V10(19): 2019 ITJEMAST Research Papers by TuEngr.com

Volume 10 Issue 19 (2019) ISSN 2228-9860 eISSN 1906-9642

http://TuEngr.com MOOC AND MOOC DEGREES: NEW LEARNING PARADIGM AND ITS SPECIFICS OXIDATIVE STRESS OF PIGS UNDER THE CONDITIONS OF INDUSTRIAL PRODUCTION REGIONAL MODEL OF INDIGENOUS EDUCATION: THE CASE OF THE SAKHA REPUBLIC (YAKUTIA) CORRECTION OF OXIDATIVE METABOLISM OF ANIMALS BY MEANS OF BIOLOGICALLY ACTIVE COMPLEX OF ANTIOXIDANT DEFENCE DEVELOPMENT FEATURES OF PHARMACEUTICAL INDUSTRY AND ITS ROLE IN SECURING THE FUTURE DEVELOPMENT OF RUSSIAN ECONOMY A STUDY ON KEVIN LYNCH'S URBAN DESIGN ELEMENTS AT BAYAN BARU TOWNSHIP, PENANG OCEAN CONSERVATION AND WASTE PREVENTION CENTRE: THE STUDY OF SPACE SYNTAX IN RECYCLING FACILITY

NETWORK INTERACTION IN THE TOURIST AND RECREATIONAL SPHERE IMPACTS OF DOMESTIC MARKETING CAPABILITIES ON INTERNATIONAL MARKETING GROWTH INFLUENCE OF FAMILY FACTORS ON FEMALE AND MALE STUDENTS' LITERACY DEVELOPMENT WHAT WILL HAPPEN AFTER THE ADAPTIVE REUSING THE BUILDING? AN ASSESSMENT OF INDOOR VISUAL COMFORT OF HERITAGE OFFICE BUILDINGS CONTEXTUAL APPROPRIATENESS: REFLECTIONS ON LEARNING CULTURE, POLICY AND PHYSICAL ENVIRONMENT OF PRESCHOOLS IN MALAYSIA DATA PREPARATION FOR CREATION OF PRODUCTION FUNCTION OF CORPORATION IN THE PEOPLE'S REPUBLIC OF CHINA IN A VOLATILE ECONOMIC ENVIRONMENT LEVEL OF DOMESTIC DEMOCRACY AND ESTIMATION OF RUSSIAN 1993 POLITICAL CRISIS: INTERDEPENDENCE AND POLITICAL MANAGEMENT OPPORTUNITIES RELATIONSHIP BETWEEN MODERN HUMAN RESOURCE MANAGEMENT PRACTICES AND ORGANIZATIONAL INNOVATION: EMPIRICAL INVESTIGATION FROM BANKING SECTOR OF CHINA METHODS FOR ASSESSING SOLVENCY IN THE FINANCIAL DIAGNOSTICS SYSTEM OF AN ECONOMIC ENTITY ANALYSIS OF URBAN DESIGN ELEMENTS WITH A CASE STUDY AT HERITAGE BUILDINGS AND FISHERMAN VILLAGES, GEORGE TOWN, PENANG

2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies.

International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies http://TuEngr.com

International Editorial Board

Editor-in-Chief Ahmad Sanusi Hassan, PhD Professor Universiti Sains Malaysia, MALAYSIA

Executive Editor Boonsap Witchayangkoon, PhD Associate Professor Thammasat University, THAILAND

Editorial Board:

Assoc. Prof. Dr. Mohamed Gadi (University of Nottingham, UNITED KINGDOM) Professor Dr.Hitoshi YAMADA (Yokohama National University, JAPAN) Professor Dr. Chuen-Sheng Cheng (Yuan Ze University, TAIWAN ) Professor Dr.Mikio SATOMURA (Shizuoka University, JAPAN) Professor Dr.Chuen-Sheng Cheng (Yuan Ze University, TAIWAN) Emeritus Professor Dr.Mike Jenks (Oxford Brookes University, UNITED KINGDOM ) Professor Dr.I Nyoman Pujawan (Sepuluh Nopember Institute of Technology, INDONESIA) Professor Dr.Toshio YOSHII (EHIME University, JAPAN) Professor Dr.Neven Duić (University of Zagreb, CROATIA) Professor Dr.Dewan Muhammad Nuruzzaman (University Malaysia Pahang MALAYSIA) Professor Dr.Masato SAITOH (Saitama University, JAPAN)

Scientific and Technical Committee & Editorial Review Board on Engineering, Technologies and Applied Sciences:

Associate Prof. Dr. Paulo Cesar Lima Segantine (University of São Paulo, BRASIL) Associate Prof. Dr. Kurt B. Wurm (New Mexico State University, USA ) Associate Prof. Dr. Truong V.B.Giang (Vietnam National University, Hanoi, VIETNAM) Associate Prof. Dr. Fatemeh Khozaei (Islamic Azad University Kerman Branch, IRAN) Assistant Prof.Dr. Zoe D. Ziaka (International Hellenic University, GREECE) Associate Prof.Dr. Junji SHIKATA (Yokohama National University, JAPAN) Assistant Prof.Dr. Akeel Noori Abdul Hameed (University of Sharjah, UAE) Assistant Prof.Dr. Rohit Srivastava (Indian Institute of Technology Bombay, INDIA) Assistant Prof. Dr.Muhammad Yar Khan (COMSATS University, Pakistan) Assistant Prof. Dr. David Kuria (Kimathi University College of Technology, KENYA ) Dr. Mazran bin Ismail (Universiti Sains Malaysia, MALAYSIA ) Dr. Salahaddin Yasin Baper (Salahaddin University - Hawler, IRAQ ) Dr. Foong Swee Yeok (Universiti Sains Malaysia, MALAYSIA) Dr.Azusa FUKUSHIMA (Kobe Gakuin University, JAPAN) Dr.Yasser Arab (Ittihad Private University, SYRIA).

:: International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies

Volume 10 Issue 19 (2019) http://TuEngr.com

ISSN 2228-9860 eISSN 1906-9642

FEATURE PEER-REVIEWED ARTICLES

NETWORK INTERACTION IN THE TOURIST AND RECREATIONAL SPHERE

10A19A

IMPACTS OF DOMESTIC MARKETING CAPABILITIES ON INTERNATIONAL MARKETING GROWTH CONSIDERING THE ROLES OF INFORMATION AVAILABILITY, INTERNATIONAL STRATEGIC ORIENTATION, AND INTERNATIONAL NETWORK CAPABILITIES: CASE STUDY OF ALBORZ DRIED FRUIT EXPORT COMPANIES

10A19B

INFLUENCE OF FAMILY FACTORS ON FEMALE AND MALE STUDENTS' LITERACY DEVELOPMENT

10A19C

WHAT WILL HAPPEN AFTER THE ADAPTIVE REUSING THE BUILDING? AN ASSESSMENT OF INDOOR VISUAL COMFORT OF HERITAGE OFFICE BUILDINGS

10A19D

CONTEXTUAL APPROPRIATENESS: REFLECTIONS ON LEARNING CULTURE, POLICY AND PHYSICAL ENVIRONMENT OF PRESCHOOLS IN MALAYSIA

10A19E

DATA PREPARATION FOR CREATION OF PRODUCTION FUNCTION OF CORPORATION IN THE PEOPLE'S REPUBLIC OF CHINA IN A VOLATILE ECONOMIC ENVIRONMENT

10A19F

LEVEL OF DOMESTIC DEMOCRACY AND ESTIMATION OF RUSSIAN 1993 POLITICAL CRISIS: INTERDEPENDENCE AND POLITICAL MANAGEMENT OPPORTUNITIES

10A19G

RELATIONSHIP BETWEEN MODERN HUMAN RESOURCE MANAGEMENT PRACTICES AND ORGANIZATIONAL INNOVATION: EMPIRICAL INVESTIGATION FROM BANKING SECTOR OF CHINA

10A19H

METHODS FOR ASSESSING SOLVENCY IN THE FINANCIAL DIAGNOSTICS SYSTEM OF AN ECONOMIC ENTITY

10A19I

ANALYSIS OF URBAN DESIGN ELEMENTS WITH A CASE STUDY AT HERITAGE BUILDINGS AND FISHERMAN VILLAGES, GEORGE TOWN, PENANG

10A19J

MOOC AND MOOC DEGREES: NEW LEARNING PARADIGM AND ITS SPECIFICS

10A19K

OXIDATIVE STRESS OF PIGS UNDER THE CONDITIONS OF INDUSTRIAL PRODUCTION

10A19L

REGIONAL MODEL OF INDIGENOUS EDUCATION: THE CASE OF THE SAKHA REPUBLIC (YAKUTIA)

10A19M

CORRECTION OF OXIDATIVE METABOLISM OF ANIMALS BY MEANS OF BIOLOGICALLY ACTIVE COMPLEX OF ANTIOXIDANT DEFENCE

10A19N

DEVELOPMENT FEATURES OF PHARMACEUTICAL INDUSTRY AND ITS ROLE IN SECURING THE FUTURE DEVELOPMENT OF RUSSIAN ECONOMY

10A19O

A STUDY ON KEVIN LYNCH'S URBAN DESIGN ELEMENTS AT BAYAN BARU TOWNSHIP, PENANG

10A19P

OCEAN CONSERVATION AND WASTE PREVENTION CENTRE: THE STUDY OF SPACE SYNTAX IN RECYCLING FACILITY

10A19Q

Contacts: Professor Dr.Ahmad Sanusi Hassan (Editor-in-Chief), School of Housing, Building and Planning, UNIVERSITI SAINS MALAYSIA, 11800 Minden, Penang, MALAYSIA. Tel: +60-4-653-2835 Fax: +60-4-657 6523, Sanusi@usm.my, Editor@TuEngr.com Associate Professor Dr.Boonsap Witchayangkoon (Executive Editor), Faculty of Engineering, THAMMASAT UNIVERSITY, Klong-Luang, Pathumtani, 12120, THAILAND. Tel: +66-2-5643005 Ext 3101. Fax: +66-2-5643022 DrBoonsap@gmail.com Managing Office TUENGR Group, 88/244 Moo 3, Moo Baan Saransiri, Klong#2, KlongLuang, Pathumtani, 12120, THAILAND. Tel/WhatsApp: +66-995535450. Postal Paid in MALAYSIA/THAILAND.

©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies

International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies http://TuEngr.com

PAPER ID: 10A19A

NETWORK INTERACTION IN THE TOURIST AND RECREATIONAL SPHERE Tatyana B. Klimova

, Irina V. Bogomazova , Boris A. Tkhorikov ,

Yana G. Glumova , Roman V. Plokhikh

Department of International Tourism and Hospitality, Institute of Economics and Management, Belgorod State University, Belgorod, 308015, RUSSIA. b Department of Recreation Geography and Tourism, Faculty of Geography and Environmental Sciences, Al-Farabi Kazakh National University, 050040 Almaty, Republic of Kazakhstan ARTICLEINFO

A B S T RA C T

Article history: Received 14 June 2019 Received in revised form 12 August 2019 Accepted 11 September 2019 Available online 25 October 2019

This article addresses questions on the formation of network structures in the tourism and recreational sphere because most prospective forms of interaction occur during the creation of a regional tourism product. The importance of networks in the solution of questions on the spatial localization of the tourist offer is noted, network designs in formation of tourism products are considered and the need to create substantially flexible networks for development of tourism that takes into account the available resources and the solution to the solution to the issue of redistribution of tourist streams are defined.

Keywords: Business network; Network designs; Interaction network; Tourism management; Recreational business.

1. INTRODUCTION The question of redistribution of tourist flows is an actively discussed issue in the development of tourism in the Russian Federation and its subjects. Despite the adopted concepts, strategies and development programs for tourism regionally, tourist activity has a fragmentary character and develops extremely slowly. Space localization of the tourist sentence in certain territories of the Russian Federation that managed to implement projects within the federal target program ‘Development of Internal and Entrance Tourism in the Russian Federation in 2011–2018’ does not speak on tourism development in general in the Russian Federation. Among the basic reasons constraining regional tourism development are the backwardness of infrastructure, lack of effective policies to advance tourism products and tourist destinations, inefficient organization, and management of tourist activities and lack of a qualitative interesting and traditional product. *Corresponding author (T.B. Klimova) +7 (4722)301284. Email: tklimova@bsu.edu.ru ©2019 International Transaction Journal

of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID: 10A19A http://TUENGR.COM/V10A/10A19AM.pdf DOI: 10.14456/ITJEMAST.2019.259

Regional administrations should provide statistical data on inbound tourism flows, which are difficult to provide due to certain reasons. The spatial distribution of tourists in the territory of the Russian Federation has yet to be determined and thus, discussing the diversification of a tourism product would seem premature, although all premises focus on expanding the tourist sentence by considering the cultural and historical heritage, tourism and recreational capacity of the country. Considerable experience in organizing effective tourist activities in numerous regions has already been accumulated. Correctly designed tourist clusters (Altai Krai, Krasnodar Krai, the Yaroslavl region, the Vologda region, the Ryazan region and certain others) indicate the efficiency and attractiveness of these activities and have become points of growth for regional economies of territories. Through tourism activities, certain regions in search of direction have switched actively to the organization and holding of large-scale events in the territories and the inclusion of territorial branding (including the Belgorod region) in the regional system. However, the lack of the concept of advancement into foreign markets constrains real tourism flow to regions of the Russian Federation.

2. METHOD Tourism belongs to the industry with a set of interrelations and interdependence between participants of the market. Therefore, the foremost concerns are the formation of steady interactions among all participants, an integrated approach and the system solution of issues of tourism development. According to the World Tourism Organisation, 10 to 20 chains work during a visitorâ&#x20AC;&#x2122;s seven-day stay in a remote tourist center. Approximately 30 to 50 firms, including transport companies, means of placement, excursion bureaus, insurance companies, gift shops, currency exchange points, taxis and so on are involved [1]. Considering the number of firms that participate directly or indirectly in the creation of a tourism product and the general impressions on the region as a tourist destination, organization by the tourist of activities that can yield considerable multiplicative effect at the level of regional economies and act as a catalyst for economic development is at the forefront. Simultaneously, the main vector of development needs to be directed to external market segments and external consumers to mobilize the resources of the territory. Research indicates that a problem in developing a travel business as a source of competitiveness in a region is the lack of steady interactions between participants and the coherence of actions when forming a regional tourism product. Current trends in economy and management give the defining role in this interaction to network designs that importance amplifies. Saturation of the rarefied regional economy causes a segmentation of the network formations with high binding functions and acts as a new stage of sustainable development of the territory. The network form of business arose from the transformational and innovative processes in the economy, the globalization of information exchange and the need for rapid decision-making. A. Marshall [2] considered the network interaction of economic agents and allocated network externalities that result from this interaction. This research [2] formed the basis for the cluster approach as a network form of organization.

Tatyana B. Klimova, Irina V. Bogomazova, Boris A. Tkhorikov, Yana G. Glumova, Roman V. Plokhikh

Network principles of interaction in business have been discussed considerably by theorists. Questions on the formation and development of network structures have been addressed in studies by foreign and Russian scientists. The questions concerning the formation of networks and the management of network interaction growth are also interesting. A broad understanding of network structures can be defined as any system from the elements (tops or knots) and communications between them, which are defined as edges or arches in a system [3]. In [4], the network is considered as a system of formal and informal contracts that serves the steady relationship of the formally independent organisations that pool together their resources to save on costs and risks and to form the additional competencies required for the creation of value realisation of the joint purposes of participants. The main reasons for the introduction of market subjects in the network forms of interaction are to decrease in transactional expenses, distribution of risks, receipt of economic benefits, an association of resources and key competencies to achieve a high level of competitiveness of products and services. M. Castells [5] stated that the network arises from the creation of economic firms around global structures of capital, management, and information that provide access to technological abilities and knowledge and form the basis of productivity and competitiveness. Networks represent a flexible structure that allows the companies entering it to compete among themselves, to attract new partners and to organize and coordinate the activities of the members. Network structures unite two opposite principles, competition and cooperation [6]. A key prerequisite for the stability of the network model is the dependence of an individual participant in the network on the resources controlled by other participants and the possibility of combining the resources for the purpose of achieving the synergetic effect. The basic organisational principles of the network organisations are a uniform purpose, independent membership, voluntary coherence, presence of several leaders and plurality of levels of interaction [7]. A. Yu. Alexandrova [1] specified that the network organisation of business is based on three main principles: 1) ‘everything is connected with everything’, 2) a large number of participants and 3) a sizeable number of communications between them. Communications exist not in the form of teams and control over their performance, but rather have economic character and act in the form of flows of orders. In M.S. Oborin’s work [8], three types of network structures of business models are attributed to M.Yu. Sheresheva [7]: 1) A set of firms approximately identical by the sizes, legally independent and support each other’s stable development. 2) A network structure based on the large organisation that integrates firms of smaller size around itself. 3) A set of uniform branch subjects around which economic agents of the accompanying industries concentrate.

The typology and classification of network structures is a subject for research as a ‘basic’ division of networks on intra- and interorganisational acts. If the intra-organisational network is *Corresponding author (T.B. Klimova) +7 (4722)301284. Email: tklimova@bsu.edu.ru ©2019 International Transaction Journal

considered within the same legal borders, then inter-organizational network formations are an interaction of economic subjects where knots of the network are independent participants of the market whose actions are consolidated to achieve common goals. Certain authors who have considered the intercompany networks, categorise them as follows [4]: strategic alliances, which as a rule include the large companies characterised by stability and closed because of the absence of internal competition in the network; networks of creation of value, which are defined as stable polycentric networks with a closed entrance and competition between participants; focal supply networks, where the dominant role is held by one partner; dynamic focal networks, which differ from the previous networks in terms of lack of stability and virtual organisations, which are small- and medium-sized companies that consolidate efforts for achievement of the goals within the uniform virtual platform. Moreover, network designs can be open or closed, vertical or horizontal, local, international or global. Every year, the number of supporters of a network grows because firms and other actors whose activities contribute to the achievement of the common goals of the network can be knots of business networks. The work [9] considers the prospects of development of the model of network interaction of business communities and non-profit organisations to which certain functions are assigned. Simultaneously, a section of knots of business networks certainly pursues commercial purposes, and network interaction is considered as a source of competitive advantage. The development of network forms in tourism and the management of network interactions are new areas of study for researchers. In the service economy, the creation of interorganisational networks must serve as a call to the approaches of the economy of expenses and as a factor for the creation of value. A certain layer of works where authors attribute networks to the creation of value [1, 4, 10] already exists and these studies emphasise the need for concentration of efforts for joint creation of value and coordination of the corresponding strategy of all participants in the network.

3. RESULTS For the tourist and recreational sphere, the network of creation of value is fundamental. Value for the consumer is created through a combination of different resources in the network interactions of companies. Value from the position of the consumer plays a key role when forming an impression regarding a tourism product. If a certain chain of creation of value ‘drops out’, then a reflection occurs in the final product, thereby reducing the value and creating a negative impression on a tourism product and a tourist destination in general. Therefore, the main objective is to form chains of creation of value in a tourist destination when forming a tourism product. This task is subject to regulations on tourist activities and tour operators who position themselves together with a specific destination and are interested in its advance. The present study considers the formation process of a regional tourism product using the example of the Belgorod region. The development of internal and entrance tourism in the Belgorod region is being carried out according to the current legislation. Implementation of actions for the development of internal and entrance tourism in the region is being performed under the subprogramme, ‘Development of tourism, workmanship and roadside service’ of the state

Tatyana B. Klimova, Irina V. Bogomazova, Boris A. Tkhorikov, Yana G. Glumova, Roman V. Plokhikh

programme of the Belgorod region and ‘Development of economic potential and forming of favourable enterprise climate in the Belgorod region for 2014–2020’. Priority types of tourism in the area include military and historical, rural, event, children, cultural and cognitive. Along with these types, industrial, gastronomic and business tourism are being developed actively. According to the rating of tourist attractiveness of regions, the Belgorod region occupies an average position (the 34th place from 85) taking into account the extent of development of hotel business and infrastructure, the importance of the tourism industry and its profitability, popularity of the region in tourist relations including foreigners, existence of unique tourist resources in the information space and the potential for growth based on the attractiveness having activities that advance the tourist capacity of the region [11]. The architecture of network interaction when forming a regional tourism product is considered in Figure 1. This network design can be considered universal regardless of the territory, and thus is labeled a ‘basic’ network. Elements of the network (agents) refer to the subjects of a network that participate directly or indirectly in the formation of a regional tourism product. However, the network’s subsystems can already change depending on the resources, infrastructure and other components, and the level of the relationship and interdependence between elements of the network can define the efficiency of the network in general.

Figure 1: ‘Basic’ network design of formation of a regional tourism product Figure 1 depicts the network model where BP is the basic main enterprise (regional tour operators); BP1, BP2, BP3, and BP4 are the basic enterprises at the second level of the network (travel agents, transport companies, dining and means of placement enterprises); A1–A6 enterprises are economic agents of the accompanying industries with different degrees of dependence on the participation in production and realisation of network services (the enterprises that focus on show business and rest, attraction, excursion bureaus, insurance companies, finance companies, media, the information companies, etc.) and structures (departments) responsible for the development of tourism at the regional level. The tourism product is formed by a tour operator who acts as the basic elements of the structure or the ‘knot’ of the network. The interrelation of the consumer with services is carried out through travel agents who form the second level of the network. Industry enterprises that render services in the formation of a tourism product are also part of the second level of the network. These two levels of the presented network form respectively, the main and providing infrastructure components in the formation of a regional tourism product. The enterprises in the third level of the network are agents of *Corresponding author (T.B. Klimova) +7 (4722)301284. Email: tklimova@bsu.edu.ru ©2019 International Transaction Journal

auxiliary infrastructure. Integration of the different levels of subjects forms the vertical communication between participants of the network, and a ‘soft’ form of integration assumes association on a corporate basis, which makes maintaining independence possible. This network is open and the allocation of numerous leading enterprises at the level of the basic enterprises is possible, the majority of which participate actively in the formation of a regional tourism product. These enterprises and the tour operator can also establish a stable connection. For example, in a segment of hotel services by such enterprises, hotel complexes include, ‘Kontinental’, ‘Amaks Congress Hotel’, ‘Avrora’ and the Europe Park Hotel. Given such interaction, resources and specific opportunities unite and separate services into the integrated tourism product of several economic agents, each of which concentrates on certain actions. If the relationship between the basic enterprises of the network is operated quietly, then communications with other economic agents can be broken off or arise incidentally, resulting in the instability of the network. Thus, communications of the first order are the strongest and communications of the second order are weak or absent. The lack of partnership and cooperation of agents in the network leads to a break in the communications in the network, which in turn will cause its integrity to be broken and the decrease in the value of the network that is ‘… pernicious for a tourist production system and regional development’ [Alexandrova, 2014]. Furthermore, to achieve a competitive advantage, each economic agent must optimize their own chain of added value and the external chains that connect the agent with suppliers and consumers. Modern realities indicate that the main vector in the development of the tourism sector of the territory is set by information technologies and their active use. Therefore, special attention should be given to the virtual platforms that unite various economic agents that cooperate within the uniform information environment. These virtual platforms offer the opportunity for active interaction with the consumers of the services (tourist) and their producer. Attempts at the creation of such resources are made in numerous regions including the Belgorod region. Figure 1 illustrates that all elements of the network must be closed in a common information space that gives a chance for the consumer of tourism services (P in Figure 1) to obtain all necessary information on any agent of the network. Network interactions in the virtual environment open up new opportunities for the competent advance of domestic tourism products, the involvement of tourists and the development of the industry in general. In the formation of a regional tourism product and the creation of a network form of interaction, the special part is assigned to placement infrastructure. Hotels and other means of placement are one of the main elements in network formation of a tourism product. Hotel services in the network presented in Figure 1 can be presented as a separate network based on the condition of the existence of partner communications between the enterprises of the hotel industry in the region and the close interaction of agents of the network. This network can be considered as local. Hotel complexes, such as ‘Kontinental’, ‘Amaks Congress Hotel’, ‘Avrora’ and the Europe Park Hotel (G1, G2, G3 and G4 in Figure 2) as the basic enterprises of this network and the enterprises of a hotel segment, which dominate the segment and have been mentioned earlier, are identified. These subjects of the network interact actively among themselves, with tour operators and other enterprise

Tatyana B. Klimova, Irina V. Bogomazova, Boris A. Tkhorikov, Yana G. Glumova, Roman V. Plokhikh

agents rendering the related services of A1â&#x20AC;&#x201C;A6 (transport, excursion service, dining, conference, exhibition, and congress industry, etc.). In this arrangement of roles, which developed in the network where several main enterprises can be identified, a network design emerged based on the oligopoly of hotel services in the region.

Figure 2: Network design on the formation of hotel services with the dominant participation of several hotels The specified hotels most participate actively in the formation of a tourism product, have a steady partnership with regional tour operators and now dictate the price policy in the region. Unfortunately, the small hotel enterprises that could participate in the formation of a regional tourism product are not involved here, offering hotel services in another price segment, thereby promoting price differentiation of a tourism product. Among the presented hotels, the AMAKS Congress Hotel is included in the AMAKS Hotels & Resorts hotel chain. This network unites hotels and sanatoria in 20 cities of Russia and the Republic of Belarus and therefore is no longer local, forming instead an international network based on the most popular hotels of a class with three stars and uniform standards. In addition to a comfortable stay, AMAKS hotels offer guests conference services and different types of entertainment and leisure. At hotels of the company, 11 entertainment centers operate, providing more than two thousand seats, 28 restaurants, and 13 billiards clubs. In addition, a part of the AMAKS network is its own AMAKS travel tour operator and a personnel school called AMAKS Hotels University. The network has a common goal that combines resources and key competencies. The high intensity of interaction and the organisation of network processes allows AMAKS Hotels & Resorts to present a qualitatively competitive product. This network is a mixed type of network that unites several activities, where the main type and the first level of the network is the activity of hotels. The second direction that develops network activity is resort activity (K1â&#x20AC;&#x201C;Kt). These enterprises form the main infrastructure of the network. The management company acts directly as the network centre. The agents of A present in the drawing form the third level of the network and include auxiliary and provision infrastructure of network elements (tour operator of AMAKS travel and transport services) and the provision of belonging (personnel school).

*Corresponding author (T.B. Klimova) +7 (4722)301284. Email: tklimova@bsu.edu.ru ÂŠ2019 International Transaction Journal

Figure 3: Scheme of interaction in AMAKS Hotels & Resorts hotel chain. The advantages of the hotels entering a network include the following: o standardisation of services, service, and quality; o adaptation of personnel, training and introduced regulations; o network sales reservation of services of the hotel and network marketing, advertising and advance; o recognition of a brand and status; o occupancy and income of one hotel room are higher; o uniform customer base and a system of loyalty for guests; o network opportunities of the tariff policy of the hotel and o implementation of tested new technologies. [12]

In a case where the company or the individual reserves at a hotel of the international chain, they become clients of this hotel and global clients of the hotel corporation. At a high level, problems of service, quality of work of the hotel staff and ability to communicate with the guests are addressed in network hotels, in the general opinion of numerous experts, whereas independent hotels lag behind. When forming tourist flows, an important role is played by the transport component. Regional transportation can develop actively when given the chance to move within the country. The number of passengers at Russian airports is increasing. The transport component is a dominant factor in the development of business and industrial tourism. The Belgorod region, despite the closure of the border with Ukraine, remains one of investmentattractive regions of the Russian Federation. Among the areas of interest in the region are the advanced agri-industrial complex and the iron ore industry along with the business purposes that contribute to the development of business and industrial tourism. When forming the architecture of a network of business and industrial tourism in the knots of the network, considering a transport component and industry enterprise is possible. Belgorod has a high-level international airport (in 2017, 468.8 thousand people were transported) and a large railway junction. Figure 4 illustrates the network model of business tourism and knots of the network. First, the industrial enterprise is an object involving the tourist with business purposes. Second, the developed transport infrastructure is presented via the network of transport connections between the Belgorod region and other regions of the country. When forming a tourism product, it should enable the tourists to use services of the means of placement and food (P in Figure 4) and additional services (U1, U2, U3) at the same time. The role of the tour operator or travel agent in this network may be minor.

Tatyana B. Klimova, Irina V. Bogomazova, Boris A. Tkhorikov, Yana G. Glumova, Roman V. Plokhikh

Figure 4: Network interaction when forming a business or industrial tourism. The analysis showed that at the level of regions, the ‘pointed’ approach to tourist activity is often used and the development of a steady network of interactions when forming a regional tourism product at an early stage. Tour operators synchronise interests with representatives of the hospitality industry and transport companies; however, communications with other economic agents in the network are traced poorly, resulting in a lack of possible synergetic effect and a rupture in the chain of creation of value for the end-user. The most flexible infrastructures providing an interrelation of tourist processes are necessary for the development of network forms of interaction in the tourist and recreational sphere at the local level. New forms of interaction when forming a regional tourism product is, in our opinion, the formation of a partnership of tour operators with non-profit organisations that can unite enterprises of the hotel business and the enterprises in the industry of rest and recreation. A process of registration exists at the Belgorod regional association of assistance for the development of the sphere of hospitality, rest and entertainment. The purpose of the association is to coordinate the activities of the companies engaged in travel and hotel business and consolidate efforts of the municipal authority and business community towards development of the sphere of tourism and hospitality. Numerous functions on the formation of a complex regional tourism product and an increase in recognition of a tourist destination in the tourist space of the country can be assigned to the created association. In this case, the ‘basic’ network design on the formation of a regional tourism product is transformed into a substantially flexible structure, where, in our opinion, the created association and regional tour operator (Figure 5) can act as a knot of the network.

Figure 5: Network interaction in the formation of a regional tourism product where a knot of the network is the regional tour operator and regional Association of assistance for the development of the sphere of hospitality, rest and entertainment. In Figure 5, the regional tour operator interacts closely with the association (A) when forming a tourism product and D, the department of economic development carrying out the coordination *Corresponding author (T.B. Klimova) +7 (4722)301284. Email: tklimova@bsu.edu.ru ©2019 International Transaction Journal

function. The association provides a dialogue between the subjects of the tourism sector, the enterprises of allied industries entering the association and the public authorities coordinating the tourist sphere. U1 and U2 are the economic agents of the network rendering related services on the formation of a regional tourism product and not entering the association. In the network information exchange between participants of the network, the consumer of a tourist product must be provided (O). Considering the problems connected with the backwardness of the Russian tourist market, the creation of such a network can become the catalyst for the development of internal and entrance tourism in the Belgorod region. In our opinion, the presented network is the most effective form of interaction of subjects of the tourist market in the Belgorod region. Integration of the newly established association of assistance to developing the sphere of hospitality, rest and entertainment reconstruct a flexible ‘basic’ network design. Formation of a steady partnership and long-term cooperation in the network between agents of the regional market can allow the creation of additional attractive and qualitative tourism products taking into account the integrated resources and capacity of the region. Thus, the development of tourism at the level of regional economies is possible through a prism of network interaction. The formation of an increasingly flexible network structure opens new opportunities for a complete solution to the question of redistribution of tourist streams considering the available resources. Effective management of interactions within network designs in tourism can create a new impulse for the development of regional tourism. The main reference point is the creation of value for the consumer. The impression, the emotional condition of the tourist, finally determines the consumer value of the territory and the desire to visit this or that region and can promote the distribution of a tourist stream in the territory of our country.

4. DATA AND MATERIAL AVAILABILITY All relevant information used in this study is already included in this article.

5. ACKNOWLEDGMENT This article was completed from a grant of an additional intra high school competition of NRU ‘BelGU’ within the competition of grants for support of the public and humanitarian directions of research. Subject: ‘Development of a Model of Network Interaction in the Tourist and Recreational Sphere’.

6. REFERENCES [1] Alexandrova A.Y. (2014) Tourist «traps» of regional development of a trend / А.Y. Alexandrova // Initiatives of XXI centuries. № 2, 52-57. [2] Marshall А. (1993) Principles of economic science / А. Marshall. - М.: Progress, 416 p. [3] Newman M.E.J. (2003) The structure and function of complex networks / Newman M.E.J. // SIAM Review. 45, 167–256. [4] Methodology of a research of network forms of the organization of business / Special Editor Sheresheva M.Y. - М.: PH Higher School of Economics. 2014, 448 p. [5] Castells М. (1999). Formation of society of network structures // New post-industrial wave in the West.

Tatyana B. Klimova, Irina V. Bogomazova, Boris A. Tkhorikov, Yana G. Glumova, Roman V. Plokhikh

Anthology / Edited by V.L. Inozemtseva. М., 494-505. [6] Chistyakov S.V. (2012). Network organizational form and network economic relations / S.V. Chistyakov // Bulletin of the Moscow University. Series 21 Management (State and Society). 2, 74-85. [7] Sheresheva М.Y. (2010). Forms of network interaction of the companies / М.Y. Sheresheva. - М. : PH State University – Higher School of Economics, 339 p. [8] Oborin М.S. (2017). Specifics of network business models in the tourist and recreational sphere / М.S. Oborin, М.Y. Sheresheva // Manager. 4(68), 24 –31. [9] Polukhina А.N. (2016). Innovative approaches to network interaction of business and NPO in the sphere of development of internal tourism / А.N. Polukhina // Innovative development of economy. 1(31), 60-67 [10] Bek М.А. (2014). Business models: innovative aspects / М.А. Bek, N.N. Bек // Management of innovations, 4, 244–256. [11]

National tourist rating(2018). URL: http://russia-rating.ru/info/14699.html

[12]

I want in hotel chain! URL: https://hotelier.pro/management/item/3592-khochu-v-gostinichnuyu-set. Dr.Tatyana Klimova is an Associate Professor at Department of International Tourism and Hospitality, Institute of Economics and Management, Belgorod State University, Belgorod, Russia. She holds a PhD in Economic Sciences. Her research is Tourism Marketing, Travel Services and Technologies, Tourism Industry Management, Analysis and decision-making in the tourism industry Tourism Business Strategies. Irina V. Bogomazova is an Associate Professor at Institute of Economics and Management, Belgorod State University, Belgorod, Russia. She is interested in Digital Tourism Management.

Dr. Boris A. Tkhorikov is an Associate Professor at Department of Management and Marketing Institute of Economics and Management, Belgorod State University, Belgorod, Russia. He is interested in Marketing Performance Management, Change management, Project management, Neuromarketing, Business presentation techniques, Theory of Management Decision Making, Indicative management of organizations Yana Glumova is an Assistant Professor, Belgorod State University. She is interested in Modern and Digital Management.

Professor Dr.Roman V. Plokhikh is Professor at the Department of Recreation Geography and Tourism, Al-Farabi Kazakh National University, Kazakhstan. He got a Doctor of Sciences degree in Geography Ecological Safety Development of Territory. His research areas are Recreational Geography and Problems of Tourism Development, Planning and Forecasting in the Field of Nature Management and Territorial Development, Landscape Science, Geobotany, Geoecology, Economics of Local Communities, Geoinformatics, Mapping.

International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies http://TuEngr.com

PAPER ID: 10A19B

Reza Karimi , Alireza Nohedi a

EMBA, Farabi Campus, University of Tehran, IRAN

ARTICLEINFO

A B S T RA C T

Article history: Received 08 April 2019 Received in revised form 31 May 2019 Accepted 07 June 2019 Available online 25 October 2019

Marketing capabilities enable an organization to identify customers’ requirements and present its solution via planning marketing, investment, and implementation activities. Managers of organizations can see the result of their decisions on strategy selection through performance criteria. The purpose of this study is to investigate the impact of domestic marketing capabilities on international marketing growth considering the roles of information availability, international strategic orientation, and international network capabilities. The sample pool of this study included all the technicians, senior officers, middle managers, executive officers, marketers, and the board of directors of dried fruit export companies in Alborz, who were experts and in charge, in order to meet the required objectives. The sample consisted of 80 companies. Due to the limited number of participants, up to two marketing specialists were chosen from each company to make up the final 80 companies and 97 participants. A standard questionnaire was used for data collection. The reliability was verified by Cronbach’s alpha test. Data analysis was done by LISREL8.5 and SPSS24 using structural equation modeling. The findings of this study support its main hypotheses and the proposed model was fit.

Keywords: Marketing capabilities; Marketing analysis; Marketing Capabilities; International Marketing Growth; Domestic Marketing Capability; International Strategic Orientation; International Network Capabilities; Information Availability.

1. INTRODUCTION Recently, internationalization has required business corporations to start seeking new opportunities in international markets along with their own domestic and traditional markets (Sosa et *Corresponding author (A.Nohedi) Email: nodehi_6882@yahoo.com ©2019 International Transaction Journal of Engineering,

Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID: 10A19B http://TUENGR.COM/V10A/10A19BM.pdf DOI: 10.14456/ITJEMAST.2019.260

al., 2013). Since international market growth represents the key to economic reinvention (Taheri et al., 2017), international market growth is among the first government priorities and policies in almost every developing country as there are also awareness and attention to exports in developed countries (Moshabaki et al., 2012). The main concern of international companies is international market growth. One of the critical factors determining international market growth is domestic marketing capabilities (Aron, 2013). Accordingly, in the current complex, dynamic, and extremely changing conditions, companies need to develop and adopt strategies that enable them to improve their performance day by day; as in such a competitive environment, only those companies are able to survive that is not left behind the competition and adapt themselves with the changing and dynamic conditions of the competitive market (Bastani, 2015; Hosseini & Jamshidinavid, 2019). Marketing capability is among the factors that impact a company’s performance. This capability is an integrated process with which companies employ tangible and intangible resources to discern the complexity of specific requirements of customers, achieve a relative product distinction for competitive advantage, and finally achieve a fit brand quality. Therefore, it is considered a valuable resource for a company’s competitive advantage improvement (Zadeh et al., 2009). International marketing plays a central role as multinational companies look for market opportunities and expand internationally (Yang, 2018). The thing that makes marketing capabilities valuable is not their mere development and existence, it is the amount and the way they impact the performance (Deac et al., 2015). A company can combine its personnel’s skills and personal knowledge with available resources by enhancing its marketing capabilities. A company that expends more resources in interaction with customers is able to enhance its market recognition capabilities (Nath et al, 2017). In better words, marketing capability enables companies to better understand their customers’ current and future needs, better serve these needs, attract new customers, and also analyze the competition and competitors efficiently (Fahy et al., 2000). There are different and contradictory findings regarding the relationship between international marketing capabilities and international market growth in international literature. Some studies show that employing domestic marketing capability of normalization results in an increase in export performance (Ghasemi et al., 2015). The prime focus of domestic marketing capability is appropriate allocation and alignment of marketing practices and resources to determine the company’s operational objectives for a specific market-product. A well-designed strategy, which consists of five components namely domain, general objectives and operational objectives, resource allocation, competitive advantage identification, and synergy, can have a great impact on international market growth (Shahrokh et al., 2014). The relationship between domestic marketing capabilities and international market growth is less discussed. Many study findings suggest that domestic marketing capability is a proper tool for international market growth and result in enhanced market performance. Usually, governments expend a lot of resources in export improvement plans for small and middle-sized companies since the exports of these types of companies play a vital role in the country’s national economy. Therefore, considering the importance of this subject, the main question of the study is what impact domestic marketing capabilities have on international marketing growth of dried fruit export companies in Tehran while taking the roles of information availability, international strategic orientation, and international network capabilities into account.

