Management Theory and Studies for Rural Business and Infrastructure Development

Title page, contents, reviewers

Rasa Pakeltiene — 2019-07-05

REVIEWERS / RECENZENTAI

APARICIO Andres, Charles III University of Madrid, Spain
BALEŽENTIS Tomas, dr. Lithuanian Institute of Agrarian Economics, Lithuania
BARANAUSKIENĖ Jurgita, dr. Agriculture Academy of Vytautas Magnus University, Lithuania
BENDORAITYTĖ Asta, dr. Agriculture Academy of Vytautas Magnus University, Lithuania
GUSTAINIENĖ Loreta, doc. Agriculture Academy of Vytautas Magnus University, Lithuania
KIAUŠIENĖ Ilona, doc. dr. Agriculture Academy of Vytautas Magnus University, Lithuania
KOZINA Andrzej, prof. University of Economics in Krakow, Poland
MICEIKIENĖ Astrida, prof. dr. Agriculture Academy of Vytautas Magnus University, Lithuania
OVCHARENKO Ievgen, dr. Volodymyr Dahl East Ukrainian National University, Ukraine
PAKELTIENĖ Rasa, dr. Agriculture Academy of Vytautas Magnus University, Lithuania
PUPLUGA Dina, dr. Latvia University of Agriculture, Latvia
URMONIENĖ Daiva, lect. Agriculture Academy of Vytautas Magnus University, Lithuania
VASIĻEVSKA Daina, dr. Liepaja University, Latvia
VAZNONIENĖ Gintarė, doc. dr. Agriculture Academy of Vytautas Magnus University, Lithuania
VIEDERYTĖ Rasa, dr. Klaipėda University, Lithuania
VIIRA Ants, dr. University of Life Sciences, Estonia
ZABLODSKA Inna, dr. National Academy of Sciences, Ukraine
ZALECKIENĖ Jurgita, lekt. dr. Agriculture Academy of Vytautas Magnus University, Lithuania
ZAMLYNSKYI Viktor, prof. dr. Odessa National Polytechnic University, Ukraine

GOOD GOVERNANCE IN MUNICIPAL AND RURAL MUNICIPAL OFFICES OF LOCAL ADMINISTRATION IN POLAND

Witold Szumowski — 2019-07-05

Public governance constitutes an answer to the limitations regarding the possibilities of reforming public administration in the stream of new public management. One of the detailed concepts of public governance was originally formulated by the World Bank. Its use in practice is limited to operationalization through formulating a variety of indices which are usually dedicated to countries and regions. Scientific discourse lacks studies indicating the possibility of using good governance in public administration at the level of its smaller exponents such as the units of local self-government. Equally, there are no available results of research regarding the influence of the functioning of units of public administration according to the principles of good governance on their perception on the part of citizens. This study aims at operationalizing the concept of good governance through the formulation of a model of activity of local government administration according to the principles of good governance, as well as proposes a tool for evaluating the level of maturity of management solutions based on the concept of good governance. The research results regarding the level of compatibility of these offices with the rules of good governance are compared with the results of surveys examining opinions and levels of satisfaction among inhabitants of selected boroughs. The aim of this comparison was to find the answer to the question of dependence between the activities of local administration in accordance with good governance and satisfaction on the part of local inhabitants.The publication was the outcome of the project entitled ”Adaptation of the management system of local government office to the good governance concept” which was financed by The National Science Centre, based on the decision no. DEC-2013/09/B/HS4/01143.

