assets

)

, share. f

…f

Coefficient of financial support for the development of

roductive forces, thousand UAH /

erson.

… f

Net income from sales of

roducts, thousand UAH f

…f

Cost of

oods sold, thousand UAH f

…f

Volume of

rea

-even production, thousand UAH f

…f

Operating income, thousand UAH. f

…f

Operating expenses, UAH thousan

…f

ОE

Variable costs, thousand UAH. f

101

102

…f

10n

Constant costs. thousand UAH f

111

112

…f

11n

Ccost

Mar

inal income, thousand UAH. f

121

122

…f

12n

Profit (loss) from operating activities, thousand UAH f

131

132

… f

13n

Subsystem of effective quality indicators for assessing the level of strategic management of oil transportation

companies innovative development

Economic efficiency, share. q

…q

Stock of financial stabilit

, share.

…

SFS

Profitabilit

ratio of fixed assets, share.

…

PRfa

Return on current assets, share.

…

Rca

Margin income ratio in operating income q

…q

MIROP

Profitability threshold, thousand UAH. q

…q

The share of the

rea

-even point in operating income, % q

…q

SBP

Zone of financial stabilit

, thousand UAH

…

ZFS

Note: Е = (TR- Сg) / Сg; SFS = (TR-PB) / TR або SFS = (OI-Pr)/OI х 100 або SFS= ZFS/OI х 100; PRfa = NP/FA; Rca =

NP × 100/ОК; NP – Net profit; Coefficient of financial support for the development of productive forces of the enterprise =

(Investment in the development of productive forces of the enterprise / Number of personnel of the enterprise); MI=OI –

VC; MIROP =MI/OI; Pr=Ccost/ MIROP; ZFS =OI- Pr

The process of assessing the level of strategic

management of oil transportation enterprises

innovative development should be carried out in

accordance with certain stages (Fig. 2).

Source: compiled by the authors according to the data

Figure 2: Stages of assessing the level of oil pipeline enterprises innovative development strategic management (Tyutyunnyk,

2009).

• Monitoring of generalized and partial indicators for assessing the level of strategic management of oil

transportation enterprises innovative development

• Assessment of the organizational and technical level of development of the oil transportation enterprise

productive forces

• Integral assessment of innovation strategic management security level

• Integral assessment of strategic management of the oil transportation enterprise innovative development

efficiency level

• Comprehensive integrated assessment of the oil transportation company innovative development

strategic management efficiency level

Strategic Management of Enterprises Innovative Development in the Conditions of Digitalization of Economy

233

Therefore, in the conditions of permanent changes in

today's conditions, it is extremely important to study not

only the management system, but also to determine

successive stages in assessing the level of strategic

management of enterprises innovative development,

including oil pipelines operating in the digital space.

In general, in the context of industrial enterprises,

digitalization promotes innovative development.

According to Andersson van der Hayden (Tyutyunnyk

Yu. M., 2009), at digital-transformation at the enterprise

it is necessary to focus attention on key aspects of

development of the business environment, fig. 3.

Source: author's development

Figure 3: Directions of innovative enterprises development in the conditions of digitalization.

Among the oil transportation companies that

implement the digitalization process, it is necessary

to single out NJSC Naftogaz of Ukraine, which has

put the SAP S/4HANA system into commercial

operation. This is an innovative platform for

integrated management of the company's processes,

which can expand and fully cover all business

processes of the Naftogaz Group. In fact, the

management system at JSC "Ukrtransnafta" in terms

of digitalization is ready for innovative solutions, as

it meets the management system of world

standards.In particular, the management system of the

pipeline transport company meets the requirements of

international standards for quality management (ISO

9001: 2015), environmental management (ISO

14001: 2015), compliance management (ISO 19600:

2014), energy management (ISO 50001: 2018) and

occupational safety and health management (ISO

45001: 2018). Based on this, Ukrtransnafta JSC

guarantees high-quality fulfillment of contractual

obligations on oil transportation and storage with

provision of uninterrupted, energy-saving and

environmentally safe operation of Ukraine’s oil

transportation system. JSC "Ukrtransnafta" was one

of the first in Ukraine on the basis of a certificate of

quality management (ISO 9001: 2015) received

confirmation of compliance with the implementation

of the compliance management system (ISO 19600:

2014)

(Marchenko, 2019).

Among the immediate plans of Ukrtransnafta JSC

is the ISO 37001 certification procedure for

preventing and combating corruption and confirming

compliance with the requirements of international

information protection standards (ISO 27000). These

certificates will be another component to increase the

competitiveness and investment attractiveness of the

company.