1.1 THEORETICAL BACKGROUND OF THE STUDY Domestic Marketing Capabilities: The capability-based theory indicates that companies can

Reza Karimi, Alireza Nohedi

achieve a competitive advantage through certain and distinct capabilities like marketing capability and suggests companies should invest continuously in order to maintain and improve current capabilities and prevent competitive emulation. Because when a company has a strong marketing capability, it can achieve its objectives and have a better brand situation compared to its competitors by showing its predominance in identifying customers’ needs and comprehending effective factors on their selection behavior. This would result in a greater profit margin and subsequent predominant financial performance for the company (Nasimi and Amiri, 2017; Chew et al., 2008). A company’s success is dependent on improving the capabilities and relationships that are specific to it and are maintained for middle to long terms. Day (1994) divides company capabilities into four categories: 1) Inside-Out Capabilities: These capabilities allow the company to keep its expenses low or distinguish its supplies from competitors’ supplies. 2) Outside-In Capabilities: These capabilities provide critical information for the company and allow it to better respond to changes in customers’ needs. These capabilities allow the company to utilize the inside-out capabilities more efficiently. 3) Marketing Capabilities: These capabilities allow the company to gain advantages from inside-out and outside-in capabilities by efficiently implementing marketing plans. 4) Information Technology Capabilities: These capabilities allow the company to promote the market information among all functions.

Shahri et al. (2015) define marketing capabilities as including sales capability, marketing management capability, market research capability, product development capability, pricing capability, distribution capability, and promotion capability. Morgan and Strong (2003) and Hajipour et al. (2012) have divided marketing capabilities into two categories of specialized marketing capabilities and architectural marketing capabilities. Specialized marketing capabilities include factors such as advertisement and promotion, personal selling, public relations, pricing, and distribution. These capabilities include routine tasks based on the marketing mix (Chang et al., 2009). Architectural marketing capabilities reveal themselves as specialized marketing capabilities and are efficiently deployed to meet an organization’s strategic requirements (Vorhies et al., 2009). International Marketing Growth: International marketing is defined as business activities to deliver a country’s goods and services to customers in other countries in order to make a profit (Soltani Bahabadi, 2017). Moreover, it includes goods and services production and sales in more than one country while no goods cross the actual borders of a country (Babaie & Zakliki, 2006). International marketing growth is the amount a company earns while exporting its products to the foreign market (Taheri Kia et al., 2017). Information Availability: The structure of information availability is defined and conceptualized as a company’s capacity and capability to obtain information related to international activities (Mathews et al., 2014). International Strategic Orientation: Strategic orientation is defined as implementing a company’s strategic orientation to create behaviors in line with the ever-excellent performance of the business. The main parameters of strategy selection in an international environment include international paradigm, business network, competitive intelligence, business capabilities, strategic orientation, international market entry mode, knowledge and awareness of the international business environment, a product’s position in the life-cycle, and local elements. In fact, selecting the strategy *Corresponding author (A.Nohedi) Email: nodehi_6882@yahoo.com ©2019 International Transaction Journal of Engineering,

Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID: 10A19B http://TUENGR.COM/V10A/10A19BM.pdf DOI: 10.14456/ITJEMAST.2019.260

in an international environment requires exchanging information and analyzing these parameters rather than the mere result of a simple analysis of the local and foreign environments. The conceptualization of these parameters is as follows, based on the theoretical definitions and background (Naldi et al., 2014): o o o o o o o o o

International Paradigm: The logic of the emergence of compatibility between internal elements of the business and the international environment. Business Network: The relationships and exchanges between a business and its same-level or non-same-level businesses. Competitive Intelligence: The ability to provide apropos and thoughtful reactions considering market conditions and competitors’ actions. Business Capabilities: Tangible and intangible resources of a business. Strategic Orientation: The framework and principles defining the business orientation while facing the external environment. Knowledge and Awareness of The International Environment: The knowledge related to the conditions of working in international areas and awareness of the business playing rules. A Product’s Position in The Life-Cycle: A product’s position in the manner of being in one of the stages of introduction, growth, maturity, and decline. International Market Entry Mode: The way of organizing products, technology, human capital, and resources for international market entry. Local Elements: Local business elements include political, social, economic, technological, and competitive pressure groups (Rahim Nia et al., 2016).

International Network Capabilities: International network capabilities refer to the active use of the Internet and combining it with the influence of market-specific and advertisement marketing activities, online sales, and supports and after-sale services, market research, and international market management in line with international marketing objectives (Mathews et al., 2015).

2. LITERATURE REVIEW Taheri Kia et al. (2017) investigated the impacts of domestic marketing capabilities on international market growth (a case study of small and middle-sized export companies in Mazandaran) and all eight hypotheses were verified. Soltani Bahabadi (2017) found a positive and significant relationship between marketing capabilities and the international growth of tour companies in Mashhad. Sorayaie et al. (2016) studied the impact of Internet marketing capabilities on international marketing parameters using data of the members of the export union in Mazandaran, and the findings of the study confirmed a significant relationship between Internet marketing capabilities on strategic international orientation information availability and international network capabilities. Rahim Nia and Khakzadan (2015) studied the moderating role of the internationalization level and the export environment and the intermediacy of the match between marketing mix and market-oriented exports in export performance. The findings indicated that the internationalization level and export environment and marketing mix and market-oriented exports have a positive impact on the exports performance. Karolos-Konstantinos et al. (2018) studied the mutual impacts of strategic green marketing orientation and domestic green marketing on competitive advantage. The findings based on the contemporary literature of green marketing show that there is a significant relationship between the strategy and individuals which results in a competitive advantage. This, in turn, improves financial performance. In the end, this study uses an updated approach based on the current literature for strategic green marketing drivers and its results. This provides some approaches to “environment-based competitive advantage” for managers. Takata (2016) studied the impacts of

Reza Karimi, Alireza Nohedi

marketing orientation and marketing capabilities on the performance of small and middle-sized businesses. The findings showed that marketing capabilities had a stronger effect on business performance compared to other marketing factors and had an intermediary role in the relationship between market orientation and business performance. Mathews et al. (2015) studied Internet marketing capabilities and international market growth. The findings show that companies that possess Internet marketing capabilities are able to benefit from reduced information uncertainty and improved capacity in international network capabilities. Moreover, Internet marketing capabilities can directly result in international market growth and this happens when a company enjoys greater levels of international strategic orientation and international networking capabilities. Generally, Internet marketing capabilities can also enhance a companyâ&#x20AC;&#x2122;s capability in developing other capabilities which in turn will have a positive effect on international market growth of the company. Hoang (2015) studied the relationship between market-orientation, export strategy, and export performance. The findings showed that there is a relationship between market-orientation and the selected export strategy and export performance of 142 small export manufacturers. Cadogan et al. (2013) studied the facilitating and impeding factors of exports market-oriented behavior development. The findings showed the importance of export alignment, export environment, and export history on determining the level of export market-oriented behavior.

3. CONCEPTUAL MODEL AND RESEARCH HYPOTHESES Considering the theoretical background and the aforementioned subjects, the conceptual model of the study is proposed in Figure 1 based on Mathews et al. (2015):

Figure 1: Conceptual model of this study.

3.1 RESEARCH HYPOTHESES Considering the conceptual model of the study, the research hypotheses are as follows: Hypothesis 1: Domestic marketing capabilities have a positive and significant impact on information availability. Hypothesis 2: Information availability has a positive and significant impact on international strategic orientation. Hypothesis 3: Domestic marketing capabilities have a positive and significant impact on international strategic orientation. Hypothesis 4: International strategic orientation has a positive and significant impact on international market growth. Hypothesis 5: Domestic marketing capabilities have a positive and significant impact on international network capabilities. *Corresponding author (A.Nohedi) Email: nodehi_6882@yahoo.com ÂŠ2019 International Transaction Journal of Engineering,

Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID: 10A19B http://TUENGR.COM/V10A/10A19BM.pdf DOI: 10.14456/ITJEMAST.2019.260

Hypothesis 6: International strategic orientation has a positive and significant impact on international network capabilities. Hypothesis 7: International network capabilities have a positive and significant impact on international market growth.

4. METHODOLOGY This is an applied, field study using a descriptive approach in data collection. Also, the research variables have a correlational relationship. Since structural equation modeling is used for hypotheses testing in this study, it is considered a correlated matrix analysis study. For data analysis, a complete structural equation model is used comprising a combination of a flowchart and confirmatory factor analysis. The sample pool of this study included all the technicians, senior officers, middle managers, executive officers, marketers, and the board of directors of dried fruit export companies in Alborz, Iran, who were experts and in charge in order to meet the required objectives. The sample population consists of about 80 companies the list of which is acquired from Alborz Organization of Industry, Mine, and Trade. These companies are categorized as dried fruit export companies according to the Organizationâ&#x20AC;&#x2122;s criteria. The number of participants is calculated using the Cochran formula by taking the sample population into account using simple random sampling. According to the aforementioned formula, the population of the sample is 80 companies. However, due to the limited number of participants, up to two marketing specialists were chosen from each company to make up the final 80 companies and 97 participants. Therefore, 97 questionnaires were distributed to the participants and the information obtained was analyzed by SPSS. The instrument of the study was a questionnaire. The final version of the questionnaire contained 27 questions after applying the necessary changes. A five-point Likert scale was used for questionnaire evaluation ranging from extremely disagree to extremely agree. The research questions were designed based on the questionnaire in Mathews et al. (2015). The questionnaire was verified. The questionnaire reliability was tested with Cronbach's alpha test. The reliability of all parameters has been calculated separately in table 1 which shows it was greater than 0.7 for all variables considering both factors of Cronbach's alpha and combined reliability coefficient that shows the appropriate reliability of the instrument. The values of Cronbach's alpha for all research variables are provided in Table 1. Table 1: Validity and Reliability Values of The Questions of The Questionnaire Divided by Variables Variable Domestic Marketing Capability International Market Growth International Strategic Orientation International Network Capabilities Information Availability Questionnaire Overall

The Number of Questions 6 5 6 5 5 27

Cronbach's Alpha 91.0 95.0 94.0 75.0 87.0 88.0

5. DATA ANALYSIS AND RESULTS In this section, after the completion of the research data collection, the collected data were transferred to SPSS, descriptive statistics were used to prepare the tables, and diagrams were used to describe the findings resulted from the sample population. LISREL, which is a structural equation method, was also used to investigate the research hypotheses and test the model.

Reza Karimi, Alireza Nohedi

5.1 DESCRIPTIVE STATISTICS RESULT According to Table 2, it can be seen that the highest frequency of sex belongs to males with 0.842 percent, the highest frequency of education belongs to graduates with 36 percent, and the highest frequency of age belongs to the 41-50 age group. Table 2: Descriptive Statistics Sex

Education

Age

Variable Female Male High School Graduate Undergraduate Graduate Postgraduate Under 40 41 - 50 Over 50

Freq. 16 84 13 25 35 24 25 46 26

Percentage 16.49 83.50 13.40 25.77 36.08 24.74 25.77 47.42 26.80

5.2 FACTOR ANALYSIS RESULT In the confirmatory factor approach, an attempt is made to statistically test the significance of a hypothesized factor model and determine if the sample data confirm the model. Table 3 shows the results of the confirmatory factor analysis in two modes. Table 3. Analysis of Research Variables Measurement Models Variables

Domestic Marketing Capability (IMC)

International Market Growth (IMG)

International Strategic Orientation (ISO)

International Network Capabilities (INC)

Information Availability (IAV)

Questions IMC1 IMC2 IMC3 IMC4 IMC5 IMC6 IMG1 IMG2 IMG3 IMG4 IMG5 ISO1 ISO2 ISO3 ISO4 ISO5 ISO6 INC1 INC2 INC3 INC4 INC5 IAV1 IAV2 IAV3 IAV4 IAV5

Normality 86.0 82.0 63.0 77.0 76.0 74.0 93.0 78.0 81.0 67.0 33.0 96.0 83.0 64.0 74.0 63.0 54.0 94.0 63.0 60.0 31.0 40.0 88.0 59.0 48.0 53.0 56.0

Significance 32.10 54.9 30.7 63.8 51.8 26.8 14.11 03.10 67.10 71.7 32.3 63.12 64.6 01.11 74.9 49.7 0.6 32.6 89.2 63.03 48.03 29.04 93.5 63.4 30.5 54.05 62.5

From Table 3, the confidence level of 0.95 indicates that the factor loading of all statements is greater than 0.30. Therefore, all the questions related to the research variables were able to evaluate the model appropriately. It is specified that all the factor loadings are within the acceptable range and a correlation is evident between the observed variable and the factor under study. *Corresponding author (A.Nohedi) Email: nodehi_6882@yahoo.com ÂŠ2019 International Transaction Journal of Engineering,

Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID: 10A19B http://TUENGR.COM/V10A/10A19BM.pdf DOI: 10.14456/ITJEMAST.2019.260

5.3 MODEL FIT TEST RESULT In this study, the research statistical model is presented in two normality and significance modes in order to reject or confirm the research hypotheses. The model fit is also provided. According to Figures 1 and 2 and Table 3, it is specified that the model enjoys desirable goodness of fit.

Figure 1: Statistical Model in Significance Mode Figure 1 illustrates the conceptual model of the study in the significance mode. Since the value of significance is greater than 1.96 for all relationships, the research hypotheses are confirmed.

Figure 2: Statistical Model in Normality Mode. Table 4, the indices of the model fit are presented including goodness of fit index (GFI), comparative fit index (CFI), Bentler-Bonett Normed Fit Index (NFI), non-normed fit index (NNFI or TLI), Bollenâ&#x20AC;&#x2122;s Incremental Fit Index (IFI, also called BL89 or ď &#x201E;2), Root Mean Square Error of

Reza Karimi, Alireza Nohedi

Approximation (RMSEA) and relative fit index (RFI or RHO1). And considering that these indices have great values, it can be inferred that the model is fit. Table 4: The Results of the Model Fit Indices Index Value

GFI 96.0

CFI 94.0

NFI 91.0

NNFI 94.0

IFI 95.0

RFI 87.0

RMSEA 005.0

Chi-Square 88.1

Table 5: Research Hypotheses Results. Hypotheses Domestic marketing capabilities have a positive and significant impact on information availability. Information availability has a positive and significant impact on international strategic orientation. Domestic marketing capabilities have a positive and significant impact on international strategic orientation. International strategic orientation has a positive and significant impact on international market growth. Domestic marketing capabilities have a positive and significant impact on international network capabilities. International strategic orientation has a positive and significant impact on international network capabilities. International network capabilities have a positive and significant impact on international market growth.

Normality

Significance

Status

39.0

22.3

Confirmed

30.0

85.5

Confirmed

44.0

76.3

Confirmed

50.0

48.3

Confirmed

58.0

60.5

Confirmed

32.0

60.2

Confirmed

69.0

63.6

Confirmed

6. DISCUSSION In the first hypothesis, it is stated that domestic marketing capabilities have a positive and significant impact on information availability. This hypothesis with the significance level of 22.3 was confirmed with the confidence interval of 95 since it falls out of the (-96.1 and 96.1) range. This hypothesis’ results are in consistence with the results found in the studies of Taheri Kia et al. (2017) and Mathews et al. (2015). The normality coefficient of this hypothesis was 39.0, which shows there is a direct relationship between these two variables. It means the more domestic marketing capabilities are used, the greater information availability the company will have. In the second hypothesis, it is stated that information availability has a positive and significant impact on international strategic orientation. This hypothesis with the significance level of 85.5 was confirmed with the confidence interval of 95 since it falls out of the (-96.1 and 96.1) range. This hypothesis’ results are in consistence with the results found in the studies of Taheri Kia et al. (2017) and Mathews et al. (2015) and Hoang (2015). The normality coefficient of this hypothesis was 30.0, which shows there is a direct relationship between these two variables. It means the greater information availability is, the greater international strategic orientation will be. In the third hypothesis, it is stated that domestic marketing capabilities have a positive and significant impact on international strategic orientation. This hypothesis with the significance level of 73.3 was confirmed with the confidence interval of 95 since it falls out of the (-96.1 and 96.1) range. This hypothesis’ results are in consistence with the results found in the studies of Taheri Kia et al. (2017), Nia and Khakzadan (2015), Karolos-Konstantinos Papadas et al. (2018), and Mathews et al. (2015). The normality coefficient of this hypothesis was 44.0 which shows there is a direct relationship between these two variables. It means the more domestic marketing capabilities are, the more international strategic orientation will be. In the fourth hypothesis, it is stated that international strategic orientation has a positive and significant impact on international market growth. This hypothesis with the significance value of 48.3 was confirmed with the confidence interval of 95 since it falls out of the (-96.1 and 96.1) *Corresponding author (A.Nohedi) Email: nodehi_6882@yahoo.com ©2019 International Transaction Journal of Engineering,

Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID: 10A19B http://TUENGR.COM/V10A/10A19BM.pdf DOI: 10.14456/ITJEMAST.2019.260

range. This hypothesis’ results are in consistence with the results found in the studies of Taheri Kia et al. (2017), Sorayaie et al. (2016), Papadas et al. (2018), and Mathews et al. (2015). The normality coefficient of this hypothesis was 50.0, which shows there is a direct relationship between these two variables. It means the greater international strategic orientation is, the more international market growth will be. In the fifth hypothesis, it is stated that domestic marketing capabilities have a positive and significant impact on international network capabilities. This hypothesis with the significance level of 60.5 was confirmed with the confidence interval of 95 since it falls out of the (-96.1 and 96.1) range. This hypothesis’ results are in consistence with the results found in the studies of Kia et al. (2017), Sorayaie et al. (2016), and Mathews et al. (2015). The normality coefficient of this hypothesis was 58.0, which shows there is a direct relationship between these two variables. It means the more domestic marketing capabilities are, the more international network capabilities will be. In the sixth hypothesis, it is stated that international strategic orientation has a positive and significant impact on international network capabilities. This hypothesis with the significance level of 60.2 was confirmed with the confidence interval of 95 since it falls out of the (-96.1 and 96.1) range. This hypothesis’ results are in consistence with the results found in the studies of Kia et al. (2017), Sorayaie et al. (2016), and Mathews et al. (2015). The normality coefficient of this hypothesis was 32.0, which shows there is a direct relationship between these two variables. It means the greater international strategic orientation is, the greater international network capabilities will be. In the seventh hypothesis, it is stated that international network capabilities have a positive and significant impact on international market growth. This hypothesis with the significance level of 63.6 was confirmed with the confidence interval of 95 since it falls out of the (-96.1 and 96.1) range. This hypothesis’ results are in consistence with the results found in the studies of Kia et al. (2017), Sorayaie et al. (2016), and Mathews et al. (2015). The normality coefficient of this hypothesis was 69.0, which shows there is a direct relationship between these two variables. It means the greater international network capabilities are, the greater international market growth will be. Table 5 concludes all hypotheses test results.

7. CONCLUSION From the data collection and analysis, this study found the impacts of domestic marketing capabilities on international marketing growth considering the roles of information availability, international strategic orientation, and international network capabilities. With data analysis via the structural equation modeling, the findings support its main hypotheses and the proposed model was fit.

7.1 PRACTICAL IMPLICATIONS Considering the hypotheses were confirmed, it is suggested that: o Exports managers should necessarily focus their efforts on improving their international strategic level behavior to achieve better performance; export alignment indicates the enhancement of a company’s capability in successfully achieving propagation capability and responding to the export market intelligence. It is clear that if a company decides to improve the level of its market-orientedness in exports, it should turn its exports into a part of export norms. Therefore, qualitative factors such as common values, common beliefs, trust in objectives, decrease in functional discrepancies, and assurance are the elements that obligate a company to increase its intrinsic capacity in order to direct the market-oriented exports behavior.

Reza Karimi, Alireza Nohedi

o Managers’ attention to learning about a market by means of market recognition development and using that in decision-making and relevant marketing activities. o Organizations with high market-orientedness achieve high business performance; because they better understand customers’ explicit and latent needs, competitors’ strategies and capabilities, and environment requirements and changes and help increase the market share, sales growth, customers’ satisfaction, and personnel motivation through acquiring appropriate information from customers and competitors.

8. DATA AND MATERIAL AVAILABILITY Relevant information regarding this study is available by request to the corresponding author.

9. REFERENCES Aron, M & Sok, P., & Sok, K. (2013). Achieving Superior SME Performance: Overarchinh Role of Marketing, Innovation and Learning Capabilities. Australian Marketing Journal, 21, 161-167. Bastani, H., & Chavosh-Bashi, F. (2015). Analysis of factors affecting the performance marketing with an emphasis on marketing capabilities of firms and services: Case study: Sinjergaz Company. Urban Management, 42. Cadogan, John W. C. Cui, Charles. Morgan, Robert E. (2013). Factors facilitating and impeding the development of export market-oriented behavior: A study of Hong Kong manufacturing exporters, Industrial Marketing Management 35. Chang, W., Eun, P.J., & Chaiy, S. (2009). "How does CRM Technology Transform into Organizational Performance? A Mediating Role of Marketing Capability". Journal of Business Research. 1-7. Chew, D.A. S., Yan, Sh. & Cheah, Ch.Y.J. (2008). "Core Capability and Competitive Strategy for Construction SMEs in China". Chinese Management Studies, 2(3): 203–214. Day, G. (1994). "The Capabilities of Market-Driven Organizations". Journal of Marketing, 58(3), 37-52. Deac, H., & Vrincut, L. (2015) ."A new approach to competitive advantage essential aspect of the organization's strategies ". Proceedings' of the 9th International Management. Shahrokh, D.Z., & Poor Hosseini, A. (2014). Performance implications of sales and marketing strategy, Journal of Business Management, 5(1). Fahy, J., Hooley, G., Cox, T., Beracs, J., Fonfara, K., & Snoj, B. (2000). The development and impact of marketing capabilities in Central Europe. Journal of International Business Studies. 63-81. Ghasemi, H., A’arabi, M., & Dehghan, N. (2014) A model of alignment between international marketing strategy with organizational contextual dimensions and international marketing subsystems and its effect on export performance (Case study: engineering and technical services industry), Industrial Management Studies, 6(17). Hajipour, B., Jafarizadeh, F., & Rahimi, F. (2015). Effects of strategic orientation and marketing capabilities on export performance, Journal of Business Management Perspective, 22. Hoang B. Pe (2015). Double Blind Peer Reviewed International Research Journal Publisher: Global Journals Inc. (USA) Relations hip of Export Market Orientation, Selected Export Strategy, and Export Performance: An Empirical Study ter Global Journal of Management and Business Research: EMarketing. 15. Hosseini, N., & Jamshidinavid, B. (2019). Effect of Corporation Strategy on Market Reaction to Earning in the Accepted Corporations of Tehran Stock Exchange. International Transaction Journal of Engineering Management & Applied Sciences & Technologies, 10(1), 61-72. Mathews, Shane, Bianchi, Constanza, Perks, Keith J, Healy, Marilyn, Wickramasekera, Rumintha (2015), Internet marketing capabilities and international market growth, International Business Review. *Corresponding author (A.Nohedi) Email: nodehi_6882@yahoo.com ©2019 International Transaction Journal of Engineering,

Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID: 10A19B http://TUENGR.COM/V10A/10A19BM.pdf DOI: 10.14456/ITJEMAST.2019.260

Morgan, R. E., & Strong, C. A. (2003). "Market Orientation and Dimensions of Strategic Orientation". European Journal of Marketing، 32(11/12), 1051-1073. Moshabaki, A., & Khalili-Shojaee, V. (2012). Investigating the relationship between organization culture and corporate social responsibility (CSR) (Case study: Energy Ministry), Journal of Applied Sociology, 21(3). Naldi, L., Achtenhagen, L., & Davidsson, P. (2014). International corporate entrepreneurship among SMEs: a test of Stevenson's notion of entrepreneurial management. Journal of Small Business Management. Nasimi, M. A., & Amiri, S. (2017). The effect of spanning marketing capabilities on financial and process performance, Journal of Business Administration Researches, 9(18). Nath, p, Nachiappan, S, & Ramanathan, R, (2017). The impact of marketing capability, operations capability and diversification strategy on performance: A resource-based view, Industrial Marketing Management, 39, pp 317- 329. Rahim-Nia, F., & Hasani-Rad, P. (2016). Investigating Opportunity-oriented and Resources-oriented Approach for International Entrepreneurship, International Business conference: opportunities and challenges, Rasht, 2016. Soltani-Behabadi, A. (2017). Investigating the capabilities of online marketing on tourism corporations’ international marketing growth in Mashhad, Studies of Management and Entrepreneurship, 3(3). Sorayaei, A., & Azizi, M. (2016). Investigating the Effects of online Marketing on International Marketing Parameters, The 2nd international conference of accounting and management in the third millennium, Rasht, 2016. Taheri-Kia, F., Mehrfar, N., & Ghasemi-Hamedani, I. (2017). Domestic Marketing Capabilities in International Market Growth: Case Studies of Small- and Middle-sized Export Companies in Mazandaran Province, The 3rd international conference of management, accounting, and knowledge economy, Tehran, 2017. Takata, H. (2016). Effects of industry forces, market orientation, and marketing capabilities on business performance: an empirical analysis of Japanese manufacturers from 2009 to 2011. Journal of Business Research, 17: 1-9. Vorhies, D.W., Morgan, R.E., & Autry, C.W. (2009). "Product-Market Strategy and the Marketing Capabilities of the Firm: Impact on Market Effectiveness and Cash flow Performance". Strategic Management Journal, 30, 1310-1334. Yang, Man. (2018), International entrepreneurial marketing strategies of MNCs: Bricolage as practiced by marketing managers, International Business Review. Reza Karimi is a Master’s degree student in Management at Farabi Campus, University of Tehran, IRAN. He is interested in Modern Management.

Dr.Alireza Nohedi is a Professor at Farabi Campus, University of Tehran, IRAN. He is interested in Marketing Analysis, Digital Management.

Disclaimer: All product names including logos, trademarks™, registered® trademarks, photographs, including writings, and artworks mentioned in this article are the property of their respective owners, using for identification and educational purposes only. The use of them does not imply any endorsement or affiliation.

Reza Karimi, Alireza Nohedi

International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies http://TuEngr.com

PAPER ID: 10A19C

INFLUENCE OF FAMILY FACTORS ON FEMALE AND MALE STUDENTS’ LITERACY DEVELOPMENT a

Sergei Vasilievich Kruchinin *, Tatiana Iosifovna Borko , c Igor Borisovich Muraviev a

Department of Applied Mathematics and Natural Sciences, Noyabrsk Institute of Oil and Gas (branch), Tyumen Industrial University (TIU) in Noyabrsk, RUSSIA a Department of Russian and Foreign Literature, Tyumen State University, RUSSIA c Department of Philosophy, Tyumen State University, RUSSIA ARTICLEINFO

A B S T RA C T

Article history: Received 09 July 2019 Received in revised form 23 September 2019 Accepted 11 October 2019 Available online 30 October 2019

The research provides an analysis of students’ mathematical, reading and scientific literacy. PISA data are the basis of the study. Correlations and regression models are used in the research. The paper presents models for each type of literacy for all students, separating female and male students. It shows that gender-based educational models are quite common for mathematical, reading, and scientific literacy. There are typical models for female and male students that diverge from each other. For female and male students, the same factors produce quite different effects. For male students, family socioeconomic status is very important; they especially need mothers’ time and care. Female students depend on family socioeconomic status and mothers’ support less; they need their fathers’ example of proper socioeconomic behavior. Female students need their mother's attention, time, care, and support, most of all for improving their scientific literacy. Moreover, school factors are not very important for students’ mathematical, reading and scientific literacy improvement, especially, in comparison with family ones. The basic level of mathematical knowledge in the model is not lower for female students than for male ones. It is even a bit higher. Thus, the basic level of mathematical literacy is not determined by sex. Whereas the reading literacy basic level of male students’ knowledge is significantly lower than female ones.

Keywords:

Mathematic literacy; Gender models; Reading literacy; Scientific literacy; Parents’ influence; School factors; PISA; Socioeconomic status.

1. INTRODUCTION The current number of people under 30 years old is the largest in world history. Due to world * Kruchinin Sergei Vasilievich. Tel: +7-922-06-04-382. E-mail: Kruchinin.s.v@bk.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.11 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19C http://TUENGR.COM/V10A/10A19C.pdf DOI: 10.14456/ITJEMAST.2019.261

population growth, there are plenty of young people in each country, especially in developing ones. Education is one of the most important issues affeсting youth and adolescents. It allows them to be a part of society and become successful in their future life. There is no real future without a high-quality education. Thus, this article concentrates on educational issues, especially at higher levels of education. The Programme for International Student Assessment (PISA) results in mathematics, reading, and science is at the focus. Selection data allows the comparison of different regions and countries due to a standardized methodology. Moreover, the time period of the research helps to exclude some temporary influences and tendencies and focus on long term effects. At the beginning of the XXI century, directions of thinking about student literacy changed. Family values began to dominate human thought all over the world, which was reflected in scientific research from that time. The first group of studies discussed family and cultural practices that influenced students’ values. However, other research also mentions family values. The second group focused on sociological specifics and factors of youth literacy. The third group specified different types of literacy and tested factors for those systems. This research study is meant to be the largest.

2. LITERATURE REVIEW Many studies analyzed social factors that influenced students’ literacy. They took into account rather standard factors, such as family income, mothers’ employment, the effect of different school programs, etc. However, the main focus of the studies concerned government programs in related fields, rather than directly in education. Esping-Andersen analyzed PISA data for seven countries, including the United States, United Kingdom, Germany, Spain, Denmark, Norway, and Sweden (2007). She found that mothers’ education was more significant for children's academic achievements than that of the father. However, socioeconomic status affected children's literacy level less than parents’ education. Cultural capital was one of the most important factors that influenced children's education. Additionally, mothers’ occupation—in the case of part-time job — usually did not negatively affect children's literacy (and even full-time jobs did not have a negative impact, in any of the countries listed). Esping-Andersen showed that mothers’ employment is generally positive for children's life chances, as it reduces the risk of poverty. If external child care was of high quality, maternal employment had no negative effects on child outcomes (Esping-Andersen 2007). Esping-Andersen also showed that children of poor families had worse academic achievements and the key differences between two children were formed during the first 6 years of their life (2008). The most interesting result covered mothers’ employment. Children's education and literacy were significantly better if mothers had stable jobs. However, many mothers were ﬁrst-job seekers and often had no opportunity to get a stable job due to the labor market (Nickell 1997; OECD 1999; Esping-Andersen and Regini 2000). Mothers’ job security was one of the predictors for positive parenting. Thus, previous Scandinavian research showed that mothers’, including those with higher education, were willing to trade off higher lifetime earnings in favor of a more secure job (Jensen 2002). In many countries, the number of such jobs was lower than the number of mothers’ who wanted to work. Therefore, Esping-Andersen proposed to address this issue through government policy. She also showed that such workplaces were the most important for mothers with children aged 0-6 years old. The other analysis based on PISA data predicted the chances of children for future

Sergei Vasilievich Kruchinin, Tatiana Iosifovna Borko, Igor Borisovich Muraviev

mathematics-related occupations (Schulz, 2005). That study showed that place of birth, academic program and relative grades were less important for getting mathematics-related occupations than mathematical literacy, self-efficacy, and interest in math. Thus, literacy itself was a very important result variable. One more study discussed the issue of necessity to change models for the prediction of future academic results (Zanten, 2005). The article proposed that factors previously discussed in scientific literature had other effects due to many education policies directed at parents, teachers, and schools. At last, one more research must be mentioned. Okpala analyzed effects of public schoolsâ&#x20AC;&#x2122; expenditures in sub-Saharan Africa (2006). This is quite similar to other articles; however, instead of controlling the type of literacy, some region factors have been taken into account. Other studies analyzed additional family and personal factors. Thus, Choi, Lee, Yoo, and Ko showed that academic achievement was positively related to life satisfaction (2019). Life satisfaction could also mediate academic stress. The other option to reduce academic stress was fairness from parents and teachers, which increased the subjective well-being of students. All the factors in this research had not been connected with socioeconomic status but were important for studentsâ&#x20AC;&#x2122; academic achievements. In this field, one more analytical article combined previous research and postulated that gaps between students in each country were rather significant (Waldfogel 2012). The task of the educational system, according to the author, was to close such gaps. Undoubtedly, it is an important task; however, educational systems have to provide opportunities for development to all students, including those with the highest performance. Therefore, it must close gaps for students with a low level of ability and provide opportunities for highly skilled students to excel. Educational programs and principles were combined and discussed in several books about adolescent literacy. The main idea of these books was to discuss different pros and cons of diverse educational programs and research propositions. The books paid attention to a new reality in which educational programs were developed, especially in regard to the Internet, mobile technologies, and social networks (Sturtevant et al. 2016; Davidson and Koppenhaver 2017). Quite close to these books was an article that specified how the development of social media literacy would lead to prevention intervention of smoking and other bad habits in close civilizations (Salgado et al., 2011). Overall, there several approaches to studying literacy. The vast majority of research analyzed one or more types of literacy. None of them investigated and compared factors' influence on all four of them. Much recently published research used data from the 1990s, which is, of course, not current. There was a lack of research that used long-term macro data for many countries and regions as a single data set. Usually, studies focus on microdata and analysis at the family level. Previously formulated results were not proved by statistical data during the last decade, especially in the case of family income influence. Currently, these socioeconomic variables must be changed for other ones to improve the model's statistical significance. One more argument to such a change is that parental education and family income are inter-correlating variables. The vast majority of studies took gender as a single variable, without considering different econometric and regression models for girls and boys. Just one study (Rouland et al., 2013) assumed divergent models and found significant differences. Thus, further studies that provide different sex models are necessary.

* Kruchinin Sergei Vasilievich. Tel: +7-922-06-04-382. E-mail: Kruchinin.s.v@bk.ru ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.11 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19C http://TUENGR.COM/V10A/10A19C.pdf DOI: 10.14456/ITJEMAST.2019.261

2.1 HYPOTHESIS The current study is important for both theory and practice. It will develop educational theory in the context of comparing different types of literacy. As a result, the study will help to understand whether different types of literacy are similar or different from each other. What are their similarities and differences? The research analyzes three types of models for all students, female and male. It provides an opportunity to compare. Are there any similarities between the models for one type of literacy, or for each type of student? Theoretical parts of the research also extend knowledge about the parent's role in students' literacy development. In contrast with previous research, this study provides models for family and school with explanatory variables. As a result, it is possible to examine the parental role in studentsâ&#x20AC;&#x2122; literacy, including sex specifics, as well as how the role of each parent (how family and school factor in studentsâ&#x20AC;&#x2122; literacy). High coverage of the research helps to find similarities for all students, female and male. Moreover, it helps to compare different types of literacy. Thus, this research is extremely important for science due to its scope in the various types of literacy and its simultaneous presentation of different models for both sexes. The hypotheses of the research are: 1) Mathematical, reading and scientific literacy are more similar according to explanatory factors. 2) The models for each sex are more similar to each other than the models for each type of literacy. In other words, female and male students have their own models of literacy improvement that are quite stable between different types of literacy. However, gender diversities remain stable. 3) Family explanatory factors are much more important for each type of literacy than school factors. They explain the larger share of dependency variable variance.

3. METHOD Research methods include several statistical instruments, based on research issues. At the first stage, the absence of statistical differences between parts of the samples has been proven. The research uses four data samples: one for each year. PISA collects data every three years. It is reasonable to suggest that statistical differences are possible between different parts of the sample due to difference in time. Thus, it is important to prove that statistical data can be combined into one sample. To prove this fact, several non-parametric tests for K independent samples are used to find significant differences between the groups. The Kruskalâ&#x20AC;&#x201C; Wallis H test, Jonckheere-Terpstra test, and the median test are applied to define differences between parts of the sample. These tests are applied to all independent variables; however, none of them indicated any significant differences. The second stage includes regression. Regression research is based on the ordinary least squares method and t-statistics. The third stage is the stage of instrumental variables. The socioeconomic index is definitely correlated with the socioeconomic status of an individual.

3.1 DATA The research is based on the Programme for International Student Assessment (PISA) data. PISA observes 15-year-old students at four keys: mathematics (math), literature (reading), science, and collaborative problem. PISA is a triennial international survey with standardized questions, including localization. In each field, the main aim of the survey is to assess literacy levels. The first tests started in the year 2000. However, data suitable for analysis appeared in 2006. Thus, present research includes data since that time. Math, reading, and science data of proper quality are available for the years 2006, 2009, 2012, and 2015.

