Concept And Classification Of Types Of Monitoring Of Regional Socio-Economic Development

Abstract

The socio-economic development of the region ‒ the central function of the authorities of the region, which becomes especially relevant during the crisis and constant structural changes. The development of the region can be managed through a wide range of concrete actions, through which the regional administration stimulates the development of the Territory's economy, creates new jobs, increases the tax base, and expands opportunities for those types of economic activity in which the economic community is interested. Trends in the socio-economic development of modern society make it possible to conclude that the influence of external factors causes the need for constant monitoring of various areas of the economy. The presence of prerequisites for strengthening the analytical component of monitoring economic development as a response to the need and possibility of effective use of resources and economic potential, social capital is especially important for the regions. This requires a significant increase in the level of theoretical, methodological and methodological elaboration of the procedure for monitoring the economic development of regions and the implementation of the regional development program. Monitoring of the socio-economic development of the region provides for the improvement of all methodological elements from the organization to regular analytical calculations, which requires clarification of the concept of monitoring and review of types of monitoring.

Keywords: Region, monitoring, regional development strategy, management decisions

Introduction

The search for directions for the development of monitoring the socio-economic development of regions touches on many issues of the economic and analytical system: collecting primary information, organizing analytics and forecasting, improving regional analysis, controlling given parameters of strategic development, and making regular calculations related to the modern assessment of the state's economic performance at various levels of economic management.

The economic development of the regions of Russia in modern conditions can be improved through the use of various analytical tools, along with the preservation of traditional priorities, the formation of a new economic structure that ensures the growth of regional competitiveness. This requires a significant increase in the level of theoretical, methodological and methodological elaboration of the procedure for monitoring the socio-economic development of regions and the implementation of the regional development program.

Such scientific economists as Popova (2015); Bragina (2016); Larina (1996) and others are directly related to the development of the methodology for monitoring the socio-economic development of the region.

General issues of research of analytical calculations were touched upon by such Russian scientists as Ivanova (2015); Mirohina (2015); Ruzhnikov (2016); Sheremet (2009) and others.

Theoretical provisions, principles for monitoring regional development are presented in the classical works of Russian and foreign researchers: Shishkin (2004); Shniper (1991); Dmitrieva (1992); Zavarina and Choban (2003) and others.

Problem Statement

Currently, in the scientific environment, the search for effective methods for managing the development of state entities is relevant. In practice, methods of strategic planning for the economic and social development of regions, the formation of their development programs and agreements between state authorities and local self-government are more often used.

In order to ensure a high level of socio-economic development of the regions, it is necessary to improve the governance mechanism so that it meets the modern requirements of the market economy. This becomes possible if the system of effective monitoring of regional development is organized, and for this it is important to understand what monitoring is and correctly determine its necessary direction.

Monitoring of the socio-economic development of the region requires improvement of all methodological elements from the organization to regular analytical calculations, quantitative and qualitative assessment of all socio-economic phenomena and processes of public life. This is due to the dynamic development of society, the impact of economic sanctions and the impact of internal regional factors on the socio-economic development of the region.

The search for directions for the development of socio-economic monitoring of the region affects many issues of the economic and analytical system: the organization of analytics and forecasting, the improvement of regional analysis, the control of the set parameters of strategic development, the implementation of regular calculations related to the modern assessment of the results of economic activity of the state at different levels of economic management.

The current socio-economic situation is characterized by the intensification of the process of integrating Russian regions into the system of interrelations of the world economy, the contradictions between modern economic trends, the lack of sources of regional development and the methods used to implement them are being overcome. Under these conditions, the importance of monitoring the socio-economic development of the region increases, which provides competitive advantages that are difficult to reproduce in other territories, and allows attracting new investors to them.

Research Questions

Methods of monitoring the socio-economic development of the region, as well as the possibility of using the developed mechanism in the management of the region.

Purpose of the Study

Analysis of types of monitoring for the application of modern monitoring methods for the diagnosis of socio-economic development of the region.

Research Methods

Monitoring of Socio-Economic Development (SIR) of the region is an integrated system of continuous monitoring of the processes and phenomena taking place in the region in order to determine the level of development and forecast of economic trends. The conduct and organization of any monitoring should be based on the principles of representativeness, economy, focus and regularity.

One of the most important principles of monitoring is the principle of focus, which involves the targeted solution of specific tasks and the identification of potential threats to the development of the region.

