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Digital capabilities of the industrial enterprise: Substance and methods

Vol. 15, Iss. 5, MAY 2019

Received: 25 December 2018

Received in revised form: 20 March 2019

Accepted: 8 April 2019

Available online: 16 May 2019

Subject Heading: SUSTAINABLE DEVELOPMENT OF ECONOMY

JEL Classification: L10, M15, O29

Pages: 870–896

https://doi.org/10.24891/ni.15.5.870

Gorodnova N.V. Ural Federal University named after the First President of Russia B.N. Yeltsin (UrFU), Yekaterinburg, Russian Federation
n.v.gorodnova@urfu.ru

https://orcid.org/0000-0001-7053-0240

Peshkova A.A. Ural Federal University named after the First President of Russia B.N. Yeltsin (UrFU), Yekaterinburg, Russian Federation
np91@list.ru

https://orcid.org/0000-0003-1118-8208

Subject As the digital economy evolves, large industrial enterprises need to apply advanced tools for evaluating their digital capabilities, thus outlining strategic lines of their IT development for higher economic efficiency.
Objectives The research aims to devise and test analytical tools to evaluate digital capabilities of industrial enterprises.
Methods Using general methods of analysis and synthesis, we examined the existing approaches to understanding digital capabilities and methods to gauge them. The decomposition method helped create our own model of functional correlation of digital capabilities. We analyzed the digitization capabilities of business processes in terms of their development level, referring to one of the leading defense enterprise in the Urals region.
Results The article presents our own approach to the concept, institutional substance, functional correlation model of elements and technique to evaluate the development level of digital capabilities of an industrial enterprise. We analyzed the development level of digitization capabilities of business processes, illustrating the case of AO UOMP.
Conclusions and Relevance We introduced the concept of digital capabilities of an industrial enterprise and determined its composition. The article also presents our own set of indicators and technique for evaluating the said capabilities. Having tested the technique at AO UOMP, we revealed that corporate capabilities for creating and selling IT for business process digitization may lay the basis for one of business diversification lines. The findings may be useful for leaders and specialists of major industrial enterprises, representatives of the scientific community who study the digital transformation of the industrial sector.

Keywords: digital capabilities, industrial enterprise, evaluation method, development management, information technology

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