MODERN CHALLENGES OF MANAGEMENT IN THE CONDITIONS VUCAWORLD

Abstract

The article defines the features and components of the VUCA world, such as: complexity, variability, ambiguity and uncertainty. Management in the conditions of the VUCA world is a complex and multifaceted task that requires constant analysis, adaptation and innovation. But at the same time, there are opportunities for the development and growth of a business that is able to work successfully in rapidly changing conditions. It was determined that in the conditions of the VUCA world, managers must quickly adapt and develop new strategies in order to successfully manage their enterprises. The most important risks for business and the economy, presented in the Allianz Risk Barometer 2022, were studied. It was determined that in the context of the VUCA world, changes occur quickly and unexpectedly, which requires companies to be flexible and quickly adapt to new conditions. Technological innovations appear very quickly and change the business models of companies, and geopolitical events and economic crises can affect global markets and lead to instability. Thus, management is faced with a number of challenges that require quick response and the formation of new management strategies and practices. The challenges faced by the management of modern enterprises are defined and substantiated, among them technological changes, geopolitical changes, globalization, development and implementation of new business models, sustainability management occupy an important place. Taking into account the identified challenges, key competencies that managers of modern companies should possess are proposed. A composite matrix of the ratio of key management challenges and dominant competencies. The matrix gives an idea of which competences should be especially emphasized in the VUCA world. In such conditions, strategic thinking, global thinking, creative thinking, as well as the ability to predict and minimize risks dominate. The ability to learn and teach others is also important for a manager in conditions of constant change. It was revealed that in Ukraine after the full-scale Russian invasion, management began to face many additional challenges that affected both local entrepreneurs and foreign companies operating on the territory of Ukraine. The article examines management challenges in Ukraine under martial law.