A number of authors objectively believe that monitoring the region is a process that determines the parameters and essence of the phenomenon, specifying that it is:

  • A retrospective, operational and forward-looking integrated analysis by SIR of the region with a view to formulating economic policies;
  • a system of methods and techniques for a comprehensive study of the assessment of the state and the detection of characteristic violations of the normal course of economic processes.

Other authors (Borisevich et al., 2002; Ivanova, 2015; Shishkin, 2004) define that regional monitoring of socio-economic development is a comprehensive analysis of the level of development of the region, its situation among other regions of the country and the identification of problematic situations. In their studies, these authors consider the monitoring of the socio-economic development of the region as an analysis of the differentiation of regions, during which important problems of the development of the region are identified, the dynamics of processes of strengthening territorial inequalities, the magnitude of regional differences in individual indicators are monitored.

Ruzhnikov (2016) confirms the opinion of the previous authors that regional economic monitoring is based on a systemic integrated approach, which involves considering in the relationship of various elements of the regional economy, with numerous internal and external ties.

Mirohina (2015) believes that the formation of a system for monitoring the socio-economic development of the region, complimentary integrated and analytical tools of regional management are necessary.

Popova (2015) draw attention to the methods of analysis and monitoring of the socio-economic development of the region, which will determine the ways of development of the region.

Bragina (2016) justifies the need to use the monitoring of the socio-economic development of the territories in order to reduce the level of uncertainty in management decisions.

Here is a comparative analysis of the interpretation of the SIR monitoring concepts of the region (Table 1).

Table 1 - Comparative analysis of the interpretation of the concepts of "SIR monitoring of the region"
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The definitions presented in Table 1 show that the authors do not have an unequivocal opinion on the essence of the concept of SIR monitoring in the region. In their view, the SIR monitoring of the region is identified with the economic analysis of its activities and the comparative assessment of the selected indicators, so we believe that the wording of the term "SIR monitoring of the region" needs to be clarified.

According to the author of the article, the monitoring of the SIR of the region is a regular, continuous monitoring by specialists of the processes and phenomena occurring in the region's economy, with the aim of identifying deviations in actual values from planned and making managerial decisions on the use of possible reserves of economic growth of the SIR of the region.

There are various classifications by monitoring object:

  • environmental monitoring - serves to assess the state of the environment, the ecological state of the territory (air, water, forests, climate, seismological monitoring, bird relocation, animal health, etc.);
  • medical monitoring - monitors the state of health of the population, sanitary and hygienic and epidemiological situation (level of infection with dangerous diseases, assessment of the state of pregnant women, prevention of seasonal and viral infections, etc.);
  • economic monitoring - systematic analysis of the state of sectors of the region's economy, economic indicators, the state of various markets: the labor market, food products, construction goods, etc.;
  • financial monitoring - is carried out to determine the liquidity, solvency of the region: budget revenues and expenditures, borrowing, servicing regional and municipal debt, etc.
  • social monitoring - analyses the social conditions, living standards of the population, demographic indicators, interethnic (inter-ethnic) relations and the impact of these indicators on the pace of socio-economic development of the region, etc.

Other types of monitoring can be distinguished: educational, political, sociological, etc.

Depending on the method, dynamic, competitive, comparative and complex types of monitoring are distinguished. The content of these species depends on the goals and orientation of the socio-economic development of the region.

Dynamic monitoring - Covers specific primary data in chronological order.

Competitive monitoring - to assess the competitive environment, advantages and threats, strengths and weaknesses of the region.

Comparative monitoring - is carried out to assess the prospects for the socio-economic development of the region by comparing similar regions to find optimal management decisions.

Integrated monitoring - allows you to assess the socio-economic development of the region using various approaches that combine modified methods and methods of analysis.

Depending on the goals set, monitoring of the development of the region is divided into the following types: information, basic, problematic.

Information monitoring of the development of the region is the process of accumulation, structuring and dissemination of information.

Basic monitoring of the region's development aims to pre-identify potential problems and likely threats before they become recognizable at the management level. It involves monitoring the object by measuring its performance over a period of time.

Problematic monitoring of the development of the region includes the clarification of negative trends and dangers, the elimination of which is possible from the point of view of management of the region.

Socio-economic monitoring is an organized observation system consisting of links of different levels:

  • Global monitoring based on a study of world socio-economic situations, international relations and cooperation;
  • National monitoring carried out within one State;
  • regional monitoring carried out on the territory of the subjects of the federation (regions, republics, autonomous districts);
  • local monitoring, which includes a study of the situation of individual municipalities, urban districts, etc.

