Logistic foundations of sustainable socio-economic development of the region in the context of decentralization

¹ Kyiv National University of Technologies and Design, Management Department, 01011, Kyiv, 2 Nemirovich-Danchenko Street, Ukraine
² Kremenchuk Mykhailo Ostrohradskyi National University, Department of Accounting and Finance, 39600, Kremenchuk, Pershotravneva str. 20, Ukraine

^* Corresponding author: vikols75@ukr.net

Abstract

Incompleteness of processes of structural reformation of Ukrainian economy reveals itself on the regional level. Argument towards the utility of decentralization reform was Ukraine-Europe integration. Decentralization should be viewed as a powerful tool of governmental policy for balanced development of territorial communities. In addition, it’s crucial to remember that the greatest effect will be achieved in a long term. Strategic development of united territorial communities (UTC) includes countless tasks that need to be solved as soon as possible. And organization of effective logistic activity in the region appears to be one of the ways to strengthen regional economy, to improve security level and development. The problem of ensuring stable socio-economic growth of a community is as well a logistic problem. It can be represented as a problem of optimization of flow processes of effective resource usage to achieve balanced processes of creation and consumption of resources in socio-economic system. Logistization of economic relationships on UTC level allows community to ensure better decision making of key tasks of regional management such as creation of optimal strategy to manage structural offers and material flows of social production; optimization of material, financial and informational flows of the region.