PROSPECTS AND CHALLENGES FOR THE UKRAINIAN AGRICULTURAL MARKET UNDER THE ASSOCIATION AGREEMENT WITH THE EUROPEAN UNION: LEGAL ANALYSIS

Olexandr Radzivill — 2019-07-05

The agrarian sector in global trade, as well as processes related to the liberalization of international agricultural trade, is still a subject of long-standing discussions at the international level. The Association Agreement between Ukraine and the EU, on the one hand, opens up good prospects for increasing the competitiveness of Ukrainian agricultural producers, on the other hand, it causes a lot of difficulties related to the general state of the Ukrainian society. Purpose of the paper is to analyze the international standards for trade of agricultural products, codified in international agreements and specified in the Association Agreement between Ukraine and the EU, as well as in identification on its basis the prospects and challenges (risks) for the Ukrainian agricultural market in the course of this Agreement provisions implementation. In the paper historical-sociological and system-structural analysis have been used, which helped to reveal the fluctuations of eurointegration sentiments in Ukraine and establish their connection with the inertia of unsolved social contradictions inherited since the existence of the Union of Soviet Socialistic Republics, which are particularly visible in a modern Ukrainian village. Comparative-legal, formal-logical and hermeneutical methods have been used in the study of international universal and regional treaties in order to understand the contents of international standards related to international trade and the processes of its liberalization and the specifics of their applying in the agricultural sector during the acting of the General Trade Tariffs-47 and under the auspices of the World Trade Organization. Statistical method has been used to study the data of the Ministry of Economic Development and Trade of Ukraine, which made it possible to assume a social status of rural communities, and others. The result of the research revealed the fluctuations of eurointegration sentiments in Ukraine. The attention has been paid to the duration of the inertia of the unresolved social contradictions caused by those fluctuations. It has been proved that the prospects of cooperation between Ukraine and the EU and ways of their implementation should be understood in the context of historical circumstances that have developed over the previous century and have a powerful inertia of counteracting innovations, reinforced by mistrust between the new elite and the bulk of the impoverished population. The position has been supported that a key to success of reforms in Ukraine is to exclude caste privileges and build a civil society, taking into account the experience of the Western legal tradition. Implementing its European choice, Ukraine should focus not on superficial indicators of well-being that do not have a real basis, but also to master the philosophical-legal context of the acquis of European law in its broadest interpretation.

REGIONAL REGULATION OF INVESTMENT ACTIVITY IN DEVELOPING COUNTRIES: EXAMPLE OF UKRAINE

Illia Morhachov — 2019-07-05

The paper considers of regional the ways of solving systemic problems of investment activity that are relevant for developing countries, including for the Ukraine. It is specified that in the conditions of globalization of the world economy and the intensification of the use of information and communication technologies, conditions are created for the transformation of savings of households in developing countries into investment in stock markets in developed countries mainly the United States. This calls into question the feasibility of purely market conditions for the financial market of Ukraine and other developing countries. A list of effective administrative methods of state regulation of investment activity that may be used by state and regional authorities to convert household savings into investments in the domestic financial market is proposed. The attention is drawn to the necessity of applying these methods, especially at the initial stages of the intensification of state regulation of investment activity in the country, in order to create a sufficient demand for domestic stock assets. Such of the sufficient demand will allow to launch the mechanism of automatic inflow of investments both domestic and foreign, and in the future gradually switch to predominantly market-based methods of state regulation. The criterion of the level of sufficiency of demand for stock assets of the country is a positive long-term trend of stock indexes taking into account inflation, it is desirable that their growth rate exceeds the growth rate of GDP of the country.

EFFICIENCY OF THE INNOVATIVE USE OF WASTE FROM FRUIT-AND-VEGETABLE PRODUCTION

Vita Vitaliivna Bugaychuk — 2019-07-05

Waste recycling is one of the priority directions of resource conservation in the agricultural sector. Modern innovations in the use of waste from fruit-and-vegetable production only partly contribute to resolving the contradictions between the growing needs of the population in high-quality food products and the limited production volumes of agricultural raw materials.

The scientific and practical results of the research are based on the monographic method used at the FG (Farm Enterprise) “Agroinnovatsiia” in Zastavniv district of the Chernivtsi region. The method concerns the innovative technology of preserving apple pomace in closed trenches using a natural sorbent, bentonite, and the replacement of a part of concentrates with the preserved apple pomace in feeding rations of pigs. The processing of empirical data by means of statistical and economic methods allowed substantiation of the reduction in the amount of fodder resources required per 1 hwt of gain by 2.2%, a 5.5% reduction in the cost price, and a profit increase by more than 2 times.

