Evaluation of the Conditions of Effective Logistic Strategy Implementation of an Enterprise on the Basis of Functional and Cost Analysis

Abstract

In the context of the current dynamic environment, the complexity of socio-economic objects stipulates the increased requirements for their analysis. The field of strategic logistic management is not an exception. The logistic potential is considered as a control object. Formation elements of the potential determine the conditions for the successful implementation of the selected logistic strategy of an enterprise. The potential of managerial logistic personnel, technological personnel, logistic infrastructure, product and technological innovations in logistics, marketing research, organizational and transfer potential are considered as logistic potential elements. Problems concerning substantiation of logistic strategy selection, determination of the internal conditions to provide its efficient implementation, as well as quantitative measurement of the conditions, are still unstudied. The purpose of the paper is to carry out functional and cost analysis (FCA) of logistic potential elements of an enterprise to estimate the correspondence of the internal conditions to the selected logistic strategy. Methodology. FCA as a method of research is used. The sequence of the FCA implementation and characteristic of its main stages are considered in the paper. Special attention is paid to expert assessments of the significance of logistic potential elements which are regarded as internal conditions for the strategic changes realization in the area of enterprise logistics. To do that, the paper applies techniques of priority ranking and pairwise comparisons. The consistency of the obtained results is proved statistically. Statistic factor of the relative range has been applied to characterize the dispersion of individual significances obtained for each logistic potential element. Results. The paper has developed a sequence of the FCA implementation with the characterization of its basic stages. There has been described preparatory, information, analytical, research, and recommendation stages. The proposed sequence matches a traditional concept of the FCA stages. However, their contents vary depending upon object specifics, identification of objectives and tasks of carrying out analysis. Value/originality. The results of the study in the form of the expert evaluation of the significance of the logistic potential elements give an opportunity to plan the costs connected with the introduction of strategic changes in the field of an enterprise logistics.