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Business process re-engineering at enterprises of the military-industrial complex during their diversification

Vol. 15, Iss. 10, OCTOBER 2019

Received: 5 July 2019

Received in revised form: 25 July 2019

Accepted: 12 August 2019

Available online: 15 October 2019

Subject Heading: SUSTAINABLE DEVELOPMENT OF ECONOMY

JEL Classification: C10, C18, C51

Pages: 1788–1801

https://doi.org/10.24891/ni.15.10.1788

Bat'kovskii A.M. Moscow Aviation Institute (National Research University) (MAI), Moscow, Russian Federation
batkovsky@yandex.ru

https://orcid.org/0000-0002-5145-5748

Kalachikhin P.A. All-Russian Institute for Scientific and Technical Information of Russian Academy of Sciences (VINITI RAS), Moscow, Russian Federation
studypavel@mail.ru

https://orcid.org/0000-0002-5467-0080

Tel'nov Yu.F. Plekhanov Russian University of Economics (PRUE), Moscow, Russian Federation
YTelnov@mail.ru

https://orcid.org/0000-0002-2983-8232

Khrustalev E.Yu. Central Economics and Mathematics Institute of Russian Academy of Sciences (CEMI RAS), Moscow, Russian Federation
stalev777@yandex.ru

https://orcid.org/0000-0002-3267-104X

Subject The article focuses on business process re-engineering methods at enterprises of the military-industrial complex, which undergo the diversification process.
Objectives The study devises methods and means for making managerial decisions to determine the most appropriate business models of enterprises operating in the military-industrial complex during the military production diversification.
Methods The study is based on the methodological approach to substantiating decisions when input data are scare and incomplete. To accommodate for diversification tasks, enterprises need to make strategic decisions reshaping their business model and configure certain business processes, considering the interaction of enterprises through their respective production chains and enterprises from other industries. Re-engineering business processes, the so called digital models of value should be employed, since they imply the assessment of specific indicators. What distinguishes the proposed methodology is that it involves meta-ontologies, classification patterns, quality scales and production rules for fuzzy logic to consolidate indicators. Business model is viewed as a strategic choice requiring an adequate methodological underpinning.
Results We designed methods and means for business re-engineering that are based on intellectual technologies supporting the decision-making process. The proposed economic and mathematical model can be used to create the intellectual system based on knowledge and designated for business engineering during the military production diversification. Relying on expert judgment and heuristic patters, the original technique allows to make leveraged business decisions and choose the appropriate business model.
Conclusions and Relevance If implemented, the findings and results hereof will help enterprises promote their overall efficiency and competitiveness during the diversification process. The findings may be used to set and perform military production diversification plans and programs, which are run by enterprises of the military-industrial complex.

Keywords: business model, business process, diversification, military production, military-industrial complex

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