DEVELOPING A COMPREHENSIVE MODEL FOR FORTHCOMING REFORMS OF UNIVERSITY HOSPITALS

Māra Pētersone — 2019-07-05

This paper is devoted to developing institutional arrangements viable for forthcoming reforms of university hospitals in Latvia based on international experience of state-owned enterprise management models and taking into account two major driving forces – national healthcare policy and operational hospital management considering efficiency and quality. The aim of the article is to analyse worldwide guidelines in the field of corporate governance of state-owned hospitals, provide Latvian university hospital governance approach, taking into consideration the regulation of state-owned enterprises and its relevance for public hospitals, identifying the primary areas of improvement and providing practical suggestions for further actions for forthcoming reforms of public-sector. In the article inductive approach and case study were applied, looking at university hospitals as an entity with health care and health service quality. Traditional scientific methods, such as comparative analysis, were used examining the significant factors for institutional arrangements of university hospitals to be considered during future developments based on the research of relevant legislation, policy documents, OECD reviews and WHO’s evaluations. Proposals for semi-autonomous hospital governance improvement by creation of a Supervisory Board and a new organizational form of hospitals were developed. Necessity of future research for creation of regional healthcare network organisations for Latvian healthcare system was considered.

DEPRECIATION OF ANIMALS AND ECONOMIC RETURN: CASE STUDY

Danutė Zinkevičienė — 2019-07-05

Purpose of the research - to assess the impact of the accounting of animals at their acquisition (production) cost less depreciation to the financial results and financial position of agricultural businesses. It is a pilot study based on analytical data from agricultural businesses, that specialises in animal breeding and value the animals at the acquisition cost, however do not calculate depreciation. The pilot study revealed the problems associated with the calculation of depreciation for biological assets. The gradual write-off of the cost of livestock in the form of depreciation did not take into account the changes in the economic value of the animals. Additionally, in order to improve the solvency (i.e. liquidity and stability) and reduce the financial risk, the most attractive alternative from the financial perspective was to measure the livestock at the acquisition (production) cost and to waive the depreciation accounting.

Keywords: animal classification, animal measuring, measuring at cost, depreciation, financial standing, results of the activity.

JEL Codes: D24, M41, Q14

STATE REGULATION OF INNOVATIVE EMPLOYMENT IN THE CONTEXT OF INNOVATIVE ENTREPRENEURSHIP DEVELOPMENT

Ihor Kuksa — 2019-07-05

The basis for the development of an innovative economy in Ukraine is to ensure the functioning of innovative entrepreneurship. At the same time, the efficiency of enterprises is conditioned by the use of innovative types of employment, aimed at providing them with highly qualified specialists with the necessary level of motivation to work. In their turn, the processes of effective formation of innovative employment involve the control by the state authorities. The aim of the study is to develop the architectonics of the state regulation mechanism of the innovative employment in Ukraine. To achieve this goal, the following methods of scientific research were used: the method of statistical analysis; the method of comparison and synthesis; the abstract-logical method; the graphic method. According to the results of the study, the recommendations on implementation of the regulation mechanism of innovative employment in Ukraine were suggested for use in practical activity of public authorities.

TRANSFORMATION OF RURAL DEVELOPMENT ADMINISTRATOR’S FUNCTIONS

Lina Marcinkevičiūtė — 2019-07-05

Elderships, including rural ones, are the closest to the needs of each member of the society. Yet these organizations are currently facing great challenges. Possessing a relatively limited degree of autonomy and employees of limited competence, elderships have to be responsible for the functions and objectives assigned, although, if they were more autonomous, these organizations could be responsible for more functions, as they are closer to the people and understand their needs better. Notably, the changing and increasing needs of modern society encourage continuous learning and acquisition of new competences. A question is often raised as to which subjects, and to what extent, help one to develop professional competencies, especially their practical aspects. Identifying the latter would make it possible to improve the learning process and the links between the sharing of theoretical knowledge and the development of practical skills. This would help to encourage students or prospective students to examine the practical competences they already have and choose study programmes rationally. The article analyzes the significance of the transformation of rural development administrators’ functions and issues related to their activities in the changing environment. Based on the analysis of scientific sources and empirical research, the article discusses the content of competences, the conditions for transformation and the impact on both the teaching process and the working environment.