Sergei Vasilievich Kruchinin, Tatiana Iosifovna Borko, Igor Borisovich Muraviev

4. RESULT AND DISCUSSION 4.1 MATHEMATICAL LITERACY There are five significant models for general mathematical literacy. Here, they are presented in Table 1. All regression coefficients in the models are significant with t-statistic above 2 In absolute value. Two models for general mathematical literacy have explanatory variables among parental ISEI (International Socio-Economic Index of Occupational Status, this index converts information about parents’ education and occupation into income) and three models among school factors. The most significant, according to R-square 0.323, is the model describing the relationship between general mathematical literacy and the highest and mothers’ ISEI. Both variables are included in one model. Each additional percent of the highest ISEI increases mathematical literacy among all students by 10.7 scores and each mothers’ ISEI additional percent reduces it by 8.5 scores. Thus, the best opportunity, according to this model, is a family in which the father has a high ISEI and the mother is not working. Alternatively, if the mother ’s ISEI is the higher one, it should be as high as possible due to the simultaneous reduction and increase of mathematical literacy during the rise of the mother's ISEI. If mothers’ ISEI is higher, each additional percentage point will increase mathematical literacy among students by 2.2 scores. The second model with independent variables (mothers’ and fathers’ separate ISEIs) has an R-square of just 0.175 and is not interesting for future research due to its low explanatory power. Three models describe mathematical literacy among students of both sexes as contingent on school factors. Each of these models has an R-square between 0.081 and 0.110, which is very low. None of the models include more than one explanatory variable. Generally, class size and private schools have a negative influence, while government school funding has a positive effect on mathematical literacy. The most significant effect on mathematical literacy is provided by governmental funding of schools. Each additional percentage of governmental funding for schools adds a score of 1.2 to mathematical literacy. The class size provides a higher absolute effect, but dramatically less explanatory power. Nevertheless, any of the school-related variables have three times less effect than parental factors. Thus, for mathematical literacy among all students, the highest ISEI and mothers’ ISEI is the most significant explanatory variables (Table 1). Regression models for male students are quite similar to general models of mathematical literacy and present the same factor-based relationships. However, they are different for female students. The models for female students differ in key explanatory variables. The models include all three family factors: the highest ISEI, and the ISEI for both fathers and mothers. In each model, the highest ISEI has the least effect on female students’ mathematical literacy. Mothers’ ISEI influences negatively and fathers’ influences positively. Meanwhile, fathers’ ISEI influence is higher than that of the mother. In other words, the best family circumstances for female students’ mathematical literacy development are a highly- educated, employed father and a nonworking mother. If the mother’s ISEI is higher than the father’s, it may negatively influence female students’ mathematical literacy. The worst circumstances are nonworking or absent fathers and highly- educated working mothers. The main difference between models for all students (or for male students) and models for female students is the father's role. For female students, fathers’ ISEI, which implies education, employment, and * Kruchinin Sergei Vasilievich. Tel: +7-922-06-04-382. E-mail: Kruchinin.s.v@bk.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.11 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19C http://TUENGR.COM/V10A/10A19C.pdf DOI: 10.14456/ITJEMAST.2019.261

income, is directly relevant. Thus, fathers’ education and behavior are more important in a positive context for female students than for males, or for average students of both sexes. Table 1. Regression models for students’ mathematical literacy Variables General

Female

Male

Constant Highest occupational status of parents Mother occupational status Father occupational status Size of class Funding government Funding student fees R-square Constant Highest occupational status of parents Mother occupational status Father occupational status Size of class Funding government Funding student fees R-square Constant Highest occupational status of parents Mother occupational status Father occupational status Size of class Funding government Funding student fees R-square

Model 1 371.8

Model 2 348.6

Model 3 -

10.7

-8.5

Model 4

Model 5 539.9

Model 6 372.9

Model 7 482.2

0.323 330.6

-3.7 6.8 0.175 269

339.9

-2.5 0.081 538.7

1.2 0.110 372.1

-1.1 0.084 479.1

2.5

1.9

-4.5 5.2 0.222 335.1

-4.7 5.9 0.8 0.287 356.6

-4.8 6.1 -0.9 0.294 -

-2.6 0.089 539.7

1.1 0.103 377.2

-1.1 0.089 486.6

-8.9 0.340

-4 7 0.180

-2.4 0.070

1.1

-1.1 0.088

0.101

Additionally, school factors explain one-third of family factors, which are similar to models for male students. Together, all factors explain 0.294 of mathematical literacy variance among female students, which is less than in other models for this type of literacy. Class size and funding by students’ fees negatively influence female students’ mathematical literacy, and government funding has a positive impact. The main difference in the models for female students is that they combine family and school factors into one model. As a result, one of the school factors is included in the best explanatory model. This factor is the funding of student fees. It provides less influence in comparison with family factors but has a rather important effect. Government funding has less explanatory power in comparison with funding by student fees. Thus, female students’ mathematical literacy is lower if they pay for their schooling. Due to the analysis of many different countries, it is possible to suppose that the issue is not in the fee, but in the necessity to pay. Usually, students who have to pay for school have a lower academic level. Thus, these students pay for education due to their low mathematics knowledge. However, there is one more possible explanation. Government schools in all countries are more strictly controlled than private ones. In other words, there are some education standards for government-funded schools. In private schools, there is less government control. As a result, mathematical literacy is lower in private schools. According to an additional explanation of mathematical literacy, there is a variation among female students with government funding at 0.065 and with student fee funding at 0.072. The explanatory difference between these two variables is very low. According to this data, it is possible to assume that government education standards are more

Sergei Vasilievich Kruchinin, Tatiana Iosifovna Borko, Igor Borisovich Muraviev

significant than low academic levels of private school students. This assumption is based on the fact that the explanatory power difference between these two variables is very close, but government funding is a bit less. In other words, the common explanatory power of the variables is 0.065, and it is explained by educational standards. However, the small part (0.007) is explained by students’ academic level. Nevertheless, funding education by student fee leads to a lower level of mathematical literacy among female students. Female students have lower explanatory power in all their models, which means that general factors influence them less. They are influenced by other variables not included in this research. Probably, these variables are connected with social and gender stereotypes, which were discussed in the introduction. Each of the explanatory variables has a low level of correlation with mathematical literacy for all students, females, and males (Table 2). As a result, each of the independent variables can socioeconomic as an instrumental variable. Table 2. Correlations for students’ mathematical literacy Mathematical literacy General Female Male

Highest occupational status of parents 0.34 0.35 0.31

Mother occupational status 0.15 0.18 0.12

Father occupational status 0.29 0.31 0.26

Size of class

Funding government

Funding student fees

-0.28 -0.3 -0.27

0.33 0.33 0.32

-0.29 -0.3 -0.3

As previously discussed, the best models include instrumental variables. These models are highlighted in bold in Table 1. What does it mean that the explanatory variables are also instrumental? This means that they are not just related, correlated, or connected with mathematical literacy, but they exactly determine it. These factors explain mathematical literacy variance with direct and indirect connections. The research assumes that this fact is determined by ISEI formalization. This variable is an indirect reflection of education levels, employment, and income levels. Such measurement excludes correlation and frames the variables as instrumental ones.

4.2 READING LITERACY Results for reading literacy are quite similar to mathematical data. Thus, the best model for all students’ reading literacy depends on two explanatory variables: the highest ISEI and the mothers’. Overall, the explanatory power of the model is 0.318. Each percent of the highest ISEI adds 9.6 scores to the reading literacy of all students and each percentage of mothers’ ISEI reduces the result variable by 7.7 scores. These figures are less than those of mathematical literacy. Basic levels of reading literacy are also less than the mathematical by 26.7 scores. Thus, reading literacy levels are less than mathematical, with all other elements being equal. Reading literacy development claims even more than the highest ISEI (in comparison with mathematical literacy). All other statements for mathematical literacy in student development are also true for reading literacy. For male students, the best model is similar in kind to the model for all students. The only difference is that the lower basic level of reading literacy for male students has a slightly (0.3) lower influence on the basis of percentage for the highest ISEI. In other words, mothers’ high ISEI provides even worse comparative effects for male students and the highest ISEI plays a smaller role. As a result, male students’ reading literacy is lower than that of the average student. To improve it, these students must live in families with a high father's ISEI and a nonworking mother. Moreover, explanatory power by all of the factors * Kruchinin Sergei Vasilievich. Tel: +7-922-06-04-382. E-mail: Kruchinin.s.v@bk.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.11 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19C http://TUENGR.COM/V10A/10A19C.pdf DOI: 10.14456/ITJEMAST.2019.261

is significantly less for male students in comparison with general models. This fact can be interpreted as a low dependence on male students’ literacy by family ISEI and school factors. Previous studies have shown that male reading literacy can be explained by gender stereotypes, which appears to be justified by current results, especially in the context of a lower basic level of reading literacy.

4.3 SCIENTIFIC LITERACY Scientific literacy models are quite interesting due to their structural diversity from models of mathematical and reading literacy. The best model for students of both sexes includes three variables: the highest ISEI, the mother's ISEI, and the funding of school education by student fees. This model has sufficiently high explanatory power according to R-square 0.362. The level of basic scientific literacy is a bit higher than the average basic literacy of any type. Scientific literacy in general positively depends on the highest ISIE and negatively depends on the mothers’. The influence of these variables is quite similar to that of the model for reading literacy. Thus, results, in this case, are similar. However, scientific literacy depends on what percent of a school's funding is covered by student fees. The higher the percent, the lower the scientific literacy. Each percent reduces scientific literacy by a score of 0.5 (that is, almost two times less) than for the mathematical and reading literacy of female students. In other words, scientific literacy is the only type of literacy influenced by all students by funding school education with student fees. All other types of literacy generally do not depend on it. The best model for male students is similar to the best model for all students. The only difference is slightly higher values of all variables, including basic scientific literacy level and excluding student fees. This model diverts from the other models for male students in one school variable. Thus, for scientific literacy, school factors are more significant. One more issue about all models of scientific literacy is that the basic levels among them have low variance. Thus, there are no significant differences between sexes in basic scientific literacy. In other words, scientific literacy is the only type of literacy in which the basic level is not determined by sex differences. The best model for female students’ scientific literacy is more similar to previously discussed models for female literacy in mathematics and reading than to models for male students or general models. Thus, the best model includes the basic level, the highest ISEI, the ISEIs of mothers and fathers, and the amount of funding from student fees. The key difference of models for mathematics and reading literacy is a significantly lower influence of the father's ISEI. Each additional percent of a father's ISEI adds just 1.2 scores to a female student's scientific literacy. That is less than what is added by the highest ISEI or a diminished mother's ISEI. Thus, if the highest ISEI is the mother's, the overall effect will definitely be negative. The explanatory power of the scientific literacy model for female students is the least among all the models of scientific literacy. The effect of funding education by student fees is similar to the models for female students’ mathematical and reading literacy. In other words, the negative effect of private education is quite similar for female students for all types of literacy. The best models were previously discussed, including instrumental variables. Besides not having the best explanatory power, these instrumental variables predict scientific literacy in a rather accurate way. The models with instrumental variables for all male and female students include the highest ISEI (positive effect), mothers’ ISEI (negative effect), and the funding of education by student fees (negative effect). Thus, a highly educated working mother with high socio-economic status has a

Sergei Vasilievich Kruchinin, Tatiana Iosifovna Borko, Igor Borisovich Muraviev

positive effect on a student's education only in the case that her ISEI is the highest ISEI in the family. In other cases, the common family effect is still positive, but a mother ’s influence is negative. Why is it so? Previous studies have shown that a mother's employment is an important factor in the development of children and toddlers. Thus, if a mother is employed, a child's characteristics of development are lower than for children with an unemployed mother (Cogill et al. 1986). The reason for this difference is a mother ’s time spent with her child. In other words, work is not an issue as is, but the necessity to choose between working and family time is. Family time includes reading and playing with children, as well as a mother's homework activities (Zick, Bryant and Österbacka 2001). A mother's behavior influences her child directly during communication and common activities, and indirectly during homework activities. The key issue is that a father cannot substitute for a mother during home activities. This will have other effects on a child's growth and development (Beeghly, Bretherton and Mervis 1986). The difference is in the psycho-emotional sphere. Thus, if the mother is substituted by the father during the first two years of a child's life, his/ her psycho-emotional development will be more depressive (Crain 2015). The reason lies in the connection between mothers and their toddlers. A child's connection with their father is not as close. Some scientists suppose that this is determined by biology of the birth process. Nevertheless, a mother’s role cannot be substituted by a father’s. However, few countries, including OECD countries, provide special policies for employed mothers (Gornick, Meyers and Ross 1997). These programs are usually directed at mothers with children from the ages of 0-3 years old. Whereas, other mothers have a lack of such programs available. Returning to the results of the scientific literacy research: for all male and female students, the highest ISEI raises literacy more than a mother ’s ISEI reduces it. Thus, children need positive employed and working behavior in their families. It is the most important factor. This behavior shows them how their current education will influence their future life. It also creates the values of knowledge and education. Simultaneously, children need a mother's time and attention. Therefore, mothers’ ISEI provides a negative effect. The bigger share of her time a mother spends at work, the smaller the share of time she spends at home with her family. Usually, higher ISEI claims more time and effort. In other words, children need their mother ’s time, attention, and support to improve scientific literacy. Female students need it, too. Whereas, their dependence on the highest family ISEI is significantly lower. A female student ’s scientific literacy has a slight dependence on the highest family ISEI, and her family's socio-economic family status does not motivate her very much. A mother ’s employment also affects female students negatively, but this effect is less than for male students. In other words, girls need less of their mother ’s time, attention, and support, than boys during their scientific literacy improvement. Undoubtedly, all children need it, therefore there is a minus before a mother's ISEI. Moreover, female students need a father's positive socio-economic behavior, including education, occupation status, and employment. There is not a very high coefficient before this variable, but the significance according to t-statistics is high. In other words, it is important for female students. In general, all students ' scientific literacy does not depend on a father ’s ISEI directly. Thus, for female students, a father's positive socio-economic and employment behavior are important. Male students are not as susceptible to it. The scientific literacy of students of both sexes is negatively influenced by share of private funding schools. However, female students are more susceptible to it. * Kruchinin Sergei Vasilievich. Tel: +7-922-06-04-382. E-mail: Kruchinin.s.v@bk.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.11 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19C http://TUENGR.COM/V10A/10A19C.pdf DOI: 10.14456/ITJEMAST.2019.261

Mathematical, reading and scientific literacy are characterized by the models of two types. The first type is appropriate for all male students, whereas the second type is more appropriate for female students. For different types of literacy, explanatory variables can be similar to, or diversified from, each other. Thus, mathematical literacy for all male students depends on the highest ISEI and mother's ISEI. Whereas, for female students, it depends on the highest ISEI, mother's ISEI, father's ISEI, and share of the schools' funding by student fees. For male students, a mother's ISEI provides a bit more of a negative effect than that for all students. The highest ISEI provides a bit more of a positive effect. For female students, the highest ISEI provides a rather moderate effect, and a mother’s ISEI holds almost two times less weight than for male students. The most important factor for a female student's mathematical literacy is a father's ISEI. It influences them positively. The explanatory variable, equal for female students and for all types of knowledge literacy, is the share of school's funding by student fees. The influence of this factor is equal for all the models of knowledge literacy accurate to the meaning. The model for female students has the lowest explanatory power among mathematical literacy models. However, the basic level of knowledge is not lower than in the model for male students. Thus, the basic level of mathematical literacy is not determined by sex. Reading literacy for male students depends on the highest ISEI and mother's ISEI. The negative effect of a mother's ISEI is less than the positive effect of the highest one. In other words, a high family socioeconomic status is more important for reading literacy improvement than a mother’s time and attention. In other words, if the mother is the only employed person in the family, or her ISEI is higher than the father's, she should work. It will affect a child's literacy more positively than spending her time at home. For female students, reading literacy depends on the highest ISEI, mother's ISEI, father's ISEI, and share of school's funding by student fees. For female students, each additional point of the highest ISEI adds less than it would for male students. A similar effect is observed for a mother's ISEI. The father’s ISEI is the most significant factor for a female student’s reading literacy. It is higher than the negative effect of a mother’s ISEI. In other words, a father’s socioeconomic status is the most important factor in the reading literacy development of female students. A father’s behavior influences a female student more than a mother's. Thus, female students need a positive example of their father’s socio-economic behavior, which stimulates them to study harder. Simultaneously, they need less of a mother’s control and support. Moreover, their literacy slightly depends on family socioeconomic status. Thus, a father’s behavior is more important than overall family income or welfare. The model for male students has the least explanatory power among all models for reading literacy in students. Moreover, reading literacy is the only type of literacy among the knowledge types with significant diversity in the basic level between both sexes. Boys have a significantly lower basic level of reading literacy than girls. The models for the scientific literacy of all male and female students have a negative correlation with the share of the school's funding by student fees. Thus, scientific literacy is the only type of literacy for which all models depend on this variable, not only the model for female students. In other words, a low share of private school is more important for scientific literacy than for other types of literacy. Moreover, scientific literacy is the only type of literacy with quite a similar basic level for all models. The dependence of scientific literacy on other variables is quite typical for knowledge literacy models. The most significant difference is the influence of a quite low father’s ISEI on a female student’s literacy. Thus, female students need a mother's attention, time, care, and support

Sergei Vasilievich Kruchinin, Tatiana Iosifovna Borko, Igor Borisovich Muraviev

most of all for improving their scientific literacy. Thus, the models for different types of knowledge literacy have a quite similar structure. The models for mathematical and reading skills are diverse only in the meaning of their coefficients. The structure of the models for mathematical, reading and scientific literacy is similar in family factors. The only significant difference for family factors is that a father’s ISEI for the scientific literacy of female students is virtually less important than for mathematical or reading literacy. Moreover, the models for knowledge types of literacy are similar to each other, taking into account gender diversities. The typical model for male students includes the highest ISEI (positive influence) and mother’s ISEI (negative influence). The highest ISEI provides a bigger effect than a mother’s. Thus, male students need their mother’s time, care, and support to develop in school subjects. This is reflected in their mathematical, reading, and scientific literacy. The most important factor of high academic results in these fields is family socioeconomic status. The highest ISEI determines this. It does not matter if the mother or father provides this status. For scientific literacy determination, the share of the school's funding by student fees is also important. The more this share becomes, the lower scientific literacy scores become. As it was previously mentioned, this dependence is explained by lower educational standards in private schools. The absence of such standards leads to lower academic levels in some students. In other words, there is not enough internal regulation in private schools. Moreover, as S. Levitt has shown in his book, higher salaries attract a higher number of dishonest teachers, which leads to lower academic results from their students. (Levitt and Dubner 2014) For scientific literacy, a high share of private schools is more important than for reading or mathematical literacy. Mathematical and reading literacy are more explicit than scientific literacy. Thus, scientific school subjects are quite variable; they assume many different things, theories, and experiments. As a result, private schools have the opportunity to vary their teaching methods of these subjects, more so than literature or mathematics, due to more variability and necessity for experiments in scientific school subjects. The typical model for all students is similar to the model for male students. The only difference is that the coefficients before family variables are slightly less in the common model. This is explained by the role of female students that decreases coefficients in the common model in comparison with model for male students. The typical model for female students differs. It includes the highest ISEI, mother's ISEI, father's ISEI, and share of school's funding by student fees. For mathematical and reading literacy, the highest ISEI provides quite a slight effect, whereas the mother’s ISEI has a moderate effect, and the father’s ISEI has the most important. In other words, female students are less dependent on family socioeconomic status and moderately depend on a mother's time, care, and support. These are still important factors, but less so than for male students. On the other hand, they significantly depend on a father’s socio-economic behavior. Female students need a father’s positive example for forming the internal motivation for education. They need family socio-economic status significantly less than a father’s positive example. The only exclusion is the model for scientific literacy where a father’s ISEI is not as important. Perhaps, the reason is in the clearer connection of a father’s employment, educational and socioeconomic status with mathematical and reading literacy. However, a mother's role for all types of knowledge literacy is equal. Female students need a mother's time, care, and * Kruchinin Sergei Vasilievich. Tel: +7-922-06-04-382. E-mail: Kruchinin.s.v@bk.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.11 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19C http://TUENGR.COM/V10A/10A19C.pdf DOI: 10.14456/ITJEMAST.2019.261

support, but their necessity is lower than that of male students. Funding education by student fees has a bigger influence on female students. Thus, their academic achievements are poor if there is plenty of private schooling. Why is it so? It is probable that female students prefer communication as a form of obtaining knowledge more than male students (Rodgers and Thorson 2003). In private schools, the educational community differs from public schools. Moreover, in private schools, education is less popular as a topic of communication than in government schools, which contributes to lower academic results for female students. Thus, the best models for females, including instrumental variables, are quite different from the models for all students or male students. Many hypotheses can be discussed here. However, the most reasonable among these could be the hypothesis that a male studentâ&#x20AC;&#x2122;s social group is more homogeneous, while a female student's social group includes several internal clusters. For instance, one cluster of female students may prefer a social model directed at careers, whereas another may be directed at future family development. Thus, female students are quite diverse from one another, and their social groups require future additional analysis. During the combination of the likely homogeneous male studentsâ&#x20AC;&#x2122; group and heterogeneous female studentsâ&#x20AC;&#x2122; group, the common result is closer to the male group due to its internal statistical characteristics.

5. CONCLUSION In models for all students, female and male students, scientific literacy negatively correlates with the share of schools funding by student fees. Thus, scientific literacy is the only type of literacy for which all models depend on this variable, not only the model for female students. In other words, a low share of private schools is important for scientific literacy more so than for other types of literacy. Mathematical and reading literacy for all students and male students depends on the highest ISEI and the mother's ISEI. Whereas, for female students, it depends on the highest ISEI, mother's ISEI, father's ISEI, and the share of schools funding by student fees. For male students, a mother's ISEI provides a bit more of a negative effect than for all students, combined. As far as the highest ISEI, it provides a slightly more positive effect. For female students, the highest ISEI provides a rather moderate effect, and the mother's ISEI is almost two times less weight than for male students. The most important factor for a female student's mathematical literacy is the father's ISEI, which has a positive influence. The explanatory variable which is equal for all female students for all types of literacy is the share of schools funding by student fees. The influence of this factor is equal for all the models of literacy accurate to the meaning. The model for female students has the lowest explanatory power among mathematical literacy models. However, the basic level of knowledge is not lower than in the model for male students. Thus, the basic level of mathematical literacy is not determined by sex. However, boys have a significantly lower basic level of reading literacy than girls.

6. AVAILABILITY OF DATA AND MATERIAL The research is based on the opened PISA data. All generated data is included in this article.

7. REFERENCES Beeghly, M., Bretherton, I., & Mervis, C. B. (1986). Mothers' internal state language to toddlers. British Journal of Developmental Psychology, 4(3), 247-261.

Sergei Vasilievich Kruchinin, Tatiana Iosifovna Borko, Igor Borisovich Muraviev

Choi, C., Lee, J., Yoo, M. S., Ko, E. (2019). South Korean children's academic achievement and subjective well-being: The mediation of academic stress and the moderation of perceived fairness of parents and teachers. Children and Youth Services Review, 100, 22-30. Cogill, S. R., et al. (1986). Impact of maternal postnatal depression on cognitive development of young children. Br Med J (Clin Res Ed), 292(6529), 1165-1167. Crain, W. (2015). Theories of Development: Concepts and Applications: Concepts and Applications. Psychology Press. Davidson, J., Koppenhaver, D. (2017). Adolescent literacy: What works and why. Abingdon: Routledge. Esping-Andersen, G. (2007). Sociological explanations of changing income distributions. American Behavioral Scientist, 50(5), 639–657. Esping-Andersen, G. (2008). Childhood investments and skill formation. International Tax and Public Finance, 15(1), 19-44. Esping-Andersen, G., Regini, M. (2000). Why deregulate labour markets? Oxford: Oxford University Press. Gornick, J. C., Meyers, M. K., Ross, K. E. (1997). Supporting the employment of mothers: Policy variation across fourteen welfare states. Journal of European social policy, 7(1), 45-70. Jensen,P.(2002).Thepostponementofchildbirth:doesitleadtoadeclineincompletedfertilityoristhere a catch-up effect? Unpublished paper, Department of Economics, Aarhus University (November). Kizzie Rouland, K., Johnson Rowley, S., Kurtz-Costes, B. (2013). Self-views of African-American youth are related to the gender stereotypes and ability attributions of their parents. Self and Identity, 12(4), 382-399. Levitt, S. D., Dubner, S. J. (2014). Freakonomics. B DE BOOKS. Nickell, S. (1997). Unemployment and labour market rigidities: Europe versus America. Journal of Economic Perspectives, 11(3), 55–74. OECD. (1999). Employment outlook. Paris: OECD Okpala, A., Okpala, C. (2006). The effects of public school expenditure and parental education on youth literacy in sub-Saharan Africa. Journal of Global South Studies, 23(2), 203. Rodgers, S., Thorson, E. (2003). A socialization perspective on male and female reporting. Journal of Communication, 53(4), 658-675. Salgado, M. V., et al. (2011). Association of media literacy with cigarette smoking among youth in Jujuy, Argentina. Nicotine & Tobacco Research, 14(5), 516-521. Schulz, W. H. (2005). Mathematics Self-Efficacy and Student Expectations: Results from PISA 2003. Online Submission. Sturtevant, E. G., et al. (2016). Principled practices for adolescent literacy: A framework for instruction and policy. New York: Routledge. Van Zanten, A. (2005). New modes of reproducing social inequality in education: the changing role of parents, teachers, schools and educational policies. European Educational Research Journal, 4(3), 155-169. * Kruchinin Sergei Vasilievich. Tel: +7-922-06-04-382. E-mail: Kruchinin.s.v@bk.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.11 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19C http://TUENGR.COM/V10A/10A19C.pdf DOI: 10.14456/ITJEMAST.2019.261

Waldfogel, J. (2012). The role of out-of-school factors in the literacy problem. The Future of Children, 22(2), 39-54. Zick, C. D., Bryant, W. K., Österbacka, E. (2001). Mothers' employment, parental involvement, and the implications for intermediate child outcomes. Social science research, 30(1), 25-49.

Dr. Sergei Vasilievich Kruchinin is a faculty at the Department of Applied Mathematics and Natural Sciences, Noyabrsk Institute of Oil and Gas (branch), TIU in Noyabrsk, Russia. He holds a PhD in Philosophy. His researches are dedicated to Modern Education in different forms, and Factors affected on it. Professor Dr. Tatiana Iosifovna Borko is Professor of Philosophy at Department of Russian and Foreign Literature, Tyumen State University, Russia. Her scientific interests are interconnected with teaching, students’ Academic Achievements and Development of Education. Dr. Igor Borisovich Muraviev is a faculty at Department of Philosophy, Tyumen State University, Russia. He holds a PhD in Philosophy. His academic preferences covers different issues, interconnected with Philosophy and Educational Proces. He is interested in Factors that Effects on Students’ Development.

Trademarks Disclaimer: All products names including trademarks™ or registered® trademarks mentioned in this article are the property of their respective owners, using for identification and educational purposes only. Use of them does not imply any endorsement or affiliation.

Sergei Vasilievich Kruchinin, Tatiana Iosifovna Borko, Igor Borisovich Muraviev

International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies http://TuEngr.com

PAPER ID: 10A19D

WHAT WILL HAPPEN AFTER THE ADAPTIVE REUSING THE BUILDING? AN ASSESSMENT OF INDOOR VISUAL COMFORT OF HERITAGE OFFICE BUILDINGS Rani Prihatmanti a

and Azizi Bahauddin

School of Housing, Building & Planning, Universiti Sains Malaysia, MALAYSIA

ARTICLEINFO

A B S T RA C T

Article history: Received 24 May 2019 Received in revised form 18 September 2019 Accepted 26 September 2019 Available online 25 October 2019

This paper studies the visual comfort of five heritage office buildings that have been adaptively reused. These buildings are located within the UNESCO World Heritage Site in George Town, Penang. The changes applied to the interior space have created a problematic condition for the occupants' visual comfort. A set of questionnaires focusing on visual comfort and lighting quality was distributed to the respondents of the studied buildings, followed by the building observation and indoor light level measurements. The findings revealed that the indoor light level is below the standard for the working spaces. This resulted in the visual discomfort for the workers, such as glare. The view of nature also very limited due to the permanently blocked doors and windows from the existing buildings. This study shows that inappropriate adaptive reuse practice is significantly affecting the occupants’ visual comfort satisfaction of the studied buildings, therefore it decreases the working performance as well as their productivity.

Keywords:

Adaptive reuse; Visual comfort; Indoor lighting; Visual discomfort; Room light level; UNESCO World Heritage Site; Occupants’ satisfaction.

1. INTRODUCTION The impact of the indoor environment towards the occupants’ satisfaction has been studied since the past decade and it has been proven that the indoor environment is significantly affecting the occupants’ productivity and efficiency of their activities (Kamaruzzaman et al. 2018; Kim et al. 2013; Bluyssen et al. 2011). Human beings are the main concerns of sustainable development, where they are entitled to a healthy and productive life to live in harmony with nature. Roulet (2006) stated that besides its aesthetic value, a building should be healthy, functional, low energy, environmentally friendly, and universally designed. Therefore, a building should provide a good indoor environment for its occupants. A good indoor environment is one of the objectives of sustainable architecture. This is because the occupants' satisfaction is considered as the most-readily assessed indicator for *Corresponding author (R. Prihatmanti). Email: raniprani417@gmail.com ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19D http://TUENGR.COM/V10A/10A19D.pdf DOI: 10.14456/ITJEMAST.2019.262

sustainable factors in the built environment. The crucial factor of sustainability in the built environment focuses on the occupantsâ&#x20AC;&#x2122; satisfaction which addresses the ability of the indoor environment to support healthy, comfortable, and productive occupants. Moreover, occupantsâ&#x20AC;&#x2122; health and well-being are considered as the ultimate goal of Indoor Environmental Quality (IEQ), which consists of four major parameters: thermal quality, lighting quality, noise quality, and Indoor Air Quality (IAQ). These elements are compulsory to be considered in any green building assessment criteria. According to Bluyssen et al. (2011), exposure to the IEQ stressors could cause both short and long term effects on the building occupants. This is also agreed by Kamaruzzaman et al. (2011) that green and high-performance building is better in terms of providing a healthier indoor environment for the occupants. In this research, the office was chosen as the case study due to the importance of social, technological, and financial progress. An office is also considered as the most visible index for economic activities. Bluyssen et al. (2011) highlighted the associations between occupants' health and productivity with the indoor stressors inside an office environment. The employees are required to be healthy and comfortable in order to fulfill the productivity level as well as economic demand. This condition needs to be taken into consideration since Malaysian office workers spent most of the time working indoors. In a working environment, the amount of light is a crucial matter. Light is not merely for illuminating the interior, but it is also significantly affecting the health and well-being of the workers themselves. A study conducted by Bommel & Beld (2003), an adequate amount of light leads to better work performance, better safety, fewer work errors, and absenteeism level is lower. In fact, not all workplaces provide adequate lighting. This condition is commonly happened in building with a high ceiling as in the heritage buildings. In the past, buildings were built to be adaptable with the local climate by having large openings and high ceilings as a mean of natural ventilation method as well as for harvesting the daylight. However, the Earth is currently facing the global warming phenomena, particularly in the urban where the Urban Heat Island (UHI) occurs. This condition creates a warmer temperature in the urban and air conditioning systems were installed in order to achieve a thermally comfortable working space. Unfortunately, this has resulted in a significant reduction in terms of the amount of light that enters the building due to the blocked windows and openings. The visual connection with the outdoor also disconnected. This condition commonly occurred in buildings that have been undergone major changes in terms of its function or known as an adaptively reused building. Despite the changes in the building, occupants' visual comfort should not be neglected. Hence, this research studies the impact of the adaptively reused buildings towards the indoor lighting quality as assessed by the occupants' satisfaction level.

2. LITERATURE REVIEW 2.1 ADAPTIVE REUSING HERITAGE BUILDING As mentioned previously, this research focuses on the adaptively reused buildings which are located in George Town, Penang-Malaysia. Being listed as the UNESCO World Heritage Site in 2008, some of the buildings were adaptively reused in order to maintain its occupancy which could

Rani Prihatmanti and Azizi Bahauddin

prevent the building from being abandoned and dilapidated. According to the Burra Charter (Australian ICOMOS Inc., 1999), adaptive reuse could be defined as a modification of a place to suit the existing purpose and compatible in uses, which involves no change to the culturally significant fabric. The changes must be significantly reversible or change with a minimal impact on the building itself. Moreover, adaptive reusing heritage buildings is beneficial in terms of increasing the quality of life and the property value of the building. This is also agreed by Henehan & Woodson (2004) that adaptive reusing heritage buildings could be a source of historic, cultural, and visual fabric, besides keeping the entire area occupied and vital. Despite the positive impacts of adaptive reuse, there are also adverse impacts that occurred in the building. Based on the previous study by Prihatmanti & Bahauddin (2014), the alterations conducted on the building potentially could affect the quality of the indoor environment. The air quality inside the workplaces was unacceptable according to the standard. Low ventilation rate inside the studied buildings causing stagnant air. It was also discovered that damp stain and mould were present in studied buildings as a result of high humidity and moisture level. A high level of dust was also discovered due to the maintenance irregularities.

2.2 OCCUPANTSâ&#x20AC;&#x2122; VISUAL COMFORT Another study conducted by Susan & Prihatmanti (2017) in adaptively reused school buildings resulted that the amount of daylight also falls below the benchmark. In a working environment, Veitch et al., (2011) also agreed that lighting appraisals could influence work engagement through aesthetic judgments and mood. By providing a satisfactory working environment will contribute to employee working behaviors which are important to support client decision making. Providing light level according to the standard (300-500 lux) may increase the overall productivity by 8 percent (Bommel & Beld, 2003). Besides the sufficient amount of light, visual comfort could be achieved by the presence of nature, such as trees, indoor plants, and other forms of vegetation. A view of greeneries and the direct effect of sunlight could buffer the negative impact of job stress on intention to quit and to recover from mental fatigue. Nature also brings positive impacts to human's cognitive level, and psychology and physiology well-being (Lohr et al., 1996; Larsen et al., 1998; Leather et al., 1998; Shibata & Suzuki, 2001, 2002, 2004; Bringslimark et al., 2007). Another study by Adachi, Rohde, & Kendle (2000) and Chang & Chen (2005), nature is able to reduce the stress level, discomfort symptoms, as well as for mood and emotions improver. Although the building has been adaptively reused, the visual relationship between humans and nature must be maintained. (Bringslimark et al., 2009) agreed that by viewing natural elements, it will bring psychological benefits to the viewer. Thus, the presence of nature in the indoor environment needs to be re-established

3. RESEARCH DESIGN AND METHODOLOGY 3.1 BUILDING SELECTION CRITERIA This research measured the quality of the indoor environment in an adaptively reused building within the UNESCO World Heritage Site in George Town, Penang. There are many potential buildings to be investigated, however, only five were selected in this study which all of them were *Corresponding author (R. Prihatmanti). Email: raniprani417@gmail.com ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19D http://TUENGR.COM/V10A/10A19D.pdf DOI: 10.14456/ITJEMAST.2019.262

constructed between the year 1900-1920. In order to maintain the anonymity, the studied buildings were labelled as Building A, B, C, D, and E. The building selection criteria are (1) must be located within the UNESCO World Heritage Site (Core or Buffer Zone), (2) gazetted under the Category 1 or 2 heritage building according to the Malaysia National Heritage Act, (3) has been adaptive reused into a new function, (4) the office layout must be an open plan office type, (5) fully air-conditioned, (6) the building occupants (respondents) are the full-time employees.

(a) Building A

(b) Building B

(d) Building D

(e) Building E Figure 1: The Sampling Grid (building plan not to scale).

3.2 VISUAL COMFORT PARAMETER The indoor light level is measured to provide the actual environmental condition of the studied buildings. This variable was also included in the Malaysia Green Building Index (GBI) for Non-Residential Existing Building (NREB): Historic Building Tool to capture the factors that influence occupantsâ&#x20AC;&#x2122; satisfaction based on the compliance as a part of the IEQ standards. The GBI-NREB: Historic Building tool is used to ensure the adaptively reused buildings will remain relevant in the future. The benchmarks used in this research is from the Malaysia Green Building Index (Malaysia Green Building Confederation, 2018), and Guidelines in the Office by the Department of Occupational Safety and Health (1996). The light level was measured at one time by using a hand-held direct reading light meter (Meterman LM631) focusing only on the open-plan

Rani Prihatmanti and Azizi Bahauddin

office. To capture the whole condition, the measurement was taken in every 1.2 m2 grid of the studied space and in desk height. The sampling points are illustrated in red dots (Figure 1 a-e). The Mean light level was obtained by adding the number from each grid.

(a) Building A

(b) Building B

(d) Building D

(e) Building E Figure 2: The layout of the Studied Buildings (not to scale)

3.3 OCCUPANTS' PERCEPTION OF THE LIGHTING QUALITY To capture the occupantsâ&#x20AC;&#x2122; perception towards the IEQ condition, self-administered questionnaires were distributed by hand to the respondents of the studied buildings. The results obtained from the questionnaire survey could identify the specific items that require adjustment and improvement to provide a better indoor environmental quality for the occupants (Kamaruzzaman et al., 2011). In this research, the questions were adopted and adjusted from the Occupant Indoor Environmental survey of Centre for the Built Environment (CBE), UC Berkeley focusing on the assessment of the visual comfort based on the indoor light level as well as the overall occupants' satisfaction by using 5-point Likert Scale from Strongly disagree (-2), Disagree (-1), Neutral (0), Agree (+1), and Strongly agree (+2). To avoid any misinterpretations, the questions were translated into the Malaysian language and reliability test of the translated questionnaire was conducted with a *Corresponding author (R. Prihatmanti). Email: raniprani417@gmail.com ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19D http://TUENGR.COM/V10A/10A19D.pdf DOI: 10.14456/ITJEMAST.2019.262

score of 0.8.

