Clustering of the defense industry as a factor of increasing the efficiency of military-technical policy of Ukraine
Abstract
Major developments in the geostrategic, military-political, socio-economical and demographical state during the independence of Ukraine have particularly accelerated in the last years. Due to these developments, a necessity of developing new approaches towards providing national security in the military domain has arisen, including those dedicated to determining the most rational paths (from both military and economic point of views) of rapidly supplying the Armed Forces of Ukraine with newest and modernized models of weaponry and military equipment, as well as solving a variety of other issues of the Ukrainian military and technological policy.
The existing system of defense planning, weaponry and military equipment development in Ukraine, in general, allows a complex substantiation of financial resources allocation towards weaponry and military equipment development and procurement for defense purposes. However, a number of problematic issues exist, that impede both military and economic effectiveness of ongoing work.
In this article, an analysis of production and economic processes, as well as forms of organizing production in the defense industry of several countries is carried out, revealing the nature of the cluster approach, its advantages and possible implementation directions. This cluster approach can be applied to develop and mass produce new models of weaponry and military equipment in Ukraine.
It is illustrated that many world countries already possess substantial experience in developing defense industry clusters, which allows to achieve the most effective model of collaboration between the state, business, scientific establishment and the end user with an emphasis on defense and security sector specifics.
A general structure of such a cluster is proposed, a detailed method of creation, functioning principles, as well as its possible influence on increasing the effectiveness of military equipment programs carried out in the interests of the Armed Forces of Ukraine.
Downloads
References
Law of Ukraine on the national security of Ukraine № 2469-VIII (2018, June 21) Vidomosti Verkhovnoyi Rady Ukrayiny, 31, 241 [in Ukrainian].
Law of Ukraine on the state defense order No464-XIV (1999, March 3) Vidomosti Verkhovnoyi Rady Ukrayiny, 17, 111 [in Ukrainian].
Law of Ukraine on the peculiarities of procurement of goods, works and services for the guaranteed provision of defense needs № 1356-VIII (2016, May 12) Vidomosti Verkhovnoyi Rady Ukrayiny, 24, 488 [in Ukrainian].
Resolution of the Cabinet of Ministers of Ukraine Issues of the state defense order No 464 (2011, April 27) Retrieved from: http://zakon.rada.gov.ua/go/464-2011-п. [in Ukrainian].
Resolution of the Cabinet of Ministers of Ukraine on the approval of the Order of development, acquisition and release of new types of defense products, and termination of release of existing types of such products № 120 (2013, February 20) Retrieved from: https://zakon.rada.gov.ua/laws/show/120-2013-%D0%BF [in Ukrainian].
Resolution of the Cabinet of Ministers of Ukraine on the approval of the procedure of forming the price of products, works, services for defense purposes n the case when the selection of contractors for the supply (purchase) of such products, works, services is carried out without the use of competitive procedures № 517 (2016, August 8) Retrieved from: http://zakon.rada.gov.ua/go/517-2016-п [in Ukrainian].
Porter, M. (2005) On Competition Moscow: “Williams” Publishing house p. 256 [in Russian]
Dobrova, K.B. Cluster as a Tool to Increase the Competitiveness and Innovative Activity of Enterprises of the Defense Industry Complex. MIR (Modernization. Innovation. Research). 2017;8(3):396-403. (In Russ.) DOI: 10.18184/2079-4665.2017.8.3.396-403 [in Russian]
European Defence Agency Regional Industrial Portals & Clusters. Retrieved from: https://www.eda.europa.eu/industry-info/ directories/industry-rto-directory/regional-industrial-portals-clusters [in English].
European Network of Defence-Related Regions: Croatian Defense Industry Competitiveness Cluster. Retrieved from: https://www.endr.eu/organisation/croatian-defense-industry-competitiveness-cluster. [in English].
Kadir Alpaslan Demir, Fahri Erenel, Ebru Caymaz Defense Industry Clusters in Turkey. Retrieved from: https://www.researchgate.net/publication/304425124_Defense_Industry_Clusters_in_Turkey. [in English].
Paul Hackett Strength in numbers: the benefits when firms join forces. Retrieved from: https://www.euronews.com/2020/02/21/strength-in-numbers-the-benefits-when-firms-join-forces. [in English].
Kadir Alpaslan Demir, Fahri Erenel, Ebru Caymaz Defense Industry Clusters in Turkey. Retrieved from: https://www.researchgate.net/publication/304425124_Defense_Industry_Clusters_in_Turkey. [in English].
Clusterization of “Ukroboronprom”: on the reform of the defense-industrial complex of Ukraine in detail. Retrieved from: https://ukroboronprom.com.ua/uk/media/klasteryzatsiya-ukroboronpromu-detalno-pro-reformu-oboronno-promyslovogo-kompleksu-ukrayiny-artur-heruvimov.html. [in Ukrainian].
“Ukroboronprom” presented the strategy of the defense-industrial complex of Ukraine Retrieved from: https://ukroboronprom.com.ua/uk/media/ukroboronprom-prezentuvav-strategiyu-reformy-oboronno-promyslovogo-kompleksu-ukrayiny.html. [in Ukrainian].
Order of the Cabinet of Ministers of Ukraine on the approval of the Strategy for the development of the defense-industrial complex of Ukraine up to 2028 № 442-р (2018, June 20) Retrieved from: https://zakon.rada.gov.ua/laws/show/442-2018-%D1%80#n7 [in Ukrainian].
Abstract views: 342 PDF Downloads: 240
Copyright (c) 2020 Valerii Borokhvostov, Volodymyr Komarov, Lesia Skurinevska , Anastaсia Shevchenko
This work is licensed under a Creative Commons Attribution 4.0 International License.
The authors agree with the following conditions:
1. Authors retain copyright and grant the journal right of first publication (Download agreement) with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgment of the work's authorship and initial publication in this journal.
2. Authors have the right to complete individual additional agreements for the non-exclusive spreading of the journal’s published version of the work (for example, to post work in the electronic repository of the institution or to publish it as part of a monograph), with the reference to the first publication of the work in this journal.
3. Journal’s politics allows and encourages the placement on the Internet (for example, in the repositories of institutions, personal websites, SSRN, ResearchGate, MPRA, SSOAR, etc.) manuscript of the work by the authors, before and during the process of viewing it by this journal, because it can lead to a productive research discussion and positively affect the efficiency and dynamics of citing the published work (see The Effect of Open Access).