CRISIS MANAGEMENT AT THE REGIONAL LEVEL: CONCEPTUAL APPROACHES
Authors:   Karazin School of Business,V. N. Karazin Kharkiv National University, Huriev Vladyslav , Uvarov Ihor ,   Karazin School of Business,V. N. Karazin Kharkiv National University
Published: June 2024

The analysis of the sources, in which the subject of the study was crisis management in the regions, made it possible to identify the unresolved parts of the problem, including: development of effective mechanisms for financial support of regions in crisis situations; creation of effective mechanisms of communication and cooperation between regional authorities and other stakeholders; ensuring equal access to anti-crisis measures and resources for all regions; formation of strategies and programs aimed at support for innovative development of territories; adopting a holistic approach to crisis management; implementation of effective monitoring and evaluation of the results of anti-crisis measures; stimulation of investment activity and entrepreneurship; creating conditions for the active participation of local communities; coordination of efforts between different levels of government; development of information systems and technologies that contribute to effective crisis management at the regional level. The study analyzes the conceptual foundations of crisis management at the regional level. The tasks solved in the study are as follows: determination of the definition of "crisis" based on a combination of etymological and conceptual approaches; identification of sources of crisis generation at different levels of abstraction; definition of the main elements of crisis management. The methodological basis of the study was made up of traditional general scientific methods of cognition, including the method of scientific abstraction, analysis, synthesis, combination of historical and logical, induction, and deduction—research results. The polysemantic nature of the phenomenon of crisis, its duality, which dialectically combines the processes of significant aggravation of contradictions at different levels of socio-economic relations with the opportunities that open up, that is, with the so-called "lines of change" that form possible trajectories of the development of events (progressive or regressive) are revealed. Trends highlighted the distribution of powers in the multi-level system of socio-economic development due to the modern nature of the genesis of crises and the mechanism of their spread. A definition of crisis management is provided as a set of ways, methods, techniques, ways (tools), that is, as a mechanism for preventing or mitigating the consequences of crisis phenomena in the economy in particular and the country's society as a whole through the mechanisms for implementing the following components: assessment of vulnerabilities and risks, prevention, preparedness, response, recovery. The close relationship between the institutional environment of macro- and meso-levels and the weight of subjective factors of the crisis is revealed. The mechanism of influence of the subjective aspect of decision-making by representatives of the ruling elite, based on rent motivation (extractive institutions), which forms the crisis of the core of the system, which spreads to the "periphery close to the core", "the center of the periphery", "the middle periphery", "the periphery remote from the core. It is proved that the dominance of extractive institutions forms challenges that acquire signs of crisis when crossing the limit of adaptive potential (violation of homeostasis) at bifurcation points. The basis of the organizational-institutional architectonics of the optimal mechanism of crisis management at the regional level, adequate to exogenous and endogenous challenges, capable of ensuring the effective use of the integrative potential of the region, endowed with adaptive properties, has been allocated. It is called algorithms of joint management to ensure a synergistic effect of interaction between stakeholders of the process, which include local governments, central authorities, the public, science, and business. The study's practical significance lies in the scientific substantiation of the applied processes of formation of an effective organizational and economic mechanism of crisis management at the regional level.