4. RESULT 4.1 VISUAL OBSERVATION AND DOCUMENTATION According to D. Kincaid (2002), there are four characteristics of physical changes in building adaptation: low, low-medium, medium-high, and high change. In this research, Buildings A and C are considered as the low-change. The external buildings were maintained according to the original design but minor modification on the interior. Building B, D, and E is categorised as the medium-high change. The external building fabrics were maintained, but the building structure was modified and reorganised the interior space. The medium-high change category is similar to the criteria for the Category 2 heritage building according to the Malaysia National Heritage Act (Act 645).

Figure 3: The Condition of the Working Spaces in the Studied Buildings.

Figure 4: Limited Indoor Vegetation in Building A. Building documentation and walk-through inspection were also conducted to capture the overall building condition as well as to identify the presence of indoor vegetation and view of nature. From the observation, it shows that all buildings were converted into office spaces and the layouts are in open-plan type. Since these buildings have been adaptively reused, the majority of the windows and doors were permanently closed due to the installation of air conditioning devices. The dotted lines in Figure 2 (a) to (e) represent the closed doors and windows due to the installation of the air conditioning system. Unfortunately, as illustrated in Figure 3 there was limited access to view nature

Rani Prihatmanti and Azizi Bahauddin

in all studied buildings. Three potted indoor plants only founded in Building A (Figure 4).

4.2 RESPONDENT’S DEMOGRAPHIC PROFILE Due to the limitation of the number of occupants who are working in the selected buildings, only 110 respondents have participated in this survey. However, only 101 results are valid. All of the respondents are full-time employees that work form 9 a.m. until 5 p.m. Based on the result tabulated in Table 3.1, it shows that the female respondents (52.5%) are slightly higher compared to the male respondents (47.5%), and more than half (55.4%) of the respondents are considered as the productive age, between 26 and 39 years old (55.4%). Most of the respondents (41.6%) are working for more than 5 years and 71.3% of them have been working between 7-12 months in their current workplace. Table 1: Respondent’s Demographic Profile Profile

Sub-profile Male Female <25 years 26-39 years 40-55 years >55 years <1 year 1-2 years 3-5 years >5 years <3 months 4-6 months 7-12 months >1 year

Gender

Age group

Working duration at present workspace

Total (n (%)) 48 (47.5%) 53 (52.5%) 15 (14.9%) 56 (55.4 %) 26 (25.7 %) 4 (4.0 %) 23 (22.8 %) 16 (15.8 %) 20 (19.8 %) 42 (41.6 %) 8 (7.9 %) 11 (10 %) 72 (71.3 %) 9.9 (10.9 %)

4.3 VISUAL SATISFACTION LEVEL In this modern world, office work involves a variety of visual tasks at once, paper-based and computer-based tasks. To enhance their productivity level, the general illumination should meet the amount of light required for occupants in their workplace. Inappropriate adaptive reuse practice in the studied buildings have proven that the light levels are below the standard (200-400 lux) for office work (Table 2). This is mainly caused by covering the windows and openings due to the installations of the air conditioner after being adaptive reused. Moreover, the ceiling height in Building A, B, and D are 6 meters high, and Building C and E are 4.5 meters. Due to the ceiling height problems, the lighting armatures in all buildings were suspended up to 3 meters from the floor finish level in order to provide adequate illumination levels to the working plane. However, this condition does not improve the indoor light level. Table 2: Visual Comfort Level A

Benchmark DOSH Malaysia (1996), GBI NREB (2018)

180

114

154

158

121.5

200-400

Mean (per building) Parameter Light level (lux)

According to the occupants’ satisfaction survey result in Table 3, Building A has the lowest mean number for satisfaction in the indoor amount of light (M=2.82, SD=1.02) and also the satisfaction in the visual comfort (M=2.79, SD=0.99). This is supported by the survey result that the lighting quality in Building A does not significantly enhance their working performance (M=2.93, SD=0.90). Although glare was discovered during the observation, this condition does not lead the occupants of *Corresponding author (R. Prihatmanti). Email: raniprani417@gmail.com ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19D http://TUENGR.COM/V10A/10A19D.pdf DOI: 10.14456/ITJEMAST.2019.262

Building E to decrease their work performance (M=3.54, SD=0.66). In overall, the variable â&#x20AC;&#x2DC;Perception towards the excessive light levelâ&#x20AC;&#x2122; has the lowest Mean number for all buildings (Building A (M=2.54, SD=1.07), Building B (M=2.64, SD=1.02), Building C (M=2.44, SD=1.01), Building D (M=3.00, SD=0.84), and Building E (M=2.31, SD=0.63). This indicates that the occupants perceived fewer light levels in their working space. Compare to the rest, based on the survey, the employees of Building A were mostly dissatisfied with the lighting quality in their current workspace. Table 3: Visual Comfort Satisfaction Level Variables per Building Building A Building B Satisfied with Building C the amount of Building D light Building E Total Building A Building B Satisfied with Building C the visual Building D comfort Building E Total Building A Building B Perception Building C towards the excessive light Building D level Building E Total Lighting quality Building A enhances work Building B Building C Building D Building E Total

N 28 36 9 15 13 101 28 36 9 15 13 101 28 36 9 15 13 101 28 36 9 15 13 101

Mean 2.82 3.44 2.89 3.00 3.69 3.19 2.79 3.14 3.00 3.00 3.54 3.06 2.54 2.64 2.44 3.00 2.31 2.60 2.93 3.36 3.00 3.27 3.54 3.22

SD 1.02 1.03 1.05 .97 .63 1.01 .99 .90 1.22 .76 .88 .95 1.07 1.02 1.01 .84 .63 .97 .90 .93 1.22 .70 .66 .90

5. DISCUSSIONS Good lighting can be defined as having the right amount in the right place. This means that it is essential to have good lighting so that work can be clearly seen and it is comfortable to the eyes. In all circumstances, lighting should be adequate to prevent poor visibility and discomfort. The factors that contribute to the quality of good lighting and the occupants' satisfaction on the studied buildings are the ceiling height, the amount of the artificial lightings installed, the number and position of the openings, the availability of internal window shade to control the glare, and the selection of interior fabrics. To increase the illuminance level, treatment in the ceiling, wall, and floor is suggested. Material with a certain reflectance number could increase the illuminance level without causing glare to the occupants (Susan & Prihatmanti, 2017). There are also recommendations by Choi, Aziz, & Loftness, (2010) in order to maintain the working space physically comfortable, such as separating the task and ambient lighting at each workstation. Indoor vegetation could be another consideration to improve the quality of the indoor environment since plants are known to be beneficial physically and physiologically (Tudiwer &

Rani Prihatmanti and Azizi Bahauddin

Korjenic, 2017). Many types of indoor plants could absorb certain pollutants and purify the air, such as Sansevieria trifasciata var. laurentii/Mother-in-law’s tongue, Epipremnum aureum/money plant, Nephrolepis exaltata/Boston Fern., Spathiphyllum, Dracaena, Pandanus amaryllifolius/Fragrant pandan, and many others. Panyametheekul et al., (2018) also stated that live foliage and houseplants with wrinkled and hairy leaves are capable to be an indoor sink for particulate matter. If space is limited, vertical planting, such as a living wall, is possible to conduct. Besides providing visual contact of the natural element on the interior, the living wall also helps to improve the microclimate of the indoor environment and reduce energy consumption. However, there are important factors need to be considered before applying greeneries. Those are the location, availability of air and light for photosynthesis process, appropriate temperature, plant species, and the regularity of the maintenance (Almusaed, 2011; Charoenkit & Yiemwattana, 2016; Prihatmanti & Taib, 2017).

6. CONCLUSION This study has contributed important findings regarding the condition of the heritage buildings after being adaptively reused into a new function. According to the findings, it shows that the indoor light level is below the standard for an office, which has to fall between 200 to 400 lux. A critical concern must be taken into account in terms of heritage building conservation, by focusing on the indoor environment, including the occupants’ satisfaction. Despite its limitations on the conservation guidelines, the quality of the indoor environment should not be neglected and must comply with the standard given, such as the GBI-NREB and from the DOSH Malaysia or any other international standards. In the future, this research could provide new insight for the designers regarding the perceptions of occupants in relation to building performance based on indoor lighting and visual comfort, particularly on adaptively reused heritage buildings. To improve the visual satisfaction of the occupants, indoor vegetation can be applied in order to enhance the physical and psychological quality of the indoor environment.

7. AVAILABILITY OF DATA AND MATERIAL Data can be made available by contacting the corresponding authors

8. ACKNOWLEDGEMENT The authors gratefully acknowledge the financial support from the Universiti Sains Malaysia under the Fellowship scheme of Institute Postgraduate Studies and Research University Grant no. 1001/PPBGN/639050.

9. REFERENCES Adachi, M., Rohde, C. L. E., & Kendle, A. D. (2000). Effects of floral and foliage displays on human emotions. HortTechnology, 10(1), 59–63. Almusaed, A. (2011). Biophilic and Bioclimatic Architecture: Analytical Theraphy for the Next Generation of Passive Sustainable Architecture. Denmark: Springer. Australian ICOMOS Inc. (1999). The Burra Charter: The Australia ICOMOS Charter for Places of Cultural Significance. Victoria: Australia ICOMOC Inc. https://doi.org/363,690994 ICO Bluyssen, P. M., Janssen, S., van den Brink, L. H., & de Kluizenaar, Y. (2011). Assessment of wellbeing in an indoor office environment. Building and Environment, 46(12), 2632–2640. https://doi.org/10.1016/j.buildenv.2011.06.026 *Corresponding author (R. Prihatmanti). Email: raniprani417@gmail.com ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19D http://TUENGR.COM/V10A/10A19D.pdf DOI: 10.14456/ITJEMAST.2019.262

Bommel, W. W. J. M. van, & Beld, G. J. van den. (2003). Lighting for work: visual and biological effects. The Netherlands: Philips Lighting. Bringslimark, T., Hartig, T., & Patil, G. G. (2007). Psychological benefits of indoor plants in workplaces: Putting experimental results into context. HortScience, 42(3), 581–587. https://doi.org/<p></p> Bringslimark, T., Hartig, T., & Patil, G. G. (2009). The psychological benefits of indoor plants : A critical review of the experimental literature. Journal of Environmental Psychology, 29(4), 422–433. https://doi.org/10.1016/j.jenvp.2009.05.001 Chang, C., & Chen, P. (2005). Human Response to Window Views and Indoor Plants in the Workplace, 40(5), 1354–1359. Charoenkit, S., & Yiemwattana, S. (2016). Living walls and their contribution to improved thermal comfort and carbon emission reduction: A review. Building and Environment, 105, 82–94. https://doi.org/10.1016/j.buildenv.2016.05.031 Choi, J., Aziz, A., & Loftness, V. (2010). Investigation on the impacts of different genders and ages on satisfaction with thermal environments in office buildings. Building and Environment, 45(6), 1529– 1535. https://doi.org/10.1016/j.buildenv.2010.01.004 D. Kincaid. (2002). Adapting buildings for changing uses. Guidelines for change of use refurbishment. London: Spon Press. Henehan, D., & Woodson, R. D. (2004). Building change-of-use: renovating, adapting, and altering commercial, institutional, and industrial properties. New York: McGraw-Hill. Kamaruzzaman, S. N., Egbu, C. O., Mahyuddin, N., Ahmad Zawawi, E. M., Chua, S. J. L., & Azmi, N. F. (2018). The impact of IEQ on occupants’ satisfaction in Malaysian buildings. Indoor and Built Environment, 27(5), 715–725. https://doi.org/10.1177/1420326X16689493 Kamaruzzaman, S. N., Egbu, C. O., Zawawi, E. M. A., Ali, A. S., & Che-Ani, A. I. (2011). The effect of indoor environmental quality on occupants’ perception of performance: A case study of refurbished historic buildings in Malaysia. Energy and Buildings, 43(2–3), 407–413. https://doi.org/10.1016/j.enbuild.2010.10.003 Kim, J., Dear, R. De, Cândido, C., Zhang, H., & Arens, E. (2013). Gender differences in of fi ce occupant perception of indoor environmental quality ( IEQ ), 70. Larsen, L., Adams, J., Deal, B., Kweon, B. S., & Tyler, E. (1998). Plants in the workplace the effects of plant density on productivity, attitudes, and perceptions. Environment and Behavior, 30(3), 261–281. https://doi.org/10.1177/001391659803000301 Leather, P., Pyrgas, M., Beale, D., & Lawrence, C. (1998). Windows in the Workplace: Sunlight, View, and Occupational Stress. Environment and Behavior, 30(6), 739–762. https://doi.org/10.1177/001391659803000601 Lohr, V. I., Pearsons-Mims, C. H., & Goodwin, G. K. (1996). Interior Plants May Improve Worker Productivity and Reduce Stress in a Windowless Environment. Journal of Environmental Horticulture, 14(2), 97–100. Malaysia Green Building Confederation. (2018). Non-Residential Existing Building (NREB): Historic Building Tool. Kuala Lumpur. Retrieved from http://new.greenbuildingindex.org/Files/Resources/GBI Tools/GBI NREB Historic Building Tool Final.pdf Panyametheekul, S., Rattanapun, T., & Ongwandee, M. (2018). Ability of artificial and live houseplants to capture indoor particulate matter. Indoor and Built Environment, 27(1), 121–128. https://doi.org/10.1177/1420326X16671016 Prihatmanti, R., & Bahauddin, A. (2014). Indoor Air Quality in Adaptively Reused Heritage Buildings at a UNESCO World Heritage Site , Penang , Malaysia, 19(1), 69–91.

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Prihatmanti, R., & Taib, N. (2017). Improving Thermal Comfort through Vertical Greeneries in Transitional Spaces for the Tropical Climate : A Review. GSTF Journal of Engineering Technology (JET), 4(3), 116–123. Roulet, C. (2006). Architectural education for sustainable design A proposal for improving indoor environment quality. In The 23rd Conference on Passive and Low Energy Architecture, Geneva, Switzerland, 6-8 September 2006 (pp. 6–8). Shibata, S., & Suzuki, N. (2001). Effects of Indoor Foliage Plants on Subjects’ Recovery from Mental Fatigue. North American Journal of Psychology, 3(3), 385–396. Shibata, S., & Suzuki, N. (2002). Effects of the foliage plant on task performance and mood. Journal of Environmental Psychology, 22(3), 265–272. https://doi.org/10.1006/JEVP.2002.0232 Shibata, S., & Suzuki, N. (2004). Effects of an indoor plant on creative task performance and mood. Scandinavian Journal of Psychology, 45, 373–381. Susan, M. Y., & Prihatmanti, R. (2017). Daylight characterisation of classrooms in heritage school buildings. Planning Malaysia, 15(1). Tudiwer, D., & Korjenic, A. (2017). The effect of an indoor living wall system on humidity, mould spores and CO2-concentration. Energy and Buildings, 146, 73–86. https://doi.org/10.1016/j.enbuild.2017.04.048 Veitch, J. A., Stokkermans, M. G. M., & Newsham, G. R. (2011). Linking Lighting Appraisals to Work Behaviors. Environment and Behavior, 45(2), 198–214. https://doi.org/10.1177/0013916511420560

Rani Prihatmanti is a Senior Lecturer at the Interior Architecture Department, Ciputra University, Surabaya, Indonesia. Her research focuses on the Indoor Environmental Quality (IEQ) and the impact to the building occupants. Currently she is pursuing her PhD in Architecture Programme at the School of Housing, Building and Planning, Universiti Sains Malaysia (USM), Penang, Malaysia, majoring on skyrise greenery and thermal comfort in semi-outdoor space. Professor Dr. Azizi Bahauddin is Professor in Interior Design at the School of Housing, Building and Planning, Universiti Sains Malaysia (USM), Penang, Malaysia. His research area focuses on the qualitative method on design and culture, particularly on phenomenology and ethnography.

*Corresponding author (R. Prihatmanti). Email: raniprani417@gmail.com ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19D http://TUENGR.COM/V10A/10A19D.pdf DOI: 10.14456/ITJEMAST.2019.262

International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies http://TuEngr.com

PAPER ID: 10A19E

CONTEXTUAL APPROPRIATENESS: REFLECTIONS ON LEARNING CULTURE, POLICY AND PHYSICAL ENVIRONMENT OF PRESCHOOLS IN MALAYSIA Pearly Lim Pei Li a

, and Azizi BAHAUDDIN

School of Housing, Building and Planning, Universiti Sains Malaysia, MALAYSIA.

ARTICLEINFO

A B S T RA C T

Article history: Received 06 April 2019 Received in revised form 19 June 2019 Accepted 28 June 2019 Available online 10 July 2019

With a physical environment capable of inhibiting or enhancing participation in learning, one way to improve preschool quality is through its physical environment. However, as a universal standard may lead to ill-informed policy decision and allocation of funds (UNESCO,2006), to ensure physical environment recommendations are Keywords: contextually appropriate, understanding the influences of pedagogy in Physical environment; the National Preschool Curriculum Standard (NPCS), requirements for Contextual appropriate; the preschool establishment and existing learning culture are Preschool education; imperative. This paper investigates contextual appropriateness of Child development; preschools in Malaysia reflecting on learning culture, relevant policies Preschool quality; and physical environment. The case study approach using qualitative Learning culture; analysis was employed to uncover learning cultures of four for‐profit Child-centered preschools. Insights on pedagogy and guidelines for establishing pedagogy. preschools were obtained through secondary data analysis. Findings indicated that learning culture in preschools differed from child-centred approaches espoused in NPCS while preschool establishment guidelines do not provide adequate strategies for developing physical environment reflective of pedagogies advocated in NPCS. Disciplinary: Multidisciplinary (Architectural Sciences, Education Sciences). © 2019 INT TRANS J ENG MANAG SCI TECH.

1. INTRODUCTION The rapid expansion of preschool education in Malaysia has been observed (MOE, 2013). However, in the for‐profit sector, increment in the number of programmes may not be reflected in quality (UNESCO, 2010). With physical environment capable of inhibiting or enhancing participation in learning, one way to improve preschool quality is through its physical environment. Besides, Rook et al. (2015) argue that design of learning spaces has an effect on the learning process making it crucial to design learning spaces with the learning process in mind. Nevertheless, a universal standard may lead to ill-informed policy decisions and the allocation of funds (UNESCO, *Corresponding author (Pearly Lim). Tel: +60-134189282. Email: pearlylim_88@yahoo.com ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.11 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19E http://TUENGR.COM/V10A/10A19E.pdf DOI: 10.14456/ITJEMAST.2019.263

2006). Thus, despite global recognition that child-centred learning with an emphasis on play is invaluable, to ensure recommendations of physical environment are contextually appropriate in Malaysia, understanding the influences of pedagogy in the National Preschool Curriculum Standard (NPCS), preschool establishment and existing learning culture are imperative.

2. PROBLEM STATEMENT According to Li (2005), cultural value systems influence learning beliefs. Thus, to define quality and cultural relevance of learning outcomes, Profeta (2012) asserts that there is a need to address cultural variability as well as to remain sensitive to existing learning standards. Besides, matching the preschool design to user requirements derived from pedagogy, philosophy and policies should be considered (Rahim, 2001). This means that looking into existing policies and statutory requirements relevant to physical environment would also have to be considered in discussions of quality improvement. Hence, when these issues are taken into consideration together with assertions by Nicholson (2005) that the physical environment is capable of perpetuating ideas of the way children learn and how they are taught, contextual appropriateness becomes a vital consideration to understand the present preschool scenario in Malaysia. This paper sets out to investigate the contextual appropriateness of preschools in Malaysia reflecting on learning culture, relevant policies and the physical environment of existing private preschool establishments.

3. WHY CONTEXTUAL APPROPRIATENESS MATTER Perceptions of the function of childcare and early learning differ in various societies (Friendly and Beach, 2005). For example, when it comes to cultural values, Kim and Omizo (2005) maintain that most cultural anthropologists agree that Asian values are premised on collectivism, conformity to norms, emotional self-control, and deference to authority. Conversely, Western child development models are steeped in an individualistic view of self-development and thus encourages a separate, independent self (Woodhead, 1998). Nevertheless, there may be shared common ideas with regards to early learning albeit countries differ in their histories and circumstances (Friendly and Beach, 2005). Hence, depending on the context of other influences in childrenâ&#x20AC;&#x2122;s lives, past, present, and future, Woodhead, (1998) asserts that a prerequisite of quality assessment is the mediation of child development values between traditional and modern, indigenous and imported as well as national and local. Following this line of thought, contextual appropriateness holds significance in discussions of preschools with the need to look into pedagogy and curriculum, simultaneously with relevant guidelines or policies guiding the establishment of preschools. These aspects should then be compared to the existing environment of preschools to understand if the learning culture is reflective of the aspects espoused by a different culture.

3.1 GLOBAL VIEW ON PEDAGOGY AND CULTURAL INFLUENCES IN LEARNING In general, pedagogy relates to the method and techniques of teaching and can be viewed from the perspective of either adult-centred pedagogy or child-centred pedagogy. In adult-centred pedagogy, children are provided with information by adults (teachers) who control interaction and provide direction while children would repeat what is expected from them with little thought in an automatic manner when responding as a group (Montie et al., 2006). In contrast, child-centred pedagogy actualise when children are given more time to interact with adults and other children either in small groups or individually which provides them with more opportunity to express their thoughts,

Pearly Lim Pei Li, and Azizi BAHAUDDIN

opinions, and questions (Montie et al., 2006). As there are various approaches to teaching, the key issue is to understand how children learn and how different pedagogy is used to guide young childrenâ&#x20AC;&#x2122;s learning in various contexts. Linking the type of pedagogy with the culture of different countries, Montie et al. (2006) claim that adult-centred teaching is typically upheld in countries with prevailing cultural belief that children should listen, obey and learn from adults. On the other hand, countries employing child-centred teaching prevail in cultures where independent thought and freedom of expression are encouraged to foster language learning. Table 1 summarizes the differences between adult-centred pedagogy and child-centred pedagogy. Table 1: Difference between adult-centred teaching and child-centred teaching.

Social Interaction

Individual/ Group Activities

Cultural belief

Adult-centred Pedagogy Adults are primarily giving children information. Interaction is under the control of the adult and direction is from the adult to the child. Whole group activities and group responses are common generally repeat what is expected of them; responses require little thought and are apt to be automatic. Primary importance for children to listen, learn from, and obey those in authority

Child-centered Pedagogy Children spend more time interacting with adults and other children individually and in small groups. Children have a greater opportunity to express their own thoughts, opinions, and question Encourage independent thought and freedom of expression

When the two pedagogies are viewed together with child development models, it seems clear the adult-centred pedagogy reflects more on Asian values while child-centred pedagogy is more closely linked to Western child development values. Nevertheless, with widespread recognition of the positive impact of child-centred pedagogy, more and more governments globally have opted to include child-centred pedagogy as part of their national preschool curriculum with play adopted as a central theme in the most preschool curriculum. However, incompatibility of pedagogy and learning culture concerns arising from adaptation of Western pedagogy approaches and learning culture practices in Asian contexts have been highlighted by Kwon (2002), Li ( 2005), Rao et al.(2013), and Tan (2017). For example in Hong Kong, Rao et al. (2013) noted that the Guide to the Pre-primary Curriculum which expresses the values and expectations of early child development highlights that children should not be over-burned academically. Although a child-oriented pedagogy is now recommended by the Hong Kong government, findings by Rao et al. (2013) indicate that these recommendations are at odds with the traditional academic-oriented approach typical of the learning culture there. In a separate study, review on Western Influences in Korean Preschool Education by Kwon (2002) reveal that teacher-centred pedagogy still prevails despite Montessori materials were adapted in Korean preschool classrooms. These studies are just two examples demonstrating that although the adaptation of child-centred pedagogy may be advantages and thus many Asian preschool pedagogy may be built upon Western philosophical influences, substantial cultural differences prevail between the learning cultures in various countries.

3.2 MIRRORING PEDAGOGY THROUGH PHYSICAL ENVIRONMENT Not only does the physical environment have the aptitude to define how one teaches with learning spaces revealing learning approaches and people of the times (Oblinger, 2006), (Walden, *Corresponding author (Pearly Lim). Tel: +60-134189282. Email: pearlylim_88@yahoo.com ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.11 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19E http://TUENGR.COM/V10A/10A19E.pdf DOI: 10.14456/ITJEMAST.2019.263

2015) posits that physical environment can significantly influence performance, well-being, and social behavior. Thus it also indirectly influences knowledge and skills that are acquired by pupils (ibid). In fact, Yusoff et al. (2010) found that a spatial definition of classrooms has significant effect on children's behavior. In this sense, two related salient points would have to be considered to truly contribute positively to children's learning if child-centred pedagogy is adopted. Firstly, the physical environment of preschools with child-oriented pedagogy which encourages children to spend more time interacting with adults and other children individually and in small groups would have to be richer with provisions for a variety of materials and stimulating learning and social spaces. These measurements are critical as the physical environment plays a role in providing sensory stimuli (Sousa, 2011), and in order to develop and refine children's sensory perceptions, the physical environment of preschools must be supportive and stimulating (Dudek, 2005). In this sense, physical environment factors catering to child-centred pedagogy would have to reflect the teaching and learning approach espoused through its design and would differ from preschool settings designed for didactic adult-centred teaching. Secondly, as young children learn through interaction with their physical, social, and cultural environments (Australian Early Childhood Association, 1996), how learning culture overrides the espoused pedagogy in different cultures should be looked at together with the pedagogy and physical environment set up of preschools. As there is need to match design of preschools to user requirements derived from pedagogy, philosophy, and policies (Rahim, 2001), contextual appropriateness would call for culture to be considered alongside government recommended pedagogy as this shift may not be at once echoed in practice. With previous studies showing how educational reforms meet failure rather than success due to prevailing learning culture in different countries, this study reiterates the need to included understanding of cultural influences in learning when it comes to discussions of contextual appropriateness which in turn would affect the design of a preschoolâ&#x20AC;&#x2122;s physical environment. It follows that to accommodate the shift from adult-centred pedagogy to child-centred pedagogy, changes to the physical environment as a reflection of the pedagogy implemented would have to take place. As Eberhard (2009) notes, since changes in the environment change the brain, changes in the environment would be able to transform behavior.

3.3 UNDERSTANDING THE MALAYSIAN PRESCHOOL SCENARIO The need for continuous monitoring of emerging of preschools as a means to provide enhanced service quality in Malaysia was highlighted by Mustafa and Azman in 2013. In essence, various acts and policies have been drafted and implemented to uphold the quality of preschools within Malaysia. Since 1996, preschool education was officially regarded as part of the national education system whereby consideration for this matter was made possible through the implementation of Act 550 in the National Education Act 1996 (Education Act 1996, 2006). Then, at the beginning of January 2003, the implementation of the National Preschool Curriculum (NPC), formulated through the Curriculum Development Centre, Ministry of Education was introduced. This implementation required that by law, all preschools, public and private must adhere to this curriculum. Nevertheless, albeit comprehensive policies being developed and implemented to act as guidelines for establishing preschools and for maintaining a certain quality level, studies have shown that there are gaps between the aspired and implemented. In fact, a sizeable portion of private

Pearly Lim Pei Li, and Azizi BAHAUDDIN

preschools was found not adhering fully to the requirements in the NPC which is compulsory for use in both public and private preschools. According to Ng (2010), private schools felt that enrolment would be affected if they adhered to NPC which do not encourage the use of excessive workbooks and homework as parents were perceived to prefer the use of homework and workbooks. Similarly, Chee et al. (2017) found that teacher-centred teaching approaches prevailed in the classroom despite the importance and requirement of teaching and learning approaches consistent with preschool education as specified in the NPCS were acknowledged by teachers. A review conducted by the Curriculum Development Centre (2008) found that learning through play practices rarely happens in preschools despite claim counter claims by teachers. Instead, drills and memorization were used with the aid of activity books, instructional charts, and whiteboards to teach in preschools (Chee et al., 2017). Bakar et al. (2015) brought to attention that besides formal approach in education, unsuitable environments and sources for play hamper teaching practices of the espoused pedagogy. Thus, efforts to improve the quality of preschool education can be achieved only if stakeholders are aware of factors promoting a better environment (Mohidin et al., 2015).

3.4 GUIDING POLICIES AND PHYSICAL ENVIRONMENT RELATED GUIDELINES FOR PRESCHOOL ESTABLISHMENTS IN MALAYSIA 3.4.1 NATIONAL PRESCHOOL CURRICULUM STANDARD CONTENT While pedagogy refers to how to teach, the curriculum denotes the content or subject matter thought. In Malaysia, since 2003, NPC has been made compulsory for all preschool programs including public and private agencies (Federal Ministry of Education, 2015). This curriculum was revised to the National Preschool Curriculum Standard (NPCS) or Kurikulum Standard Prasekolah Kebangsaan in 2010 and is presently used. Various teaching and learning approaches were highlighted in order to achieve the learning and development components specified. These approaches included child-centred learning; learning through play; inquiry-based learning; holistic approach; thematic approach, project-based learning; mastery learning; contextual learning; and learning based on multiple intelligences theory. The NPCS does not provide guidance in terms of physical environment factors which would be appropriate for supporting these approaches. Generally, only three components related to the physical environment were mentioned including safety and health concerns; flexibility of furniture arrangement and accessibility of materials; as well as learning spaces with easily accessible and appropriate equipment. 3.4.2 PLANNING GUIDELINES Planning guidelines for preschools are included in the Education Facilities Subchapter 9.20.2 in chapter nine of the Encyclopaedia of Town and Country Planning. While site area requirements for the other educational facilities such as Primary School, Secondary School, Vocational School, Technical and Higher Education Institutions (HEIs) were included, there was none prescribed for preschools. Only education facility standards for preschools were included as shown in Table 2. Table 2: Education Facility Standards Population Standard 2500

Distance/ Required Maximum Size Travel Time 2 740 m / 0.2 km â&#x20AC;&#x201C; 4.0 km 60 pupils or 4 8000 sq ft (5 minutes) classes Source: Garis Panduan Perancangan (2012:200) Acreage

Car Park (CP) Requirements 1 cp/ 3 staff 1 cp / 10 students

*Corresponding author (Pearly Lim). Tel: +60-134189282. Email: pearlylim_88@yahoo.com ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.11 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19E http://TUENGR.COM/V10A/10A19E.pdf DOI: 10.14456/ITJEMAST.2019.263

3.4.3 GUIDELINES FOR THE ESTABLISHMENT OF PRESCHOOLS In order to facilitate local authorities and technical agencies in planning and reviewing preschool development applications, Guidelines for the Establishment of Kindergarten and Child Care Centre (JPBD, 2012) was developed and must be read in conjunction with Local Plan, Special Region Plan as well as related guidelines related to the Town and Country Planning Department of Peninsular Malaysia. The guidelines also help developers in site preparation and building preschools according to designated premise categories, while simultaneously aiding preschool providers in the process of establishment, registration, and application of business premise license. However, the guideline only specifies allowable premises for establishing preschools, minimum floor area per child and staffâ&#x20AC;?child ratios. It does not mention physical environment characteristics and design elements that are related to the pedagogy espoused by NPCS. Interestingly, deliberation for establishing preschools located within residential lots is open for considerations although it has been specified in the guidelines that preschool establishments are not allowed on residential lots (JPBD, 2012, p. 8). As deliberations are based upon conditions designated by local authorities, the physical environment may further differ in terms of contextual appropriateness depending on the locality and requirements of the local authorities as requirements differ from one local council to the next. With no other guidelines, policies or minimum standards are in place for guiding the development of physical environment to be supportive of the curriculum and pedagogy prescribed in the NPCS, physical environment facilities and qualities differ vastly from one preschool establishment to another.

4. METHODOLOGY This paper sets out to investigate the contextual appropriateness of preschools in Malaysia by reflecting on existing learning culture, relevant policies and physical environment. While secondary data analysis was used to provide insights into pedagogy and guidelines for establishing preschools, to uncover learning cultures and the corresponding physical environment settings of four forâ&#x20AC;?profit preschools, a case study approach using qualitative analysis was employed. Four case studies in Johor Bahru were selected with observations conducted based upon the natural settings of preschools. The study was conducted in two phases, starting with a pilot study to test the logistics and feasibility of the study as well as to determine the efficiency of observation tactic before the main study was conducted.

4.1 SAMPLING METHOD AND CASE STUDY SELECTION CRITERIA Purposive homogeneous sampling was used to select four preschools in Johor Bahru. Criteria for selection included registered private preschool within residential settings adapted from corner lot terrace houses. Private preschools were selected as they represent 40% of preschools in Malaysia as compared to government and government-aided preschools at 24% and other educational agencies at 36% (Department of Statistics Malaysia Official Portal, 2016).

4.2 PROCEDURE 4.2.1 OBSERVATION To uncover existing learning culture and physical environment settings, the continuous recording was used to ensure that natural event streams are recorded (Salkind, 2000) while daily logs and

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vignettes were used for data documentation. 4.2.2 INTERVIEW To gain further insights into the learning culture of preschools, semi-structured interviews were conducted with the principal and teachers of the respective preschool. Data obtained were then transcribed before analysed qualitatively to generate significant themes.

4.3 PILOT STUDY The pilot study was conducted in a private preschool which was converted from a shophouse with no outdoor play area but a central open place indoors for children to play. Based on this pilot study, two main modifications were made to the initial methods. First, time scale observation was changed to continuous observation. Secondly, the interview with the principal highlighted that parents preferred preschools that have outdoor play areas. Thus, the researcher felt that there was a need to readdress the criteria for case study selection to encompass preschools converted from residential terrace houses.

4.4 LIMITATIONS AND DELIMITATIONS Due to a lack of time and logistics, only four preschools from Johor Bahru were selected for this study. The delineation of the contextual appropriate physical environment of preschools in Malaysia forms the delimitation of this article.

5. FINDINGS To uncover existing learning culture and physical environment settings in the respective preschools, each of the case studies was analyzed based upon their respective pedagogical orientation and physical environment merits. Findings are summarized in Table 3.

6. DISCUSSION In general, findings indicated that the existing learning culture in preschools differed from child-centred approaches espoused in the NPCS. Three of the case studies upheld teacher-centred pedagogy whereby activities were subject-based, obedience was expected of children and play was predominantly supervised. Only Case Study #4 adopts a play and literacy-based learning where children were free to voice their opinion in class. However, workbooks were also used as part of classroom activities and play was supervised by teachers. One of the reasons a more play-based approach was not undertaken was because teachers felt that there was insufficient time for play. A teacher mentioned that children had to complete their workbooks based on the syllabus. Concerns on managing children were also voiced with regards to implementing a child-centred pedagogy. While Case Study #4 provided children with opportunities to express their thoughts and allow children to spend some time interacting with teachers and their peers during lessons, the principal of this preschool noted that: “Not all teachers agree with children voicing (their) opinion in classes and allowing time for play. Only those agreeable take up employment here.” She further elaborated on her experience in hiring teachers whereby there were instances in which teachers who were experienced in academic-based preschools did not agree with the preschool's pedagogy and thus revoked their own *Corresponding author (Pearly Lim). Tel: +60-134189282. Email: pearlylim_88@yahoo.com ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.11 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19E http://TUENGR.COM/V10A/10A19E.pdf DOI: 10.14456/ITJEMAST.2019.263

Table 3: Summary of existing learning culture and physical environment settings Case Study Setting Type of Conversion Operating Hrs

Existing Learning Culture / Pedagogical Orientation

Outdoor Environment

Sheltered Outdoor Physical Environment

#1 Non-Gated Residence

#2 Non-Gated Residence

#3 Non-Gated Residence

A combined corner and intermediate single-storey terrace houses.

Corner single-storey terrace house.

8.00 am -6.00 pm Half-day / Full day

Subject-based.

Some aspects of play-based predominantly on structured play.

Some aspects of information and communications technology (ICT)

Some aspects of play-based predominantly on semi-structured play.

Emphasis on children’s obedience.

More informal and laid back time table.

Ground surface covered with cement. No grassed surfaces.

Ground surface covered with cement. The grassed surface at one corner.

Fully tiled ground surface. No grassed surfaces.

Tiled surface with the dedicated grassed surface. Timber decking beside sandpit.

Two plastic playhouses located at one end, a set of interconnecting plastic tunnels at the other end.

Small plastic slide Swing

Cone hurdles

Sandpit with play materials and timber stump. Designed timber balancing beams

The extended area between the corner unit and fence wall fully shaded. (utilised as classroom and dining area) The shaded area on the front façade utilized as morning exercise and performance rehearsal area)

Extended porch at corner unit and semi –extended porch at the intermediate unit ( utilised as parents/ children reception area, transition zone from class to class).

Existing porch. No extension made.

The extended area between corner unit and fence wall fully shaded. (utilised as parents/children reception area, dining area, and play area)

Concrete ground surface.

Tiled Surface

Part safety surface, part concrete

Adult sized table and chairs

Slide with tunnel

Less variety of equipment. Variety of materials for learning through play stored within one classroom but not directly accessible to children. Materials for play determined by teachers. Storybooks on racks

Less variety of equipment and materials observed. Storybooks on racks located outside at common areas directly accessible by children. Teachers bring along ‘busy bag’ with materials for the craft to occupy

A combined corner and intermediate double-storey terraces house. Only the ground floor used for both units. 8.00 am -6.00 pm Full day only

Part tiled surface (classroom/dining) part concrete surface Tricycle and bicycle parking bay

Indoor Physical Environment

A variety of materials including storybooks stored and labelled clearly in racks but children are not allowed to access them. Materials for play determined by teachers. Walls were painted with imaginative characters,

Less variety of materials and equipment for play but a wide range of literary and mathematic related materials glued on walls in all classrooms.

