Evaluation of the efficiency of social investments of metallurgical enterprises according to the decoupling approach

User Rating:  / 1
PoorBest 

Authors:


A.Tkachenko, orcid.org/0000-0002-1843-2579, National University Zaporizhzhia Polytechnic, Zaporizhzhia, Ukraine, e-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.

N.Levchenko, orcid.org/0000-0002-3283-6924, National University Zaporizhzhia Polytechnic, Zaporizhzhia, Ukraine, e-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.

G.Shyshkanova, orcid.org/0000-0002-0336-2803, National University Zaporizhzhia Polytechnic, Zaporizhzhia, Ukraine, e-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.

V.Shvets, orcid.org/0000-0001-7261-5993, Dnipro University of Technology, Dnipro, Ukraine, e-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.

M.Ivanova, orcid.org/0000-0002-1130-0186, Dnipro University of Technology, Dnipro, Ukraine, e-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.


повний текст / full article



Naukovyi Visnyk Natsionalnoho Hirnychoho Universytetu. 2021, (5): 147 - 153

https://doi.org/10.33271/nvngu/2021-5/147



Abstract:



Purpose.
To develop a comprehensive methodology for assessing the effectiveness of social investment of metallurgical enterprises by a decoupling approach, which facilitates to form a clear idea of the investors intentions to support socially important initiatives and to make a realistic portfolio in terms of achieving the impact goals.


Methodology.
During the present research, the statistical methods of time series processing and correlation-regressive analysis are used in determining the dependence of the Decoupling Factor of social values on the amount of capital investment to create them. Decoupling analysis is applied in assessing the effectiveness of social investments of Metinvest Holding and the formation of its portfolio in terms of achieving impact goals. Strategic analysis is put to use in forecasting the effectiveness of social investment Metinvest Holding on the medium perspective.


Findings.
It is stated that the strategic orientation of transformational changes in the economy is currently the sustainable development of industrial enterprises, the achievement of which, in particular, is possible with the consistent application of the arsenal of fair working conditions, professional growth and welfare of employees, among which social investment has become widespread in foreign practice. The international standards on corporate social responsibility of companies are analyzed and the content component of the concept of social investment is revealed according to the functional approach. Emphasis is placed on the need to assess the effectiveness of social investment by the decoupling approach. The essence of the decoupling and its significance in the process of social investment are revealed. The authors method for evaluating the effectiveness of social investment by the decoupling approach is proposed. The classification of decoupling effect types according to P.Tapio has been modified by distinguishing types of social-decoupling effect. The expediency of supplementing GRI400 Social Standards with the group of indicators GRI-420 Efficiency of Social Investments is substantiated.


Originality.
The theoretical and methodological provisions in the field of social investment are deepened by developing an authors methodology for assessing the effectiveness of social investment by decoupling approach. In contrast to the existing transformational changes in the economy, the methodology helps to make a clear understanding about the investors intentions and his/her realistic portfolio in terms of achieving the set impact goals. Taking into account the requirements of the UN Resolution Transforming our world: the 2030 Agenda for Sustainable Development, the ISO 26000 Social Responsibility Guide (2010) and the AA1000 AS Social Reporting Standard, it is proposed to supplement GRI-400 Social Standards with a group of indicators for assessing the effectiveness of social investment by the decoupling approach.


Practical value.
The scientific results on assessing the effectiveness of social investment of industrial enterprises by the decoupling approach should be used in making management decisions to invest capital in improving the working conditions of employees.



Keywords:
decoupling, social investments, efficiency of social investments, sustainable development, metallurgical enterprises

References.


1. Kulyk,L.A., & Sotnyk, I.M. (2014). Decoupling analysis as a tool for achieving sustainable development of Ukraine. In Averkina, M.F., Andreieva, N.M., Baldzhi, M.D., & Veklych, O.O. (Eds.). Sustainable development 21st century: management, technologies, models: collective monograph, (pp. 87-99). Cherkasy.

2.United Nations. (2015). Department of Economic and Social Affairs. Transforming our world: the 2030 Agenda for Sustainable Development. Retrieved from https://sdgs.un.org/2030agenda.

3. Melnychuk, L.S. (2016). The essence and importance of social investment. Hlobalni ta natsionalni problemy ekonomiky, (11), 434-437.

