Module 5. Modern Management and Administration Technologies in the Context of Global and National Challenges

The Behaviorist Approach to Analyzing Concepts and Models in Modern Management

The behaviorist method (from the English word “behavior”) has, according to experts, revolutionized management science. Its scientific rationale was first presented in 1880 by Woodrow Wilson and is based on the following principles:

1) The primary drivers of managerial activity are psychological motives, which may have a social basis;

2) people's group and individual actions are related to the behavior of individual persons;

3) Human behavior varies across different situations and social systems, which is why it is studied by many social sciences and humanities;

 4) A significant portion of management phenomena and processes can be measured quantitatively using statistical indicators, survey results, and mathematical methods.

Thus, institutional, anthropological, substantial, and behavioral methods (approaches) are extremely useful and necessary for analyzing management phenomena and the human resources policies of industrial enterprises, and the development of new trends in a global society—all of which require the evolution of these methods and their adaptation to the modern world, thereby contributing to the establishment of sustainable development in industrial enterprises.

Thus, functional, structural-functional, institutional, anthropological, substantial (ontological), normative-value-based, and behaviorist methods of analyzing concepts and models of modern management help us grasp their unified whole, understand all the problems and contradictions, and find ways out of the current crisis,

 

The Innovation-Digital Paradigm as the Foundation for Achieving Sustainability in Times of Crisis and Uncertainty

There is no doubt about the relevance of studying the innovation-digital paradigm as the foundation for achieving sustainability amid crisis and uncertainty, as this is dictated by the conditions necessary for the country’s survival, its integration into the European space, the enhancement of its competitiveness, and its restructuring amid crisis, instability, and informational stochasticity.

The innovative-digital management paradigm serves as a marker and megatrend driven by profound transformations and shifts in all spheres of human life, which influence the long-term sustainable development of society. Today, the innovative-digital management paradigm is the most powerful and significant, as it can lead a country out of crisis and onto the path of sustainable digital development; to this end, strategies and priorities for innovative digital development must be developed, covering large-scale digital sectors.

The innovative-digital management paradigm (economics, management, administration, computer science, programming) involves the intensive development of information and communication technologies (ICT) and expects them to make a significant contribution through new technological discoveries to achieve the sustainable development of the digital sector. Only a digital innovation-driven economy can create new conditions for breakthroughs in cutting-edge technologies and promote economic and innovative development, which requires, at a minimum, innovative technological breakthroughs.

The innovative and digital potential of modern society in the context of globalization (robotics, artificial intelligence, the Internet of Things, biotechnology, Big Data, 3D printing, and manufacturing) encompasses a set of technological innovation processes that can lead to changes in the nature of work, the emergence of new professions amid the disappearance of many existing ones, and the development of digital competencies in a digitized society and the society of the Fourth Industrial Revolution.

The innovative digital management paradigm in the context of globalization is linked to robotics. Robots are increasingly equipped with additional features, such as high-quality video cameras, sensors, and laser rangefinders, which are integrated and controlled by computers. The tremendous advances in robotics are largely driven by the “smartphone revolution,” as robots rely heavily on computer chips, batteries, and sensors similar to those found in a high-performance smartphone.

New trends are emerging in the development of a new management paradigm for innovation and digital potential in the context of Globalization 4.0:

1) the widespread deployment of distributed systems;

2) integration with mobile (cellular) and satellite communication systems, which led to the emergence of IP telephony;

3) the integration of the global network and the mass media—the development of interactive television and electronic publications;

4) the implementation of predictive self-learning systems based on neural networks and genetic algorithms (fourth-generation artificial intelligence systems).

The innovative digital management paradigm will transform all management processes, as cryptocurrencies, blockchain, fintech, and the megatrends of the Digital Age are already emerging—transforming the economy, management, and marketing at an incredible pace. Everyone must adapt to the pace of change—leaders of enterprises, companies, and organizations, as well as employees at all levels. The pace of change means that industrial production is beginning to depend not on tangible assets, but on digital technologies—which are intangible assets based on intellectual components, organizational capital, and human capital. At the same time, “GDP, the key economic indicator, no longer fully reflects the development of innovation.”

The computing power of conventional computers doubles every two years—a phenomenon known as Moore’s Law. To develop a digital economy that is innovative and creative, businesses must increase the computing power of conventional computers, and the government must be the primary source of funding for the development of innovative activities. An important factor in raising the level of innovation in Ukraine’s digital economy is the application of advanced technologies and knowledge-intensive products, without which the digital economy cannot be innovative or developed.

Today, the digital economy is permeating all spheres of society: from demography, the biosphere, and climate change to the future of medicine, genomics, and genetic engineering, synthetic biology, and transhumanism; from cloud technologies and the Internet of Things to artificial intelligence, from quantum computing to smart materials, energy, transportation, and robotics—all of which contribute to the development of the Internet economy as a component of the digital economy. Thus, the innovation-digital paradigm of an industrial enterprise is taking shape amid the challenges facing civilization—Globalization 4.0, Technological Development 4.0, Enlightenment 2.0—and influences the emergence of digital management, the digital economy, the Internet economy, and deterministic ICT.

Today, we find ourselves at the dawn of the Fourth Industrial Revolution, which was sparked by the development of digital technologies and accelerated by the Internet and low-cost sensor devices, as well as advanced artificial intelligence and self-learning machines. Digital technologies—which are based on computer hardware, software, and networks—are not new; however, as we move beyond the Third Industrial Revolution, they are becoming more complex and sophisticated, with the potential to transform entire societies and the global economy.

The capabilities of new machines, the rapid development of technology and human capital in the context of the Fourth Industrial Revolution

The capabilities of new machines, the rapid advancement of technology, and human capital all indicate that the rapid acceleration of digital development is driven by the advancement of digital technologies related to the development of artificial intelligence, robotics, and the creation of machines capable of moving and interacting with the physical world of factories, warehouses, and offices. With each new generation of smart devices, it is precisely stock analysts and engineers in the petrochemical industry who face the greatest risk of being replaced by machines. Robotics experts have acknowledged that it is extremely difficult to create machines that can match the skills of even the least-trained workers. When it comes to working in the physical world, humans have a huge advantage over machines in terms of flexibility.

Today’s factories—especially large-scale plants in countries with high wages—are highly automated, but they are not filled with general-purpose robots. Instead, they are equipped with specialized machinery that is expensive to purchase, configure, and reprogram.

Digital, exponential, and combinatorial power have made two of the most important events in human history possible:

1) the creation of real, useful artificial intelligence (AI);

2) connecting the majority of people on the planet through a shared digital network. Each of these achievements, taken individually, would fundamentally transform growth potential, and together they are more significant than anything since the Industrial Revolution, which forever changed the nature of physical labor. Digital machines have broken free from their limitations and are demonstrating vast capabilities in pattern recognition, complex communication, and other areas that were previously the exclusive domain of humans.

Recently, we have seen significant progress in natural language processing, machine learning (a computer’s ability to automatically analyze large amounts of data), computer vision for tracking the real-time locations of vehicles on roads and mapping, and solving many other fundamental problems. Artificial intelligence will not only improve the quality of life but will also be able to save lives. The main fuel for accelerating progress in the world is our store of knowledge, while the main obstacle is a lack of imagination; therefore, such development will stimulate human development and, at the same time, the progress of humanity. Digital technologies that expand the capabilities of machines contribute to their rapid development, which requires the cultivation of human capital. Economic development can help solve a multitude of other problems, and productivity growth is linked to innovations in technologies and production methods.