OBJECTIVE BACKGROUND OF EVOLUTIONARY TRANSFORMATION OF BUSINESS MANAGEMENT SYSTEM IN THE FRAMEWORKS OF HOLISTIC APPROACH TO ENTERPISE DEVELOPMENT

Abstract

The article seeks to explore the modern realia of business development underpinned by both positive and negative effects of market environment which triggers increased competition at all stages of product or service manufacturing and sales. To ensure effective operation within the current market settings, executives have to develop and adopt creative and innovative management decisions aimed at enhancing the competitiveness of enterprises. It is argued that the backbone of an effective management paradigm in pursuing business goals and tackling specific objectives relies on the qualifications and competences of managers who must have innovative knowledge, skills, abilities and creative thinking towards problem solving that eventually will help to expand market segments or rise to a new level of development by using a holistic approach. The study provides insights into the origins of business management system and its evolution that helps not to repeat the mistakes of the past, to retain valuable experience of the present and outline the development prospects for the future. The research findings emphasize that to enhance enterprise management system, it is critical to implement vast theoretical knowledge with due regard to understanding its contemporary relevance and the capacity to meet the challenges of competition in the global innovative economy, as well as to be ready to abandon practices that have already lost their significance. The study on identifying the stages in business management system development contributes to setting new priorities in upgrading the enterprise management and provides a good framework for its effective functioning in the future. Holistic development will also contribute to shaping the sphere of “Mind” where spiritual values and knowledge that operate in close correlation with the environment will translate into establishing harmony to ensure successful business development. The study argues that the implementation of a mixed economy approach is an effective pathway out of the economic crisis when the primary sectors of the economy (fuel and energy, mining, metallurgy, chemical sector, heavy industries, and all types of transport) shall pass into governmental control offering new opportunities to replenish the state budget, provide additional funding to industrial development and boosting rural economy as well as have important implications to tackling a range of socioeconomic problems.