Regional Planning Of Socio-Economic Development (Including The Industrial Construction And Social Infrastructure)

Abstract

The factors and risks of the external environment have a strong impact on the economy and the dynamics of the main macroeconomic indicators. Opacity and uncertainty may occur and reduce business efficiency and investment attractiveness of the economy. The Russian economy has a high level of opacity and uncertainty due to the historical features of its formation and the stage of the life cycle. The issue of overcoming these negative manifestations is very relevant. Solving these problems will allow the Russian economy to successfully integrate into world economic relations and attract investors who can lead it to an intensive development path. The most effective method of preventing opacity and uncertainty of the national economy is strategic planning of socio-economic development. Goal-setting, forecasting, planning, programming, monitoring and control allow government to coordinate the actions and solve the tasks of sustainable socio-economic development. Strategic planning of socio-economic development is an important issue for economic wealth of Russian regions and a high quality of life. The paper describes the features of regional planning by the example of the Volgograd region. The main goals and objectives of the regional planning are identified. The main documents that support this process are noted. The separation of federal and regional authorities are studied. The directions of development of the practice of regional planning are determined. Its flaws and sources of effectiveness are shown also in the industrial construction and social infrastructure.

Keywords: Strategic planningregional economicsindustrial constructionsocial infrastructuredevelopment strategy

Introduction

The topic of increasing the investment activity of economic entities has not lost relevance since the beginning of the 21st century, especially in the regional context. In theory, the potential of the Russian regions should be attractive for investors, but regional governments cannot always effectively present it and create conditions that are acceptable for investors without infringing the population’s interests. It is shown especially brightly in the construction of large industrial complexes and in objects of social infrastructure. This is partly due to the flaws of regional strategic planning of socio-economic development.

Problem Statement

In theory planning is a mechanism that replaces the "invisible hand of the market". Planning solves the main problem of economy - more effectively than the self-regulation of the market economy. Because planning resources are used as efficiently as possible.

The effectiveness of steps taken at the federal level will largely depend on the way they are implemented in the regions (Ministry, 2016). One of the features of the modern world is the large differences between the countries combined with significant similarities between certain types of regions in different countries. There are many similarities in the steps of different countries to solve their internal regional problems.

Research Questions

Today, the specialization of enterprises and industry is specified by consumers. Consumers also specify the structure of the regional economy. That is why the regional administration should adapt production and employment to a new industrial and economic policy. At the same time, the consumer has specific requirements for the effectiveness of social infrastructure, which service directly affects the quality of the population’s life.

In the situation when market relations do not wholly regulate supply and demand, governments of different countries are able to compensate this disadvantage by their programs in specific sectors of economy. One of the most important things of regional administration is the agreement of accommodation of industrial production with the population of the region. Actually the government is only an agent that manages the property on behalf of the people and cannot arbitrarily determine the vector, the scale and the pace of development It can also distribute income, derived from the operation of macro-economic area, establish consumption and the rate of accumulation of income, choose the targets for its expenditure. Nevertheless, government should ensure a decent quality of population’s life. People must have the access to subjects of social infrastructure and the results of its operation. Individual, corporate and participation of citizens in the process of strategic planning and control greatly increases the efficiency of formation and achieving progressive changes in the macro-region. It is based on the paradigm of sustainable development, taking into account all of its aspects (Inshakov, 2003).

Smoothing inter-regional differentiation from the point of socio-economic and technological development is the main focus of the regional management of the absolute majority of developed and developing countries.

Purpose of the Study

In this paper, the purpose is to identify the characteristics of regional planning by the example of the Volgograd region. For this purpose, the sources of the increase of this process in the context of industrial construction and social infrastructure are determined.

Research Methods

To achieve the purpose of the study, the following scientific methods are used: a comparative analysis, a retrospective analysis, a method for identifying cause-effect relationships, analysis of regulatory documentation, system analysis, forecasting, a practice-oriented approach.

Findings

There are many documents of strategic planning in every region in most countries (programs, strategies and so on). However, the analysis often shows many flaws of their structure and content:

there is no certain form of document that can reflect the features of strategic planning in the country;

the proposed system of planned strategic indicators does not always take into account the original features, tendencies and factors of socio-economic development of the country;

there are many problems in the process of coordination and agreement of strategic plans of socio-economic development with social organizations and social groups at various levels;

the documents are not often adapted to the uncertainty and lack of transparency of the municipality;

the system of medium and long term indicators is not clearly defined;

the purposes of socio-economic development are not clearly defined;

lack of clear argument for choosing the strategic direction of socio-economic development;

the possible options and conditions of socio-economic development may be calculated insufficiently;

the process of adaptation of regional economic, social, investment and other policies to the strategic planning documents of the country is difficult ;

lack of relevant ways for implement the planned activities.

Some of the above-mentioned flaws can be found in the Strategy of socio-economic development of Volgograd region until 2025, adopted at the regional level in 2007. It has not lost its relevance, despite the impact of many factors (the global financial crisis, a change in legislation, changes of the head of the region). Strategy determines the direction of a long-term development of the region based on the marking out priority clusters and points of economic growth, the state and business partnership (Administration, 2008).