Pearly Lim Pei Li, and Azizi BAHAUDDIN

#4 Gated Residence A combined corner and intermediate double-storey terrace houses. Both levels utilized. 8.00 am -6.00 pm Half-day / Full day Eclectic: play and literacy-based- adopts Cambridge English Young Learners Examination (YLE) Children free to voice an opinion in class and raises hands for turn to speak Adopts American Sign Language (ASL) for kinaesthetic experience

Case Study

maths problems and spellings.

Indoor/ Outdoor Connection

Others

#3 located outside at common areas directly accessible by children.

Classroom not enclosed; defined by furniture. Mat placed on the floor as demarcation of space used both during classes and during play. Classroom directly at entrance utilized as a play area for all children.

1 classroom not enclosed. Other classrooms are enclosed (classrooms within transition space directly at the entrance). No indoor play area observed.

2 classrooms enclosed, one not enclosed. Nursery classrooms utilized as a play area.

No spaces for children to leave an impression and manipulate. No display board for children’s work. No dedicated spaces for privacy and restoration.

No spaces for children to manipulate. But display board available in each classroom displaying children’s works. No dedicated spaces for privacy and restoration.

No spaces for children to leave an impression and manipulate. No display board for children’s work. No dedicated spaces for privacy and restoration.

Classrooms have a good indoor/outdoor connection. But children’s movement between indoors and outdoors is restricted.

Only one classroom observed to have a good indoor/outdoor visual connection. Children’s movement between indoors and outdoors is restricted.

The less appropriate connection between indoor and outdoor. Children’s activities concentrated indoors.

Facilities for children: WC and sinks based on children’s anthropometric.

Facilities in the toilet not modified to fit children’s anthropometric.

#4 children after lessons.

Enclosed and unenclosed classrooms (classrooms within transition spaces) Common area on ground level utilised as an indoor play area (yoga, etc). No spaces for children to leave an impression and manipulate. No display board for children’s work. No dedicated spaces for privacy and restoration. Not all classrooms have a good indoor/outdoor connection. Windows of classrooms on upper floor are closed and shaded. (air-conditioned and uniformly lighted) Children’s movement between indoors and outdoors determined by teachers. Opening between units under staircase based on children’s anthropometric. Sinks at the kitchen based on children’s anthropometric.

employment there. The reason why teachers disagreed with the implementation of a more child-centered pedagogy according to her was that teachers with didactic teaching experiences prefer not to ‘sweat it out’ by engaging with children during play. These teachers were more comfortable with the instructive mode of teaching and preferred having control over the children’s activities. This statement holds true as one of the teachers remarked that: “It is difficult to control children when they are too active especially when they are very excited to try a new lesson or learn new things.” Besides these factors, in relation to the consistent supervision of children concerns regarding safety factors surfaced. A majority of teachers believed that it was their responsibility to ensure the safety of children at all times. Thus, free play rarely happen while materials for the play were deemed necessary to be distributed by teachers. Two notable remarks from teachers included: “Teachers must ensure children’s’ safety, thus supervision of play and materials (are only) handed out during lessons when necessary.” “Stimulating children through challenging facilities is good with extra caution from teaches to ensure the safety of children” Findings also reveal that upon closer inspection, the physical environment is reflective of the respective preschool's pedagogical orientation and learning culture. As compared to Case Study #4, preschools that enforced adult-centered pedagogy had less stimulating and inviting physical *Corresponding author (Pearly Lim). Tel: +60-134189282. Email: pearlylim_88@yahoo.com ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.11 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19E http://TUENGR.COM/V10A/10A19E.pdf DOI: 10.14456/ITJEMAST.2019.263

environment. One of the reasons given was because teachers believed that to adopt a more child-centred pedagogy such as implementing play in learning, no specific space was required. Instead, implementation of play in learning is based on teacher’s aptitude for incorporating play into lessons rather than physical environment factors: “Any place could be a suitable place for "learn through play”, depending on the teacher’s own creativity and imaginative ability.” From this point of view, the physical environment of the preschool was not deemed as important nor was it thought of to enhance teaching and learning. In addition, one of the principal cited financial setbacks as one of the reasons a more stimulating physical environment was not possible. While she believed that play should happen outdoors, financial assistance from the government is required. Two noted comments with regards to financial setbacks are as follows: “Government should provide more free packages for preschool children to get involved in outdoor activities.” “I like Western ideas. But this will require a significant amount of capital. Will have to operate with a little loss of profit. If fees were too expensive, it would be difficult for children to enter the preschool”. As shown in these four case studies, the physical environment of preschools vastly differs. Together with the lack of physical environment guidelines highlighted previously, this shows that present preschool establishment guidelines not only do not provide adequate strategies for developing physical environment reflective of pedagogies advocated in NPCS, but the guidelines also do not provide a minimum standard to ensure that preschools achieve a certain quality.

7. CONCLUSION This paper investigates contextual appropriateness of preschools in Malaysia reflecting on learning the culture, relevant policies and physical environment as understanding the influences of pedagogy in the National Preschool Curriculum Standard (NPCS), requirements for the preschool establishment and existing learning culture are imperative to ensure physical environment recommendations are contextually appropriate. Findings suggest that existing guidelines do not provide adequate strategies for developing physical environment reflective of child-centred pedagogy advocated in NPCS. Instead, the overall physical environment of preschools is reflective of the learning culture of preschools and vastly differs from one another. With regard to learning culture child management, time and financial factors were all part of teachers' concern for implementing child-centred pedagogy. This study thus demonstrates the importance of including learning culture in discussion of contextual appropriateness. It is suggested that future studies relating to the development of the physical environment of preschools consider aspects of learning culture as well as relevant policies and guidelines simultaneously to close the gap between the aspired and implemented. As the physical environment have the capacity to inhibit or enhance participation in learning, findings of this study would benefit service providers, educators, built environment designers as well as policymakers in decision making with regards to children’s physical environment. This study hopes that when the physical environment of preschools are given more attention, enhancement of these settings will not only

Pearly Lim Pei Li, and Azizi BAHAUDDIN

involve ‘cosmetic’ changes through a painting on the walls with colourful characters but rather the transformation of the physical environment as a whole into an inspiring place where young children are spirited to learn and explore.

8. AVAILABILITY OF DATA AND MATERIAL Information can be made available by contacting the corresponding authors.

9. ACKNOWLEDGEMENT The authors would like to thank USM Global Fellowship from Universiti Sains Malaysia for financial supporting this work and the School of Housing, Building and Planning, Universiti Sains Malaysia for the research project.

10. REFERENCES Act 550 Education Act 1996 (2006). Malaysia. Australian Early Childhood Association. (1996). Physical Environments for center-based early childhood services. Watson, ACT. Bakar, N. A., Daud, N., Nordin, N., & Abdullah, A. H. (2015). Developing Integrated Pedagogical Approaches in Play Pedagogy : Malaysian Experiences. Asian Social Science, 11(4), 234–245. Chee, J., Mariani, M. N., Othman, A. J., & Mashitah, N. (2017). Understanding of Content Knowledge , Pedagogical Knowledge Among Preschool Teacher and Application Developmentally Appropriate Practices in Teaching. International Journal of Advanced and Applied Sciences, 4(3), 148–153. Curriculum Development Centre. (2008). Early Childhood Care and Education Policy Implementation Review 2007. Malaysia. Retrieved from http://www.tadika.org/Malaysian_ECCE_Policy_Review_24_Jan_2008.pdf Department of Statistics Malaysia Official Portal. (2016). Children Statistics, Malaysia 2016. Retrieved May 19, 2017, from https://www.dosm.gov.my Dudek, M. (2005). Children’s Spaces. (M. Dudek, Ed.). Great Britain: Architectural Press. Eberhard, J. P. (2009). Brain landscape the coexistence of neuroscience and architecture. New York: Oxford University Press. Federal Ministry of Education. (2015). Education for All 2015 National Review Report: Malaysia. Friendly, M., & Beach, J. (2005). Elements of a high quality early learning and child care system (Vol. January/25). Toronto. Retrieved from http://www.childcarequality. ca/wdocs/QbD_Elements.pdf Jabatan Perancangan Bandar dan Desa Semenanjung Malaysia (JPBD). Garis Panduan Penubuhan Tadika dan Taska (2012). Malaysia: Kementerian Perumahan dan Kerajaan Tempatan. Kim, B. S. K., & Omizo, M. M. (2005). Asian and European American Cultural Values, Collective Self-Esteem, Acculturative Stress, Cognitive Flexibility, and General Self-Efficacy Among Asian American College Students. Ournal of Counseling Psychology, 52(3), 412–419. Kwon, Y.-I. (2002). Western Influences in Korean Preschool Education. International Education Journal, 3(3). Li, J. (2005). Mind or Virtue: Western and Chinese Beliefs About Learning. Current Directions in Psychological Science, 14(4), 190–194. Retrieved from http://www.jstor.org/stable/20183022 Ministry of Education. (2013). Malaysia Education Blueprint 2013 - 2025 (Preschool to Post-Secondary Education). Education (Vol. 27). Putrajaya, Malaysia. Mohidin, H. H. B., Ismail, A. S., & Ramli, H. B. (2015). Effectiveness of Kindergarten Design in Malaysia. Procedia - Social and Behavioral Sciences, 202(December 2014), 47–57. *Corresponding author (Pearly Lim). Tel: +60-134189282. Email: pearlylim_88@yahoo.com ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.11 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19E http://TUENGR.COM/V10A/10A19E.pdf DOI: 10.14456/ITJEMAST.2019.263

Montie, J. E., Xiang, Z., & Schweinhart, L. J. (2006). Preschool experience in 10 countries: Cognitive and language performance at age 7. Early Childhood Research Quarterly, 21(3), 313–331. Mustafa, L. M., & Azman, M. N. A. (2013). Preschool Education in Malaysia : Emerging Trends and Implications for the Future. American Journal of Economics, 3(6), 347–351. Nicholson, E. (2005). The School Building as Third Teacher. In M. Dudek (Ed.), Children’s Spaces (pp. 44– 65). Great Britain: Architectural Press. Ng, S. B. (2010). Governance of Education Related ECCE Policies in Malaysia. International Journal of Child Care and Education Policy, 4(1), 45–57. Oblinger, D. G. (Ed.). (2006). Learning Spaces. Washington D.C.: EDUCAUSE. Retrieved from www.educause.edu/learningspaces Profeta, M. (2012). Promoting Holistic Learning and Development in Early Years : An Analysis of Quality in Early Childhood Care and Education ( ECCE ) from the Asia-Pacific Region. Singapore: Asia-Pacific Regional Network for Early Childhood (ARNEC). Rahim, A. (2001). Design of Buildings for Early Childhood Education. Kuala Lumpur: IIUM Press. Rao, N., Sun, J., Ng, S. S. N., Ma, K., Becher, Y., Lee, D., … Ip, P. (2013). The Hong Kong early child development scale: A validation study. Child Indicators Research, 6(1), 115–135. Salkind, N. J. (2000). Exploring Research (4th Editio). New Jersey: Prentice Hall. Sousa, D. A. (2011). How the Brain Learns (Fourth Edi). Thousand Oaks, CA: Corwin Press. Tan, C. T. (2017). Enhancing the quality of kindergarten education in Singapore: policies and strategies in the 21st century. International Journal of Child Care and Education Policy, 11(1), 7. Walden, R. (2015). Schools for the Future : Design Proposals from Architectural Psychology. (R. Walden, Ed.), Building (2015th ed.). Koblenz, Germany: Springer. Retrieved from http://www.fgould.com/uk/projects/the-cost-of-breeam-compliance-in-schools/ Woodhead, M. (1998). “Quality” in early childhood programmes: A contextually appropriate approach. ’International Journal of Early Years, 6(1), 5–17. Yusoff Abbas, M., Othman, M., & Rahman, P. Z. M. A. (2010). Pre-school Children’s Play Behaviour Influenced by Classroom’s Spatial Definitions. Asian Journal of Environment-Behaviour Studies, 1(1). Pearly Lim Pei Li is a PhD candidate at Universiti Sains Malaysia. She received her undergraduate in Architecture and Master of Philosophy degree specializing in Architecture from Universiti Teknologi Malaysia. Her specific interest is in the relationship between early Childhood Education and the Physical Environment of these establishments. Currently she works on projects addressing the Relationship between Context Appropriateness of Preschool Environment. Professor Dr. Azizi BAHAUDDIN was trained as an architect and interior designer before joining Universiti Sains Malaysia as an Interior Design Lecturer. As an expert specializing in Exhibition Design and Interior Design, Professor Dr. Azizi’s primary area of research has focused on the Relationships between Culture concentrating on Human Senses and Design. Many of his research topics combine Culture and Fine Art with Architectural Spaces.

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PAPER ID: 10A19F

DATA PREPARATION FOR CREATION OF PRODUCTION FUNCTION OF CORPORATION IN THE PEOPLE'S REPUBLIC OF CHINA IN A VOLATILE ECONOMIC ENVIRONMENT Akhmetovа Irina A. a*, Shikhalev Anatoly M. a, Demyanova Olga V. a, Sirazieva Zarina N. a a Institute

of Management, Economics and Finance, Kazan Federal University, Kazan, RUSSIA

ARTICLEINFO

A B S T RA C T

Article history: Received 08 April 2019 Received in revised form 31 May 2019 Accepted 07 June 2019 Available online 25 October 2019

In a volatile economic environment, a special calculation is necessary for developing mathematical models of the examined processes and the phenomena for which there was a typical use of a sample statistical population of small size. In similar circumstances the following tasks are objectively updated: 1) what means (methods) we should use and how it is necessary to operate with limited size of the examined statistical population; 2) in what degree results of the available homogeneous data of the examined sample population (SP) can be extended for their statistical and probabilistic generalization in the form of the parent population (PP). As the main mathematical model, we offer to apply the production functions (PF) model which various elements are investigated previously within the component analysis and the corresponding tests.

Keywords: Component Analysis; Statistical Population; Multiple Regression; Chi-Squared Test; Production Function.

1. INTRODUCTION Nowadays modern development of economy and economic relations are volatile because national economies have tendencies to transfer a part of the capital in so-called multinational corporations. In this regard researchers start to use the term "economic turbulence" [1], in particular for the separate enterprises and corporations. Therefore, the developed models of enterprise management have to consider current trends of economic development in general. China National Petroleum Corporation (CNPC) from 2010 to 2018 is an object of the research.

2. METHODS Tthe production function model connecting production of X (billion CNY) can be the most effective means of development of the chosen enterprise as an endogenous (independent) variable depending on two cause variables – volume of fixed assets (capital) K (billion CNY) and human resources (labor) of enterprise L (thousand people) that in general, it is possible to present as [3] *Corresponding author (Akhmetovа Irina A) Email: iraahmetova@mail.ru ©2019 International Transaction Journal of

Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID: 10A19F http://TUENGR.COM/V10A/10A19FM.pdf DOI: 10.14456/ITJEMAST.2019.264

Х = f (K, L)

(1).

According to [3], function (1) in the required multiplicative version has to be: Х = А ∙ K α1 ∙ Lα2

(2),

where А – index of technical progress; α1 and α2 – coefficient of elasticity. As multiplicative PF of the example (2) is determined by time series of releases and expenses of resources (see Table 1), in relation to it the multiple regression model based on Least Square (LS) method can be used [3]. It is evident that the example (2) in logarithms on any basis (here – on the basis of exponents) will have a linear (additive) structure concerning indeterminate (ln A, α1 and α2) [3, p. 16]: ln X = ln A + α1 ln K + α2 ln L

(3),

which easily is solved by means of standard computer application programs on the input given in Table 1: Table 1: Input for data modeling of CNРC [4]. i

Year

1 1 2 3 4 5 6 7 8

2 2011 2012 2013 2014 2015 2016 2017 2018

Revenue, Х1, billion CNY 3 1714.4 2376.6 2678.6 2259.3 2720.7 1998.0 1855.3 2319.3

Profit, Х2, billion CNY 4 12.4 13.1 13.9 14.1 12.4 56.2 26.8 17.6

Fixed Assets (FA), К, billion CNY 5 555.3 619.7 725.4 766.6 832.8 891.0 876.6 894.4

Labor (L), (approx.) thousand people 6 1290 1350 1380 1300 1300 1590 1400 1360

According to Table 1 for the realization of the Equations (3) and (2), dependent variable X can act as X1 (the 3rd column of Table 1) and X2 (the 4th column). As on schedule (Figure 1) dynamics of X2 is more stable than X1, we will accept X = X2 [5]. 3000 2500 2000 1500 1000 500 0 2011

2012

2013

2014

revenue, billion CNY fixed assets(FA) billion CNY

2015

2016

2017

2018

profit, billion CNY labour, thousand people

Figure 1: Diagrams of input for data modeling of CNРC The number of elements of basic data N at number of parameters v = 3 (X, K and L) is necessary to be: N−v≥2 (4),

Akhmetovа Irina A, Shikhalev Anatoly M, Demyanova Olga V, Sirazieva Zarina N.

and it's true, because according to (4) N − v = 8 – 3 = 5 > 2. We should note the fact that in general Table 1 and Figure 1 have parameters that are rather stable for eight years.

3. RESULTS AND DISCUSSION To obtain the equation of linear multiple regression (Equation (3)) previously it is necessary to realize the following intermediate procedures: 1. To carry out the component analysis of all variables in Equations (1) and (2): resulting function X has to correlate closely with independent variables K and L (the correlation coefficients ρХК, ρХL ≥ 0.7 – threshold value [6]), and arguments among themselves (that is correlation coefficients between the explicative variables) have to correlate as little as possible (ρКL <0.7). 2. To be convinced that all elements of the chosen variables were distributed under the normal law and the regression model was used correctly. We will make calculations of coefficients of Spearman Rank Correlation taking into account groups of connected ranks for carrying out the component analysis [7], and we will have ρХК = 0.69 ≈ 0.7; ρХL = 0.75 ≥ 0.7; ρКL = 0.55 <0.7. Therefore, variables in Equations (1) and (3) meet the requirements of the component analysis. On the accepted classification given in [7], the number of variables belongs to midget samples (N <25 units; we have N = to 8 units – see Table 1; at 25 <N <50 – small samples; in case of N> 50 – ordinary statistical samples). Further check of variables X, K, and L on the normal law of distribution which we will carry out in three steps have to follow: 1) creation of variational series (VS) with the finding of values of empirical frequencies of fi, i = 1, n where n is number of elements of VS (see the number of lines of Table 2) with the calculation of the weighted average хaw and mean square deviation σх; 2) creation of theoretical distribution (operation of graduation) with the finding of theoretical frequencies fit, i = 1, n; 3) application to the received frequencies of fi and fit of the chi-squared test (χ2) and, as specified, Rom test (usually Kolmogorov test is used only at ordinary samples). The general for all tests is that the results received for concrete samples with the known share of confidence extend also to their VS. We carry out a further check of the examined elements from the realization of the general part for all variables – the creation of VS on the example of variable X with N = 8. VS is a means of statistical data grouping and distribution of population units on quantitative criterion [8, p. 7]. The examined population У = {yj}, j = 1, N = 8 will have elements of Table 1 column 4 which need to be displayed in VS, having the appearance of future Table 3 containing n lines that can be τ: Y → Z

(5),

where Z = {zi}, i = 1, n – number of lines of future VS. At the same time the purpose of such *Corresponding author (Akhmetovа Irina A) Email: iraahmetova@mail.ru ©2019 International Transaction Journal of

construction is obvious: to make N much more surpassed number of lines n that it is possible to write down as (n <<N). The number of "n" is calculated on Sturges' rule [7, p. 95]: n = 1 + 3.222 log N

(6)

For our example N = 8 and log 8 = 0.9 and on formula (6) we have n = 1 + 3.222 â&#x2C6;&#x2122; 0.9 = 3.9 â&#x2030;&#x2C6; 4 (number of intervals). For interval VS constructing it is necessary to calculate step size: đ?&#x2018;&#x2026;

â&#x201E;&#x17D;=đ?&#x2018;&#x203A;

(7),

where R = (ymax â&#x20AC;&#x201C; ymin) is the range of grouping SP. For chosen output variable Z sample range (see Table 1) RZ = 52.6 â&#x20AC;&#x201C; 12.4 = 43.8 (billion CNY). According to the formula (7): h = 43.8 / 4 â&#x2030;&#x2C6; 11.0 (billion CNY), and VS for variable ĐĽ, presented in columns 1â&#x20AC;&#x201C;4 Table 3. Table 2: Worksheet for calculating empirical and theoretical frequencies for variable X = Profit of CNPC i

Profit. billion CNY đ?&#x2018;?đ?&#x2018; đ?&#x2018;&#x2013;

1 1 2 3 4

â&#x2C6;&#x2019;

đ?&#x2018;&#x201C; đ?&#x2018;?đ?&#x2018;&#x2013;

2 12.4â&#x20AC;&#x201C;23.4 23.4â&#x20AC;&#x201C;34.4 34.4â&#x20AC;&#x201C;45.4 45.4â&#x20AC;&#x201C;56.4 Total

Empirical frequencies.

đ?&#x2018;&#x201C;đ?&#x2018;&#x2013;

Class mark đ?&#x2018;?đ?&#x2018;&#x17D;đ?&#x2018;&#x2013;

đ?&#x2018;?đ?&#x2018;&#x17D;đ?&#x2018;&#x2013; â&#x2C6;&#x2019; đ?&#x2018;?đ?&#x2018;¤ đ?&#x2018;&#x17D;

3 6 1 0 1 8

4 17.9 28.9 39.9 50.9 -

5 -5.5 5.5 16.5 27.5 -

đ?&#x2018;?đ?&#x2018;&#x17D;đ?&#x2018;&#x2013; â&#x2C6;&#x2019; đ?&#x2018;?đ?&#x2018;¤ đ?&#x2018;&#x17D; đ?&#x153;&#x17D;

=đ?&#x2018;Ą

6 -0.50 0.50 1.50 2.50 -

đ?&#x153;&#x2018;(đ?&#x2018;Ą)

7 0.3521 0.3521 0.1295 0.0175 -

Theoretical frequencies đ?&#x2018; Ă&#x2014;â&#x201E;&#x17D; đ?&#x2018;&#x201C;đ?&#x2018;Ąđ?&#x2018;&#x2013; = ( ) Ă&#x2014; đ?&#x153;&#x2018;(đ?&#x2018;Ą) đ?&#x153;&#x17D; 8 2.82â&#x2030;&#x2C6;3 2.82â&#x2030;&#x2C6;3 2.03â&#x2030;&#x2C6;2 0.14â&#x2030;&#x2C6;1 Total: 9

We will record only the following results: đ?&#x2018;?đ?&#x2018;&#x17D;đ?&#x2018;¤ = đ?&#x2018;&#x2039;đ?&#x2018;&#x17D;đ?&#x2018;¤ = 23.4 billion CNY đ?&#x153;&#x17D;đ?&#x2018;&#x2039; = 11.0 billion CNY đ?&#x2018; Ă&#x2014;â&#x201E;&#x17D; đ?&#x153;&#x17D;

= đ??śđ?&#x2018;&#x153;đ?&#x2018;&#x203A;đ?&#x2018; đ?&#x2018;Ąđ?&#x2018;&#x2039; = 8 (non-dimensional value)

Weighted average and mean square deviation allow to conclude that profit of the company can be as đ?&#x2018;&#x2039;đ?&#x2018;&#x17D;đ?&#x2018;¤ Âą Ď&#x192; = 23.4 Âą 11

(12.4~34.4) billion CNY.

(8)

Equation (8) presents examined population in the form of closed interval. It means that variable đ?&#x2018;&#x2039; = (đ?&#x2018; đ?&#x2018;&#x2019;đ?&#x2018;Ą đ?&#x2018;&#x192;đ?&#x2018;&#x;đ?&#x2018;&#x153;đ?&#x2018;&#x201C;đ?&#x2018;&#x2013;đ?&#x2018;Ą Ă&#x2014; đ?&#x2018;?đ?&#x2018;&#x2013;đ?&#x2018;&#x2122;đ?&#x2018;&#x2122;đ?&#x2018;&#x2013;đ?&#x2018;&#x153;đ?&#x2018;&#x203A; đ??śđ?&#x2018; đ?&#x2018;&#x152;). In Equation (1) variable ĐĽ with empirical measures from 12.4 to 34.4 billion CNY that according to mean square deviation occupy 68% of all distribution [9]. Empirical frequency (column 3 in Table 2) and theoretical frequency (column 8 in Table 2) allow to use chi-squared test [6]: đ?&#x2018;&#x2039; 2 đ?&#x2018;?đ?&#x2018;&#x17D;đ?&#x2018;&#x2122;đ?&#x2018;? = â&#x2C6;&#x2018;

(đ?&#x2018;&#x201C;đ?&#x2018;&#x2013; â&#x2C6;&#x2019;đ?&#x2018;&#x201C;đ?&#x2018;&#x2013;đ?&#x2018;Ą )2 đ?&#x2018;&#x201C;đ?&#x2018;&#x2013;đ?&#x2018;Ą

AkhmetovĐ° Irina A, Shikhalev Anatoly M, Demyanova Olga V, Sirazieva Zarina N.

(9)

Table 3: Data calculation by chi-squared test i 1 1 2 3 4 -

Empirical frequencies đ?&#x2018;&#x201C;đ?&#x2018;&#x2013; 2 6 1 0 1 8

Theoretical frequencies. đ?&#x2018;&#x201C;đ?&#x2018;&#x2013;đ?&#x2018;Ą 3 3 3 1 1 8

đ?&#x2018;&#x201C;đ?&#x2018;&#x2013; â&#x2C6;&#x2019; đ?&#x2018;&#x201C;đ?&#x2018;&#x2013;đ?&#x2018;Ą

(đ?&#x2018;&#x201C;đ?&#x2018;&#x2013; â&#x2C6;&#x2019; đ?&#x2018;&#x201C;đ?&#x2018;&#x2013;đ?&#x2018;Ą )2

(đ?&#x2018;&#x201C;đ?&#x2018;&#x2013; â&#x2C6;&#x2019; đ?&#x2018;&#x201C;đ?&#x2018;&#x2013;đ?&#x2018;Ą )2 /đ?&#x2018;&#x201C;đ?&#x2018;&#x2013;đ?&#x2018;Ą

4 3 -2 -1 0 -

5 9 4 1 0 -

6 3 1.33 1 0 đ?&#x153;&#x2019;đ?&#x2018;?2 = 5.33

It is necessary to compare value of chi-squared test đ?&#x153;&#x2019;đ?&#x2018;?2 = 5.33 with table value đ?&#x153;&#x2019;đ?&#x2018;Ą2 on degrees of freedom (đ?&#x2018;&#x2DC; = đ?&#x2018;&#x203A; â&#x2C6;&#x2019; 3 â&#x2020;&#x2019; đ?&#x2018;&#x2DC; = 4 â&#x2C6;&#x2019; 3 = 1) and significance level đ?&#x203A;ź = 0.05. Using Application 4 find table value of chi-squared test đ?&#x153;&#x2019;đ?&#x2018;Ą2 = 3.84 for đ?&#x2018;&#x2DC; = 1 and đ?&#x203A;ź = 0.05. As đ?&#x153;&#x2019;đ?&#x2018;?2 = 5.33 > đ?&#x153;&#x2019;đ?&#x2018;Ą2 = 3.84 (or differ from boundary value 3.84 approximately on 39%) [8]. Divergences between empirical frequencies (đ?&#x2018;&#x201C;đ?&#x2018;&#x2013; ) and theoretical frequencies (đ?&#x2018;&#x201C; đ?&#x2018;Ą ) cannot be considered accidental. Then previously our null hypothesis about proximity of empirical distribution to normal one has to be formally disproved. That is elements distribution of statistical population of X is not subordinated to the normal distribution law (NDL). Besides, N = 8 is less than size of even small samples, when đ?&#x2018; â&#x2030;¤ 25. However, there is an opportunity to address one more test with an opportunity to be convinced not of so strict requirement in a deviation of the accepted earlier null hypothesis about accessory of distribution of the studied samples under the normal law. Let's calculate by Romanovsky test (10): đ?&#x2018;&#x2026;đ?&#x2018;&#x153;đ?&#x2018;&#x161;đ?&#x2018;? =

|đ?&#x153;&#x2019;đ?&#x2018;?2 â&#x2C6;&#x2019;đ?&#x2018;&#x2DC;| 2đ?&#x2018;&#x2DC; 0.5

|5.33â&#x2C6;&#x2019;1| 20.5

= 3.07 > 3

(10)

If đ?&#x2018;&#x2026;đ?&#x2018;&#x153;đ?&#x2018;&#x161;đ?&#x2018;?đ?&#x2018;&#x;đ?&#x2018;&#x2013;đ?&#x2018;Ą = 3 and đ?&#x2018;&#x2026;đ?&#x2018;&#x153;đ?&#x2018;&#x161;đ?&#x2018;? = 3.07; We have 3.07 > 3. Normal distribution law confirms the discrepancy of distribution of the same population of X. However, this strict inequality differs from demanded one only for 2.3% (a divergence with normal distribution law is insignificant). but not for 39% (đ?&#x153;&#x2019;đ?&#x2018;?2 in chi-squared test). Therefore, we consider that elements of variable X in the equations (1) and (2) are distributed "quasinormally". that is close to normal distribution law. In our opinion for the purpose of at least almost acceptable streamliningâ&#x20AC;&#x2122;s of the received excesses in their relative expression (in %). it is necessary to use the Table of Yadov [9, 10]: Table 4: Reliability assessment of sample observation [9, 10]: â&#x201E;&#x2013; 1 2 3 4 5

Level of reliability High Ordinary Approximate Assessed Rapid

Tolerable error of sample. % to 3 3 â&#x20AC;&#x201C; 10 10 - 20 20 - 40 more than 40

If in Table 4, ÂŤReliabilityÂť is measure of deviation of calculated values in tests and "Degree of tolerable sample deviation from the normal distribution law". measure of exceedance of table value calculated by chi-squared test (39%) can be "assessed" reliability of distributed elements of random variable with generic name ĐĽ according to the normal distribution law. Thus, according to Romanovsky test it should be included in low ordinary (i.e. in the range from 0 to 3% in order to *Corresponding author (AkhmetovĐ° Irina A) Email: iraahmetova@mail.ru ÂŠ2019 International Transaction Journal of

avoid the term high), as in practice 3.07 â&#x2030;&#x2C6; đ?&#x2018;&#x2026;đ?&#x2018;&#x153;đ?&#x2018;&#x161;đ?&#x2018;?đ?&#x2018;&#x;đ?&#x2018;&#x2013;đ?&#x2018;Ą = 3. However. one of possible reasons of deviation from the normal distribution law may be conditions of unstable economy to 2016. when profit was 56.2 billion CNY (see Table 1): to leave or to exclude it in the studied sample? Grubbs test can help to answer this question [7]. For test of observation equal to 52.6 billion CNY in variable đ?&#x2018;&#x2039; = đ?&#x2018;&#x192;đ?&#x2018;&#x;đ?&#x2018;&#x153;đ?&#x2018;&#x201C;đ?&#x2018;&#x2013;đ?&#x2018;Ą for 2015. being N, which is allocated in sample of volume of approximately normally distributed set, is calculated in the following way đ?&#x2018; đ?&#x2018;&#x17D; đ?&#x2018;&#x17D; Đ&#x161;calc = â&#x2C6;&#x2018;đ?&#x2018; â&#x2C6;&#x2019;1 đ?&#x2018;&#x2013;=1 (đ?&#x2018;Śđ?&#x2018;&#x2013; â&#x2C6;&#x2019; đ?&#x2018;Śđ?&#x2018; )/(â&#x2C6;&#x2018;đ?&#x2018;&#x2013;=1(đ?&#x2018;Śđ?&#x2018;&#x2013; â&#x2C6;&#x2019; đ?&#x2018;Ś )

(11)

In Equation (11), đ?&#x2018;Śđ?&#x2018;&#x2013; is current values of population elements in column 4 of Table 1. Average values of đ?&#x2018;Ś đ?&#x2018;&#x17D; and đ?&#x2018;Śđ?&#x2018; đ?&#x2018;&#x17D; for rather high values are calculated on formulas (12) and (13) respectively: đ?&#x2018;Śđ?&#x2018; đ?&#x2018;&#x17D; = â&#x2C6;&#x2018;đ?&#x2018; â&#x2C6;&#x2019;1 đ?&#x2018;&#x2013;=1 (đ?&#x2018;Śđ?&#x2018;&#x2013; )/đ?&#x2018;

(12)

đ?&#x2018;Śđ?&#x2018; đ?&#x2018;&#x17D; = â&#x2C6;&#x2018;đ?&#x2018; â&#x2C6;&#x2019;1 đ?&#x2018;&#x2013;=1 (đ?&#x2018;Śđ?&#x2018;&#x2013; )/(đ?&#x2018; â&#x2C6;&#x2019; 1)

(13).

Calculations on formulas (12). (13) shows that đ?&#x2018;Ś đ?&#x2018;&#x17D; = 20.813; đ?&#x2018;Śđ?&#x2018; đ?&#x2018;&#x17D; = 15.757. In this case the formula will be following Equation (11): 161.14

Đ&#x161;đ?&#x2018;?đ?&#x2018;&#x17D;đ?&#x2018;&#x2122;đ?&#x2018;? = 1592.3 = 0.101 Calculated values Đ&#x161;đ?&#x2018;?đ?&#x2018;&#x17D;đ?&#x2018;&#x2122;đ?&#x2018;? is necessary to compare with table ones. The fragment from Grubbs table is presented in Table 5 [8]. Table 5: Values of Đ&#x161;đ?&#x2018;Ąđ?&#x2018;&#x17D;đ?&#x2018;? in Grubbs table i 3 4 5 6 7 8

Îą = 0.01 Îą = 0.05 I Îą = 0.01 Îą = 0.05 I Îą = 0.01 Îą = 0.05 0.0001 0.0027 9 0.2411 0.3742 â&#x20AC;Ś.. â&#x20AC;Śâ&#x20AC;Ś... â&#x20AC;Śâ&#x20AC;Ś... 0.0100 0.0494 10 0.2831 0.4154 20 0.5393 0.6379 0.0442 0.1270 â&#x20AC;Śâ&#x20AC;Ś â&#x20AC;Śâ&#x20AC;Śâ&#x20AC;Ś â&#x20AC;Śâ&#x20AC;Ś... â&#x20AC;Ś.. â&#x20AC;Śâ&#x20AC;Ś... â&#x20AC;Śâ&#x20AC;Ś... 0.0928 0.2032 â&#x20AC;Śâ&#x20AC;Ś â&#x20AC;Śâ&#x20AC;Śâ&#x20AC;Ś â&#x20AC;Śâ&#x20AC;Ś... â&#x20AC;Ś.. â&#x20AC;Śâ&#x20AC;Ś... â&#x20AC;Śâ&#x20AC;Ś... 0.1447 0.2696 15 0.4401 0.4401 25 0.6071 0.6923 0.1948 0.3261 â&#x20AC;Śâ&#x20AC;Ś â&#x20AC;Śâ&#x20AC;Ś.. â&#x20AC;Śâ&#x20AC;Ś... â&#x20AC;Ś.. â&#x20AC;Śâ&#x20AC;Ś... â&#x20AC;Śâ&#x20AC;Ś... Notes: designated by dots at the set number of observations of N is defined by simple interpolating.

