Economic
Master of the department of organization and
management
G.V. Kondaurova
Michurinsk State Agrarian University, Russia
Forming of strategy of
development of milk cattle breeding (for example of closed joint-stock
company agroindustrial enterprise «Kirovskoe» îf Dobrovskiy district of Lipetsk region).
Summary
The paper considers the problem of dairy product
subcomplex, ways to improve the efficiency of dairy cattle. Based on the
analysis of the market in milk production area were identified further areas of
enterprise development strategies.
Key words: strategy, economic
development, purchase prices, competition, potential, milk cattle breeding,
market, food, increase, productivity,
the Boston Consulting Group.
State of stock-raising is one of serious modern problems of agrarian sector of economy of
country. The reduction of cattle population, decline of production of
stock-raising goods volumes, entailed unemployment, reduction of profits of
rural population, degradation of many rural settlements. The task of choice and realization of
effective strategies of economic behavior stands before the enterprises of
milk-food subcomplex.
Forming, of
economic development strategy of agricultural enterprise requires development
of complex of questions: ground of mission of enterprise; motivation of
directions of his development; determination of optimal variants of
organization of production, labour and management; selection of objects of
investments and their sources of and other
[2].
Agricultural commodity producers in the conditions of
market need realization of necessary products in accordance with demand and
supply. The low level of purchase prices and hasty enough growth of production
inputs products deprived the rural commodity producer of possibility of not the only extended but also simple
reproduction [3].
A central
place in effective organization of production and processing of milk is
occupied by the problem of co-ordination of productive and commercial
processes. Her decision supposes creation of the flexible system of the
centralized operative guidance, that is the valuable use of competition
potential.
Such system must provide control of purchases and
acceptance of necessary measures at their violation; advancement of streams;
operative watching of character of processing of raw material and realization
of the prepared products; management process by disposition of supplies of
material resources and prepared products [1].
The reliable organizationally-economic mechanism of
management, which is able to orient activity of all participants of food market
on the achievement of high end-point, is today needed. As it applies to milk
and dairies a high result is this steady providing with of population high-quality
foodstuffs, necessary for providing of health of nation, food safety of
country.
Now we consider the competitive potential of closed
joint-stock company agroindustrial enterprise «Kirovskoe». Presently closed
joint-stock company agroindustrial enterprise «Kirovskoe» is the diversifyed
enterprise, specialized on the production of milk, meat (beef), grain, sugar
beet. To the sizes of land-tenure next data testify: agricultural lands make
7410 ha, including plough-land is 6124 ha, haymakings and pastures are 1286 ha,
that allows effectively to conduct the milk cattle breeding.
The main
source of growth in livestock production in the enterprise - increasing
productivity of livestock, which can be achieved by avoiding or reducing the
barrenness of breeding stock, the plan for the species composition and
structure of the herd, improving its content.
The following studies show that the closed joint-stock company
agroindustrial enterprise «Kirovskoe»
is one of the leaders in the field of dairy cattle breeding in
Dobrovskiy district.
To determine
the prospects of the enterprise is one of the leading consulting groups in
management - the Boston Consulting Group - has developed a matrix showing the
dependence of the relative share of the company entering the business, which it
has in the market, the rate of growth of this market. The matrix of Boston
Consulting Group suggests the following strategic sectors: «Star», «Cash Cows»,
«Difficult Children», «Dogs».
Consider the matrix portfolio Boston Consulting Group
(table 1).
Table 1 - Matrix Boston Consulting Group portfolio
|
high |
«Star» |
«Difficult
Children» |
|
subzero |
«Cash
Cows» |
«Dogs» |
|
height of demand |
|
|
|
market stake |
high |
subzero |
Strategic sector «Star» is a business area, occupying a
relatively larger share of rapidly growing market operations which generate
high profits. Strategic sector, «Cash Cows» is a business area, which in the
past received a relatively large market share. However, over time the growth of
the relevant industry slowed markedly. Strategic sector «Difficult Children» -
these business areas will compete in growing industries, but they occupy a
relatively small market share. Strategic sector «Dogs» is a business area with
a relatively small market share in slow-growing industries.
Based on the data in table 2, we define the strategic
sectors, which include company-producers of milk Dobrovskiy district (picture
1).
Table 2 - Baseline data to determine the strategic
position of milk producers, improve the entrepreneurship Dobrovskiy
district in accordance with the
methodology of Boston Consulting Group
|
Company |
Rate of height of industry, % |
Market of suckling
products of district share, % |
|
A |
1 |
2 |
|
Closed
joint-stock company agroindustrial enterprise «Kirovskoe» |
152 |
43,1 |
|
A |
1 |
2 |
|
Company limited liability
«Avanguard» |
76,4 |
35,2 |
|
Company limited liability «Nastya Dobroe» |
53,6 |
2,5 |
|
Company limited liability «Putyatinskoe» |
60,8 |
19,2 |
|
Total |
õ |
100 |
From a table 2 evidently, that most specific gravity
in the structure of profit yield from realization of milk on the whole on a
district occupies Closed joint-stock company agroindustrial enterprise
«Kirovskoe» - 43,1%, the least is Company limited liability «Nastya Dobroe» -
2,5%.
Picture 1 -
The Modified matrix of the Bostonian consulting group for the
enterprises-producers of milk of Dobrovskiy of district
Being base on
matrix, by the created Bostonian consulting group, taking into account the
before disclosed reserves, it is possible to draw conclusion, that in the
prospect of Closed joint-stock company agroindustrial enterprise «Kirovskoe»can
substantially fix leading positions in the field of production of milk. Thus an
enterprise must use strategy of expansion of primary demand (search of new
consumers), and also application of elements of defensive strategy essence of
which consists in the increase of market share due to the
maximal use of effect of scale and experience on the occupied market segments is
possible.
Literature
1. Volkov, A.
Improve the organizational and economic mechanism of management of the
regional market for milk / A. Volkov, I. Dubrovin / / Agroindustrial complex:
economics, management. - 2010. - ¹ 6. - p. 56-61
2. Otinova, M. The Economic Development of
agricultural organizations / M. Otinova, V. Litvinov / / / Agroindustrial
complex: economics, management. - 2010. - ¹ 3. - p. 27-31
3. Tsydypova, E.B. State dairy subcomplex of
agriculture in Russia / E.B. Tsydypova / / Economics of agricultural and
processing enterprises. - 2009. - ¹ 9. - p. 39-42