This allows Ukrtransnafta JSC to operate in a

single system. Also today, Naftogaz and Ukravtogaz

also conduct their business operations in such a single

system. The business processes of these companies

are subject to general rules, use general reference

data, which allows you to evaluate the business from

a single comprehensive position. Companies use the

SAP S/4HANA system for procurement of materials

and services, payments to contractors, shipment of

products, accounting transactions, formation of tax

invoices and declarations, control over the

implementation of budget limits. The implementation

of the system took only seven months and was carried

out by Naftogaz Digital Technologies LLC without

the involvement of third-party contractors

(Tyutyunnyk, 2009).

The key task for oil transportation companies is

the comprehensive implementation of SAP. In

addition to improving existing business processes, it

is necessary to continue to open new areas of activity,

including entering the retail gas market and the

development of alternative energy.

Obviously, the key to the successful application of

all tools of digitalization are providing business

processes, including information resources. Thanks

to their skilful management, the state of the

Ukrtransnafta oil pipeline transport enterprise has

undergone significant changes in the field of

innovative development (Alekseev, Panchenko,

2004):

1) support includes such facilities as MNT

Southern (upper/lower), 4 foreign missions, 4 LVDS,

4 territorial offices/management staff, 5

digital environment

digital management

digital culture

digital strategy

Innovative enter

rise develo

ment

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CBVO/BVO, 18 NPS, <150 KP with communication

systems / data transmission / telemechanics systems;

1) created data centers / servers: data centers in

Kiev (TIER III standard), Windows Server 2016

platform and one Windows domain UTN, 2 server

platforms and data warehouses (2018 production);

2) users are <1300 employees, there are 2 types of

workstations, 1 type of Windows 10 OS;

3) corporate mail has 1 server, 1 domain, 1 type of

mail (Exchange) licensed with reservation and

control of one point of sending information to the

Internet (All mail on the Company's servers,

controlled by both traffic and anti-virus protection

system (cyber protection);

4) improved printing service, as 180 new units of

equipment appeared, 4 types (formats) of printing

became possible - A0, A3, A4, A5, up to UAH 14

million/1 contract for 2 years is the printing budget of

the Company (account is made on the basis of copies

every month), there is a possibility of color printing,

there is no user binding to a particular printer, there is

also a single center of support and service XEROX;

5) there have been changes in the

telecommunications network, in which 29 nodes have

been upgraded, there is 1 type of Cisco equipment,

the data transfer rate on the upgraded nodes is 1

Gigabit / s; redundancy with instantaneous switching

to the reserve channel is introduced; PaloAlto product

for secure Internet access introduced; the division of

traffic between user segments by the Company was

introduced; IP MPLS technologies with kyivstar (3

channels) and vodafone (5 channels) mobile

operators have been introduced;

6) the corporate telephone network has been

changed, in particular 12 nodes have been

modernized, there is 1 central IP PBX (Cisco

CUCM), <2500 telephone subscribers (digital/IP),

VoIP technologies have been introduced, network

redundancy has been introduced, integration with

operators' equipment is being implemented fixed and

mobile communication in Ukraine;

7) there were changes in the ACS TP, in

particular, developed and agreed in the NJSC strategy

for re-equipment of obsolete NPS; developed and

agreed in the NJSC strategy for the implementation

of a single SCADA system at the Company;

developed, designed and obtained expertise on the

system; developed, approved by the NJSC, procured

and determined the winner for the PIMS system

("Rosen Europe b.v."); the modernization of the 40

km oil pipeline on the Zhulin-Skole section has been

completed. There is an industrial use of the system;

8) the level of cyber security has increased, as the

direction of cyber protection in IT management has

been implemented, there is 100% coverage of

workstations with anti-virus software; issued and

implemented> 1,200 hybrid smart cards with

specialized software that combine the classic secure

key storage medium and contactless chip (Em-

Marin/Mifare), storage of electronic digital signature

of employees on secure media and access of

employees to the Company's premises (ACS); The

Company's Information Security Concept has been

developed, agreed upon and is already in operation.

The information security management committee

manager has been established.

In addition, plans for IT staff are outlined as a

result of the implementation of the above projects in

each area. It is also planned to move to a two-tier

management system, complete transformation of

technical maintenance groups/communication sectors

and technical support and repair groups. Due to the

introduction of modern systems SCADA, PIMS,

SVV and SRVSNO, it is expected to increase the rank

of those technicians who will professionally

participate in projects, or will be looking for new staff

for full implementation of projects.

At the same time, it is planned to outsource most

of the staff of the Communications Department and

ACS TP (approximately 70% of the staff) to UTN-

Service LLC, but this requires solving organizational

problems related to the transfer of licenses / equipment

to UTN-Service/Software (Digital Transformation of

Industries. Industry Agenda, 2016).

Thus, determining further guidelines for the

development of the oil transportation company JSC

"Ukrtransnafta" through digitalization is a priority,

which is due to today's challenges. Existing

communication links, motivational systems, outdated

technologies and standard solutions that have taken

place in the recent past have lost their relevance. In

conditions of permanent change, they need an

innovative component of development, which forms

the foundation of competitiveness.