4. Arsakhanova,Z.D., Khazhmuradov,Z.A., & Khazhmuradova,S.D. (2019). Decoupling in economics the essence, definition and types. Gosudarstvennoe i municipalnoe upravlenie, (4), 13-18.

5. Yelisieieva,H.Yu. (2014). Assessing the impact of green economy development through the study on decoupling processes. Intelekt stolittia, (2), 127-135.

6.Ivanova, ., Varyanichenko, O., Sannikova, S., & Faizova, S. (2018). Assessment of the competitiveness of enterprises. Economic Annals-XXI, 173(9-10), 26-31. https://doi.org/10.21003/ea.V173-04.

7.Tkachenko, ., Levchenko, N., Pozhuieva, ., & hupryna, N. (2019). Innovative approach to evaluation of the decoupling phenomena in making decision on investment of agro-business. International Journal of Recent Technology and Engineering, 8(3), 38-44.

8.Social Accountability International (2021). SA8000 Standard. Retrieved from https://sa-intl.org/programs/sa8000/.

9.AccountAbility (2021). AA1000 Assurance Standard. Retrieved from https://www.accountability.org/standards/aa1000-assurance-standard/.

10.International Organization for Standardization (2018). Discovering ISO 26000:2010. Guidance on social responsibility. Retrieved from https://www.iso.org/files/live/sites/isoorg/files/store/en/PUB100258.pdf.

11.Global Reporting Initiative (2021). Social Information Disclosure. Retrieved from https://www.globalreporting.org/.

12.UN General Assembly (2020). United Nations Millennium Declaration, Resolution Adopted by the General Assembly, 18 September 2000, A/RES/55/2. Retrieved from https://www.refworld.org/docid/3b00f4ea3.html.

13.European Commission (2005). Strategy on the Sustainable Use of Natural Resources used in Europe. Retrieved from https://ec.europa.eu/environment/archives/natres/index.htm.

14.European Commission (2011). The Roadmap to a Resource Efficient Europe. Retrieved from https://ec.europa.eu/environment/resource_efficiency/about/roadmap/index_en.htm.

15.Metinvest (2011). Social report 20092010: From the workplace to local communities. Retrieved from https://metinvestholding.com/Content/Entities/Report/4/ua/Metinvest_CSR_Report_2009-2010.pdf.

16.Metinvest (2013). Social report 20112012: Metal for life. Retrieved from https://metinvestholding.com/Content/Entities/Report/3/en/Metinvest_CSR_Report_2011-2012_eng.pdf.

17. Metinvest (2015). Social report 20132014: Stronger than steel. Retrieved from https://metinvestholding.com/Content/Entities/Report/1/ua/Social_Report_Metinvest_2013-2014.pdf .

18.Metinvest (2017). Social report 20152016: More than steel. Retrieved from https://metinvestholding.com/Content/Entities/Report/22/en/%20Report_2015-2016.pdf.

19.Metinvest (2019). Sustainability report 20172018: Human and steel. Retrieved from https://metinvestholding.com/Content/Entities/Report/24/en/Metinvest_social_2019.pdf.

20.Metinvest (2019). Sustainability report 2019. Retrieved from https://metinvestholding.com/Content/Entities/Report/26/en/report-2019.pdf.

21.Finel, N., & Tapio, P. (2012). Decoupling transport CO2 from GDP. Finland Futures Research Centre. Retrieved from https://www.utupub.fi/bitstream/handle/10024/147511/eBook_2012-1.pdf?sequence=1&isAllowed=y.

22.Greene, W.H. (2018). Econometric Analysis: Global Edition, (8th ed.). Stern School of Business, NY University.

 

Visitors

3703019
Today
This Month
All days
401
5557
3703019

Guest Book

If you have questions, comments or suggestions, you can write them in our "Guest Book"

Registration data

ISSN (print) 2071-2227,
ISSN (online) 2223-2362.
Journal was registered by Ministry of Justice of Ukraine.
Registration number КВ No.17742-6592PR dated April 27, 2011.

Contacts

D.Yavornytskyi ave.,19, pavilion 3, room 24-а, Dnipro, 49005
Tel.: +38 (056) 746 32 79.
e-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.
You are here: Home Home EngCat Archive 2021 Content №5 2021 Evaluation of the efficiency of social investments of metallurgical enterprises according to the decoupling approach