Analysis of best practices for increasing competitiveness in Russia and their features using the example of the metallurgical industry

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Abstract

Globalization and integration processes, accompanied by rapid digitalization and automation, are transforming the operating environment, intensifying the dynamic and innovation-driven nature of competition. Consequently, for strategically significant sectors of the Russian economy, particularly the metallurgical industry, the identification, systematization, and adaptation of best practices for enhancing competitiveness acquire special importance. This is necessitated by the need to effectively counteract sanction pressures, overcome logistical barriers, and maintain market positions. The study aims to conduct a systematic analysis of best practices for enhancing competitiveness in Russia and to determine their sectoral characteristics, using enterprises of the metallurgical complex as a case study. The theoretical framework is grounded in the works of Russian scholars addressing issues of competitiveness. The research methodology is founded upon a systematic literature review, comparative analysis, and the case study method for examining the practices of specific companies. The empirical basis comprises open-source data, annual reports, and specialized publications of leading Russian metallurgical plants for the period 2018–2023.  The article systematizes theoretical approaches to the category of "competitiveness", identifying its levels (micro-, meso-, macro-) and specific manifestations within the metallurgical sector. Based on an analysis of domestic enterprises' operations, contemporary practices were identified and classified: implementation of lean production principles and rationalization (Industrial and Metallurgical Holding), technical re-equipment and environmental modernization (Novolipetsk Metallurgical Plant, Zlatoust Metallurgical Plant), digital transformation, logistics and marketing optimization. The author proposes four priority areas for a comprehensive set of measures: 1) improving product quality (fixed asset renewal, R&D, premium segment development); 2) reducing costs (energy and resource conservation, secondary raw material utilization); 3) enhancing marketing effectiveness (increasing direct sales, customer orientation); 4) optimizing resource utilization (management digitalization, logistics development, HR strategy, environmental initiatives). The author concluded that the integrated and systematic application of these practices, including investments in digital technologies (digital twins, data analytics), the diversification of logistics chains and the integration of sustainable development principles, creates long-term competitive advantages. Implementation of the proposed measures will enable metallurgical companies to enhance their operational efficiency in both domestic and international markets amidst contemporary challenges.

About the authors

Kirill Dmitrievich Martynov

RUDN University

Author for correspondence.
Email: 1032249284@rudn.ru
ORCID iD: 0009-0007-2648-7522

Postgraduate student, Faculty of Economics, RUDN University

6 Miklukho-Maklaya st., Moscow, 117198

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