American Journal of Research in Humanities and Social Sciences ISSN (E): 2832-8019 Volume 19, | December, 2023 P a g e | 30 www.americanjournal.org TO THE DIGITALIZATION OF BUSINESS PROCESSES ITSELF SCIENTIFIC APPROACHES TO THE CHARACTERISTICS T. U. Kadirov, Ph.D. Associate Professor Head of Department of the Higher School of Business and Entrepreneurship D. D. Suvanova, Doctoral Student of the Higher School of Business and Entrepreneurship A B S T R A C T K E Y W O R D S This article is devoted to the study of the specific features of digitization of business processes, classification of business processes from the point of view of digitization, disclosure of advantages and disadvantages of digitization of business processes, systematization of the main tasks of digitization and the results expected from them, and necessary conditions for digitization of business processes are discussed. Business processes, digitization, digital technologies, classification, productivity. Introduction Today, digital technologies are being actively introduced in almost all aspects of business and entrepreneurial activities. In modern conditions, digitization affects not only the mutual economic relations of any business structures with their external partners and consumers, but also the efficiency of business processes related to the organization of their activities. Only companies that are aware of today's digitization trends in society and keep up with the times will be able to maintain their position in the market and ensure their competitive advantages in the near and long future. Digitization of business processes is considered primarily as a tool for their management, and convenient description and classification for effective organization of this process is of practical importance. G. Poll defined the "business process" as the logical sequence of human resources, materials, energy resources, equipment and processes in the organization of production activities to achieve a certain final result [2]. Some authors [3,5,10,14,16,17, 18,19] consider the business process as a system consisting of a set of different types of activities, many types of resources "enter" the system, and as a result of these activities, they "exit" for consumers. products or services of value are created. O. N. Rodtsevich[11] classifies business processes as an organizational structure and its elements aimed at meeting the needs of internal and external consumers of the organization. M.A. Tolkachev[12] views business processes as a set of controlled processes aimed at achieving results consistent with certain predetermined parameters. American Journal of Research in Humanities and Social Sciences Volume 19 December, 2023 P a g e | 31 www.americanjournal.org E.V. According to Popov, business processes are a set of elements of a specific flow, and at the "exit" the consumer has a product that meets his requirements [10]. G.N. Fidelmen and S.V. Dedikov believe that it is a chain of actions to achieve clearly set goals [13]. It can be seen that the concept of "business process" is interpreted in different ways in the economic literature, and their categorization is carried out based on the goals and tasks set by the researchers for their research. Based on the analysis of the conducted research, it can be concluded that in order to create added value to business processes, interrelated and complementary processes aimed at forming consumer value for the organization's customers can be considered as processes of implementation in logical continuity and continuity. In addition, the business environment in the country has a positive effect on the development of business processes. "For the further development of the business environment, the practice of corporate management relations not only in the country, but also abroad is of great importance. Because by studying the positive aspects of existing corporate management models in foreign countries, effective experiences can be mobilized to develop the business environment of our country"[17]. The modern development trends of the economy show that the success of business structures is based on the use of innovations, digital technologies and intellectual property, enterprises and organizations are increasing their attention to digitalization of business processes. Digitization of business processes is leading to changes in the global business environment and its future. Digitization opens wide opportunities for optimizing business processes by adapting them to new tools and technologies, quickly adapting to changing market conditions, and improving the quality of products and services. Determining the structural elements of digitalization of business processes, correctly determining the priorities in their implementation largely depends on the classification of business processes in accordance with the goals and tasks of digitalization. This, in turn, serves as an important factor in ensuring the adoption of effective management decisions on digitization of business processes in the enterprise. Business processes can be classified based on many characteristics. Depending on its place in the formation of the performance of the activity, it is divided into main, auxiliary, management and development business processes [4]. Depending on the orientation of business processes - customer-oriented, operational support and management-oriented processes [18]. According to the product description - production, service and administrative business processes [1]. In relation to the company's relations with its customers - internal and external business processes [15]. According to the functional characteristics of the activity - delivery, production, sales and financial settlement processes [6]. According to the periodicity of recurrence - continuously repeated, periodically repeated and one-time business processes [8]. Regarding the scope of management activities - business processes related to the management of human resources, information system, material and financial flows, marketing, production, internal and external relations, business model [7]. Based on the above ideas, business processes can be characterized by the following structural features: business processes as