The Principle of Distributed Management in the Knowledge Economy

Abstract

The subject of the research is the principle of “distributed management” and the possibility of its application in the “knowledge economy.” The purpose of the study is to reveal the content of the “distributed management” principle, as well as to demonstrate its application in the field of knowledge economy management, when the power of a policy instrument and the cumulative effect of development policy are important. The methodological basis of the research is the theory of economic policy, ideas about the development of the “knowledge economy,” a mathematical scheme for the implementation of the “distributed management” principle, the “income–risk” model, and the typification method. The overall result of the study is that we have obtained a picture of distributed management in the “knowledge economy” as a sector that includes the following types of activities: science, education, and high-tech sectors. The necessity of direct statistical accounting of the “knowledge economy” is substantiated in order to obtain an adequate assessment of the dissemination of knowledge and the application of development policy tools. The article identifies the pros and cons of measuring the “knowledge economy” by Eurostat and provides the author's proposals for direct measurement of this sector. In addition, a model of the development of the “knowledge economy” has been built in the “income–risk” coordinates. This model illustrates the application of various management methods based on the principle of “distributed management.” The study defines knowledge management modes in the “income–risk” coordinates, which actualizes the formulation and solution of the “distributed management” problem, involving the consideration of changes in the impact and accumulation of implemented development policy measures. The perspective of the study is to measure the use of each of the possible tools to stimulate the development of the “knowledge economy” and to compare them across countries, in particular the European Union and other regions of the global economy.