Title:	NARRATIVE-BASED MANAGEMENT IN SOCIO-ECONOMIC SYSTEMS
Author(s):	Olga Shabalina, Aleksandr Davtian, Natalya Sadovnikova, Danila Parygin and Dmitry Erkin
ISBN:	978-989-8533-67-8
Editors:	Piet Kommers and Guo Chao Peng
Year:	2017
Edition:	Single
Keywords:	Socio-economic system management; narrative; dynamic goal setting; goal space; management support system
Type:	Full Paper
First Page:	73
Last Page:	79
Language:	English
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Paper Abstract:	Socio-economic system management is commonly considered as a two-stage process: the first stage is associated with the analysis of the system and establishment of goals and objectives, while the second stage has to do with the development of management strategies for achieving the goals and objectives. Existing modeling approaches to socio-economic system management are classified in terms of goal setting or the development processes of the management strategy and are based on the assumption that a predefined general goal is priory achievable and that the strategy to achieve the goal definitely exists. In real time, socio-economic system management is implemented in a continuously functioning system and its interaction with the continuously changing environment. The subject-object relationship in socio-economic systems can lead to reconsideration of priori goals, their achievability, strategies of their successful achievement and even the necessity of achieving the goal itself. This paper describes a goal model presented as a structurally ordered space with its elements as formal representations of objectives as heterogeneous, possibly non-numeric objects. The goal space is built as an insertion of the initial set of objectives to a lattice. The lattice properties allow dynamically building the goal space without losing the manageability of the system. Subject-object relationships in socio-economic systems are described as narrative manifestation and socio-economic system management is considered as narrative in nature system activities aimed at changing the system state in a goal space for achieving the general goal. The principles of narrative-based management approach are described. An implementation of this approach is presented and a management support system (MSS) is developed. Unlike existing approaches to socio-economic systems management, using mathematical methods for finding the optimal management decisions represented by a formal model, in a proposed approach the mathematical methods are used to monitor the results of management process in which the responsibility for the actions of participants of the process lies in the participants themselves. The results of the activities leading to the impossibility of achieving the general goal are recompensed by the modification of the goal space without losing its structural coherence, and thus the proposed approach ensures the system’s observation and management and the achievement of the management goal in terms of dynamically changing goal-setting.
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