an object of management include labor and natural processes necessary for the production of products and services organized in a certain sequence; American Journal of Research in Humanities and Social Sciences Volume 19 December, 2023 P a g e | 32 www.americanjournal.org business processes as a marketing process are a specific technological process consisting of a set of actions from product creation to its delivery in accordance with consumer requirements; business processes as a process include a sequence of actions from the emergence of a new idea to its commercialization; business processes as a strategic management process is the process of developing a detailed, comprehensive and comprehensive plan designed to implement the organization's mission and achieve its goals; business processes include development of new products, improvement of service quality, cost reduction, marketing improvement, pricing policy, etc. as a process of ensuring enterprise competitiveness; As a human resource management process, business processes cover the processes of planning, selecting, training, developing, motivating, and evaluating employees to provide the organization with the labor resources necessary to achieve its goals and perform its tasks. Digitization of business processes or enterprises today is considered not only as one of the possible options of strategic development, but also as an objective necessity that changes the existing rules of doing business and increases its competitiveness [19]. So, the essence of the digitization of business processes is to increase the competitiveness of the enterprise and its products and, as a result, to achieve an increase in the value of the market. It is on the basis of digitization that it is possible to ensure the quality of business processes by adapting the business model of the enterprise to modern market conditions. Determining the possibilities of evaluation, optimization and improvement of enterprise business processes due to digitalization, as well as determining priority areas, requires the classification of business processes. Based on the interconnectedness and coherence of business processes, their nature, functional characteristics and opportunities for integration, we found it appropriate to classify them as separate objects of digitization as shown in Table 1. Table 1 Classification of business processes according to functional descriptions and directions of their digitization № Integrated business processes Subprocesses (Actions) Tasks and solutions 1 Production planning the goals and tasks of production and the volume of required resources are determined design drawings and project-technical documents are developed for product production production (product preparation) - formation of a base of tools and technological equipment used for processing raw materials and materials; quality control - selection and implementation of production technology; packing - material processing, product assembly and testing. maintenance and repair the quality of the finished product is checked and possible defects are identified and measures are taken to eliminate them 2. Logistics processes planning logistics operations products are prepared for customer delivery and transportation processes organization of logistics processes providing service to delivered products and carrying out repairs during use American Journal of Research in Humanities and Social Sciences Volume 19 December, 2023 P a g e | 33 www.americanjournal.org management of logistics systems - to determine the optimal directions of delivery; monitoring of logistics processes - selection of vehicles and types of transportation; 3. Marketing processes Market research -planning warehouse operations, etc. Development of marketing strategy coordinating the actions of all participants of the logistics system, including relations with suppliers, carriers, warehouses and customers create and promote products and services control of logistics operations, document circulation, management of logistics processes, storage, transportation, loading and unloading processes, risk management, quality control, customs procedures, etc. customer relationship management checking delivery plans, storage, transportation, safety and other standards, identifying problems and opportunities for quick improvement, performing logistics cost analysis marketing analysis study of supply and demand, determination of target audience, analysis of competitors 4. Management processes optimization of management structure determining marketing goals and objectives, choosing marketing channels and tools planning development of product design, wrapping and packaging, creation of advertising materials, conducting advertising campaigns organization collecting consumer feedback, handling complaints, expanding the customer audience and maintaining loyalty coordination analyzing the results and making corrections to the marketing strategy, evaluating the effectiveness of marketing activities, determining the directions for improvement control management structure, distribution of powers and responsibilities, as well as optimization of decision-making processes encourage determining the company's goals and development strategies, developing activity plans, predicting changes in the external environment, assessing risks, etc. 5 financial processes budget planning creation and improvement of the organizational structure, distribution of tasks and resources, coordination of departmental activities, development of employee motivation and evaluation system financial management coordination of the actions of structural departments and employees, conflict resolution and change management to achieve the common goals of the enterprise analysis of financial indicators monitor and evaluate the organization's activities, control the implementation of plans, analyze deviations and take corrective measures making investment decisions creating a system of incentives, rewards and disciplinary action for employees to achieve organizational goals relations with financial institutions determining the costs and revenues of the enterprise, as well as the allocation of resources American Journal of Research in Humanities and Social Sciences