۱٫ Introduction

۲٫ Methodology

۳٫ Results

۴٫ Conclusions

References

One of the most important problems of modern management in large corporations as well as small- and medium-sized firms is the lack of effective tools that allow building a management system that would ensure the self-development of the firm. This article is devoted to the approach that assists in that self-development. The approach is based on the analysis of the firm as an institutional system, in which some specific elements (institutions and routines) are distinguished, with the help of which the management is carried out. A manager in this kind of firm should not be an administrator of agents, but an institutional entrepreneur who carries out the process of “creative destruction” at the level of organizational routines in the company. The basis of such management is the principle of proportionality of the three institutions forming the firm – the institutions of force, assistance, and self-interest. By ensuring the proportionality of these institutions in the firm, the manager can create a harmonious corporation. Particular attention is paid to the specific forms of manifestation of elements of institutional structure in corporations and these patterns.

Introduction

The problems of institutional development are the most acute and unsettled issues of modern society. Leading to changes in the informal “rules of the game”, the processes of globalization, mass migration, and the development of new technologies change the alignment of forces in the economy. At the same time, national governments and international institutions are constantly changing the legislative foundations of modern society. These problems are often considered to be within the professional scope of lawyers, sociologists, and political scientists, and they are offered to accept them as economically determined and uncontrollable for economists. However, the socio-economic institutions are the primary subject of research for economists. Particular interest is paid to the study of institutions at the level of individual economic entities such as firms, corporations, and their network associations. At this level, the institutions and their routines form, develop, and expire. They determine the behavior of individuals and their groups in the local processes of organizing social production. The management skills in these local institutions are an important part of the competence of a good manager. There are a lot of studies devoted to the problem of developing and improving the institutional structure of modern firms and corporations. It is necessary to point out studies conducted in this area by Williamson (1980), Coase, (1998), Hodgson (2006, 2015), and finally Popov, Simonova & Kazakova (2016).