The driving force of such changes should be

digitalization, which will allow enterprises, including

industrial ones, to reach a new level of development.

However, an important condition should be the

symbiosis of the 4th Industrial Revolution, the

strategy of industrial policy and energy strategy of

Ukraine until 2035. Therefore, in order to find new

ways of digitalization it is appropriate to follow the

directions of innovative development, including

digital environment digital culture and digital

strategy.

According to the level of digitalization of the

economy and society as a whole in different countries

included in the Global Digital Competitiveness

Strategic Management of Enterprises Innovative Development in the Conditions of Digitalization of Economy

235

Rating, Ukraine is improving, moving up two places

from 60th to 58th, due to talent, digital / technological

skills, e-participation and agility of companies. Such

small improving steps allow not only to optimistically

forecast the level of innovative development of

industrial enterprises through the prism of

digitalization, but also to adjust the goals, objectives

and strategic guidelines, which are reflected in JSC

"Ukrtransnafta".

Therefore, in order to assess the level of

effectiveness of strategic management of innovative

development of JSC "Ukrtransnafta" we present the

results of the study (Table 2).

Table 2: The system of indicators for assessing the level of strategic management of innovative development of the oil

transportation company JSC "Ukrtransnafta" for 2018-2020.

Input indicators

Periods

Absolute

change for

020-2018, +

Absolute

change for

2020/2018, %

2018 2019 2020

1 2 3 4 5 6

І. Subsystem of indicators of generalized assessment of the state of organizational, technical and economic development

of the enter

rise

1De

reciation rate of fixed assets, the share 0,40 0,04 0,03 -0,37 8,28

2. Renewal rate of fixed assets, the share of

units.

0,01 -0,71 0,03 0,02 398,17

3.Fixed assets turnover ratio (return on assets),

share of units

0,33 0,41 0,53 0,20 161,08

4. Coefficient of financial support for the

development of productive forces, thousand

UAH /

erson.

2277,46 2153,51 3080,51 803,05 135,26

5. Net income from sales of products, thousand

UAH

3873193 3576660 4512874 639681,00 116,52

6. Cost of

oods sold, thousand UAH 2421308 2188441 2424444 3136,00 100,13

7. Volume of brea

-even production, thousand

UAH

2772477,21 2908521,62 2934630,11 162152,91 105,85

8.O

eratin

income, thousand UAH. 5513677 4539324 4621080 -892597,00 83,81

9. O

eratin

enses, UAH thousan

3585196 3487278 3589211 4015,00 100,11

10. Variable costs, thousand UAH 1634710,81 1625824,16 1793626,55 158915,74 109,72

11. Fixed costs. thousand UAH. 1950485,19 1861453,84 1795582,43 -154902,77 92,06

12. Mar

inal income, thousand UAH 3878966,19 2913499,84 2827453,45 -1051512,74 72,89

13. Profit (loss) from operating activities,

thousand UAH

1928481 1052046 1031869 -896612,00 53,51

ІІ. Subsystem of effective quality indicators for assessing the level of strategic management of the oil transportation

com

innovative develo

ment

14. Economic efficienc

, share of units 0,60 0,63 0,86 0,26 143,66

15. Stock of financial stabilit

, share. 49,72 36,11 36,49 -13,22 73,41

16. Profitabilit

ratio of fixed assets, share. 0,16 0,09 0,10 -0,06 62,70

17. Return on current assets ratio, share of units 0,30 0,23 0,30 0,00 100,64

18. Mar

in income ratio in o

eratin

income 0,70 0,64 0,61 -0,09 86,97

19. Profitability threshold, thousand UAH 2772477,21 2900203,38 2934630,11 162152,91 105,85

20. The share of the brea

-even point in

eratin

income,%

50,28 63,89 63,51 13,22 126,29

21. Zone of financial stabilit

, thousand UAH 2741199,79 1639120,62 1686449,89 -1054749,91 61,52

Source: calculated by the author according to the financial statements of JSC "Ukrtransnafta" (Liri Andersson, 2017;

Official site of Ukrtransnafta JSC. 2021).

The impact of financial support for the

development of productive forces on the key

performance indicators of JSC "Ukrtransnafta" for

the retrospective period indicates the growth of

significant investments in the development of

productive forces of the oil transportation company

per employee (Fig. 4).

In particular, the coefficient of financial support

for the development of productive forces for 2018-

2020 had a vague tendency to increase, except for a

slight decrease in 2019 to the value of 2153.51

thousand UAH. in comparison with 2277,46 thousand

UAH. in 2018. The same trend applies to the value of

net income from sales, production costs and break-

even pointIt is obvious that such values of indicators

in 2019 have causal links, which led to a decrease in

their trends. In particular, in the period from April 25

to May 11, 2019 and from May 17 to 21, 2019, the

transit of Russian oil through the territory of Ukraine

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236

was suspended due to the ingress of organochlorine

compounds into the Druzhba pipeline.

