European Proceedings Logo

Methods Increasing The Competitiveness Of Entrepreneurial Structures In A Circular Economy

Table 2:

Process name Description of the mechanism for forming a competitive advantage
Main processes
1. Receipt and storage of materials, equipment (incoming logistics) Correctly organized storage of raw materials, equipment of small and medium-sized enterprises in the field of recycling contributes to an increase in the rhythm, continuity of the production process, as well as maintaining the quality of raw materials and materials used. Inbound logistics is an important process of creating a competitive advantage for small and medium-sized enterprises in the field of polymer recycling, contributing to meeting lead times through timely loading of production capacities.
2.Operating activities The organization and implementation of operating activities determines the balance of the company's internal reserves, the complication or simplification of business processes, the amount of capital-intensive investments, the formation of costs associated with operations to create finished products (sorting, washing, pressing, packaging and other operations to create the final product). This, in turn, determines the position of the enterprise in the competitive struggle.
3. Distribution chain (outbound logistics) Outbound logistics forms competitive advantages of the enterprise by organizing the timely shipment of finished products to the consumer, delivery at the time required for the end consumer.
4. Marketing & Sales Search and organization of sales channels for finished products and marketing activities determine the effectiveness of small and medium-sized enterprises in the sale of products to consumers. The competitiveness of enterprises in the field of recycling is directly correlated with the results of sales of finished products.
5.Customer service Organization of the service, namely, customer and information support, forms the image of the company as a reliable business partner, increasing its value in eyes of the consumer. The strength of the company's position in the market, and hence its competitiveness, depends on the effective work with clients.
Supporting processes
1.Creation of enterprise infrastructure The type, quality of existing infrastructure and costs of its maintenance affect the competitive potential of small and medium-sized enterprises in the recycling sector. The infrastructure of small and medium-sized enterprises is general management, product quality management, planning, communication and accounting. The listed infrastructure elements determine the company's strategy, it is impossible to ensure a competitive advantage of small and medium-sized enterprises in the field of recycling without it.
2.Supply activities A clear delivery of secondary raw materials, necessary to produce finished products, create and maintain stocks, significantly affects the duration of production cycles of small and medium-sized enterprises. The entire procurement strategy of the company may depend on the organization and functioning of supply activities, which in turn affects the costs of maintaining stocks, the costs of purchasing raw materials and other materials, forming a competitive advantage of the enterprise by reducing the costs of purchasing and maintaining stocks.
3.Research activity, technological development Continuous updating and innovative development of production processes, technological solutions for sorting mixed polymers allow the company to maintain significant interest from consumers. Applying modern technologies, the processing enterprise expands the field of application of finished products from secondary raw materials, improves the quality of products from secondary polymers, bringing them closer in properties to the original raw materials. Thus, the strategy of innovative and technological development of small and medium-sized enterprises in the field of recycling, carried out on a scientific basis, is the basis for creating and maintaining a competitive advantage through maximum satisfaction of consumers of finished products.
4.Personnel management Human resources management is a prerequisite for a competitive advantage. Personnel policy is related to recruitment, training, compensation of the personnel of the enterprise in the field of recycling. The competitiveness of small and medium-sized enterprises directly depends on the degree of qualification of the personnel involved in satisfying the consumer's need for a quality finished product.
< Back to article