Management in Kazakhstan: Myths and Realities

Содержание

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The International University of Information Technologies "We are creating a unique

The International University of Information Technologies

"We are creating a unique

environment conducive to the development of creativity and establishment of a new identity“
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Management & Social Sciences Chair

Management & Social Sciences Chair

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Management in Kazakhstan: Myths and Realities www.iitu.kz LOGO

Management in Kazakhstan: Myths and Realities

www.iitu.kz

LOGO

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Factors Why management in Kazakhstan? Globalization Information Society

Factors

Why management in Kazakhstan?
Globalization
Information Society

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Information society Progress in information technologies and communication is changing the

Information society

Progress in information technologies and communication is changing the

way we live: how we work and do business, how we educate our children, study and do research, train ourselves, and how we are entertained.
The information society is not only affecting the way people interact but it is also requiring the traditional organisational structures to be more flexible, more participatory and more decentralised.
(Chair's conclusions from the G-7 Ministerial Conference on the Information Society, February 1995.)

Information Society:
A society characterised by a high level of information intensity in the everyday life of most citizens, in most organisations and workplaces; by the use of common or compatible technology for a wide range of personal, social, educational and business activities, and by the ability to transmit, receive and exchange digital data rapidly between places irrespective of distance.
(The IBM Community Development Foundation in a 1997 report, "The Net Result - Report of the National Working Party for Social Inclusion.“)

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Globalization Globalization has meant that the world economy has become integrated,

Globalization

Globalization has meant that the
world
economy has become integrated,


that
there cannot be a major downturn
in the world’s richest
country
without
implications
for every other country
“The global crisis, social protection
and jobs”

Joseph Stiglitz

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“Global village” The idea of a global Information Society can be

“Global village”

The idea of a global Information Society can be viewed

in relation to Marshall McLuhan's prediction that the communications media would transform the world into a "global village."

Marshall McLuhan

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Revolutionary changes Kazakhstan is located in the centre of the Eurasian

Revolutionary changes

Kazakhstan is located in the centre of the Eurasian continent.

Its territory is as large as 2 million 724, 9 thousand square kilometers and accordingly it occupies the ninth place in the world by its size.

Since 1991 after the utterly unexpected transition from planed to market economy Kazakhstan has experienced revolutionary changes in all spheres of life activities in a society.

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Issues The first years of independence were characterized by a steep decline in output and hyperinflation.

Issues

The first years of independence were characterized by a steep decline

in output and hyperinflation.
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Kazakhstan Kazakhstan gained independence on December 16, 1991. Since1991 GDP per

Kazakhstan

Kazakhstan gained independence on December 16, 1991.
Since1991 GDP per capita

has increased by 16 times - from 700 to 12 000 US dollars

Kazakhstan is in third place after China and Qatar among 25 countries with most dynamic economies of the XXI century’s first decade.
The country is in upper middle income group of countries as per World Bank’s classification.
According to British experts’ estimations

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Management in Kazakhstan: Myths and Realities www.iitu.kz LOGO

Management in Kazakhstan: Myths and Realities

www.iitu.kz

LOGO

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Geert Hofstede What is management? I prefer a general definition: getting

Geert Hofstede

What is management?
I prefer a general definition: getting things

done through other people.
Important is that management is
always about people.
Because management is always about people, it is part of the culture of the society in which it takes place.
Asian management in the 21st century
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Dimensions Peculiarities Business organization People Culture Nature of Kazakhstani management Suggested

Dimensions

Peculiarities
Business organization
People
Culture

Nature
of
Kazakhstani
management

Suggested ways
Digital Economy
E-government
Management
of e-business and e -commerce

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Peculiarities

Peculiarities

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Ownership, branches, size

Ownership, branches, size

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Myths 321 617- total number of enterprises 174 953 – Number

Myths

321 617- total number
of enterprises
174 953 – Number of operating

enterprises

Small entities in total number of enterprises reached 91 % in 2012 followed by medium business- 7,7 % and big companies - 1, 3 %
Share of SMB in GDP-17,5%

Myth #2

Doing Business 2013 data for Kazakhstan
49/185
Starting a Business
25/185

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Enterprises functioning

Enterprises functioning

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“Wealth of Nations” Wealth Labor Income Non-labor income Wage Capitalization of

“Wealth of Nations”

Wealth

Labor Income

Non-labor income

Wage
Capitalization of private property
Real estate-Rent
Finance-Interest,Income

Income

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People

People

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Population, age structure Median age

Population, age structure

Median age

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Employment

Employment

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Trends in Kazakhstan’s HDI 1995-2012

Trends in Kazakhstan’s HDI 1995-2012

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Myths 8540,3 - Total number of employed 472,8 – Number of

Myths

8540,3 - Total number
of employed
472,8 – Number of unemployed
5,2 –

rate of unemployment
HDI-Ranking 69/186

If you get the people issues right, your business will grow;
get them wrong and your business will inevitably stagnate.
“Human Capital
in Kazakhstan”

Myth #4

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Informal employment The size of informal employment is not excessive heavily

Informal employment

The size of informal employment is not excessive
heavily concentrated

in agriculture
non-agricultural informal employment, although significant, is much smaller
informal jobs require low skills and are of low productivity
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Informality in Kazakhstan The main cause of informality in Kazakhstan is

Informality in Kazakhstan

The main cause of informality in Kazakhstan is the

high costs of doing business, which induces firms to exit the formal sector
and limits opportunities for formal employment

Many workers lack skills that would allow them to take
higher productivity formal jobs.
Also the existing social protection
system provides limited incentives to contribute.