At the same time, oil with deteriorating quality

indicators blocked the operation of part of the

Company's tank tanks and one of the Druzhba oil

pipeline threads throughout its territory throughout

Ukraine for a long time. On January 18, 2020, the

Company completed the displacement of Russian oil

with high content of organochlorine compounds from

the Ukrainian section of the Druzhba pipeline 90.

During the entire period of ousting low-quality

Russian oil from the Ukrainian section of the Druzhba

pipeline, PJSC Transneft reserved the Company's

production capacity and paid 103,823,000 hryvnias in

compensation for the provision of reservation

services for the period from May 2019 to January

2020. In March 2020, Ukrtransnafta JSC and BNK

(UK) Limited (Great Britain) signed an agreement

providing for the organization of a new oil

transportation route of MNT Pivdennyi - Brody

LVDS - Goskodon of

the Republic of Belarus

(RB)/Ukraine. Therefore, during 2020, the Company

received income in the amount of UAH 273,644,000

for the transportation of oil on this route in the

direction of the refinery of the Republic of Belarus.

As a result of such actions at JSC "Ukrtransnafta" the

amount of marginal income had a clear tendency to

decrease, as in 2018 it amounted to 3878966.19

thousand UAH, in 2019 - 2913499.84 thousand UAH.

and in 2020 stopped at the level of 2827453.45

thousand UAH.

Figure 4: Dynamics of the impact of financial support for the development of productive forces on the key performance

indicators of production and economic activity of JSC "Ukrtransnafta" for 2018-2020.

The value of economic efficiency for the entire period

of the study was characterized by a clear upward

trend, due to the relatively stable value of the cost of

production, which fluctuated at the level of 2421308-

2424444 thousand UAH. and an increase in net

income from sales.

In fig. 5 presents the zone of financial stability of JSC

"Ukrtransnafta" at the established threshold of

profitability. Negative in terms of the dynamics of

financial stability of JSC "Ukrtransnafta" is not only

an increase in the absolute rate of return (from

2772477.21 thousand UAH in 2018 to 2934630.11

thousand UAH in 2020), but also an increase in its

share. in operating income from 50.28% to 63.51%.

That is, if in the base year to cover operating expenses

used the amount of operating income, which

amounted to 50.28% of actual income, then in the

reporting year - respectively 63.51%. However, given

the decrease in the margin of financial stability from

49.72 to 36.49 units, the level of this indicator

remains not very high and indicates the relative

stability of the enterprise in terms of ensuring the

profitability of operating activities.

2000

4000

2000000

4000000

6000000

2018 2019 2020

value, units

value, thousand UAH

years

Coefficient of financial support for the development of productive forces

Net income from sales

Cost of goods sold

The volume of break-even production

Strategic Management of Enterprises Innovative Development in the Conditions of Digitalization of Economy

237

Figure 5: Dynamics of the financial stability zone at a given threshold of profitability of JSC "Ukrtransnafta" for 2018-2020.

Thus, based on a visual representation of diagrams of

trends in financial and economic indicators of JSC

"Ukrtransnafta" presented in the figures above, it is

proved that there is a clear dependence of

performance indicators of production and economic

activity of the enterprise on the level of financial

development of its productive forces. dependence of

key indicators of efficiency of production and

economic activity of the enterprise on the size of its

stock of financial stability.

4 CONCLUSIONS

Thus, as practice shows, the method of assessing the

level of strategic management of oil transport

enterprises innovatile development should include a

system of generalized and partial indicators of

enterprise operation that affect the level of innovation

management, including indicators of organizational

and technical and economic development ensuring

strategic management of innovative development of

the enterprise.

In the process of comprehensive assessment of the

level of strategic management of innovative

development of oil main transport enterprises, it is

necessary to determine the impact of indicators that

will allow innovative decisions to be made taking into

account permanent changes. In the future, the

proposed algorithm for assessing the level of strategic

management of innovative development of oil main

transport enterprises will allow to make effective

decisions in the digital space.

In practical terms, it is necessary to identify areas

of innovative development of enterprises in

digitalization, in particular digital environment,

digital management, digital culture and digital

strategy, which, in turn, allowed to give an author's

definition of "digitalization - a production process

characterized by transformational changes. , which

aim at a symbiosis of digitization and software.

Therefore, interest in digitalization should be

produced by competitive advantages, through

providing additional value of goods through quality

service, high level of communication, improving the

company's image, lowering prices by automating

processes and digitizing business processes,

transparency of internal and external processes,

increasing loyalty customers to the company, etc.

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