Petrozavodsk, Russian Federation
Petrozavodsk, Russian Federation
Even under the current foreign sanctions and external restrictions, Russia’s economic policy is aimed at industrial innovations. However, the ongoing digital transformation remains a serious challenge for timber enterprises: in fact, this industry demonstrates one of the lowest rates of digitalization. Digital transformation has both strategic advantages and strategic risks for such enterprises. If major business fails to consider these risks, the outcome can have long-term negative consequences. Effective strategizing of industrial enterprises needs special methods to identify, describe, and analyze strategic risks. The authors identified the strategic risks of digital transformation and summarized tools that could help timber and forestry enterprises to overcome them. The research relied on the theory and methodology of strategizing developed by Professor V.L. Kvint. According to this approach, a strategy does not identify problems: its main purpose is to identify opportunities, and opportunities always come with risks. The analysis systematized the general and specific features of ERP-systems and digital platforms as key elements of digital transformation. The article introduces opportunities and risks of digital transformation for timber industry enterprises, which must be taken into account by strategists. It also describes an automated process management model as a means of overcoming the risks.
strategic opportunities, strategic risks, digitalization, digital transformation, ERP-systems, forestry complex
1. Bodrunov SD. A(O)ntologiya noonomiki: chetvertaya tekhnologicheskaya revolyutsiya i ee ehkonomicheskie, sotsialʹnye i gumanitarnye posledstviya [A(O)nthology of noonomics: the fourth technological revolution and its economic, social, and humanitarian consequences]. St. Petersburg: INIR; 2021. 388 p. (In Russ.)
2. Beketova ON. Strategizing the digital transformation of oil and gas enterprises. Strategizing: Theory and Practice. 2023;3(4):428–440. (In Russ.) https://doi.org/10.21603/2782-2435-2023-3-4-428-44
3. Bodrunov SD, Grinberg RS, Sorokin DE. Reindustrialization of the Russian economy: Imperatives, potential, risks. Economic Revival of Russia. 2013;35(1):19–49. (In Russ.)
4. Grinev SA, Kvint VL. Formation of strategic priorities of industrial development of the Russian Federation as an innovative factor in overcoming crisis periods. Russian Journal of Industrial Economics. 2023;16(3):275–283. (In Russ.) https://doi.org/10.17073/2072-1633-2023-3-275-283
5. Zhuravlev DM, Chaadaev VK. Strategic instruments for the growth of the industrial sector of the economy in the conditions of the sixth big Kondratiev cycle. Russian Journal of Industrial Economics. 2023;16(3):253–262. (In Russ.) https://doi.org/10.17073/2072-1633-2023-3-253-262
6. Abdrakhmanova GI, Vasilkovsky SA, Vishnevsky KO, Gokhberg LM, Demidkina OV, Demyanova AV, et al. Digital economy indicators in the Russian Federation: 2022. Moscow: HSE; 2023. 332 p. https://doi.org/10.17323/978-5-7598-2697-2
7. Kvint VL, Babkin AV, Shkarupeta EV. Strategizing of forming a platform operating model to increase the level of digital maturity of industrial systems. Russian Journal of Industrial Economics. 2022;15(3):249–261. (In Russ.) https://doi.org//10.17073/2072-1633-2022-3-249-261
8. Kvint VL, Bodrunov SD. Strategirovanie transformatsii obshchestva: znanie, tekhnologii, noonomika [Strategic transformation of society: knowledge, technology, and noonomy]. St. Petersburg: INIR im. S.Yu. Vitte; 2021. 351 p. (In Russ.)
9. Novikova IV, Xie K. Comparative analysis of strategies of Chinese companies in the digital economy. Russian Journal of Industrial Economics. 2022;15(2):226–233. (In Russ.) https://doi.org/10.17073/2072-1633-2022-2-226-233
10. Platonov VV. “Paradoks Solou” dvadtsatʹ let spustya, ili ob issledovanii vliyaniya innovatsiy v informatsionnykh tekhnologiyakh na rost proizvoditelʹnosti [Twenty years of the Solow Paradox: impact of innovations in information technology on production growth]. Finance and Business. 2007;(3):28–38. (In Russ.)
11. Polyanskaya OA, Tambi AA, Mikhailova AE. Timber industry development in the Russian Federation: Issues and prospects. Petersburg Economic Journal. 2020;(4):65–74. (In Russ.)
12. Prokhorov A, Konik L. Tsifrovaya transformatsiya. Analiz, trendy, mirovoy opyt [Digital transformation. Analysis, trends, and global experience]. Moscow: KomNʹyus Grup; 2019. 368 p. (In Russ.)
13. Khalin VG, Chernova GV. Digitalization and cyber risks. Administrative Consulting. 2023;175(7):28–41. (In Russ.) https://doi.org/10.22394/1726-1139-2023-7-28-41
14. Tsenzharik MK, Krylova YuV, Steshenko VI. Digital transformation in companies: Strategic analysis, drivers and models. St. Petersburg University Journal of Economic Studies. 2020;36(3):390–420. (In Russ.) https://doi.org/10.21638/spbu05.2020.303
15. Shabaeva SV, Shabaev AI. Tools for implementing strategies in the context of digital transformation of industrial enterprises. Administrative Consulting. 2023;178(10):69–79. (In Russ.) https://doi.org/10.22394/1726-1139-2023-10-69-79
16. Feng Y, Audy J-F. Forestry 4.0: A framework for the forest supply chain toward Industry 4.0. Gestao and Producao. 2020;27(4). https://doi.org/10.1590/0104-530X5677-20
17. Gudergan G, Buschmeyer A. Key aspects of strategy and leadership for business transformation. The Business Transformation Journal. 2015;11:17–27.
18. Ismail MH, Khater M, Zaki M. Digital business transformation and strategy: What Do we know so far? Cambridge: University of Cambridge; 2018. 35 p. https://doi.org/10.13140/RG.2.2.36492.62086
19. Kvint VL, Bodrunov SD. Strategizing societal transformation. Knowledge, technologies, and noonomy. Oakville: Apple Academic Press; 2022. 202 p.
20. Nadella S, Euchner J. Navigating digital transformation. An Interview with Satya Nadella. Research-Technology Management. 2018;61(4):11–15. https://doi.org/10.1080/08956308.2018.1471272
21. Novikova IV, Kunchao X. National strategic planning for the digital economy: A competitive analysis on material of China and Russia. Strategizing: Theory and Practice. 2023;3(3):298–307. https://doi.org/10.21603/2782-2435-2023-3-3-298-307
22. Vial G. Understanding digital transformation: A review and a research agenda. The Journal of Strategic Information Systems. 2019;28(2):118–144. https://doi.org/10.1016/j.jsis.2019.01.003
23. Westerman G, Bonnet D, McAfee A. Leading digital: Turning technology into business transformation. Boston: Harvard Business Review Press; 2014. 303 p.
24. Zaki M. Digital transformation: Harnessing digital technologies for the next generation of services. Journal of Services Marketing. 2019;33(4):429–435. https://doi.org/10.1108/JSM-01-2019-0034