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Formality promotion 1) to reduce the costs of doing business and

Formality promotion

1) to reduce the costs of doing business and to

create more and better jobs.

2) to invest in human capital

1) to reduce the costs of doing business and to create more and better jobs.

the Government’s own policy priorities
ambitious reforms intended to improve the business environment. Substantial progress has already been made in reducing the costs of doing business, nonetheless there is room for further improvements.

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Peculiarities

Peculiarities

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Knowledge

Knowledge

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The soviet civilization

The soviet civilization

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Population quality Population quality is the functional characteristics (abilities) of population,

Population quality

Population quality is the functional characteristics (abilities) of population,

which allow population to meet new challenges and use the socio-objective reality, not only to live in these various new situations, challenges and changes (structural, ideological,economic,social,political),but also use them for its development.

Kazakhstan has faced tremendous social changes after collapse of the U.S.S.R. in terms of employment, and social infrastructure.

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Mental roots Based generally on public property, headed by the Communistic

Mental roots

Based generally on public property, headed by the Communistic Party,

used the centralized planning, Kazakhstani reality as well as realities of other soviet republics of the former USSR reflected an utopist intention to build communism and make happy all mankind in the world.

At the same time so called “the soviet civilization” with own system of values, beliefs and culture have been created by two generations of soviet people.

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On a crossroad Having lost former way of life Kazakhstan is

On a crossroad

Having lost former way of life Kazakhstan is seeking

and building the new model adapted not only to capitalism but to new global challenges of radically changed world order.
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Myths If we have Kazakh football then we should have Kazakh

Myths

If we have Kazakh football then we should have Kazakh management.
Local

experts’ opinion.

Myth #6

Five relatively most and five relatively least important perceived goals
Geert Hofstede

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Most important

Most important

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Least important

Least important

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“Wealth of Nations” Wealth Labor Income Non-labor income Wage Capitalization of

“Wealth of Nations”

Wealth

Labor Income

Non-labor income

Wage
Capitalization of private property
Real estate-Rent
Finance-Interest,Income

Income

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Suggested ways E-government E-Business Management Integration of Web Technologies with Business

Suggested ways

E-government

E-Business
Management

Integration of Web Technologies with Business Models:
revise strategies and

goals to meet market rules of demand and supply;
-redesigned and reshaped;
-a variety of ways of new business models
“Data should do the running around,
not citizens”
Gerhard Schroeder
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Type of society &economy

Type of society &economy

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Expectations and performance . The political leadership has placed high expectations

Expectations and performance

.

The political leadership
has placed high
expectations
on

the e-government
policy as a panacea
from public service
failures and corruption.
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The International University of Information Technologies We meet the world to

The International University of Information Technologies

We meet the world to

take one step The knowledge wait for you Stream to the high of learning days You'll see dreams coming true Everything you need You can find right here Don't waste your time and just begin To get your best in IT

IT - I can touch the sun I can fly IT - you're the one, you're the brightest light IT - thank for making me strong and wise Thank you for being in my life IT - it's the best way for everyone IT - you're reliable you're number one IT - you rise up leaders this is true I'm so proud of learning with you

University hymn

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Management Rector - Damir Abduhalievich Shynybekov Vice-Rector - Uskenbaeva Raisa Kabievna

Management

Rector - Damir Abduhalievich Shynybekov
Vice-Rector - Uskenbaeva Raisa Kabievna
Director of Marketing

and PR - Taykenova Mayrash Gomarovna
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Academic activity Bachelor Information Systems Computer Science and Software Engineering Computer

Academic activity

Bachelor
Information Systems
Computer Science and Software Engineering
Computer Science
Management in IT
Finance in

IT
Electronic journalism
Radio Engineering, Electronics and Telecommunications
Mathematical and computer modeling

Master
Information Systems
Computer Science and Software Engineering
Project management
Mathematical and computer modeling

PhD
Information Systems
Computer Science and Software Engineering
Project management
Mathematical and computer modeling

iCarnegie courses
Education in International IT University goes by education programs of iCarnegie - branch enterprise of Carnegie Mellon

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Sum up Myths Private property/effectiveness Easy to Start/Run Business Human development

Sum up

Myths
Private property/effectiveness
Easy
to Start/Run Business
Human
development index /Human capital
Low


level of unemployment‘’
Kazakh
management”-?

Suggested ways
Digital Economy
E-government
e-business management

Profit/Money

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"We are creating a unique environment conducive to the development of

"We are creating a unique environment conducive to the development of

creativity and establishment of a new identity

www.iitukz

Thank You!

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Рейтинг развития электронной экономики за 2011

Рейтинг развития электронной экономики за 2011

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Изменение структуры использования Интернет в РК

Изменение структуры использования Интернет в РК

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Показатели лидеров отечественного интернет-банкинга

Показатели лидеров отечественного интернет-банкинга

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Структура операций по картам в Казахстане Для сравнения: расчеты с помощью

Структура операций по картам в Казахстане

Для сравнения:
расчеты с помощью бумажных

банкнот и металлических монет составляют только 3% от денежных средств в экономике Швеции
в Еврозоне средний показатель составляет 9%, в США — 7%
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Сравнение стоимости on-line и off-line транзакций

Сравнение стоимости on-line и off-line транзакций