Modeling of the environmental risk management system of agroholdings considering the sustainable development values


Keywords: management system, agricultural entrepreneurship, agroholding, sustainable development, environmental risks, power set.

Abstract

Purpose. The purpose of the study is to improve the methodological approach to modeling the power set of the environmental risk management system of enterprises that are part of agricultural holdings taking into account the sustainable development values. To achieve this goal, the components of the environmental risk management system of agroholdings are identified; the types and nature of connections between the components of the environmental risk management system and the sustainable development values are substantiated; the power set is built.

Methodology / approach. Methods of systematization, induction and deduction, as well as structural-process scientific approach were used to identify components of environmental risk management systems of agroholdings. The rules of logic and the provisions of set theory were used to argue that the environmental risk management systems of agroholdings should be formed as a power set. The method of expert assessments was used to prove the fact that the recognition of the values of sustainable development in the practice of management of agroholdings leads to positive socio-economic effects (by surveying 34 managers at different levels of management).

Results. The components of environmental risk management systems that should be in enterprises that are part of agroholdings are identified. It is argued that environmental risk management systems of agroholdings should be formed as a power set. Empirical data show that the recognition of the values of sustainable development in the practice of management of agroholdings leads to positive socio-economic effects.

Originality / scientific novelty. The methodological approach to modeling the power set of the environmental risk management system of agroholdings in the system of sustainable development values has been improved. It is based on the use of tools for the provisions of set theory and makes it possible to causally provide functional interaction between all structural components of the environmental risk management system. The methodological approach allows optimizing of environmental risk management. As a result, the decisions will reduce conflicts of interest between agroholdings and society.

Practical value / implications. The practical value of applying an improved methodological approach involves the possibility of its use by agroholdings to make decisions to reduce environmental risks. Adherence to the values of sustainable development in environmental risk management provides positive effects and reduces conflicts of interest between agroholdings and society. Therefore, the improved methodological approach has good prospects for practical application. This was practically proved on the basis of empirical data of A.G.R. Group, Agrotis, Agrotrade, AP Group, ASTARTA-Kyiv, Agroprodservice, Agroton, ATK, Western Bug, MPR, PAEK, Ristone Holding, SVAROG, Ukrprominvest AGRO, HARVEAST.

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Published
2022-12-20
How to Cite
Sumets, A., Tyrkalo, Y., Popovych, N., Poliakova, J., & Krupin, V. (2022). Modeling of the environmental risk management system of agroholdings considering the sustainable development values. Agricultural and Resource Economics: International Scientific E-Journal, 8(4), 244-265. https://doi.org/10.51599/are.2022.08.04.11
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