GREEN TECHNOLOGIES DEVELOPMENT IN THE EUROPEAN UNION AND LITHUANIA

Agne Šneiderienė — 2019-07-05

The implementation and the development of green technologies is an essential way to ensure the transition from traditional economy model to the green growth. The purpose of the article assessing the importance of green technologies development in the European Union and Lithuania, to identify the trends associated with the development of green technologies. To achieve the purpose statistical data analysis had been conducted. Green technologies development can be seen in the European Union and Lithuania in 2008-2017 year period. But it should be noted that there are huge differences in adoption of these technologies among the countries of the European Union. These differences can be explained by the lack of financial resources and governmental support, differences in installed green technologies or involvement in such activities.

ETHICAL LEADERSHIP STYLE: AN APPROACH OF THE MANAGERS AND EMPLOYEES

Modesta Morkevičiūtė — 2019-07-05

Some of the previous studies found managers‘ perceptions of their leadership style ethics to have significant effects on employees‘ attitudes to it. However, the studies on this field have been quite rare; the results are inconclusive. Thus, the aim of this study was to investigate the relationship between the approaches of managers and employees about the ethical leadership style. The study involved 30 managers and 242 subordinates working in different Lithuanian organizations. A perceived ethical leadership style was assessed with the help of Brown (2005) questionnaire. The study found that the managers who evaluated their leadership ethics with high scores were evaluated by their employees the same ethical as the managers who evaluated their leadership ethics as average. The managers who evaluated their leadership ethics with low scores were evaluated by their employees as less ethical than managers who evaluated their leadership ethics as average. The findings also displayed that the more managers perceive their leadership style as ethical, the more employees perceive their managers as ethical.

CORPORATE SOCIAL RESPONSIBILITY OF AGRICULTURAL ENTERPRISES ACCORDING TO THEIR ECONOMIC STATUS

Olga Popova — 2019-07-05

The problem under consideration in this study is whether economically stronger enterprises, which have more opportunities, are really better at solving social and environmental challenges in the context of corporate responsibility than economically weaker ones. The main emphasis is placed on the basic direction of responsibility that is the relations with employees and landlords, in terms of their material remuneration for their work and the land provided. The levels of corporate social and environmental responsibility in five groups of enterprises are determined depending on the results of their economic activity, that is a volume of profitability and its level as indicators of economic efficiency, according to the information base of 9000 medium and large agricultural enterprises in Ukraine, using the method of statistical groupings. Compared data of the most enterprise groups over the seven-year period, the trends in their corporate responsibility have been estimated. According to the results of the study, agricultural enterprises with a higher level of economic activity didn’t differ a lot from the smaller ones in the implementation of socially and environmentally responsible acts. If the earnings per one employee increased in 7 times for the group from I up to V, then the payroll per employee increased by 14%.Employees do not receive the proportional share of the economic growth benefits, thus the primary requirement of economic development is not abided.

QUALITY MANAGEMENT SYSTEMS IN LOGISTICS

Audrius Gargasas — 2019-07-05

Service quality is one of the most important aspects of enhancing the competitiveness of enterprises. Logistics companies are implementing quality management systems in order to ensure the quality of the services. Whereas logistics companies carry out different activities, there is a risk that application of inadequate quality management system would result in financial losses. Purpose of the research. The purpose of this research paper is to determine the impact of quality management systems used in logistics companies on the competitiveness of the companies. Methodology of the research. A qualitative research of the companies operating in Lithuania was conducted in order to determine what quality management systems are applied in logistics companies. 66 logistics companies working in the field of freight transportation, warehousing, manufacturing and trade were analysed. An interview method was applied for the research, heads of transport departments of the companies were interviewed. The research period was from 2016 to 2018.