Historical experience and prospects of corporatization of the Dnipropetrovsk electric locomotive plant (1988–2021)

Abstract

The article provides a retrospective analysis of the historical experience and problems of corporatization of the Dnipropetrovsk electric locomotive plant – a leading domestic manufacturer of industrial electric vehicles and railway rolling stock. The author traces historical circumstances of development and preconditions of diversification of production activity of the enterprise on the background of market economy in Ukraine and decrease in demand for narrowly specialized products. It was found out that during the 1990s–2000s the staff of SPA «DEVZ», having a promising research and production potential, mastered a wide range of production of mainline equipment to meet the needs of railways for innovative electric vehicles. However, due to low product quality and inefficient management system, the company is currently on the verge of bankruptcy, and its outdated design and technological improvements are not able to ensure competitiveness in the global railway market. It is proved that given the strategic importance of SE «DEVZ» for the national economy as the last profile locomotive company, its corporatization can be a real alternative to privatization, providing effective capitalization, financial and technological recovery and improving the culture of production with a state guarantee of preservation of the enterprise, as well as obtaining additional funds through the placement of securities on stock exchanges, and attracting private investment and innovation from international manufacturers. Further research on the historical aspects of the development of domestic engineering enterprises and their impact on the fleet of JSC «Ukrzaliznytsia» should be carried out taking into account the achievements of domestic science on the problems of structural adjustment of the economy and the use of modern strategic management tools.