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Economic Analysis: Theory and Practice
 

On assessing the life cycle phase of the enterprise

Vol. 14, Iss. 44, NOVEMBER 2015

PDF  Article PDF Version

Received: 21 July 2015

Available online: 16 November 2015

Subject Heading: MATHEMATICAL METHODS AND MODELS

JEL Classification: 

Pages: 53-64

Pluzhnikov V.G. South Ural State University - National Research University, Chelyabinsk, Russian Federation
pvg777@bk.ru

Shikina S.A. South Ural State University - National Research University, Chelyabinsk, Russian Federation
pastler74@mail.ru

Importance The lack of methodological framework to quantify the life cycle phase (LC) of the enterprise based on qualitative criteria necessitated the formalization of the assessment system aimed at identifying the parameters in the process of predicting various organizational crises in the organization's development.
     Objectives The purpose is to select different criteria to perform a quantitative assessment of LC of the enterprise, and to classify them.
     Methods We employed methods focused on the typology of criteria and formalization of classification features for assessment of the entire enterprise's life cycle.
     Results We reviewed principal stages of the evolution of the life cycle concept, clarified theoretical and methodological foundations of its development. We formalized classification criteria of the life cycle phase, selected criteria and boundaries of intervals of their parameters, presented a technique to assess the life cycle phase of the enterprise. The findings may be interesting from a theoretical point of view to refine the methodological framework.
     Conclusions and Relevance The study proves a possibility of creating a practical tool to apply the offered methodology to assess the life cycle phase of a production facility. The advantage of the methodology is its simplicity, ease of criteria selection, and accessibility of input information.

Keywords: life cycle, model, classification, integral indicator, stage

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