Calculated value of ratio Equation (11) Đ&#x161;đ?&#x2018;?đ?&#x2018;&#x17D;đ?&#x2018;&#x2122;đ?&#x2018;? = 0.101 is compared with table value Đ&#x161;đ?&#x2018;Ąđ?&#x2018;&#x17D;đ?&#x2018;? (see Table 5) at certain number of observations N and significance level Îą and characterizes that extreme size which with probability (1 â&#x2C6;&#x2019; đ?&#x203A;ź) can be explained with the accidental reasons. If Đ&#x161;đ?&#x2018;?đ?&#x2018;&#x17D;đ?&#x2018;&#x2122;đ?&#x2018;? < Đ&#x161;đ?&#x2018;Ąđ?&#x2018;&#x17D;đ?&#x2018;? . probability of divergences in the sums of mean square deviation Equation (11) can be explained with the accidental reasons. and it is equal to significance level Îą and owing to small probability it is impossible. In this case the observation (52.6 billion CNY) should be cancelled and for further calculation we will use rest (đ?&#x2018; â&#x2C6;&#x2019; 1 = 7) of observation for variables Đ&#x161; and L. Then we should confirm the normality of elements distribution of the same updated set of X and other sizes in the Equation (1) For this purpose. calculations are necessary on Equations (5)â&#x20AC;&#x201C;(10), and also in Tables 1, 2 and 4 for variable X and then for its arguments with an exception of data number for 2016 from Table 1. As a result, we will have: 1. For variable đ?&#x2018;&#x2039; = Profit â&#x2C6;ś đ?&#x153;&#x2019;đ?&#x2018;?2 = 2.83 < đ?&#x153;&#x2019;đ?&#x2018;Ą2 = 3.84 according to chi-squared test with the same significance level đ?&#x203A;ź = 0.05 elements of the statistical population are distributed by the normal

AkhmetovĐ° Irina A, Shikhalev Anatoly M, Demyanova Olga V, Sirazieva Zarina N.

distribution law. as in Rom test đ?&#x2018;&#x2026;đ?&#x2018;&#x153;đ?&#x2018;&#x161;đ?&#x2018;? = 1.30 < đ?&#x2018;&#x2026;đ?&#x2018;&#x153;đ?&#x2018;&#x161;đ?&#x2018;?đ?&#x2018;&#x153;đ?&#x2018;˘đ?&#x2018;&#x203A;đ?&#x2018;&#x2018; = 3. Thus. picture without profit value of 52.6 billion CNY for 2016 for variable X significantly improved: the normality of distribution of its elements by two criteria does not raise doubts. Besides comparison Equation (8) đ?&#x2018;&#x2039;đ?&#x2018;&#x17D;đ?&#x2018;¤ Âą Ď&#x192; = 23.4 Âą 11 billion CNY with đ?&#x2018;&#x2039;đ?&#x2018;&#x17D;đ?&#x2018;¤ Âą Ď&#x192; = 16.2 Âą 3.8 billion CNY shows that the lower bound practically did not change. But average values and top limits change considerably and their reasons are quite clear. 2 2 2. For variable đ??ž = đ??śđ?&#x2018;&#x17D;đ?&#x2018;?đ?&#x2018;&#x2013;đ?&#x2018;Ąđ?&#x2018;&#x17D;đ?&#x2018;&#x2122; â&#x2C6;ś đ?&#x153;&#x2019;đ?&#x2018;?đ?&#x2018;&#x17D;đ?&#x2018;&#x2122;đ?&#x2018;? = 6 > đ?&#x153;&#x2019;đ?&#x2018;Ąđ?&#x2018;&#x17D;đ?&#x2018;? = 3.84 (deviation with boundary value is 56% and according to Table 5, the nature of reliability on normality of distribution is "rapid"; according to Rom test đ?&#x2018;&#x2026;đ?&#x2018;&#x153;đ?&#x2018;&#x161;đ?&#x2018;? = 3.54 > đ?&#x2018;&#x2026;đ?&#x2018;&#x153;đ?&#x2018;&#x161;đ?&#x2018;?đ?&#x2018;&#x153;đ?&#x2018;˘đ?&#x2018;&#x203A;đ?&#x2018;&#x2018; = 3 (deviation boundary value is 18%: elements are distributed with approximate reliability). Concerning N = 8, the picture worsened a little. 2 2 3. For variable đ??ż = đ?&#x2018;&#x201E;đ?&#x2018;˘đ?&#x2018;&#x17D;đ?&#x2018;&#x203A;đ?&#x2018;Ąđ?&#x2018;&#x2013;đ?&#x2018;Ąđ?&#x2018;Ś đ?&#x2018;&#x153;đ?&#x2018;&#x201C; đ??żđ?&#x2018;&#x17D;đ?&#x2018;?đ?&#x2018;&#x153;đ?&#x2018;˘đ?&#x2018;&#x; â&#x2C6;ś đ?&#x153;&#x2019;đ?&#x2018;?đ?&#x2018;&#x17D;đ?&#x2018;&#x2122;đ?&#x2018;? = 7 > đ?&#x153;&#x2019;đ?&#x2018;Ąđ?&#x2018;&#x17D;đ?&#x2018;? = 3.84 (excess of boundary Table value at the same đ?&#x203A;ź = 0.05 for 82% is too large); according to Rom test đ?&#x2018;&#x2026;đ?&#x2018;&#x153;đ?&#x2018;&#x161;đ?&#x2018;? = 4.24 > đ?&#x2018;&#x2026;đ?&#x2018;&#x153;đ?&#x2018;&#x161;đ?&#x2018;?đ?&#x2018;&#x153;đ?&#x2018;˘đ?&#x2018;&#x203A;đ?&#x2018;&#x2018; = 3 â&#x2C6;&#x2019; đ?&#x2018;&#x2019;đ?&#x2018;Ľđ?&#x2018;?đ?&#x2018;&#x2019;đ?&#x2018; đ?&#x2018; đ?&#x2018;&#x201C;đ?&#x2018;&#x153;đ?&#x2018;&#x; 41% â&#x2030;&#x2C6; 40%.

The nature of reliability of elements distribution under the normal law is close to "assessed". Concerning N = 8 the picture worsened a little. Thus, we chose as an object of research CNPC corporation which is objectively reflecting in data activity in the conditions of turbulent economy. This circumstance directly affects as on rather small period of flashback (from 2011 to 2018; on N = 8 values of the examined data). The nature of basic data. In parameter đ?&#x2018;&#x2039; = "đ?&#x2018;&#x192;đ?&#x2018;&#x;đ?&#x2018;&#x153;đ?&#x2018;&#x201C;đ?&#x2018;&#x2013;đ?&#x2018;Ą" arose need of removal from further data consideration for 2016 in 52.6 billion CNY by Grubbs test. The PF models which remained for construction are population on N = 7. Creation of theoretical laws of distribution with the subsequent use of criteria of chi-squared test and Rom test showed that only elements of variable X after use of Grubbs test began to satisfy to the normal law of distribution whereas elements of the K and L variables at N = 7 are distributed "quasinormally" in gradation of the table of Yadov (see Table 5).

4. CONCLUSION Results of the carried-out calculations give the opportunity to come to the following conclusion: on basic data of Table 1 with removal from data consideration for 2015 creation of production function as multiplicative equation of multiple regression (3) with the subsequent potentiation and receiving production function (2) by LS method is necessary to find possible.

5. DATA AND MATERIAL AVAILABILITY Relevant information regarding this study is available by request to the corresponding author.

6. ACKNOWLEDGEMENT The work is performed according to the Russian Government Program of Competitive Growth of Kazan Federal University. Financial supports are gratefully acknowledged.

*Corresponding author (AkhmetovĐ° Irina A) Email: iraahmetova@mail.ru ÂŠ2019 International Transaction Journal of

7. REFERENCES [1] Burlachov, A. (2018). Turbulentnost' ekonomicheskih processov: teoreticheskie aspekty / V. Burlachov. Voprosy ekonomki, 11: S. 90. [2] Pavlova, Yu.N. (2016). Upravlenie predpriyatiem v usloviyah nestabil'nosti Social'no-ekonomicheskie yavleniya i process, 10(2): S. 84.

vneshnej sredy.

[3] Schneeweiss, H., and Augustin, T. (2006). Some recent advances in measurement error models and methods. Department of statistics, thom: 90 number, 1: 183-197 [4] Statistics of the Shanghai stock exchange http://globalcor porations.ru /CNPC.html [5] Zhai, Y., and Fang, Z. (2018). Locally optimal designs for binary dose-response models. Canadian journal of statistics : thom:46: number, 2: 336-354 [6] Studenmund, A.H. Using Econometrics: A Practical Guide (7th Edition) https://www.amazon.com/gp/aws/cart/add.html?ASIN.1=013418274X&Quantity.1=1&AWSAccess KeyId=AKIAJBMCXM6F64NRT62Q&AssociateTag=wallstreetmoj-20 [7] Obshchaya teoriya statistiki: Uchebnik. (2013). T.V. Ryabushkin, M.R. Efimova, I.M. Ipatova, N.I. Yakovleva. – M.: Finansy i statistika: 279 s. [8] Gromyko, G.L. (2012). Obshchaya teoriya statistiki: Praktikum. – M.: INFRA-M, 139 s. (Vysshee obrazovanie). [9] 3-sigma rule https: //wiki.loginom.ru/articles/3-sigma-rule.html [10] Yadov, V.A. (1987). Sociologicheskoe issledovanie: metodologiya, programma, metody. – M.: Nauka, -248. Akhmetovа Irina A is an Associate Professor at Department of Production Economics, Institute of Management, Economics and Finance, Kazan Federal University. She is a Candidate of Economic Sciences. She had her Higher Education: KFEI, Labor Economics, Economics and Planning. She is interested in international Finance and Analysis. Dr.Shikhalev Anatoly M. is an Associate Professor at the Institute of Management, Economics and Finance, Kazan Federal University, Head of the group for the collection, processing and systematization of information of the Institute of Social, Economic and Legal Sciences of the Academy of Sciences of the Republic of Tatarstan. He holds a PhD in Economics. He is interested in Financial information and System. Dr.Demyanova Olga V. is an Associate Professor Institute of Management, Economics and Finance, Kazan Federal University, Russia. She holds a Doctor of Economic Sciences degree. She is interested in Strategic Analysis, Modelings of the Efficiency of the Modern Economy.

Sirazieva Zarina N. is an Assistant Professor at the Institute of Management, Economics and Finance, Kazan Federal University. She is a Candidate of Philology. She had her higher education from ChOU VPO "Institute of Economics, Management and Law (Kazan)", Management and Marketing, State and Municipal Administration, and Higher Professional Education from Tatar State Humanitarian and Pedagogical University.

Akhmetovа Irina A, Shikhalev Anatoly M, Demyanova Olga V, Sirazieva Zarina N.

International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies http://TuEngr.com

PAPER ID: 10A19G

LEVEL OF DOMESTIC DEMOCRACY AND ESTIMATION OF RUSSIAN 1993 POLITICAL CRISIS: INTERDEPENDENCE AND POLITICAL MANAGEMENT OPPORTUNITIES Maxim A. Nazarenko a*, Ivan M. Ponyaev b, Alexander S. Novikov a a Department

of Quality Management and Certification, MIREA— Russian Technological University, RUSSIA b Department of International Organizations and World Political Processes, Faculty of World Politics, Moscow State University, RUSSIA. ARTICLEINFO

A B S T RA C T

Article history: Received 04 July 2019 Received in revised form 23 August 2019 Accepted 02 October 2019 Available online 29 October 2019

There are very different estimations of the Russian 1993 political crisis and international science. Russian scientific evaluations of this crisis have changed substantially since 1993. The aim of this paper is to examine the interdependence between the estimation of the Russian 1993 political crisis and the level of democracy. For this purpose, the authors assigned Russian scientific papers into four separate categories: positive, neutral, negative, and extremely negative. The number of the articles in each category was compared with the democracy index for the same time period, and analyzed the results. The percentage of neutral scientific papers was positively correlated with all of the different characteristics of the democracy index, but not with the rank. The reduction of the democracy liberties in Russia was positively correlated with the percentage of negative and extremely negative articles. Political management opportunities are interconnected with stabilization of democracy liberties.

Keywords: Democracy index; Political development; Political events; Scientific index; Scientific publications.

1. INTRODUCTION The political crisis in Russia in 1993 is still a frequently discussed topic in Russian and international science. Most scientific articles have been dedicated to the problem, circumstances, and results of the political crisis. Many articles were also dedicated to the influence of these events on the modern development of democracy in Russia. This article presents some political management ideas, based on this observed interdependence. The scientific papers addressing this time period provide very different estimations of the events surrounding the political crisis, ranging from positive to extremely negative. A summary of these *Corresponding author (M.A. Nazarenko) +7 (926)162-4254. Email: nazarenko@mirea.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 19069642 CODEN: ITJEA8 Paper ID: 10A19G http://TUENGR.COM/V10A/10A19GM.pdf DOI: 10.14456/ITJEMAST.2019.265

papers is presented and examined. All of the Russian scientific papers on this topic were divided into different categories to determine the authors' key estimations of that crisis; the papers were categorized by time period as well. Because the political crisis in Russia in 1993 was associated with changes in democracy levels, the data were aligned with data from the democracy index, which reports democracy levels in different countries all over the world. The goal of this article was to examine the interdependence between the estimation of Russian 1993 political crisis and the level of domestic democracy. According to the paper's results, it is possible to forecast future scientific publications dedicated to the 1993 political crisis in Russia, and the estimations provided by them. Moreover, the article provides ideas about the mechanism of political management reflection in Russian scientific literature. It also covers the influence of scientific literature's predictions of political management in Russia.

2. LITERATURE REVIEW The 1993 political crisis in Russia is described differently in Russian and international science. Scientists analyze all spheres of social development simultaneously and also interdependence between them. Sometimes they provide a broader analysis of particular spheres (Bobylev, 2007). Studies characterized by a large scale were provided by Shahrai (2015), Kalinin (2012) and others (Sharon, 2016; Kashintsev, 1996); and more specific analyses by Gelman (1996), Lyubimov (2013), Ludrova et al. (2014). The common vector of political thought in this field of research can be defined as revealing causes of the crisis, specifics of its development, and analysis of the results (Kydyraliev, 2005). These studies are dedicated to the society in common or to a specific sphere of social development (Makarov, 2014). The vast majority of them concentrate on exact political management decisions related to the political crisis in the year 1993. In foreign political science, under which are assumed publications in foreign languages, where at least one author is not a Russian citizen, the 1993 political crisis in Russia is analyzed in a very different way. Foreign political science can be divided into three key vectors:

2.1 ANALYSIS OF THE COMMON VECTOR OF THE DEVELOPMENT OF RUSSIA Traditionally, foreign scientists point out periods of more than one decade, such as 1993-2012, 1993-2007 and others. According to this approach, the 1993 political crisis is not considered as a separate political event, but as a factor that determined the long-term development of the country. The main distinctive feature of the research is the disclosure of stable political positions which influence the development of Russian society, and the perspectives of their transformations. Moreover, researchers of this group compare 1993 events with further key events which have determined democratic developments in modern Russia (Perepechko et al., 2011).

2.2 COMPARATIVE RETROSPECTIVE ANALYSIS OF DEVELOPMENT IN DIFFERENT PERIODS OF TIME

RUSSIAN

SOCIETY'S

This group is dedicated to comparative analysis of Russian society's development. Usually scientists compare specific features and developments of Tsarist Russia with Post-Soviet Russia. The main interest in the research is to find out if modern Russia is similar to Tsarist Russia or if the influence of the Soviet Union is still strong in the country (Whitefield, 2009).

Maxim A. Nazarenko, Ivan M. Ponyaev, Alexander S. Novikov

2.3 INVESTIGATION OF THE DEVELOPMENT OF PARTICULAR SOCIAL SPHERES, INCLUDING LAWS, REGULATIONS, AND POWER STRUCTURES IN MODERN RUSSIA The research conducted in this group have three specific features. First, some include the subject and object of the research in each particular scientific article, which are much narrower than the corresponding studies of Russian scientists (Baudoin, 2006). The second feature is the total coverage of the themes of articles in this field (Chaisty and Schleiter, 2002; Henderson, 2007; Kryshtanovskaya and White, 2005). The third feature of the papers of this group is the revealing of the dynamics of the particular object of the study and concentration on delayed political and social changes (Kunicova and Remington, 2008). Thus, there is no international or Russian science dedicated to the Russian 1993 political crisis that use statistical analysis of publications. Moreover, the democracy index was not involved in the analysis of the crisis. The vast majority of articles dedicated to scientific publication analysis use several methods (Grigoriev et al. 2019; Isakov, and Timoshenko, 2018): homogeneous estimation among papers (Hedges, 1984: Iyengar, S., & Greenhouse, 1988); estimation of article homogeneous with t-statistics and p-value (Simonsohn et al., 2014); standard value and standard deviation (Gelman, 2015); connections between articles (Schuch, et al. 2016). In this article, the first three on this list are used.

3. RUSSIAN 1993 POLITICAL CRISIS In current Russian science, there are some discussions dedicated to the 1993 political crisis. Political events of this time still influence political events, culture, and development of modern Russia. Moreover, they are strongly correlated with the improvement of democracy in Russia. Political management in Russia is also significantly determined by those events. In this study, research of other Russian scientists in different periods of time dedicated to the 1993 political crisis are investigated and their results are evaluated. These results are compared to the democracy index provided by the Economist Intelligence Unit. Thus, according to evaluations of Russian scientists, the interdependence between the estimation of the Russian 1993 political crisis and the level of domestic democracy are shown. The main aim of this article is to find the interdependence between the estimation of the Russian 1993 political crisis and the level of domestic democracy. One important issue is to assume political management changes in Russia, based on interdependence observation. Therefore, the main research questions of this paper are formulated as the following: RQ1: What is the conversion of democracy in Russia according to the democracy index? RQ2: What are the transformations of the evaluations of the Russian 1993 political crisis according to studies of Russian scientists? RQ3: Is there any interdependence between the estimation of the Russian 1993 political crisis and the level of domestic democracy? RQ4: What are the opportunities for future political management in Russia, according to the interdependence?

*Corresponding author (M.A. Nazarenko) +7 (926)162-4254. Email: nazarenko@mirea.ru ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 19069642 CODEN: ITJEA8 Paper ID: 10A19G http://TUENGR.COM/V10A/10A19GM.pdf DOI: 10.14456/ITJEMAST.2019.265

4. METHODS AND DATA In this study, two key figures are measured: the number of scientific papers in Russia dedicated to the 1993 political crisis, and the democracy index. The scientific papers are separated in four categories of the articles: positive, neutral, negative, and extremely negative, correspondingly with the evaluation of the Russian 1993 political crisis. The estimation is based on homogeneous papers according to meta-analysis and their evaluations of the crisis. P-values, standard deviation, standard value, and t-statistics are estimated for each group of articles. Moreover, the papers are divided into seven time periods: 1993-2004; 2005-2006; 2007-2008; 2009-2010; 2011-2012; 2013-2014; 20152016, and 2017-2018. The first group includes articles which were published before the publication of the first democracy index in 2006. All the other time periods are similar to the time periods of the democracy index data for valid comparisons provided. For each category, the number of the articles is calculated for each time period. The share of each category for each time period is estimated. The Russian scientific article data are collected based on the materials of the Russian State Library, and the largest scientific websites in the country: cyberleninka.ru and elibrary.ru. The study of democracy in this research is based on the democracy index provided by the Economist Intelligence Unit. This index covers five large categories: electoral process and pluralism, civil liberties, functioning of government, political participation, and political culture. The Economist Intelligence Unit provides four democracy types, according to the overall scores: full democracies (scores from 8 to 10), flawed democracies (scores from 6 to 8), hybrid regimes (scores from 4 to 6), and authoritarian regimes (scores from 0 to 4). Moreover, the Economist Intelligence Unit provides a ranking of countries according to their overall scores. In this case, if two of more countries have the same scores, all of them will have the same rank, but they will be counted in the rank according to the rule: the countries with the same rank should be counted according to their quantity. The most important data analysis is based on the time period of 2006-2018. During these years, the power authorities in Russia were quite stable. Therefore, the research provides a comparison of the data and calculate changes of each variable and correlations between them.

5. RESULTS 5.1 RQ1: WHAT IS THE CONVERSION OF THE DEMOCRACY IN RUSSIA ACCORDING TO THE DEMOCRACY INDEX? According to the methodology of the Economist Intelligence Unit, hybrid regimes are countries with a democracy index from 4 to 6. Russia became a regime of this type before 2012 and an authoritarian regime since that year. Simultaneously, the rank of Russia has substantively decreased by 32 positions in the list from 2006 to 2018 (Table 1). The indicator “Electoral process and pluralism”, which was at its highest in 2006 (7), decreased to its lowest in 2018 (2.17). The best indicator in 2016 and 2018 was “Political participation” (5), that includes participation of citizens in the dominant party and in elections. This indicator has not been changed significantly since the year 2006 and showed a reduction of 0.56 point. The decreasing of the overall score from 2006 to 2018 was from 5.02 to 2.94. This decrease can be described as significant due to the fact that Russia changed from a hybrid regime to an authoritarian one.

Maxim A. Nazarenko, Ivan M. Ponyaev, Alexander S. Novikov

Table 1: The Russian democracy index for 2006-2018, according to the Economist Intelligence Unit Year 2006 2008 2010 2012 2014 Rank 102 107 107 122 132 Overall Score 5.02 4.48 4.26 3.74 3.39 Electoral process and pluralism 7 5.25 5.25 3.92 3.08 Functioning of government 3.21 2.86 3.21 2.86 2.86 Political participation 5.56 5.56 5 5 5 Political culture 3.75 3.75 3.13 2.5 2.5 Civil liberties 5.59 5 4.71 4.41 3.53 Source: https://www.eiu.com/topic/democracy-index

2016 134 3.24 2.67 2.5 5 2.5 3.53

2018 144 2.94 2.17 1.79 5 2.5 3.24

Characterizing the changes in the indicators of the democracy index, according to the set of the five variables, it should be highlighted that the most substantial reduction was in the year 2008 and it was practically the same in the year 2012. Simultaneously, the largest number of reduced characteristics was in the year 2012. In this year, four out of five variables were reduced. The year 2010 was the only year with an increase to at least one of the variables “functioning of government”. It has increased by 0.35 points. It was one of the two characteristics which decreased for 10 years, with less than 1. The second of these characteristics was “political participation”. According to data, the list of decreases in the democracy characteristics from the most substantial to the least is: 1. Electoral process and pluralism, 4.83 2. Civil liberties, 2.35 3. Functioning of government, 1.42 4. Political culture, 1.25 5. Political participation, 0.56 Thus, the overall score decrease was between civil liberties and political culture. In other words, there was significant reduction in several aspects of democracy in Russia, but the reductions in other aspects were not as high. However, the overall score of the democracy index reduced significantly and evaluation of democracy in Russia changed from a hybrid regime to an authoritarian one.

5.2 RQ2: WHAT ARE THE TRANSFORMATIONS OF THE EVALUATIONS OF THE RUSSIAN 1993 POLITICAL CRISIS ACCORDING TO STUDIES OF RUSSIAN SCIENTISTS? The topic of the 1993 political crisis is still real in modern Russian science. Overall, there have been 236 published articles and other scientific material dedicated to these events since 1993 in Russian Scientific Index (http://elibrary.ru). The vast majority (48) of the papers were published in the years 2013-2014, the smallest number (16) of the articles were published in 2005-2006 (Table 2). Table 2: Number of scientific papers in Russia dedicated to the Russian 1993 political crisis. Year Positive articles, number Positive articles, % Neutral articles, number Neutral articles, % Negative articles, number Negative articles, % Extremely negative articles, number Extremely negative articles, % Total number of articles Percent in total number of articles, %

1993-2004 9 26.47 19 55.88 6 17.64 0 0 34 14.41

2006 4 28.6 8 57.1 2 14.3 0 0 14 5.93

2008 8 40 8 40 4 20 0 0 20 8.47

2010 2 12.5 6 37.5 6 37.5 2 12.5 16 6.78

2012 4 11.1 18 50 10 27.8 4 11.1 36 15.2

2014 4 8.33 18 37.5 20 41.7 6 12.5 48 20.3

2016 0 0 10 29.4 18 53 6 17.6 34 14.4

2018 0 0 8 23.5 21 61.8 5 14.7 34 14.4

*Corresponding author (M.A. Nazarenko) +7 (926)162-4254. Email: nazarenko@mirea.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 19069642 CODEN: ITJEA8 Paper ID: 10A19G http://TUENGR.COM/V10A/10A19GM.pdf DOI: 10.14456/ITJEMAST.2019.265

Source: http://elibrary.ru

The total number of the papers in the years 2011-2012 and 2015-2016 was practically equal to the same number in 1993-2004. Thus, it can be concluded that scientific interest in the political crisis of 1993 has grown since 2011. The main trend in published papers is the number of positive evaluations had grown from 1993 to 2008 and then rapidly decreased. In the years 2013-2014, there were just 8.33 percent of positive publications, while in 2007-2008 there were 40 percent. For articles characterized as neutral, the number as consistently decreased during all examining periods. However, there was a growth in 2011-2012. Controversially, the number of the negative papers has had a strict tendency to grow. There was growth both of the absolute and relative number. Moreover, there were no extremely negative scientific publications up to the year 2009 and after that their number has grown. Thus, it can be concluded that according to studies of Russian scientists the evaluations of the political crisis in Russia in 1993 has become worse from year to year. Events that previously were estimated positively, now are considered negative. Characteristics of scientific papers heterogeneous are presented in Table 3. Table 3: Heterogeneous characteristics of scientific papers in Russia dedicated to the 1993 political crisis. Year Positive articles, number Positive articles, % Neutral articles, number Neutral articles, % Negative articles, number Negative articles, % Extremely negative articles, number Extremely negative articles, % Total number of articles Percent in total number of articles, %

Average 3.88 15.87 11.88 41.37 10.88 34.19 2.88 8.56 29.50 12.50

SD 3.31 14.39 5.46 12.11 7.66 17.29 2.70 7.34 11.70 4.96

t-statistics 1.17 1.10 2.17 3.42 1.42 1.98 1.07 1.17 2.52 2.52

Thus, in the scientific field, the total number of articles and number of neutral articles, including their shares, are stable enough according to t-statistics. Moreover, the share of negative articles is quite stable, but not their number. Thus, neutral and negative estimations of the Russian 1993 political crisis are quite stable in Russian scientific society, whereas the number of publications with different estimations can vary. The total number of scientific publications is quite stable, according to tstatistics. In other words, the topic of the Russian 1993 political crisis is still very important and actual in domestic science. Simultaneously, evaluations of those events are significantly diverse.

5.3 RQ3: IS THERE ANY INTERDEPENDENCE BETWEEN THE ESTIMATION OF THE RUSSIAN 1993 POLITICAL CRISIS AND THE LEVEL OF DOMESTIC DEMOCRACY? According to the democracy index, the rank of the country is correlated with the absolute number of the neutral articles, and strongly correlated with the absolute number of the negative and extremely negative articles. Practically the same, but negative, correlation coefficients characterize interdependence between overall scores of the democracy index and its main categories. The least absolute values of the correlation are between the functioning of government and the number of the articles in each category. However, they are enough for the determination of interdependence between the number of negative and extremely negative articles and functioning of the government (Table 4). Thus, it can be concluded that the number of the articles, especially neutral, negative, and extremely

Maxim A. Nazarenko, Ivan M. Ponyaev, Alexander S. Novikov

negative is strongly correlated with the level of the democracy in Russia. Table 4: Correlations between the democracy index and scientific publications in absolute numbers dedicated to the political crisis of 1993 Characteristics Rank Overall Score Electoral process and pluralism Functioning of government Political participation Political culture Civil liberties

Positive, number -0.47 0.49 0.41 0.24 0.68 0.59 0.49

Neutral, number 0.67 -0.61 -0.60 -0.36 -0.49 -0.72 -0.56

Negative, number 0.97 -0.95 -0.93 -0.71 -0.72 -0.88 -0.98

Extremely negative, number 0.97 -0.97 -0.93 -0.67 -0.84 -0.96 -0.96

Moreover, the same correlations have been studied for the characteristics of the democracy index and the scientific papers in relative numbers dedicated to the Russian 1993 political crisis. Overall, the correlation coefficients showed strong interdependence between all measures. However, they are a little bit weaker than for the absolute numbers. The most important result of this particular analysis is that the percent of neutral scientific papers is positively correlated with all characteristics of the democracy index, but not with the rank. Thus, it can be concluded that the worse estimations of the democracy, the lowest percent of the neutral scientific papers are dedicated to the 1993 political crisis. Decreasing the democratic level in Russia leads to the increase in scientific papers dedicated to the 1993 political crisis, the vast majority of which are negative. In other words, it can be concluded that the restrictions of civil liberties, violations in the electoral process and pluralism, degradation of the political culture, and lower political participation led to the intensification of the scientific publications dedicated to the 1993 political crisis. Simultaneously, the lower level of the democracy in Russia leads to the reduction of the percent of neutral articles and to the increase of the percent of negative and extremely negative articles.

5.4 RQ4: WHAT ARE THE OPPORTUNITIES FOR FUTURE POLITICAL MANAGEMENT IN RUSSIA, ACCORDING THE INTERDEPENDENCE? Future political management in Russia, according to presented data, will demonstrate negative tendencies in democratic characteristics. Electoral process and pluralism, function of government, and civil liberties will reduce in the first place. In scientific papers, the reduction of democracy components and democracy index reflects a lag, by about two years. It can be explained by the scientific article publication process that takes about a year or more. However, there is one more tendency in the interdependence of scientific publications and democracy index trends. The more critical articles that are published, the lower the reduction of democracy index during the next several years. In other words, if estimations of the political crisis in Russia become too negative, the democracy index reduces gradually for the next several years. The 1993 political crisis marked the beginning of democracy in Russia. In case, if its estimations become negative, the government stops restricting democracy and civil liberties in Russia for several years. After that, estimations of the crisis become more positive and the government resumes the restrictions. Political management opportunities in such situation are very wide and depend on political goals. Thus, the goal is to restrict domestic democracy and should be done smoothly for negative estimation reduction. In case, if the goal is to stabilize the situation in the country, and the democracy index *Corresponding author (M.A. Nazarenko) +7 (926)162-4254. Email: nazarenko@mirea.ru ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 19069642 CODEN: ITJEA8 Paper ID: 10A19G http://TUENGR.COM/V10A/10A19GM.pdf DOI: 10.14456/ITJEMAST.2019.265

reduction is just a consequence, but not the goal of the government policy, political management should concentrate on issues and instruments that can help to slow down the reduction. Instead of reacting to political management, an active one should be used. As a result, the reduction of political crisis will be stopped and at least slow down. Thus, political management opportunities are interconnected with stabilization of democracy liberties and index.

6. DISCUSSION This study showed that current events can stimulate scientists to review the past. However, there are two directions for reviewing. The first of them is the analysis of the events, the main aim of which is to find the moment where the process has been disrupted irreversibly. The second direction is explaining current problems, including political ones, by previous decisions. In fact, the second approach offers rejection of the responsibility for present events. Moreover, scientific discussions of the 1993 events can be characterized as a form of public protest to the current policy. In circumstances of political and democratic restrictions, the discussion of the earlier events could be a legalized form of public negative opinion expression. Nevertheless, the study has had comparable results with the Whitefieldâ&#x20AC;&#x2122;s (2009), Kunicova and Remingtonâ&#x20AC;&#x2122;s (2008), Kryshtanovskaya and Whiteâ&#x20AC;&#x2122;s (2005) research. Russia is still trying to determine what democracy is. However, the study showed that there is no united definition of evaluation for the 1993 political crisis. There are many points of view, that those are more determined by recent political events.

7. CONCLUSION The interests of Russian science in the 1993 political crisis has increased substantially since 2012. According to the democracy index, significant reduction of all characteristics of democracy has led to the increasing in interest of the origins of modern democracy in Russia. Previously positively evaluated events are now estimated in a negative context. As shown by the analysis of the scientific publications, the vast majority of expectations about the crisis were positive, especially in improving the democratic liberties in Russia and increasing the standard of living. The democracy index in Russia has reduced since 2006 (this index did not exist earlier). Moreover, the index has shown a reduction in each category that means overall reduction of the democratic level in Russia. The first significant reduction of the democracy index in 2008 did not influence scientific publications significantly. However, since that time, the number of negative articles dedicated to the 1993 political crisis increased. In 2010, the number and percent of negative articles increased substantially. Simultaneously, the first extremely negative scientific evaluations of the 1993 political crisis were published. This tendency has continued since that time. The study showed that the percent of neutral scientific papers positively correlated with all characteristics of the democracy index, but not with the rank. In other words, reduction of the democracy liberties in Russia decreases the percent of the neutral articles and increases the negative and extremely negative ones. However, the current policy and democratic restrictions have led to an increase of the neutral, negative, and extremely negative scientific publications dedicated to the 1993 political crisis. Thus, Russian scientists are trying to analyze those events to find out the reasons of

Maxim A. Nazarenko, Ivan M. Ponyaev, Alexander S. Novikov

the current policy, and how liberalization led to the present democratic restrictions. Political management opportunities are interconnected with stabilization of democracy liberties and index.

8. DATA AND MATERIAL AVAILABILITY All relevant information used in this study is already included in this article.

9. REFERENCES Baudoin, Marie-Elisabeth. (2006). Is the constitutional court the last bastion in Russia against the threat of authoritarianism? Europe-Asia Studies, 58(5), 679-699. Bobylev, Boris.V. (2007). The Attitude of Russians to the political and social conflicts in the context of forming the model of "sovereign democracy" [Otnoshenie rossiyan k sotsial'no-politicheskim konfliktam v kontekste formirovaniya modeli "suverennoi demokratii"]. Herald of Saratov University. New series. Series: Sociology. Political science [Izvestiya Saratovskogo universiteta. Novaya seriya. Seriya: Sotsiologiya. Politologiya], 7(1), 100-105. Chaisty, Paul, and Petra Schleiter. (2002). Productive but Not Valued: The Russian State Duma, 1994-2001. Europe-Asia Studies. 54 (5), 701-724. Gelman, Andrew. (2015). The connection between varying treatment effects and the crisis of unreplicable research: A Bayesian perspective. Journal of Management. 41, 632-643. Gelman, Vladimir. Y. (1996). Election campaigns in Russia: testing of the electoral formula [Izbiratel'nye kampanii v Rossii: ispytanie elektoral'noi formuly]. Policy. Political studies [Polis. Politicheskie issledovaniya], 2, 84-100. Grigoriev Victor. K. et al. (2019). Quality assessment of a user interface based on the mental time of performing the user tasks of the subject area. Russian technological journal, 7 (1), 38-48. Hedges, Larry V. (1984) Estimation of effect size under nonrandom sampling: The effects of censoring studies yielding statistically insignificant mean differences. Journal of Educational Statistics, 9(1), 61-85. Henderson, Jane. (2007). The Russian Constitutional Court and the Communist Party case: Watershed or whitewash? Communist and Post-Communist Studies, 40(1), 1-16. Isakov Vladimir N., and Polina I. Timoshenko. (2018). Local interpolation and approximation in tasks of heuristic synthesis of digital filter. Russian technological journal, 6 (4), 42-65. Iyengar, S., and Greenhouse, J. B. (1988). Selection models and the file drawer problem. Statistical Science, 109-117. Kalinin, Maxim. A. (2012). The State of democratic movement of Western Siberia in the period of the election campaign in the first state Duma of the Russian Federation 1993 [Sostoyanie demokraticheskogo dvizheniya Zapadnoi Sibiri v period izbiratel'noi kampanii v pervuyu gosudarstvennuyu dumu RF 1993 goda]. Omsk scientific Bulletin [Omskii nauchnyi vestnik], 2(106), 25-28. Kashintsev, Nikita. P. (1996). Monitoring of changes: main trends [Monitoring peremen: osnovnye tendentsii]. Economic and social changes: public opinion monitoring [Ekonomicheskie i sotsial'nye peremeny: monitoring obshchestvennogo mneniya], 2, 4. Kryshtanovskaya, Olga, and Stephen White. (2005). The rise of the Russian business elite. Communist and Post-Communist Studies, 38 (3), 293-307. Kunicova, Jana, and Thomas F. Remington. (2008). Mandates, Parties and Dissent: Effect of Electoral Rules on Parliamentary Party Cohesion in the Russian State Duma, 1994â&#x20AC;&#x201D;2003. Party Politics, 14, 5, 555574. Kydyraliev, Michail. (2005). The Main causes and consequences of the political crisis of 1993 in Russia *Corresponding author (M.A. Nazarenko) +7 (926)162-4254. Email: nazarenko@mirea.ru ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 19069642 CODEN: ITJEA8 Paper ID: 10A19G http://TUENGR.COM/V10A/10A19GM.pdf DOI: 10.14456/ITJEMAST.2019.265

[Osnovnye prichiny i sledstviya politicheskogo krizisa 1993 g. v Rossii]. Bulletin of Issyk-Kul University [Vestnik Issyk-Kul'skogo universiteta], 13, 87. Ludrova, Anastasia. V. et al. (2014). Alternatives to the sustainable development of the country [Al'ternativy ustoichivogo razvitiya strany]. Innovation and investments [Innovatsii i investitsii], 8, 57-62. Lyubimov, Alexey. P. (2013). 20 years of the Constitution of the Russian Federation [20 let konstitutsii RF]. Representative power - XXI century: legislation, comments, problems [Predstavitel'naya vlast' - XXI vek: zakonodatel'stvo, kommentarii, problemy], 7-8 (126-127), 14-17. Makarov, Oleg.V. (2014). The Political crisis of 1993 in Russia and civil-legal regulation of public relations [Politicheskii krizis 1993 goda v Rossii i grazhdansko-pravovoe regulirovanie obshchestvennykh otnoshenii]. Territory of science [Territoriya nauki], 1, 153-159. Perepechko, Alexander S. et al. (2011). Organization and institutionalization of Russia’s political parties in 1905—1917 and 1993—2007: Similarities and differences from two occidentalist periods. Party politics, 17(5), 581-609. Schuch, Felipe B., et al. (2016). Exercise as a treatment for depression: a meta-analysis adjusting for publication bias. Journal of psychiatric research, 77, 42-51. Shahrai, Sergei. M. (2015). The constitutional crisis of 1993 and the adoption of the Constitution of the Russian Federation [Konstitutsionnyi krizis 1993 goda i prinyatie konstitutsii Rossiiskoi Federatsii]. Questions of jurisprudence [Voprosy pravovedeniya], 5, 10-37. Sharon, Roman. W. (2016). Russia Is Too Unique to Learn from Abroad? Elite Views on Foreign Borrowing and the West, 1993-2012. Comparative Politics Russia, 7(22), 31-40. Simonsohn, Uri et al. (2014). p-curve and effect size: Correcting for publication bias using only significant results. Perspectives on Psychological Science, 9 (6), 666-681. Whitefield, Stephen. (2009). Russian citizens and Russian democracy: perceptions of state governance and democratic practice, 1993-2007. Post-soviet affairs, 25(2), 93-117. Dr.Maxim A. Nazarenko is Chair of the Department of Quality Management and Certification in MIREA — Russian Technological University. He received his Ph.D. in Physics and Mathematics. Dr. Nazarenko scientific interests cover a wide range of subjects, especially in Quality Management and Standardization, Scientometric Indicators. Ivan M. Ponyaev is a Lecturer in Department of International Organizations and World Political Processes, Faculty of World Politics, Moscow State University. He has graduated from post-graduation program in Moscow State University in Political Sciences. He is going to get a Ph.D. in this field. His main scientific interests are Political Crises, Democracy Development and Russian International Policy. Dr.Alexander S. Novikov is Chair of the Department of Quality Management and Certification in MIREA — Russian Technological University. He received his Ph.D. in Technical Sciences. Dr. Novikov is interested in Standardization and Quality Management, including Scientific Papers Similarity.