Volume 19 December, 2023 P a g e | 34 www.americanjournal.org payment of taxes and fees control of cash flows, accounting and analysis of financial transactions developing a financial strategy assessment of enterprise activity, identification of problems and opportunities for their elimination 6. Human resource management staff planning and hiring assessment of investment effectiveness, selection of the most effective projects and investment sources staff training and development management of operations with banks, insurance companies, investment funds incentives and rewards compliance with legal requirements, optimization of taxes and other mandatory payments labor productivity management determining long-term goals and priorities of the enterprise in the field of finance dispute resolution providing qualified personnel required to achieve organizational goals ensure employee welfare Development and implementation of employee training, retraining and development programs labor protection and safety developing a system of incentives and rewards that ensure the achievement of organizational goals by employees recruitment and selection regularly evaluate the performance of employees to determine the level of labor productivity and opportunities for its improvement communication and corporate culture resolve conflicts between employees and ensure a healthy work environment 7. Information processes collection, storage and processing of information related to enterprise activity care for the physical and mental well-being of employees by providing support and counseling programs automation of management processes ensuring compliance with labor protection and safety rules at the workplace decision support based on data analysis organizing the process of recruiting new employees, studying candidates and assessing their compliance with the requirements of vacancies integration with external information systems formation of a corporate culture that supports effective communication in the organization and ensures the achievement of common goals ensuring information security and information protection ensuring information security and protection, including preventing cyber-attacks and data leaks The classification of the mentioned business processes and the list of issues to be solved within them are of a recommendatory nature and can be changed based on the characteristics of the organization's activity and development stages. Digitization of these business processes is considered as the building blocks of digitization of the enterprise, summarized in a single information base, and the interrelationship between them is taken into account. Digitization of business processes includes automation of routine tasks by introducing digital technologies into the daily activities and processes of companies, increasing the volume of product production and service provision due to increasing operational efficiency and improving quality, reducing costs, increasing profits, timely and complete satisfaction of customer needs, and increasing American Journal of Research in Humanities and Social Sciences Volume 19 December, 2023 P a g e | 35 www.americanjournal.org competitiveness in the market. can be described as a decisive factor. Based on this definition, it is possible to systematize the main tasks of digitalization of business processes and the results expected from them (Fig. 1). Figure 1. Tasks of digitalization of business processes Solving the listed tasks will lead to the following results: 1. Reduces time and other resources spent on automation of usual business processes based on digitization. This, in turn, increases the overall efficiency of the company. 2. Thanks to digitalization, it is possible to improve the quality of products and services based on the collection and analysis of information about customer preferences and behavior. 3. Digital technologies make it possible to monitor and control the rational use of the company's resources, predict and prevent problems related to resource shortages or overspending. 4. Digitization leads to the opening of new markets, creation of new products and services, simplification of relations with partners and customers. Tasks of digitalization of business processes 1. Increase efficiency 10. Gaining customer loyalty based on increasing customer satisfaction 9. Increase competitiveness 2. Improve the quality of products and services 3. Optimization of resource consumption 8. Ensuring information security 6. Establish a good communication and communication system 7. Increasing the speed of management decision- making 4. Creating new business opportunities 5. Cost reduction American Journal of Research in Humanities and Social Sciences Volume 19 December, 2023 P a g e | 36 www.americanjournal.org 5. Digitization of processes leads to reduction of time and other costs for order processing, accounting, personnel management and various other operations. 6. Improvement of internal and external communications is achieved due to digitization, which allows the employees of the company to exchange information quickly and efficiently. 7. Big data and its analysis with the help of digital tools enable more informed and faster decisions that are important for business. 8. Digital systems provide a high level of information security compared to traditional methods of information storage and processing. 9. Companies that actively implement digital technologies have competitive advantages in the market, they can adapt to changes faster and can use innovative approaches in doing business. 10. Digitization of business processes allows companies to better understand and meet the needs of their customers, which in turn increases their loyalty and encourages repeat purchases. Of course, the digitization of business processes is a complex process that requires a large amount of financial and intellectual resources, and its successful implementation requires certain conditions (Figure 2). These conditions are conditionally a system consisting of a set of several constituent elements, and the more they are created, the faster the digitalization process will be and the more effective it will be. Figure 2. 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