Investment attractiveness is the degree which the socio-economic system has qualities that are important to the investor when making investment decisions (Buzyrev & Polyakov, 2010). Achievement of the objectives of the Strategy (increasing the region's investment potential and creation of a dynamic and competitive economy) requires solution of the following tasks:

- increase of the economic potential of the region, the development of industrial production;

- development of agriculture and building complexes;

- economic growth.

The development of engineering infrastructure is also an important direction of socio-economic development of the Volgograd region. It creates favorable institutional environment for private investment and eliminates the restrictions:

- energy development, ensuring energy security of the region;

- expansion of the transport infrastructure: the construction of large transport objects and roads.

Ineffective operation and a low development level of the transport system in Volgograd region are important factors constraining economic and social development of the region and repeatedly lowering its competitiveness (Yaschenko & Zubkova, 2015).

Ensuring a high quality of life is achieved due to the active development of social infrastructure:

- improving the demographic situation, overcoming the trend of depopulation;

- improving the living standards of the population, the increasing in revenues, the development of social infrastructure, improving the quality of education and health;

- affordable housing;

- reduction of environmental pollution, environmental security in the region.

Efficient consumption of regional resources, taking into account local circumstances, and a high level of development of social infrastructure are becoming sources for regional competitiveness and its economic security. The strategies of social development are oriented towards adapting and strengthening human resource capacity, forming human capital of the company and renovated territory (Inshakov, 2008).

The example of the Volgograd region shows that the creation of a competitive regional economy is possible to be based on the creation and operation of large industrial complexes, clustering and social infrastructure development. The project management system and innovative nature of the new company from the very beginnings of the project realization has an effect on the policy in the field of current technologies, personnel, development of the construction site and social infrastructure and so forth. (Lomovceva, Tkhorikov, Gerasimenko, & Polyakov, 2016). Today the region creates a complex of institutional conditions for investment and implementation of investment projects, including tools of public-private partnerships, which create the basis for sustainable economic growth. Achievement of strategic goals is impossible only along the trajectory of the region’s previous development and concentration by the state and private investors of resources within one territory, even if it has undoubtedly significant reserves for growth (Polyakov & Zubkova, 2009).

The authorities of the region are actively working to establish a strategy of socio-economic development of Volgograd region until 2030. Aims and objectives of the previous strategy in this case remain unchanged. The changes apply only to the methods and principles for achieving them. Effective method of "foresight" has been applied in order to harmonize the interests of all groups of the population of the region to determine the strategic vision of social and economic development of the territory. Within days, representatives of the various communities (scientists, civil servants, officials, youth and others) came to a consensus on the development priorities of the Volgograd region through debate and compromises. The results will be officially published in the near future.

It should also be noted that the creation of strategic documents is not the prerogative of the federal or regional authorities. The important experience of the socio-economic development strategy of the Volgograd region until 2030 appeared in 2016. The elaboration of a regional strategy considers the experience of Volgograd city and involves the same experts.

Conclusion

Strategic planning of socio-economic development of the region is the "classics" of the state of management. It allows defining a path to social and economic prosperity, based on the specific economic, social, cultural and administrative situation. The development and distribution of methods of strategic planning involves the modernization of the existing interactions between the regions. It is necessary to increase the activity of regions, and state authorities should move from the policy to indicative management practices.

References

1. Administration of the Volgograd region (2008). Strategy for Socio-Economic Development of the Volgograd Region. Volgograd, Publishing House of the Volga.
2. Buzyrev, V.V., Polyakov, V.G (2010). Influence of functional factors of a territorial organization of the regional economy upon the agglomeration effect of investment activity. Problems of the modern economy, 34 (2),pp. 336-339.
3. Inshakov, O.V. (2003). On the development strategy of the Southern macro region of Russia: (Methodological and methodical problems of formation). Volgograd, Volgograd State University Press.
4. Inshakov, O.V. (2008). Modernization of the Economy of the South Russia: Problems, priorities, projects. The South Scientific Center of the SAS, Russian.
5. Lomovceva, O.A., Tkhorikov, B.A., Gerasimenko, O.A., Polyakov, V.G. (2016). The strategic nature of public-private project in solving the problems of small and medium-sized cities in Russia. Social Sciences (Pakistan), 11 (12), pp. 3136-3141.
6. Ministry of Economic Development of Russian Federation (2016). Guidelines for the development of indicators of socio-economic development of the Russian Federation. Moscow, Russian government.
7. Polyakov, V.G., Zubkova, I.Y. (2009). Construction of large industrial complexes on the principles of public-private partnership as a factor of formation of the competitiveness of the region. Terra Economicus, 7, (3-3), pp. 179-182.
8. Yaschenko, S.O., Zubkova, I.Y. (2015). Economic aspects of development of transport infrastructure in the Volgograd region. Russian Journal of Entrepreneurship, 16 (7), pp. 999-1010.