Maxim A. Nazarenko, Ivan M. Ponyaev, Alexander S. Novikov

International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies http://TuEngr.com

PAPER ID: 10A19H

RELATIONSHIP BETWEEN MODERN HUMAN RESOURCE MANAGEMENT PRACTICES AND ORGANIZATIONAL INNOVATION: EMPIRICAL INVESTIGATION FROM BANKING SECTOR OF CHINA Samma Faiz Rasool a, Madeeha Samma b*, Amna Anjum c, Mubbasher Munir d, and Talat Mehmood Khan e a

Postdoctoral Station of Statistical, School of Innovation and Entrepreneurship, Entrepreneurship Institute, Guangzhou University, Guangzhou, 510006 CHINA b School of Management, Shanghai University, Shanghai, 200444 CHINA c Glorious Sun School of Business and Management, Donghua University, Shanghai 200051, CHINA d School of Business and Economics, UMT, Lahore, 54000, PAKISTAN e School of Finance, Southwestern University of Finance and Economics, Chengdu, 61130 CHINA ARTICLEINFO

A B S T RA C T

Article history: Received 15 May 2019 Received in revised form 09 September 2019 Accepted 27 September 2019 Available online 30 October 2019

The study examines the effect of modern human resource management (HRM) practices on organizational innovation (OI) in the banking sector of China. A questionnaire survey was used in this study. The correlation and regression analysis are used to test the hypotheses with a sample of 140. The results indicate that modern human resource management practices have a positive relationship with OI. The finding highlights among all modern HRM practices performance management has a strong, positive effect on OI. However, our study indicates that a higher level of performance management provides a higher level of OI in the banking sector of China.

Keywords: Modern HRM Practices; Organizational Innovation; Performance Management.

INTRODUCTION The Human Resource (HR) practices play a very vibrant role in attaining the organization’s goals and keep a competitive advantage (Imran et al., 2014; Koser et al., 2018). The success of an organization depends upon several factors, but the most important factor is employees, which affects the organizational performance (Anjum et al., 2018; Den Hartog et al., 2004). These employees play as human resources of the organization an integral role in achieving innovative and high-quality products and services. HRM is the procedure of preparing, obtaining, assessing, and reimbursing workers and of taking care of their work relations, security, and reasonable concerns. Successful organizations make competitive advantages through innovation and creativity (Rasool et al., 2019). *Corresponding author (Madeeha Samma). Email: Madeeha@i.shu.edu.cn ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19H http://TUENGR.COM/V10A/10A19H.pdf DOI: 10.14456/ITJEMAST.2019.266

Thus, the creative contribution of employees brings innovation to the organization (Lin, 2011). Organizational innovation (OI) means the process of executing new ideas to create value for the organization. Also, OI is creating a new service, techniques, process, and system. “It is a process of realization of a new method, product or service” (Thompson, 1965). OI is the effective execution of unique ideas for new products, processes or services within the organization (Amabile, 1988). These delicate practices to develop knowledge of organization for industry goals such as novelty, innovation, and performance of companies (Chen & Huang, 2009). HRM practices and OI are directly influencing the company’s performance (Azar & Ciabuschi, 2017). Several gaps still exist in this field. Firstly, most of the researchers focus on cases in the USA, Western countries and other countries, including Japan, Singapore, Korea, New Zealand, Russia and India (Ahmad & Schroeder, 2003; Bae & Lawler, 2000; Chand & Katou, 2007; Delaney & Huselid, 1996; Fey & Björkman, 2001; Guthrie, 2001; Vlachos, 2008; Wan et al., 2002). However, few researchers are a focus on China, but they have not focused on financial institutions, these financial institutions cannot be neglected because they anticipate a prominent role in the social and economic improvement in China. The objective of this research to fulfill this gap through the application of the RBV (resource-based view) theory. This theory examines how human resources are applied and combined the HRM practices and organizational competitive advantage (Ordonez de Pablos, 2004; S Rasool & Mouna Koser, 2016). This is the foremost research which inspects the relationship between HRM practices and OI in the banking sector of China.

CONCEPTUAL BACKGROUND 2.1 MODERN HRM PRACTICES IN CHINA Chinese organizations were familiar with HRM practices. A vast amount of western and Chinese scholars brought attention to the practical implementation and theoretical implementation of HRM in Chinese organizations. A famous scholar Wang (1985), conveys the simple concept of HRM in Chinese culture, he brings HRM concept from psychology theories and introduces in Chinese firms (L. Zhao, 1998). Moreover, national wide main changes in HRM were introduced in the middle of 1990. The main changes are the welfare of employees, labor law, regulation, and performance-based reward, fixedterm employment contracts, employee relations, and succession planning (Koser et al., 2018). At the end of 1990, the Chinese understand that HRM practices in china required several changes that are called innovation (Ngo et al., 2008). Hence, HRM-practices are extensively applied in Chinese firms. Due to changes in the enterprise management system and the economic system did not provide solid support to the labor market in China (Zaman et al., 2019). Additionally, multinational organizations started investment in Chinese organizations at the end of 1990, and these investments bring western capital, corporate culture, and management style. At the start of the 21st century, there are progressive reforms in HRM-practices have been launched in the international market that affects the Chinese labor market. Thus, China became a member of the WTO (world trade organization) in December 2001 (Chang et al., 2017). WTO brings a lot of reforms into the Chinese economy that creates a complex market and operational environment in China (Abbas et al., 2019). These reforms in the

S.Faiz Rasool, M.Samma, A.Anjum, M.Munir, T.Mehmood Khan

Chinese economy transfer modern HRM-Practices into Chinese firms (S. Zhao & Du, 2012). Therefore, modern HRM practices are increasing with the passage of time and these practices play a vibrant role in attaining the organization’s goals and keeping a competitive advantage in the banking sector of China (Gondal & Shahbaz, 2012).

2.2 ORGANIZATIONAL INNOVATION (OI) A famous scholar Damanpour (1996) gives argues that innovation in an organization means the successful implementation of unique ideas for product development, processes development and administrative development of the organization (Galvez et al., 2018). A scholar claims that without creative ideas, from employees, there will be no innovation in the organizations. Moreover, he suggests that first organizations create ideas, secondly develop these ideas and finally implement them (Hsu, 2017). Furthermore, improve the existing corporate practices that are based on organizational methods also re-engineering the management strategy and mergers and acquisitions. The organizational design and structure developments affect the OI that leads to improved intra-organizational coordination and cooperation instruments (Azar & Ciabuschi, 2016). In the last ten years, a considerable number of research studies have been conducted on OI from different perspectives (Kraśnicka et al., 2017). The comprehensive detail of the last 10-year research on OI is shown in table 1. Table 1: The dimensions and concept of Organizational innovation in the last 10 years Authors Birkinshaw et al. (2008) Mothe and Uyen Nguyen Thi (2010) Terziovski (2010) (Damanpour & Aravind, 2012) Vaccaro et al. (2012)

Dimensions and Indicators Process innovation, administrative innovation, and management techniques. Administrative innovation approaches production organization. Innovation strategy, technological innovation and capabilities. Strategy, structure, procedural innovation

Hecker and Ganter (2013)

Administrative and process innovation, organizational structures. Workplace organization, knowledge management.

Camisón and Villar-López (2014) Tajeddini (2016)

Administrative innovation, product innovation, process innovation. Product innovation, Business performance.

Prifti and Alimehmeti (2017)

Concept Management innovation Organizational Innovation Organizational Innovation Management innovation Open Innovation

Innovation, market orientation, organizational performance. Source: adopted and extended from Kraśnicka et al. (2017)

Management innovation Organizational Innovation Organizational Innovation Organizational Innovation

THEORETICAL BACKGROUND AND HYPOTHESIS FRAMING 3.1 THEORETICAL BACKGROUND The RBV comes from the blending concept of strategic management and organizational economics (Jackson & Schuler, 1995). Previous studies on human resource management have been proven that HRM practices have a positive relationship with OI (Diaz-Fernandez et al., 2017; Fay et al., 2015). As pointed by Hayton (2005) organizations should attract, develop, and retain talent to *Corresponding author (Madeeha Samma). Email: Madeeha@i.shu.edu.cn ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19H http://TUENGR.COM/V10A/10A19H.pdf DOI: 10.14456/ITJEMAST.2019.266

develop the appropriate environment for being innovative. Human resource management practice affects the organizational justice that links the individuals towards effectiveness and creativity in the organization (SF Rasool & Mouna Koser, 2016). Therefore, the main aim of HRM is to achieve organizational targets through the employees and the firmâ&#x20AC;&#x2122;s creative competitiveness (Ali et al., 2017). According to the contemporary view, innovation in HRM, increasing the organizationâ&#x20AC;&#x2122;s resources through managerial skills, attitudes, abilities, and capabilities (Wichitchanya & Durongwatana, 2012). Within the HRM field, it is common to combine practices into one or more bundles that jointly exercise their influence on engagement (Van Dierendonck et al., 2016). Drawing upon theoretical framework, Fig.1 is presenting that five HRM practices are combined into one bundle and showing the relationship among HRM practices and OI. Figure.1 is indicating that the OI is the dependent variable and five HRM practices are independent variables.

Figure 1: Theoretical Framework

3.2 HYPOTHESES FRAMING Recruitment of talented personnel transport sustainability and creativity in the organization (Delery & Doty, 1996). Schuler (1989) has given evidence in his study that recruitment and selection affect the organizational values because they select a suitable and capable candidate according to the need of the organization. The organizations which recruit the right personnel for the right job play a significant role in development and creativity in the firms. In that sense, such kinds of firms introduce the talent acquisition strategies that carefully recruit the talent and make the competitive talent acquisition networks that bring innovation in the organization (Jiang et al., 2012). Thus, recruitment and selection is a very important segment of HRM that passes creativity in the organization. Organizational knowledge and OI have close relationships with each other. Moreover, a scholar gives

S.Faiz Rasool, M.Samma, A.Anjum, M.Munir, T.Mehmood Khan

evidence that OI is dependent upon the knowledge of the organization, which starts by recruiting talented employees (Subramaniam & Youndt, 2005). Therefore, we propose in our first hypothesis: H1 Recruitment and Selection positively influence organizational innovation The relationship of performance management on employee creativity is significant. Several researchers have pointed out that performance appraisal increases the motivation levels of employees and organizational creativity (Asif et al., 2019; Egan, 2005). During the performance appraisal process, the supervisor and HR custodian must give feedback to employees. In that case, the feedback of gaps between actual performance and goals will increase employee’s motivation, work creatively and innovation in organization (Shipton et al., 2006). Additionally, given feedback from supervisors to employees regarding job improvement, then they may adopt creative and developing new approaches to their activities. Employees will start a new way of performing their tasks to fulfill the performance gap (Jiang et al., 2012). In this spirit, our second hypothesis is as follows: H2. Performance Management positively influences organizational innovation Effective organizations spent on employee’s training and development, so these investments produce talented workers and creative ideas. Organizations may provide employees various training and development programs to improve new skills, knowledge, and innovative capabilities that are necessary for OI (Chen & Huang, 2009). Boselie et al. (2005) describe that training and development have a positive relationship with OI, but this relationship will be moderated by worker status. Furthermore, he suggests that those workers who have permanent status will participate positively rather than a temporary status worker. However, we propose in our third hypothesis H3. Training and Development positively influence organizational innovation In the current area, HR technology becomes more and more important for organizations because it speeds up the process, improving quality and reducing cost. These possible advantages bring innovation in organizations (Strohmeier, 2009). The use of HR-technology brings continuous improvement in the organizational structure. Moreover, current era organizations are facing keep competition, so far the sake of competing organizations improve and maintain the competitive advantages by developing electrical human resource practices and joint strategies, i.e. strategic alliance joint venture and vertical integration. Furthermore, the adoption of HR-technology will affect OI because technologies improve the latest information, quality of work and knowledge inside and outside the organizations (Lin, 2011). Previous studies also have been given evidence that HRtechnology has a significant relationship with the OI (Jarle Gressgård, 2011). So we propose in our fourth hypothesis H4 HR Technology positively influences organizational innovation Compensation and benefit are one of the significant practice of HRM, and it affects the motivation and behavior of employees. According to the AMO theorist compensation system, enhance motivation among employees, which brings a creative attitude at work. Effective organizations design attractive compensation and benefits packages to attract skilled employees. So, these skilled employees create competitiveness in organizations (Lepak et al., 2006). Compensation *Corresponding author (Madeeha Samma). Email: Madeeha@i.shu.edu.cn ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19H http://TUENGR.COM/V10A/10A19H.pdf DOI: 10.14456/ITJEMAST.2019.266

and benefits offer employee recognition, career growth, and economic return. These opportunities introduce a new product, process, and services that bring the concepts of OI. Compensation and benefits are affecting the motivation of employees, so it increases the participation and contributions of employees that sketches road-map of creativity for the organization (Farooq et al., 2016). Therefore, we propose the following hypotheses: H5. Compensation and Benefit positively influence organizational innovation

RESEARCH METHOD 4.1 SAMPLING AND DATA COLLECTION A questionnaire survey was used in this research to seek responses from five major Chinese banks. The data were collected from 25 Shanghai branches of five Chinese banks that exercise modern HRM practices and have incorporated modern innovation mechanisms into their businesses. The respondents were senior employees at the supervisor level, who have been at least six years of working experience in the Chinese banking sector. The authors distribute 300 questionnaires among the targeted employees and received 150 filled questionnaires among them ten are incomplete, so the completed sample size of our research is 140, i.e., đ?&#x2018;&#x203A; = 140. The overall response rate was 47 percent.

4.2 PILOT STUDY In designing the questionnaire first, we draft a questionnaire in English language, then translate it into the Chinese language. Then we conducted a pilot study. The respondent of this pilot study was five Chinese Ph.D. students and five Chinese Professors. Moreover, the respondent of the pilot study was familiar with the research topic and both languages. These respondents suggest some modifications to the questionnaire. Therefore, we revised the questionnaire using the feedback from the pilot study respondents. After revision, we got approval from students mentioned above and Professors and disseminate the questionnaire among the HR professionals in the banking industry of China.

4.3 MEASUREMENTS In this paper, we adapt items and modified in the context of HRM practices and OI (Ali et al., 2017; Hogan & Coote, 2014; Lu et al., 2015; Molleman & Timmerman, 2003; Ngo et al., 2008; Prifti & Alimehmeti, 2017). A total 36 items were used in the questionnaire with 5 points Likert-Scale (five stands for strongly agree, four stands for agreeing, three stands for neutral, two stands for disagreeing and one stand for strongly disagree). Furthermore, we used the SPSS software for analysis and the findings, reliability, averages of factors, standard deviation, correlations and test the required hypothesis by using regression analysis. In this paper, we fallow and applied correlation and regression analysis to test the connection between modern HRM practices and OI (Tuan et al., 2016).

S.Faiz Rasool, M.Samma, A.Anjum, M.Munir, T.Mehmood Khan

RESULT 5.1 DESCRIPTIVE STATISTICS The findings highlighted the significant positive relationship between modern HRM practices with OI in the banking sector of China. The descriptive statistics and correlations for this study are shown in Table-2. The value of Pearson correlation (r = 0.518, p < 0.01) of recruitment & selection with OI which is positive and significant; it shows that when recruitment and selection increase then OI will also increase in banking sector of China. The value of Pearson correlation (r = 0.469, p < 0.01) of HR technology with OI, which is positive and significant; it shows that when HR-technology increases, then OI will also increase. The value of Pearson correlation (r = 0.127, p < 0.01) of training and development with OI, which is not significant but positive relationship with OI. The value of Pearson correlation (r = 0.533, p < 0.01) of performance management with OI, which is positive and significant; it shows that when performance management increases then OI will also increase. The value of Pearson correlation (r = 0.217, p < 0.05) of compensation & benefit with OI, which is positive and significant; it shows that when compensation and benefit increases then OI will also increase. In that case, if Chinese banks introduce and apply modern performance management and performance appraisal system, then they will get more innovation and advancement in the banking sector of China. Table 2: Means, Standard deviation and correlations Results 1. 2. 3. 4 5. 6.

Variables Organizational Innovation Recruitment and Selection Performance Management Training and Development HR Technology Compensation and Benefit

Mean 2.10 2.14 2.22 2.31 2.27 2.63

S.D .450 .635 .621 .511 .630 .837

1 1 .518** .533** .127 .469** 252**

1 .451** .059 .564** .217**

1 .134 .438** .150

1 .176 .0.59

1 .353**

5.2 REGRESSION ANALYSIS Regression Analysis is a statistical technique that is used to check the effect of one or more than one variable (independent variables) on another variable (dependent variable). Here we have taken HRM practices as the independent variable and OI as the dependent variable. Table-3 had shown the comparison of four different types of models using stepwise regression to check the more significant model which described the different aspects of HRM practices on OI. Model-1 shown that there was no autocorrelation problem in the multiple regression model because the value of Durbin Watson lied within the acceptable range (DW = 1.98), which meant that there is no autocorrelation in the model 1. The overall model was significant because the p-value of the ANOVA was 0.000, which meant that overall regression model-1 was fitted. From model-1, the regression coefficients of HRM practices like recruitment and selection was significant (β= 0.271, p-value = 0.002) but performance management was highly significant (β= 0.334, p-value = 0.000) among all HRM practices on OI. It means that performance management and recruitment and selection were highly influenced by OI. The aim of different models to pinpoint the most important coefficients by using stepwise regression criteria. We have seen that all the models (model-1 to 4) strongly recommended that performance management was the highly affected practice among all modern HRM practices on OI. *Corresponding author (Madeeha Samma). Email: Madeeha@i.shu.edu.cn ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19H http://TUENGR.COM/V10A/10A19H.pdf DOI: 10.14456/ITJEMAST.2019.266

We have checked the performance management, which was the most important variable that develops a direct impact on HRM practices in model-4 with high impact on OI in the banking sector of China. Table 3: The Results of Regression (HRM Practices on OI) Model 1 a Std. Î˛

Predictors

Model 2 b Std. Î˛

Model 3 c Std. Î˛

Model 4 d Std. Î˛

HRM Practices Recruitment and Selection 0.271 0.271 0.349 Performance management 0.334 0.336 0.375 0.533 Training and Development 0.037 HR-Technology 0.148 0.169 Compensation and benefit 0.044 .402a 0.399 b 0.381 c 0.284 d đ?&#x2018;&#x2026;2 0.000** 0.000** 0.000** 0.000** Model P-Value 18.022 a 30.104 b 42.143 c 54.696 d F-value â&#x2C6;&#x2014;â&#x2C6;&#x2014; . đ?&#x2018; đ?&#x2018;&#x2013;đ?&#x2018;&#x201D;đ?&#x2018;&#x203A;đ?&#x2018;&#x2013;đ?&#x2018;&#x201C;đ?&#x2018;&#x2013;đ?&#x2018;?đ?&#x2018;&#x17D;đ?&#x2018;&#x203A;đ?&#x2018;Ą đ?&#x2018;&#x17D;đ?&#x2018;Ą đ?&#x2018;Ąâ&#x201E;&#x17D;đ?&#x2018;&#x2019; 0.05 đ?&#x2018;&#x2122;đ?&#x2018;&#x2019;đ?&#x2018;Łđ?&#x2018;&#x2019;đ?&#x2018;&#x2122; đ?&#x2018;&#x153;đ?&#x2018;&#x201C; đ?&#x2018; đ?&#x2018;&#x2013;đ?&#x2018;&#x201D;đ?&#x2018;&#x203A;đ?&#x2018;&#x2013;đ?&#x2018;&#x201C;đ?&#x2018;&#x2013;đ?&#x2018;?đ?&#x2018;&#x17D;đ?&#x2018;&#x203A;đ?&#x2018;?đ?&#x2018;&#x2019; đ?&#x2018;&#x17D;. Predictors: (Constant), Performance Management, Recruitment & Selection, Human Resource Technology Training and Development and Compensation and benefit b. Predictors: (Constant), Performance Management, Recruitment & Selection and Human Resource Technology c. Predictors: (Constant), Performance Management, Recruitment & Selection d. Predictors: (Constant), Performance Management e. Dependent Variable: Organizational Innovation

5.3 HYPOTHESES RESULTS Table-3 shown that the hypotheses that explored the hypothetical relation and effects of modern HRM practices on the OI. Table-4 also shown that hypotheses H1, H2, H4, and H5 were playing significant relations with OI, whereas the H3 was shown an insignificant and weak relationship. The analysis depicts that employees belong to the Chinese banking sector were in favor of practicing human resource management and its artifacts. However, modern HRM-practices bring innovation in the organization that affects the performance of the organization. Table 4: Hypotheses Results Hypotheses H1 H2 H3 H4 H5

p-value <0.001** <0.001** 0.136 <0.001** 0.010*

Corr. 0.518 0.533 0.127 0.469 0.217

Results Significant Significant Insignificant Significant Significant

** Significant at the 0.01 level (2-tailed) * Significant at the 0.05 level (2-tailed)

DISCUSSION The findings highlight that all modern HRM practices have a positive relationship with OI except training and development. But among all HRM-practices, performance management has a highly positive and significant effect on OI. So, our findings indicate that Chinese financial institutions need to bring more attention to performance management. This research is one of the first major empirical investigations of the link between modern HRM practices and OI in the banking sector of China. Some previous conceptual and empirical studies also tested the link between HRM practices and OI, but these studies were conducted in different industries and regions (Lado & Wilson, 1994). These studies were supported the western organizational culture, but Chinese society and organizational culture are different from the west. In this study, we also have proven these studies are also supporting our study. A scholar Freeman (1988) conducted a study in japan to identify how Japanese modern

S.Faiz Rasool, M.Samma, A.Anjum, M.Munir, T.Mehmood Khan

national system transformed from traditional manufacturing system to OI. The outcome of this study explicitly notes modern human resource management practices construct a road map for product innovation, process innovation, and product innovation in Japanese organizations. Though this study was conducted in Japan, the results are supporting our study. Lau and Ngo (2004) examined the role of culture and HRM in innovation, this research was conducted in “Hong Kong” and provided evidence that HRM practices have a positive effect on OI. However, this study's main focuses were on organizational culture, but it supports the relationship between HRM and OI. The literature and his study support that new HRM practices and OI are significant associations with each other.

CONCLUSION We examine the effect of modern HRM practices on OI. Our results indicate that modern HRM practices have a positive relationship with OI. For this particular study, performance management and OI have a strong and positive relationship from all modern HRM practices in the banking sector of China. Jung et al. (2003) also support our study that performance management has a significant relationship with OI. Similarly, some other researchers have given evidence that performance management increases the motivation levels of employees and organizational (Egan, 2005; Harackiewicz & Elliot, 1993). In that sense, effective performance management would construct a roadmap of the motivation of the employees. Consequently, at the time of the performance appraisal process, giving opportunities for feedback to employees will improve the gaps between actual performance and goals. Similarly, our results have also shown the recruitment and selection is the second-highest variable that has a significant relationship with OI. So, firms can focus on screening before selection and organized comprehensive and rigorous interviews. This process will help the firms to recruit and replaced the right people for right positions. This study finding also supports the theoretical framework that explains the association between HRM practices and OI in the context of China. Similarly, the RBV theory also supports the relationship between HRM practices and OI (Li et al., 2006; Paauwe & Boselie, 2005). The results have proven that the uses of modern HRM practices are positive influences on the OI. For practitioners, the results point out the HR managers need to intensely manage their organization’s employees through a variety of HRM practices to encourage its competencies in handling OI and its applications. Which in return will increase the innovation in the banking sector of China? In this study, we have two main limitations that make a bridge for future research. Firstly, data are collected only from Shanghai, which means data is limited. In that sense, in the future, such kind of research could be conducted at the macro level, such as industries or regions with various types of corporations to generalize the results or modify the concept. Secondly, we have collected data at the supervisor level in future if we collect data on the operational level, then the result may more clarify the concept.

AVAILABILITY OF DATA AND MATERIAL Information used and generated from this work is available by contacting the corresponding author. *Corresponding author (Madeeha Samma). Email: Madeeha@i.shu.edu.cn ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19H http://TUENGR.COM/V10A/10A19H.pdf DOI: 10.14456/ITJEMAST.2019.266

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S.Faiz Rasool, M.Samma, A.Anjum, M.Munir, T.Mehmood Khan

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Kraśnicka, T., Głód, W., & Wronka-Pośpiech, M. (2017). Management innovation, pro-innovation organisational culture and enterprise performance: testing the mediation effect. Review of Managerial Science, 1-33. Lado, A. A., & Wilson, M. C. (1994). Human resource systems and sustained competitive advantage: A competency-based perspective. Academy of management review, 19(4), 699-727. Lau, C. M., & Ngo, H. Y. (2004). The HR system, organizational culture, and product innovation. International business review, 13(6), 685-703. Lepak, D. P., Liao, H., Chung, Y., & Harden, E. E. (2006). A conceptual review of human resource management systems in strategic human resource management research Research in personnel and human resources management (pp. 217-271): Emerald Group Publishing Limited. Li, Y., Zhao, Y., & Liu, Y. (2006). The relationship between HRM, technology innovation and performance in China. International journal of manpower, 27(7), 679-697. Lin, L.-H. (2011). Electronic human resource management and organizational innovation: the roles of information technology and virtual organizational structure. The International Journal of Human Resource Management, 22(02), 235-257. Lu, K., Zhu, J., & Bao, H. (2015). High-performance human resource management and firm performance: The mediating role of innovation in China. Industrial Management & Data Systems, 115(2), 353-382. Molleman, E., & Timmerman, H. (2003). Performance management when innovation and learning become critical performance indicators. Personnel Review, 32(1), 93-113. Mothe, C., & Uyen Nguyen Thi, T. (2010). The link between non-technological innovations and technological innovation. European Journal of Innovation Management, 13(3), 313-332. Ngo, H. Y., Lau, C. M., & Foley, S. (2008). Strategic human resource management, firm performance, and employee relations climate in China. Human Resource Management, 47(1), 73-90. Ordonez de Pablos, P. (2004). The nurture of knowledge-based resources through the design of an architecture of human resource management systems: implications for strategic management. International Journal of Technology Management, 27(6-7), 533-543. Paauwe, J., & Boselie, P. (2005). HRM and performance: what next? Human resource management journal, 15(4), 68-83. Prifti, R., & Alimehmeti, G. (2017). Market orientation, innovation, and firm performance—an analysis of Albanian firms. Journal of Innovation and Entrepreneurship, 6(1), 8. Rasool, S., & Koser, M. (2016). Two folded layers of organizational justice. Int. J. Res, 3, 368. Rasool, S., & Koser, M. (2016). Two folded layers of organizational justice. Rasool, S. F., Maqbool, R., Samma, M., Zhao, Y., & Anjum, A. (2019). Positioning Depression as a Critical Factor in Creating a Toxic Workplace Environment for Diminishing Worker Productivity. Sustainability, 11(9), 2589. Schuler, R. S. (1989). Strategic human resource management and industrial relations. Human relations, 42(2), 157-184. Shipton, H., West, M. A., Dawson, J., Birdi, K., & Patterson, M. (2006). HRM as a predictor of innovation. Human resource management journal, 16(1), 3-27. Strohmeier, S. (2009). Concepts of e-HRM consequences: a categorisation, review and suggestion. The International Journal of Human Resource Management, 20(3), 528-543. Subramaniam, M., & Youndt, M. A. (2005). The influence of intellectual capital on the types of innovative capabilities. Academy of Management journal, 48(3), 450-463. Tajeddini, K. (2016). Financial Orientation, Product Innovation and Firm Performance—An Empirical Study in the Japanese SMEs. International Journal of Innovation and Technology Management, 13(03), 1640005. Terziovski, M. (2010). Innovation practice and its performance implications in small and medium enterprises

S.Faiz Rasool, M.Samma, A.Anjum, M.Munir, T.Mehmood Khan

(SMEs) in the manufacturing sector: a resource‐ based view. Strategic Management Journal, 31(8), 892-902. Thompson, V. A. (1965). Bureaucracy and innovation. Administrative science quarterly, 1-20. Tuan, N., Nhan, N., Giang, P., & Ngoc, N. (2016). The effects of innovation on firm performance of supporting industries in Hanoi, Vietnam. Journal of Industrial Engineering and Management, 9(2), 413. Vaccaro, I. G., Jansen, J. J., Van Den Bosch, F. A., & Volberda, H. W. (2012). Management innovation and leadership: The moderating role of organizational size. Journal of Management Studies, 49(1), 28-51. Van Dierendonck, D., Lankester, A., Zmyslona, M., & Rothweiler, H. (2016). Linking HRM Practices and Institutional Setting to Collective Turnover: An Empirical Exploration. Administrative Sciences, 6(4), 18. Vlachos, I. (2008). The effect of human resource practices on organizational performance: evidence from Greece. The International Journal of Human Resource Management, 19(1), 74-97. Wan, D., Ong, C. H., & Kok, V. (2002). Strategic human resource management and organizational performance in Singapore. Compensation & Benefits Review, 34(4), 33-42. Wang, T. (1985). A general treatise of human capital: Tianjin: Tianjin Renmin Press. Wichitchanya, W., & Durongwatana, S. (2012). Human resource management and organizational innovation. The Business Review, 20(1), 221-227. Zaman, Q., Zaman, S., Hussain, M., Amin, A., & Faiz Rasool, S. (2019). Situational Analysis of Public Sector Schools in Rural Areas of Southern Punjab, Pakistan. European Online Journal of Natural and Social Sciences: Proceedings, 8(3 (s)), pp. 42-54. Zhao, L. (1998). Labor employment and the building of labor market: Nanjing: Jiangsu Renmin Press. Zhao, S., & Du, J. (2012). Thirty-two years of development of human resource management in China: Review and prospects. Human Resource Management Review, 22(3), 179-188. Dr. Samma Faiz Rasool is a Post-doctoral fellow at School of Innovation and Entrepreneurship, Entrepreneurship Institute, Guangzhou University, Guangzhou, P.R.China. He received his PhD degree from School of Management, Shanghai University, P.R.China. He is a well-versed academician and development professional having eight years of industry, academia, and development experience. Dr. Samma’s research area of interests are Human Resource Management, Innovation Management, and Health Management. Madeeha Samma is a PhD Research Scholar at School of Management, Shanghai University. She has published many research papers in impact factor and international journals. Her areas of interest are Health Management, Workplace Violence and Human Resource Management.

Amna Anjum is a Ph.D. scholar at Glorious Sun School of Business and Management, Donghua University. She has experience both in educational as well as corporate sectors such as working with Lahore Chamber of Commerce as an HR Advisor. She has well-served in devising HR policies for the improvement of work environment, employee welfare and employee productivity. Her areas of interest are SHRM Practices, Stress Management, Health Management, Workplace Environment and Performance Management. Mubbasher Munir is currently working as a Lecturer at School of Business and Economics, University of Management and Technology, Lahore, Pakistan. He graduated from University of the Punjab, Lahore, Pakistan and also have completed a Master degree from Government College (GC) University Lahore Pakistan. He has established quantitative reasoning skills and research experience in Applied and Robust Regression Analysis. Talat Mehmood Khan is currently doing PhD in Finance at Southwestern University of Finance and Economics, Chengdu, P.R. China. He received his Master's degree from Comsats University, Wah-Cantt, Pakistan. His area of research is corporate management and sustainable development.

*Corresponding author (Madeeha Samma). Email: Madeeha@i.shu.edu.cn ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19H http://TUENGR.COM/V10A/10A19H.pdf DOI: 10.14456/ITJEMAST.2019.266

International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies http://TuEngr.com

PAPER ID: 10A19I

METHODS FOR ASSESSING SOLVENCY IN THE FINANCIAL DIAGNOSTICS SYSTEM OF AN ECONOMIC ENTITY Natalia N. Karzaeva

, Ekaterina A. Karzaeva

Department of Economic Security, Analysis and Audit, Institute of Economics and Management of AIC, Russian State Agrarian University named after K.A. Timiryazev, Timiryazevskaya st., 49, 127550, Moscow, RUSSIA. b LLC "Delta UK", 1-j Magistral'nyj pr., 11, str.5, 123290, Moscow, RUSSIA. ARTICLEINFO

A B S T RA C T

Article history: Received 30 May 2019 Received in revised form 16 September 2019 Accepted 07 October 2019 Available online 25 October 2019

The paper substantiates the need to assess the solvency of an enterprise not in the past, but in the future. The authors substantiate the limited applicability of solvency ratios proposed by other scientists and specialists, as well as the usability of those indicators for future periods. The authors' conclusions are based on the results of studying by them the possibilities of ratio analysis to assess the solvency margin of an economic entity. The paper discloses an approach to building a model for assessing the solvency of a company in a future period; this approach is based on a comparison of predicted cash flows. The authors adhere to the approach based only on cash flows (monetary approach) to assess the solvency of a company in the future. To build cash flows, it is proposed to apply the schemes for the transformation of receivables and payables into cash, taking into account the periods of deferrals provided by the agreements and the risks of default by debtors. The authors have compiled a list of factors that influence the formation of cash flows. The paper presents the procedure for constructing a model for assessing solvency, taking into account factors that influence it. The authors also proposed a model for the conversion of receivables and payables into cash through a deferral indicator. The paper demonstrates the possibility of using the predictive solvency model by both internal and external stakeholders.

Keywords: Solvency ratio; Future periods, Planning, Cash flows; Deferral of payment; Beaver Ratio.

1. INTRODUCTION Financial diagnostics is an integral element of the analytical work to determine the economic condition of an economic entity, the stage of its life cycle, as well as the identification of phenomena that prevent the enterprise under investigation from maintaining a stable position and achieving its goals. The key link in financial diagnostics is the solvency characteristics of the economic entity, the *Corresponding author (Natalia N. Karzaeva) Tel: +7-499-97639-41 Email: k-nn@yandex.ru ©2019 International Transaction

Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID: 10A19I http://TUENGR.COM/V10A/10A19IM.pdf DOI: 10.14456/ITJEMAST.2019.267

support of which is the basis of the financial health of an enterprise. In the event of insolvency, the enterprise cannot develop and expand its business. To get out of a crisis state, first of all, it involves paying off debts to suppliers and creditors and restoring the solvency of the enterprise as a whole. Thus, the basis of the characteristics of the financial health of an economic entity is the solvency ratio, the accuracy of which affects the quality of the entire financial diagnosis. The most common methods of financial diagnostics of enterprises, including solvency assessment, are analytical procedures, which are based on ratio analysis. These analytical procedures can be based on individual ratios, a group of indicators united by the target focus of the study, statistical models with the inclusion of additional factors or weight constants. The current methodology for assessing the solvency of an economic entity, enshrined in the regulatory documents of the Russian Federation is based on the calculation of liquidity indicators, namely, absolute and current liquidity ratios, liquidity ratio of funds, and the degree of solvency for current liabilities indicator. Many Russian scientists, in particular, Kovalev (2006), Gradov (2007), Efimova (2010), Krejnina (2010), Savickaya (2000), Sheremet (2009) and others refer to this solvency assessment methodology and analyze it. In addition to calculating the system of ratios, Sheremet (2009) finds it appropriate to analyze the solvency balance, which includes an assessment of the absolute indicators characterizing the size of non-payments by companies to credit organizations, suppliers, and the budget. Because long-term solvency characterizes the financial stability of a company, Lukasevich (2010) proposes additionally to use an autonomy indicator calculated as the ratio of the equity capital to the size of the company assets to assess solvency. This indicator is called the coefficient of total solvency. Melnik & Gerasimova (2007) include financial soundness indicators in the solvency assessment procedures. Instead of solvency ratio, Seleznev & Ionova (2010) use the financial leverage ratio calculated as the borrowed capital to equity capital ratio. Thus, the difference in the methods of assessing solvency proposed by Russian scientists lies only in the composition of the ratios used. More sophisticated solvency assessment models may include rating systems and a weight component. So, the scoring model for the integrated assessment of the financial soundness of an economic entity proposed by D. Duran includes three indicators: return on equity, current liquidity ratios, and financial independence. The scientist attempted to assess solvency not through the availability of funds allocated for debt repayment, but through an assessment of the possibility to generate them. The Credit-Men method developed by J. Depalian and used to assess the possibility to repay obligations by an economic entity has three fundamental differences from the previous model: different quantitative and qualitative composition of indicators, application of weights to indicators, and rationing of each indicator. A solvency assessment for an economic entity is also carried out by applying the Audit Expert methodology to compare assets systematized by the degree of their liquidity in descending order with liabilities systematized by their maturity in ascending order. Compliance with the required ratio allows us to assess the accounting liquidity and, therefore, the solvency margin of the economic entity. The solvency assessment problem when using the Audit Expert methodology lies in the ambiguous nature of equity capital and the various structures of the company liabilities. As a rule, equity capital, regarded as a â&#x20AC;&#x153;safety marginâ&#x20AC;? in assessing solvency, consists of the authorized capital invested by the owners of an economic entity and the profit generated over the entire existence of the enterprise. But capital also includes other items, for example, additional or reserve capital, which

Natalia N. Karzaeva, Ekaterina A. Karzaeva

cannot be used to pay off liabilities. Therefore, without a detailed analysis of the capital structure, comparing its entire amount with the company liabilities is unreasonable. Analysis of solvency assessment methodologies allows us to draw several conclusions. Firstl y, the regulatory acts of the Russian Federation regulate methods for calculating several indicators, with the help of which it is recommended to analyze solvency. Secondly, among Russian scientists, there is no unanimous opinion on the solvency ratio. Thirdly, in the foreign practice of solvency analysis, there is a generally accepted solvency ratio, which goes back to the studies of W. Beaver. The works by Arens et al. (2012), Jooste (2007), Maverick (2015), Kieso et al. (2014), recommend to calculate Solvency Ratio indicator using the formula: Solvency Ratio =

(Net After − Tax Income + NonCash Expenses) ShortTerm Liabilities

+ LongTerm Liabilities)

(1)

Solvency Ratio calculation for solvency assessment is recommended by International GAAP 2016 (Ernst & Young, 2013). Beaver Ratio is similar in its meaning and is calculated by the formula (Beaver, 1966): Beaver Ratio = Operational Cash Flow / Total Debt = Operational Cash Flow / (Short Term Debt + Long Term Debt)

(2)

This indicator reflects the ratio of net cash flow to total liabilities. Operating cash flow is calculated by adjusting the actual net profit of the period under study for non-monetary items such as changes in inventories, receivables, and payables from operating activities during the period, depreciation and expenses that were incurred but not paid in the same period. All these data can be obtained from the accounting (financial) statements. The Total Debt value is taken from the balance sheet of the company at the end of the period under study. The ratio value is compared with critical values, which vary depending on the industry sector of the enterprise. The amount of net cash flow, being the generated cash for the period, shows the sufficiency of resources to repay the debt available at the end of the reporting period. The inclusion in the formula for calculating the solvency ratio of all obligations, and not just the amount of debt that must be repaid in the period under study, minimizes the level of the ratio, which characterizes it as more conservative. But the application of this formula can show the adequacy of net cash flow to cover the currently known amount of debt, but it will not reflect the real situation of a shortage of funds to cover accounts payable, which will be formed soon. An important difference between Russian and foreign solvency assessment practices is the use of liquidity ratios. While the Russian regulations envisage the use of liquidity ratios to characterize solvency, a foreign practice strictly separates these concepts. A solvent is an enterprise that can fulfill its obligations in the long term. So, Flynn et al. (2016) describe the solvency ratio as follows: “The solvency ratio is a key metric used to measure an enterprise’s ability to meet its debt obligations and is used often by prospective business lenders. The solvency ratio indicates whether a company’s cash flow is sufficient to meet its short- and long-term liabilities” (Flynn et al., 2016). Therefore, the concept of solvency in this interpretation is closer to the term financial soundness, which is traditional for Russian literature. Liquidity, as the ability of an enterprise to quickly sell its assets to receive cash, is certainly associated with solvency and is its guarantee. However, these are not identical concepts and it is not *Corresponding author (Natalia N. Karzaeva) Tel: +7-499-97639-41 Email: k-nn@yandex.ru ©2019 International Transaction

practical to identify solvency with liquidity. In Russian practice, the concept of "liquidity" is more applicable to the characterization of the provision of short-term liabilities with relevant assets. Earlier, we determined the limitations of liquidity indicators used to assess the solvency margin: 1) Absence of solvency’s dependence on the length of the period for the transformation of material values at different stages of the production process into cash with its continuous nature; 2) Liquidity ratios do not reflect the content of the liquidity concept as the ability of assets to transform into cash, but reflect the ratio of groups of assets and groups of liabilities; 3) The procedure for calculating the quick asset and current liquidity ratios does not take into account differences in the maturities of liabilities and the period of circulation of individual groups of assets; 4) Incompatibility of accounts payable and property estimates repayment, excluding cash (Karzaeva, 2015; Karzaeva & Karzaeva, 2016). Another example of worthlessness of solvency assessments using traditional ratio analysis tools are enterprises that are part of a group of companies and often have large amounts of receivables and payables to other companies in the group or parent company. This is the so-called intragroup debt. This circumstance requires either an adjustment of liabilities for the amount of intra-group debt or an assessment of the solvency of the entire group relative to external creditors. As foreign scientists note, non-financial analytics also plays an important role in assessing solvency. “Certain events can create a risk to an entity’s solvency. In the case of business, the pending expiration of a patent may pose risks to solvency as it will allow competitors to produce the product in question and it results in a loss of associated royalty payments. Further, changes in certain regulations that directly impact a company’s ability to continue business operations can pose an additional risk. Both businesses and individuals may experience solvency issues should a large judgment be ordered against them after a lawsuit” (Rittenberg et al., 2008). Beams et al. (2016) emphasize the need to make adjustments for industry specifics when analyzing the solvency of an enterprise: “Companies in debt-heavy industries like utilities and pipelines may have lower solvency ratios than those in sectors such as technology. To make an apples-to-apples comparison, the solvency ratio should be compared for all utility companies, for example, to get a true picture of relative solvency” (Beams et al., 2016). Sandstrom (2016) also notes that the solvency ratio is not always justified: “Measuring cash flow rather than net income is a better determinant of solvency, especially for companies that incur large amounts of depreciation on their assets but have low levels of actual profitability. A company may have a low debt amount, but if its cash management practices are poor and account payable is surging as a result, its solvency position may not be as solid as would be indicated by measures that include only debt” (Sandström, 2016). Thus, the ratio analysis proposed by both Russian and foreign scientists and specialists cannot ambiguously characterize the solvency of an enterprise without additional analytical procedures. The main objective of this study was to build a model for assessing the solvency margin of an economic entity in the future period based on the principle of comparability of the compared indicators. A model for assessing the solvency level on the basis of comparable cash flows, on the one hand, of expected cash receipts in a future period under study, and, on the other hand, planned payments in the same period, will more accurately determine a company's solvency taking into account operating, financial and investment activities. Following the purpose of the study, the following tasks were identified as the main ones:

Natalia N. Karzaeva, Ekaterina A. Karzaeva

- Identification of factors affecting the formation of cash flows in future periods; - Development of a model for assessing the solvency margin based on comparable cash flows for the analyzed period.

