70th International Scientific Conference on Economic and Social Development , pp.612-619, 2021 (Conference Book)
It is known that in modern times, it is difficult to manage the activities of an advertising agency
because of the dynamic variability of some parameters of business processes. Frequent changes
in these parameters reduce the likelihood of achieving the set goals. Therefore, there is a need
for the application of organizational and production innovations. The article describes the
mechanism of operation of the advertising agency and for this purpose uses the concept of
"state of the system" in accordance with the term base of the theory system. As is commonly
known, 3 types of approaches (process approach, systematic approach, situational approach)
are used more in management. The most widely used of these is the process approach. A process
approach to the design and implementation of organizational and production innovations
requires "engineering" skills. Therefore, the "engineering" ability is of utmost importance in
building an application model to increase the efficiency of the advertising agency. At the same
time, the design of the process of application of organizational and production innovations
means the procedures applied consistently. These procedures allow you to create a system of
purposeful actions that increase the quantity, speed and quality of direct advertising services
provided to clients. Each of these procedures is a step towards achieving a specific goal. In
other words, the main task in planning the process of application of organizational and
production innovations is to find an answer to the following question: "What should an
advertising agency that produces competitive advertising products and services look like?".....
In order to increase the efficiency of the advertising agency, the article considers the process
components of the activity before moving on to the process of building a specific model for the
implementation of organizational and production innovations, and then develops
recommendations for the formation of an innovative activity management model to maintain
the required level of competition, taking into account the positioning conditions. With the aim
of enhancing the efficiency of the advertising agency, I proposed a special model for the
application of organizational and production innovations. Another important issue is that the
advertising company faces the negative effects of the external environment when implementing
organizational and production innovations. These issues need to be considered separately. To
prevent such side effects, the company should use PR, advertising, lobbying and other methods
of sales promotion. For this purpose, the article describes in detail the negative impact of the
advertising agency on the parameters of the external environment in the application of
organizational and production innovations. In the end, some advantages of the organizational
and production innovations application model to be used to increase the efficiency of the
advertising agency were noted and analyzed in detail.