Methodological Approach to Evaluating the Effectiveness of Development of “Conflict-Free” Socio-economic System

Abstract

Purpose

The purpose of the research is to develop methodological approach to evaluation of effectiveness of development of “conflict-free” socio-economic system.

Methodology

The fundamental platform of the research is the classic approach to evaluation of effectiveness of managerial practice in socio-economic system.

Conclusions

A methodological approach to evaluation of effectiveness of development of “conflict-free” socio-economic system is developed; it envisages calculating the ratio of aggregate results (including advantages) from “conflict-free” development of systems to aggregate expenditures for management of conflicts. Successful approbation of this approach by the example of modern “conflict-free” socio-economic systems – Turkey and Japan – showed its readiness for practical application. The obtained results show that in Turkey in 2018 the effectiveness of development of “conflict-free” socio-economic system is acceptable (normal), as the value of the calculated Erbs index is in the interval (1,5;2), that is the results of managing the conflicts exceed the expenditures. In Japan in 2018, effectiveness of development of “conflict-free” socio-economic system is very high, as the value of the calculated Erbs index is in the interval (2;3) – that is, expenditures for management of conflicts are minimum, and results are very high.

Originality/value

Advantages of the developed methodological approach to evaluation of effectiveness of development of “conflict-free” socio-economic system, which emphasize perspectives of its practical application, are the detailed structure, variability, and universal character.

Citation

Ferova, I.S., Kovanova, E.S., Kletskova, E.V., Yuldashev, R.T. and Tkachenko, T.V. (2019), "Methodological Approach to Evaluating the Effectiveness of Development of “Conflict-Free” Socio-economic System", Popkova, E.G. (Ed.) “Conflict-Free” Socio-Economic Systems, Emerald Publishing Limited, Leeds, pp. 327-333. https://doi.org/10.1108/978-1-78769-993-920191038