Diversification of industrial enterprises as a direction of strategic development.

Abstract

The article reviews the problems of diversification of industrial enterprises as a direction of strategic development. The article analyzes the types of diversification of enterprises.  An analysis of development strategies of foreign companies makes it clear that world leaders at the present stage of development use diversification strategies, the main direction of which is to integrate forward by uniting with final consumers of products.  In the classification of strategies for diversification, strategists have been singled out, which are divided into two groups: synergistic and conglomerant.  The directions of diversification processes depend on the stage of the enterprise's life cycle.  To determine the stages of the life cycle, a methodology based on certain seven performance indicators is proposed. The proposed indicators also allow the company's management to assess the diversification by the main criteria: attractiveness in terms of invested funds; "Input costs" to the new industry and additional benefits.  From the above calculations, we can conclude that most of the enterprises are at the stage of the life cycle "Stabilization". We recommend the application of the strategy of viability (long-term development strategy), which is aimed at realizing the goals of sustainable development and operation of the enterprise. To implement the strategy, it is necessary that diversification measures be implemented in all relevant areas and aspects of the activity of the enterprise.  On one front it concerns the personnel and measures on its motivation, management styles, corporate culture, financial and resource support, management competencies.