Thus, the classification of types of monitoring shows that its scope of application is wide and the authors propose to evaluate certain areas of development of the region. Based on the objective of this article, monitoring of the development of the region should be considered as a process of integrated assessment of the SIR of the region as a whole.

Let us now turn to the consideration of the concept of "economic development of the region." In the works of Italian economists, development development is "such a placement of the resources of society, such a structure of production and distribution of products that are the best in terms of the set of goals," that is, it is a complex complex, the components of which are the external environment, organizational activities and structure, management technologies and efficiency assessment methods. This interpretation of the concept of economic development reflects a resource approach to the study of the state of the object, focused on the need for rational consumption of material and labor resources limited in time and space. The modern interpretation of this approach is reflected in the works of the authors (Bondarenko et al., 2016), who argue that regional development is a process aimed at determining the most effective option for the placement or use of natural-economic, demographic, environmental and other resources, which ensures the growth of economic indicators of the region.

However, the socio-economic development of the region means not only the development of the economy, but also the social, political, spiritual and moral and other aspects of society, which are closely interconnected (interdependence), and over time the complexity of processes only increases. Consequently, the development of the region is a special type of qualitative transformation (ensuring a high level of quality of life of the population, improving the sectoral structure, optimizing the ratios of various forms of ownership, rationalizing the economic management system, etc.), which relate to objects of socio-economic research. That is, socio-economic development is a process that results in positive qualitative changes in all components of the economic space of the region that occur under the influence of various factors (for example, the presence and effectiveness of the resource base of the territory, the active development of innovations, information technologies, etc.). Thus, the team of authors (Popova, 2015) determines the basis of qualitative socio-economic transformations of the region a labor resource that characterizes the state of the national educational system and the ability of staff to participate in the development and implementation of high technologies.

Agreeing that the socio-economic development of the region is, first of all, a qualitative transformation of all spheres of activity, a number of authors clarify this concept based on the functional purpose of the processes implemented in the object under study. For example, Shishkin (2004) believes that socio-economic development is a process that stimulates effective growth in the field of budget, financial, tax, tariff, institutional and other policies at the regional level. According to the author of the article, this is fair and relevant, since socio-economic development is associated with the strengthening of intersectoral economic ties that unite the sectors of the economy.

Dmitrieva (1992) considers it necessary to consider social and economic development relationships with the ecological sustainability of the state, since economics and ecology are connected, but ecology does not determine the level of economic development.

The view of other scientists, arguing that under socio-economic development refers to the process of a logical, phased transition from one qualitative level to another, ensuring the competitive advantages of the production of a certain subject of the economy.

The region's SIR is inextricably linked to monitoring its performance for management decisions. Therefore, good governance is essential for the positive development of the region. This view of the studied category is reflected in the works of a number of authors who associate the economic development of the region with the transition to a qualitatively new level of economic management, which has progressive characteristics, namely: technical, educational, innovative and institutional. They justify and make management decisions to enhance the development of the region, errors in which can lead to regression. However, the work of some authors does not note the need for constant monitoring of the SIR region, reflecting a comprehensive analysis of all components of the regional economy, including the shadow economy, the effectiveness of the property complex, etc.

Recognizing the need for progressive changes in the economy of the region, it should be noted that it can be negative (or zero) and positive (moving forward). Negative socio-economic development is the degradation of the region, which is regressive and subsidized.

It is obvious that the procedure for determining the deviation of the actual values of indicators characterizing qualitative changes in the SIR of the region from their established values cannot be implemented without the presence of a system of objective and timely economic primary information built on a territorial basis.

Pastuhova (2002) agrees with the above-mentioned author, who argues that only the system of statistical data on the state of the regional economy is the basis for ensuring the bodies of state power and local self-government necessary for the effective management of information.

The need to develop a statistical database to assess the level of development of the region in accordance with the system of indicators reflecting both the economic growth of the territory and the qualitative changes in the SE development of the region, other scientists and practitioners note.

Zavarina and Choban (2003) pose an assessment of the level of regional economic development, as an increase in the economic independence of the regions, and argue that these are activities for the collection and processing of objective, reliable and economic - statistical information about the regional development of the country.

The author of the article shares the opinion of Pastuhova (2002), which considers it necessary to statistically ensure the assessment of regional economic development for an objective and comprehensive assessment of economic growth.

Larina (1996) formulates the concept of assessing the level of socio-economic development of the region as a direction of analysis of primary information characterizing the totality of all land, natural, human, material, financial resources located in the region and their use. Thus, primary data is data that is the basis for creating an information base for assessing the level of economic development of the region. It is clear that the region's SIR assessment process is not limited to the collection of primary data. It is necessary to transform them (data) through the use of analytical tools into an information base for the development and adoption of management decisions aimed at further regional development.

So, according to Mirohina (2015), the results of the analysis are an information base for developing programs for the development of the regional economy. The most important methodological principle of regional analysis is the principle of combining the interests of the state in the process of regional development. The socio-economic development of the region is a consequence of economic growth, which contributes to improving the quality of life of the population, ensuring the growth of well-being and protection from threats.

However, the process of analyzing the level of development of the region is more subjective, since the results obtained do not allow making a reasonable and unequivocal decision. In addition, there are either no or insufficient statistics on the performance of the region's economy to quantify the proposed indicators.

The lack of accurate and timely information adequate to the challenges of achieving strategic priorities is one of the most common causes of weak management impact on regional development. Of great importance in this case is the formation of a system of constant monitoring of the development of an economic system based on a diagnostic approach.

Thus, the authors propose various options for interpreting the concept of "socio-economic development" and attach great importance to the relevance of information support and mandatory extended monitoring of the state of the regional economy, which allows us to talk about ambiguity in understanding the problems in this area, the lack of unity of views and the need to adjust the existing knowledge and concepts. Therefore, the author of article offers expansion of interpretation of concept SIR of the region.

The socio-economic development of the region is a process of progressive change in the economy of a particular region in an inextricable connection with the stimulation of economic growth centers in the regions, coordination of infrastructure strategies of state authorities, increasing the effectiveness of budget and property policies, improving the quality of life of the population, changing the per capita values of gross regional product.

Findings

Monitoring of the socio-economic development of the region is an integrated system of continuous monitoring of the state of processes and phenomena in order to determine the level of development of the region and then predict possible economic changes.

The classification of types of monitoring shows that its scope of application is wide and various authors propose to evaluate certain areas of development of the region. According to the author of the article, monitoring of socio-economic development should be carried out comprehensively in the whole region, examining the state and level of all aspects of the development of the region's economy.

According to the author of the article, the development of the region is a special type of qualitative transformation (growth of GRP, reduction of unemployment, reduction of inflation, growth of investment, etc.), which are objects of socio-economic research.

As a result of the analysis of the concept of "economic development" formulated by various authors, an attempt was made by the author of the article to clarify the definition. The socio-economic development of the region is a process of progressive change in the economy of a particular region in an inextricable connection with the stimulation of economic growth centers in the regions, coordination of infrastructure strategies of state authorities, increasing the effectiveness of budget and property policies, increasing wages and social incomes of the population, changing the per capita values of gross regional product.

Conclusion

The problem of improving the efficiency of regulating the regional economy is devoted to many works of both domestic and foreign authors. At the same time, the issues of effective inclusion of regional development monitoring processes (from the position of the allocation, formalization and structuring of the problems of the region) into the overall system of regional governance is divided into underlayment attention.

The regional authorities of the Russian Federation are obliged to monitor and develop a strategy for the development of their territories, as well as submit to higher authorities indicators of the economic development of the region, and for this it is necessary to determine the necessary mechanism for monitoring regional socio-economic development, which is the basis of state regulation of the regional economy.

Analysis of the presented scientific definitions and monitoring classifications made it possible to determine that most authors interpret monitoring as an assessment of the state of economic facilities in order to identify the problems of development and promising areas of their decision, as well as studying the functioning modes of these systems. Therefore, it is necessary to determine the optimal mechanism for organizing the monitoring of the SER region and select a list of objective indicators values ​​that allow you to make faithful management solutions.

Thus, the article covered various interpretation options for the concept of "monitoring of the SER region", the need for compulsory expanded monitoring of the state of the regional economy, which makes it possible to talk about ambiguity in understanding problems in this area, the absence of unity of the opinions and the need to adjust the existing knowledge and concepts.

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25 September 2021

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Cite this article as:

Bayrushina, F. F. (2021). Concept And Classification Of Types Of Monitoring Of Regional Socio-Economic Development. In I. V. Kovalev, A. A. Voroshilova, & A. S. Budagov (Eds.), Economic and Social Trends for Sustainability of Modern Society (ICEST-II 2021), vol 116. European Proceedings of Social and Behavioural Sciences (pp. 342-351). European Publisher. https://doi.org/10.15405/epsbs.2021.09.02.37