2. METHOD The methodological basis of the study was the fundamental principles of finance and financial analysis theories. When constructing a model for assessing a solvency margin, the method of lengthening the classical model was used. The study is based on the analysis of scientific work in the field of financial analysis, in particular, the development of solvency ratios for companies. As the factual material of the study, actual information on the results of seven years of the second decade of the 21st century from 13 enterprises located in Moscow was used.

3. RESULTS Persons making managerial decisions are interested not so much in information about the achieved solvency level as in the ability of an economic entity to fulfill its obligations in the future. Therefore, they need to assess long-term solvency, i.e. maintaining the ability of a company to repay its debt in the future. Payables should be compared with available cash and future cash flows for a correct assessment of solvency. Methods for assessing solvency based on cash flows proposed by Russian scientists and specialists are based on historical data (Efimova, 2010; Yusubova, 2016; Kogdenko, 2015; Sandulova & Kotlyar, 2017), which limits the scope of application of the results since positive cash flows in the past do not guarantee the continuation of such a trend in the future. This approach is due to the desire of the authors of the developments to give a universal tool both for internal to the enterprise under study and for external users of this tool. It seems that the solvency of the enterprise in the future can be assessed only based on the planned performance indicators of the enterprise (revenue, expenses and, consequently, cash flows). Since the planned indicators are internal and, as a rule, confidential information contained in budgets, estimates and other similar documents, only employees of this enterprise can assess solvency in future periods. Therefore, this indicator is intended for internal use by managers of an economic entity, but this does not exclude the possibility of providing it to external users as part of integrated reporting. Planned cash flow indicators increase the accuracy of solvency assessment and increase its reliability. To determine the predicted solvency, it is necessary to apply comparable data on planned cash receipts and payments, i.e. attributable to the same future period: year, quarter, and month. Also, a necessary condition for the correctness of the solvency assessment is the accounting of only cash flows generated as a result of the implementation of the planned business operations. Solvency ratio is defined as the ratio of the planned cash inflows and their planned outflows, including all types of activities: operational, investment, financial. Urgent sale of assets or unscheduled fundraising to repay liabilities is adverse factors for the enterprise, indicating the crisis situation of the company, which threatens the continuity of its activities. Given the excess of cash over liabilities to maturity, we can talk about the solvency of the company in a specific future period. Solvency ratio based on cash flows was proposed by Efimova (2010): *Corresponding author (Natalia N. Karzaeva) Tel: +7-499-97639-41 Email: k-nn@yandex.ru ÂŠ2019 International Transaction

КSt =

CBt+CIt COt

(3)

Where: КSt - solvency ratio for the period t; T - the period for which solvency is examined. If solvency is examined for 12 months of the planned year, then t will take values from 1 to 12; C Bt - the amount of cash at the beginning of the period under study; C It - cash flow for the period under study; C Ot - cash outflow for the period under study. However, Efimova (2010) used this ratio to assess solvency in previous periods. We propose to put this model as the basis for building a model to assess the solvency of the company in the future. When calculating the solvency ratio, all proceeds should be taken into account, including the company's operating, investment and financial activities in the period under study: КSt =

CBt+COIt+ CIOt+ CFIt COOt+ CIOt+CFOt

(4)

Where: КSt - solvency ratio for the period t; t - the period for which solvency is examined; C OIt - cash inflow from operating activities for the period under study; C OOt - cash outflow from operating activities for the period under study; C IIt - cash inflow from investing activities for the period under study; C IOt - cash outflow from investing activities for the period under study; C FIt - cash inflow from financing activities for the period under study; C FOt - cash outflow from financing activities for the period under study. Data on cash flow from investment and financial activities for the planned year is almost always known and fixed by contracts. Also, they are not as numerous and regular as proceeds from operating activities, so information about them should be taken from the relevant budgets. The largest categories of cash inflows should be distinguished in the proceeds from investment and financial activities: From investment activities  From the sale of fixed assets and intangible assets;  From the sale of interests in joint ventures, equity and debt instruments of other companies;  From loans received and provided earlier to other companies;  For other reasons characteristic of the given economic entity; From financial activities  From issuing shares or issuing other equity instruments;  From attracting short-term or long-term debt instruments;  For other reasons characteristic of the given economic entity. When generating cash outflows from investment and financial activities, the following payments are taken into account: On investment activities  Acquisition of fixed assets;  Acquisition of securities of other enterprises and the state;

Natalia N. Karzaeva, Ekaterina A. Karzaeva

 Providing loans to other companies;  For other reasons characteristic of the given economic entity; On financial activities  Repayment of long-term bills, bonds, mortgage bonds;  Dividend payment;  Repayment of credits and loan obligations;  For other reasons characteristic of the given economic entity. The most complex components of the solvency indicator assessment formula (2) are cash inflow and outflow on operating activities. This is because the revenue recognized for the period under study does not coincide with the cash inflow. Deviations occur when there are many obligations. Firstly, the terms of contracts may provide for prepayments and advances. Secondly, the terms of contracts may also provide for deferred payment. In this case, the deferral period may be different. It is determined by the financial policy after contracts. Therefore, receivables can be settled before the revenue recognition period and can be paid in the following periods. Also, quite often debtors violate payment discipline. These circumstances should be considered when planning cash flows (Fig. 1). receivables (revenue) • revenue is identical to receivables

deferral • deferred prepayment; • - deferral of payment

cash • non-compliance with payment discipline

Figure 1: The scheme for the transformation of receivables into cash When recognizing the period under the study of the coming year for which it is necessary to assess the solvency margin, to determine the indicator of cash inflows as a result of operating activities, it is necessary to have the following data: - Advances received at the beginning of the year, - Accounts receivable at the beginning of the year - Planned revenue for the year, - Deferred payments at the end of the year, - Advances expected to be received at the end of the year, - The debtor default ratio. Advances received at the beginning of the year should reduce the amount of receivables recognized which should be converted into cash in the period under study. This indicator can be obtained from accounting data. On the contrary, advances expected to be received at the end of the year, increase cash inflows as a result of operating activities, but they are not accounted for in revenue. This indicator can only be obtained from internal information of the sales department regarding the planning of concluded agreements and the conditions for their sales. External users can obtain this indicator by extrapolating the amount of advances received at the end of the previous year, information about which is contained in the financial statements. Data on the volume of planned revenues for the period under study can be obtained from the sales budget. External users can obtain data about this indicator by extrapolating the amount of revenue *Corresponding author (Natalia N. Karzaeva) Tel: +7-499-97639-41 Email: k-nn@yandex.ru ©2019 International Transaction

received for the previous year, information about which is contained in the financial statements. Of course, the indicators will vary, but the predicted data can also be calculated according to optimistic and pessimistic scenario options. Accounts receivable at the beginning of the period under study are included in cash inflows. However, the receivables should be included in the inflows, taking into account the debtor’s default rate, which can be calculated for the previous period as the quotient of dividing overdue debt by its entire volume. The most accurate indicator will be if the values formed for the period (previous year) are recognized as receivables and overdue receivables. However, the indicator of overdue receivables for the year is quite difficult to obtain, so we can restrict ourselves to a ratio calculated based on the amount of receivables and its overdue share at the end of the previous year. These data are contained in the financial statements. A deferral period should be set in order to exclude a part of the receivables that will be received next year. It should be emphasized that the deferral period is not the same for different debtors. Calculating the deferral period for each sale is a time-consuming task, even if all planned sales are contracted. The last condition is hypothetical in nature; therefore, at the time of planning it is not known what deferrals will be granted. In this case, there are several options for setting a deferral period. The first option recognizes the average value of the deferred payment. For example, in accordance with the contract policy, deferrals are granted for 15, 30 and 45 days. In this case, the average value will be 30 days ((15 + 30 + 45) / 3). For the second option, the deferral is tied to the sales volume. For example, it is statistically established that 50 % of sales are carried out with a deferred payment of 15 days, 30% - 30 days, 10% - 45 days, and 10% - payment is made immediately or before the sale. In the first option, the amount of receivables should be reduced by the revenue of the last month (30 days). If during planning the amount of revenue for each month is known, then the amount of receivables decreases by the amount of revenue of the last month. If the value of sales by months has not been established, then we can recognize it as even (1/12) or taking into account its dynamics for the previous year, for example, 1/10. In addition, to calculate the deferred receivables determined in days, we need to know the average daily revenue, which is calculated as the quotient of dividing the monthly revenue by the number of days in a month (S / d). For the second option, the calculation of the amount of receivables is more complicated. Firstly, it is necessary to establish its value for the last two months of the year, which follows from the ability to provide a deferral of 45 days. Secondly, the value of sales, as in the first embodiment, can be established in various ways, which is determined by the specifics of the company. Suppose, that in recent months equal sales of 100 € are planned. For simplicity, we assume that there are 30 days in each month. In November, deferrals may be granted that will not be repaid in the year under study, only for a duration of 45 days, while from 10% of revenue. A deferral of 45 days may be granted for receivables that were recognized in the last 15 days of November, and, therefore, cash will only be received next year. Therefore, the volume of receivables generated in November should be reduced by 5 € (15 days x 100 revenue / 30 days x 10%). In December, also with a deferral of 45 days, the amount of receivables will be 10 € (30 days x 100 revenue / 30 days x 10%), with a deferral of 30 days - 30 € (30 days x 100/30 x 30%), with a deferral of 15 days - 25 € (15 days x 100/30 x 50%). The formula for calculating the amount of receivables for which deferred payment is provided

Natalia N. Karzaeva, Ekaterina A. Karzaeva

that will be received next year, for the i-th month is as follows: Di =

diDP Ă&#x2014;Si

(5)

di Ń&#x2026; kd

Where: Di - the amount of receivables for which deferred payment, diDP - the number of days of deferred payment in i-th month, di - the number of days in the i-th month; Si - revenue of i-th months; kd - the share of the revenue for which the deferral is given for this number of days. The formula for calculating the amount of receivables for which deferred payment is provided, which will be received next year, for all months is as follows (as the summation of Equation (5)): 12 â&#x2C6;&#x2018;12 đ?&#x2018;&#x2013;=1 Di = â&#x2C6;&#x2018;đ?&#x2018;&#x2013;=1

di Ă&#x2014;Si

(6)

di Ă&#x2014;kd

Then the cash flow from operating activities for the year under study (COIt) can be calculated by the formula: COIt = (St â&#x2C6;&#x2019; Di )kR â&#x2C6;&#x2019; Đ?R 0 + Đ?R1 + R 0 â&#x2C6;&#x2122; kR (7) or COIt = (St â&#x2C6;&#x2019; (â&#x2C6;&#x2018;

di Ă&#x2014;Si di Ń&#x2026; kd

)) kR â&#x2C6;&#x2019; Đ?R 0 + Đ?R1 + R 0 â&#x2C6;&#x2122; kR

(8)

where: St - revenue in the year under study, t; Di: amount of receivables for which deferred payment AR0 - the amount of advances received at the beginning of the year under study, t; AR1 - the amount of advances planned to be received at the end of the year under study, t; R0 - the amount of receivables at the beginning of the year under study, t; kR â&#x20AC;&#x201C; the debtor default rate concerning obligations for the year preceding the year under study, t. The cash outflow from operating activities can be determined from the procurement budget. However, similarly to the cash inflows and receivables ratio recognized for the period under study of the acquisition, they do not coincide with cash outflows. These discrepancies are also caused by the advances or deferred payments stipulated by the agreements. Therefore, accounts payable can be repaid before the procurement period and can be paid in the following periods (Fig. 2). Accounts payable (procurement) â&#x20AC;˘Procurement is identical to accounts payable

Deferral

Payment (cash)

â&#x20AC;˘Deferred prepayment; â&#x20AC;˘Deferral of payment

Figure 2: The scheme on the transformation of payables into cash The cash outflow under operating activities can be determined from the procurement budget, which is formed on the basis of the expense of the manufactured product and the monthly stock *Corresponding author (Natalia N. Karzaeva) Tel: +7-499-97639-41 Email: k-nn@yandex.ru ÂŠ2019 International Transaction

required by the enterprise. As is known, overstocking the warehouse is unfavorable for the company, however, the need for a certain stock is due to a number of factors:  Logistic leverage (the longer the batch of goods delivery period, the greater should be its stock in the warehouse)  Providing a discount to the supplier when purchasing a certain volume of products;  Contractual relationships with customers, assuming the constant availability of a certain amount of products in stock (with regular shipments to key customers);  Expanding the customer base and increasing sales. The optimal size of the stock (St) at each enterprise is determined based on the specifics of the business and is individual. But for calculating the volume of purchases it can be set in proportion to the amount of material expenses (Cm) for the production of the product (n). To calculate the required purchase indicator (Cu), we can use the standard balance equation: St 0.+ Cu - Сm = n Сm

(9),

where St 0 - the value of stocks at the beginning of the month; Cu - the volume of purchases in a month; Cm - the value of material expenses for the production of the entire volume of products per month; n Сm - the amount of stocks sufficient to ensure a continuous production process. Then the volume of i-th purchases in one month (Cui) will be Cui = n St1 − St0 + Cmi

(10),

where i - serial number of the month, n - the number of cases St1 - revenue in the year under study; Cmi - the value of material expenses for month i The volume of purchases (in a period t) Cut and, therefore, accounts payable per year can be determined by the formula Cut = n St1 − St0 + ∑12 (11). i=1 Cmi The term Cmi is related to the value of material expenses for the i-th production of the entire volume of products. The formula for calculating the amount of accounts payable (CI), according to which deferred payment is provided, and which will be paid next year, for the i-th month: CIi =

diDP ×Cui di х kd

where: CIi - amount of accounts payable for i-th product, d iDP - the number of days of deferred payment in i-th month, d i - the number of days in the i-th month; Cui - procurement volume in the i-th month; kd is the share of purchases for which a delay is granted in a given number of days.

Natalia N. Karzaeva, Ekaterina A. Karzaeva

(12),

The formula for calculating accounts payable for which deferred payment is provided, which will be received next year, for all months: 12 ∑12 i=1 CIi = ∑i=1

di ×Cui

(13)

di ×kd

The value of predicted material expenses for the period under study can be obtained by internal users from the expense budget. External users can obtain this indicator value by extrapolating the amount of material expenses received for the previous year; information about it is contained in the financial statements. However, it is difficult to establish the required volume of stocks, but we can use the data on stocks of raw materials from financial statements. External users can also calculate predicted expense data using optimistic and pessimistic options. The deferred payment is determined similarly to the procedure for its calculation for buyers and customers. Given the uniform distribution of payments, an adjustment must be made for the number of days of deferred payments. As with client payments, when calculating payments to suppliers, it is appropriate to apply a methodology for shifting payments between periods and focusing on the time of purchase within the same reporting period. In addition to payments, suppliers of material assets must include in the calculation of cash outflows the salaries and other payments to employees of the company, contributions to social insurance funds, and payments for production services provided by counterparties, for example, the supply of electricity, water and heat, etc., and also paying taxes. This information can be obtained by internal users from the expense budget. External users can obtain this indicator by extrapolating the relevant information contained in the financial statements. Then the cash outflow from operating activities for the year under study (COOt) can be calculated from COOt = (Cut − CIi ) + (Pt − CIpi ) + CL + CIF + T − АI0 + АI1 + CI0 (14), or COOt = (Cut − (∑

di ×Cui di х kd

)) + (Pt − (∑

di ×PCi di х kd

)) + CL + CIF + T − АI0 + АI1 + CI0 (15),

where CIpi - contributions to pay for the i-th product, Cut - purchases in the year under study, t; Pt - payables to suppliers and contractors for the services rendered, consumed in the production process for the year under study, t; PCi - costs of production services for the year under study, t; АI0 - the amount of advances issued at the beginning of the year under study, t; АI1 - the amount of advances planned for payment at the end of the year under study, t; CI0 - payables at the beginning of the year under study, t; CL – wages to employees for the year under study, t; CIF - contributions to insurance funds for the year under study, t; T - tax payments in the year under study t. The general formula for predicted solvency, taking into account all the factors that influence it, will take the form *Corresponding author (Natalia N. Karzaeva) Tel: +7-499-97639-41 Email: k-nn@yandex.ru ©2019 International Transaction

CBt + CIt + CFit + ((St –∑ d ×S

di ×Si ))kR di х kd

− АR0 + АR1+ R0 х kR

d ×PC

(16)

CIOt + CFOt + (Cut –(∑d iх k i ))+ (Pt – (∑ di х k i ))+CL+CIF+T− АI0+ АI1+ CI0 i

CFit – cash inflow from financing activities for the period under study; CFOt – cash outflow from investing activities for the period under study; CBt –the amount of cash at the beginning of the period under study; CIOt – cash outflow through the period of t CL - cash inflow from operating activities for the period under study; CIF - cash inflow of financial activities; T- the time period CIt - cash inflow from investing activities for the period under study; Si- revenue i-th product under the study CI0 - cash inflow from investing activities for initial activity;

4. CONCLUSION This study gives significant results. It was proposed to evaluate the solvency of a company not on the date of preparation of its accounting (financial) statements, but in the future (next year), taking into account both the planned cash inflows and obligations arising in the period under study. In connection with the existing restrictions on the use of existing methods for assessing solvency, an approach is substantiated to construct a model of predicted solvency based on cash flows (monetary approach). By lengthening the classical model period, a new model for assessing predicted solvency based on cash flows has been built by comparing future earnings and upcoming payments of the enterprise in the future period under study. A model for the conversion of receivables and payables into cash through a deferral indicator was developed in order to maximize the accuracy of prediction values and the reliability of the methodology as a whole. The possibility of using the predictive solvency model not only by company specialists but by external stakeholders is shown. Based on the model of the predicted annual solvency of a company, it is possible to build solvency assessment models for shorter periods: six months, a quarter, and a month. This is important for planning the financial activities of the company and will allow its managers to timely develop tools to prevent insolvency threats.

5. DATA AND MATERIAL AVAILABILITY Relevant information regarding this study is available by request to the corresponding author.

6. REFERENCES Kovalev V.V. Financial analysis: methods and procedures, - M.: Finansy i statistika, 2006. 559p. Gradov, A. P. (2007). Economic strategy of the company. SPb.: Special literature, 959p. Efimova, O. V. (2010). Finansovyi analiz. Sovremennyi instrumentarii dlia priniatiia ekonomicheskikh reshenii.[Financial analysis. Modern tools for economic decisions]. Moscow. Omega-L Publ. Krejnina, M. N. (2010). Financial condition of the enterprise. Methods of estimation. M.: IKC "DIS". 224p. Savickaya, G. V. (2000). Analiz hozyajstvennoj deyatel'nosti predpriya-tiya [Analysis of economic activity of

Natalia N. Karzaeva, Ekaterina A. Karzaeva

the enterprise], Minsk, 688 p. Sheremet, A. D. (2009). Kompleksnyi analiz khozyaistvennoi deyatel’nosti: uchebnik dlya vuzov [A comprehensive analysis of economic activity: a textbook]. Moscow, INFRA-M Publ. Lukasevich, I. Y. A. (2010). Financial management: a textbook. M.: Eksmo, 2, 768. Melnik, M. V., & Gerasimova, E. B. (2007). The analysis of financial and economic activity on the enterprises: the manual. M.: INFRA-M. Seleznev, N. N., & Ionova, A. F. (2010). Financial analysis: Textbook. M: UNITY DANA. Arens, A. A., Elder, R. J., & Mark, B. (2012). Auditing and assurance services: an integrated approach. Boston: Prentice Hall. Jooste, L. (2007). An evaluation of the usefulness of cash flow ratios to predict financial distress. Professional Accountant, 7(1), 1-13. Maverick, J. B. (2015). Key financial ratios to analyze the mining industry. Investopedia, 08(26), 56-82. Kieso, D. E., Weygandt, J. J., & Warfield, T. D. (2014). Intermediate Accounting IFRS. Edition (USA: Wiley). Ernst &. Young. (2013). International GAAP 2013: Generally Accepted Accounting Principles Under International Financial Reporting Standards. Wiley. Beaver, W. H. (1966). Financial ratios as predictors of failure. Journal of accounting research, 71-111. Flynn, D., Koornhof, C., Kleynhans, J. E., Meyer, L. A., Posthumus, L., Arendse, R., & Muriro, E. (2016). Fundamental Accounting. Juta & Company Ltd, 788p. Karzaeva, N. N. (2015). The scope of the solvency ratios in evaluating the continuity of the activities of economic entities. Accounting, Analysis, Audit, 2, 31-36. Karzaeva, N. N., & Karzaeva, E. A. (2016). Tools to improve the solvency of economic entities. Accounting, Analysis, Audit, 4, 33-41. Rittenberg, L. E., Schwieger, B. J., & Johnstone, K. M. (2008). Auditing: A Business Risk Approach 6. bs. Mason, USA: Thomson South-Western. Beams, F. A., Anthony, J. H., Bettinghaus, B., & Smith, K. A. (2016). Advanced accounting. Pearson Education Limited 2018. Sandström, A. (2016). Handbook of solvency for actuaries and risk managers: theory and practice. Chapman and Hall/CRC. Yusubova, G. K. (2016). Evolution of accounting methodology and cash flow analysis. Avtoref. dis. kand. ekon. nauk: 08.00.10. Sankt-Peterburg, 25p. Kogdenko, V. K. (2015). Methods of analysis of the consolidated statement of cash flows. Economic analysis: theory and practice, 32, 335-341. Sandulova, E. V., & Kotlyar, I. A. (2017). Cash flows in assessing the solvency of the organization. Current research: from theory to practice proceedings of the International scientific-practical conference under the General editorship of A. I. Vostretsov. Novosibirsk: Publishing house CRNS. 187-190. Professor Dr.Natalia N. Karzaeva is Professor and Head of the Department of Economic Analysis and Audit of the RSAU - Moscow Agricultural Academy named after K.A. Timiryazev. She holds a Doctor of Economics degree. She graduated with honors in Economic Cybernetics from the N.A. Leningrad Financial and Economic Institute Voznesensky specializing. She is interested in Accounting, Statistics. Labor Activity. Ekaterina A. Karzaeva is an Assistant to the Department of Economic Security, Analysis and Audit. She graducated from St. Petersburg State University of Economics and Finance, and Askeri Institute of Professional Managers, ACCA DipFM program. She is interested in Internal Control and Audit of the Group of Companies Reporting, Budgeting, and Management Accounting Methodology.

International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies http://TuEngr.com

PAPER ID: 10A19J

ANALYSIS OF URBAN DESIGN ELEMENTS WITH A CASE STUDY AT HERITAGE BUILDINGS AND FISHERMAN VILLAGES, GEORGE TOWN, PENANG a*

Tan Yeong En , Dayana Binti Aripin , Ahmad Sanusi Hassan , a b Muhammad Hafeez Abdul Nasir , Boonsap Witchayangkoon a b

School of Housing, Building & Planning, Universiti Sains Malaysia, MALAYSIA. Department of Civil Engineering, Faculty of Engineering, Thammasat University, THAILAND.

ARTICLEINFO

A B S T RA C T

Article history: Received 28 June 2019 Received in revised form 02 September 2019 Accepted 12 September 2019 Available online 30 October 2019

This paper studies the urban transition characteristic between heritage buildings and fisherman villages in George Town, Penang. This study has been done by analyzing the five urban design elements by Kevin Lynch (1960), with experiencing the site through a visit, and observation on site, also with studies of literature reviews from publishing journal, articles, and online resources. This study shows that the hierarchy of urban design elements perceived by the observer, of the colonial and traditional in the case study site are noticeable although they may differ in appearance from one another. Studies concluded the hierarchy among five urban design elements found are district and edges defined by the presence of local culture which influence the development of modern urban and tourism in George Town, Penang.

Keywords: Urban Transition; Traditional planning; British colonial; Urban Design; Fishing Village; Cul-de-sacs.

1. INTRODUCTION Deeper research and implementation of urban planning started to take place in Malaysia after Independence Day was announced. However, for Penang, as it was being associated amongst three federated cities the 17th century by British, had been going through massive development comprises of modern and heritage elements. These two significant identities are visible depending on the development of the city area. Being the capital city of Penang, George Town poses interesting traits of cultural assimilation within the tangible and intangible lifestyle of the people. In an attempt to preserve and conserve this heritage value brought by the colonization period, especially in the inner city of George Town area, Penang government has adopted various laws and heritage conservation policies. It was designated in such there are specific building guidelines must be followed by land or building owners. Similar goes to other federated states in Malaysia, all the heritage buildings and areas have been *Corresponding author (Tan Yeong En). Email: dayanaarif@gmail.com ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19J http://TUENGR.COM/V10A/10A19J.pdf DOI: 10.14456/ITJEMAST.2019.268

protected under the famous world association of UNESCO (United Nations Educational, Scientific and Cultural Organization) for World Heritage Site Categories. Both are well recognized for their significant charming ancient heritage and historical cultures, besides posing a good tourism market. In particular, this heritage element has influenced not only the lifestyle of its George Town people but also has vivid masterplan design within the stretch of the inner city to the surrounding Chinese jetties. Population growth stated by Department of Statistics Malaysia in 2018, Penang has more than 1.7 million people and concentrated in George Town area. Urban City, as mentioned by Kevin Lynch (1960) in his book of “The Image of The City” is stated that there are no specific rules or “mandatory” for an area to be recognized as urban, but it can be identified by the image based on form and function. This has been widely accepted by the public, specifically on the physical appearance, use, and location about its immediate context. The literature review will further discuss all the five elements of urban study which are paths, nodes, edges, districts and landmarks. According to Buchanan (2011), it is vital for urban areas to capture certain qualities or that is associated with the traditional city, which is the sense of place, order, transition or continuity and richness of experience and belonging. This lies in between planning for people and architecture. Nevertheless, urban design requires full cooperation from broad streams of works such as architects, town planner, quantity surveyor, contractor, engineer and city councils to make it happened.

2. LITURATURE REVIEW Urban design as explained by Peter Webber (2010) city, will be molded throughout time. For others, it means bridging the gap of a concrete building with the activities, and all these will soon form the image or identity for one city. According to Pete Bachelor, David Lewis, from the American Institute of Architects, define a city as a design in an urban context. As architect Peter Buchanan stated that urban design is imperatively about place-making, where a place is not specifics space, but all activities and events make it possible written in “The Architecture of Town and Cities” (Spreiregen, 1965). In reality, the environment is about what is being perceived and, noticed and its effect on this perception will determine whether the surrounding is observed has an identity. Carmona et al., (2003) also contend that appreciation is also a product of appreciation of perception and cognition in which it relates to interpretation, processing information in the way which it appeals our minds and emotions. They argue that awareness of environmental experience and perception of place is an essential dimension of urban design.

2.1 IDENTITY OF HISTORICAL CITY In the past, when the pace of development was rather slow, there was enough time given to consider the effects of each new building that was added to the streets (Samsudin, 2011). Although the building was designed and built by different people, the final output was usually a unique composition achieved through a principle of variety within uniformity. That is why many old cities have a more charming townscape because the art of weaving was done that arouse the emotional reaction through a clever interplay of positioning of buildings and spaces created. The significant difference between remarkably old townscape and the contemporary one is the attention to details that are often associated with the historic townscapes.

Tan Yeong En, D. Binti Aripin, A.Sanusi Hassan, M. Hafeez A. Nasir, B. Witchayangkoon

Historic townscapes are associated with the earliest settlement of the town or locally known as the old town centre, where the genius loci or the spirit of the locations can be traced (Samsudin, 2011). One can even regard the historic townscape as signifying the soul of the town or city exposing the character of the town and the secret of past trapped within its fabric. Lang (1987) based on Gestalt law, this often associated with the image of the city since the visual organisation that refers the relationship of the object. There is also a slightly different version of this definition of identity which its emphasis on its experiential rather than its visual characteristics. Relph (1976) stated that the notion of identity as being an expression of adaptation, assimilation, accommodation and socialisation of knowledge of each other. Since places have meanings, they are characterised by the beliefs of man and have historical components (Teo and Huang, 1973). This is related to the George Town area, where the site was chosen has two distinct images. 2.1.1 GRIDIRON CITY The most obvious characteristic that can be perceived from Historical part George Town is the linear roads forming significant gridiron look. Historically based on Hassan (2014), the Grid plan is dated back to the Greek civilisations was a versatile method of city structuring taking five importance forms as the main hierarchy of boxes nesting on each other, or checkerboard pattern. The gridiron method is the flexible method of urban configuration which allows for the efficient sub-division and sale of development land and, it is a popular urban form adopted in many cities especially in developed countries, Samsudin (2011). During British colonialism, the application of gridiron at Weld Quay area is not adequately applied to create an imperfect grid, Hassan (2014). Due to that time this area was not the major administration area and was developed by unskilled British officer hence, it is named as informal grid development. Another impactful effect that can be seen from this formation of the grid is the “divide and rule” concept of administration. This concept has helped the British to avoid any intense fight and unity from forming among the villagers of different races. It can be traced in the figure-ground study later since there are two significantly different districts of the gridiron and traditional fishermen villagers.

2.2 LEGIBILITY AND URBAN DESIGN ELEMENTS

Legibility or visibility is a means to extend which cityscape can be ‘seen’ since people are moving in or through the city using wayfinding methods. Based on “The Image of the City”, in the process of wayfinding, the strategic link is the environmental image, the generalised mental picture of the exterior physical work that is held by an individual. This image is the product both the immediate sensation and of the memory of experience, and is used to interpret the information and to guide action (Lynch, 1960). 2.2.1 PATH One of the significant elements for any places to grow and become a city is a path. It acts as a track connecting people from one destination to another either for human or transportation system and usually fit into a larger network. A path can be considered as streets, roads or pedestrian pathway system that move people throughout the city (Lynch, 1960). Cited as the backbone of any city, paths *Corresponding author (Tan Yeong En). Email: dayanaarif@gmail.com ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19J http://TUENGR.COM/V10A/10A19J.pdf DOI: 10.14456/ITJEMAST.2019.268

can be developed from auxiliary to secondary network or tertiary for dense traffic for any cities. 2.2.2 NODES Nodes are the points in the city that is an open area or partially enclosed for any human activities. It has a similar concept as path since the nodes will be defined at the junctions of paths or events of the journey. The strategic locations of this convergence will be the place for the observer to view the start and next point the path chose for the journey. Lynch (1960) writes that nodes may also be places of concentration such as public squares or plazas, sometimes signifying a centre of a city in terms of both its location and importance. Nodes could be the intensive loci for travelers to come as written by Samsudin (1987). It is not only marked as important due to junction or convergence but also by the concentration of people and activities or even core that symbolises that area. One may think that nodes are relatable for the road but, in our real life, we could find the nodes at the playground area, in front of temples or masjid where people gather for events, and others. 2.2.3 LANDMARKS Landmarks, as defined by Lynch (1960) is an external point of orientation, usually easily identifiable physical object in the urban landscape. In simpler words, any contrast in the background of any places will become a place that is memorable for either local or travelers are considered as a landmark. It can be found either in a city itself or even in an isolated space. Characters found generally for landmarks may come in the form of a tower, dome, vibrant building or even sculptures. By the presence of the landmarks, the place will be easily recognized by the locals or even visitors. 2.2.4 EDGES Edges in urban neighbourhoods is easier to understand as a wall or separation in the form of land or water that distinguish one area from another. While there would lots of notions used to represent boundary in the city, edges may act as a seam that draws both sides together. It is well supported by the famous writer, Kevin Lynch (1960) â&#x20AC;&#x153;edges are the boundary and breaks in continuityâ&#x20AC;?. In the book, Townscape Revisited written by Samsudin (2011), edges either act as seams joining two regions or barrier that close off from the other. Edges are easily identified at the waterbody area due to its major recognition but also can be represented at the railway tracks, bridges, roads, walls, etc. Despite thinking edges is a vivid straight line as per human perception, it can also involve hidden line that blend with the surrounding. For the study, we can relate that the human pathway and the road are edges in smaller context due to different materials used on both sides and height. Hence some of the edges can also give sense of direction and boundaries to in term of visual image to humans. 2.2.5 DISTRICT District or zoning is used for a smaller portion of the state to define cities extension in particular notion. The design and identity of buildings within any district may appear to have strong similarities to one another due to the influence within small scale area. The other elements of urban design are the skeleton that builds the district, the rest filled in by less dominant aspects of the urban environment (Architectural Press, 1985). According to Watson (2003), districts are medium to large sections of the city, which have some ordinary identifying character. They are often thematic qualities which are a combination of

Tan Yeong En, D. Binti Aripin, A.Sanusi Hassan, M. Hafeez A. Nasir, B. Witchayangkoon

activities, people and physical qualities. If we go by the site involved in this study, there are two prominent districts of colonial architecture and fisherman village separated by auxiliary road. It is far more convenient to identify the two different regions due to different architectural languages, activities and also functions of building. However, there will be subtle districts if the human perception is involved without having strong differences in background.

2.3 CASE STUDY: WELD QUAY AND BEACH STREET The location of Site study is at Weld Quay and Beach Street of George Town, Penang. It is a transition of colonial settlement to a traditional quay site. Based on Hassan (2014), Weld Quay is located in zone 3 during British colonialism era. Zone 3 is an area that acts as commercial, finance and port city. Beach Street is part of the central business district it has served as the financial heart of Penang in the past 200 years ago. Compared to Beach Street, Weld Quay is actually a reclaimed land during the 19th century and served as the port of Penang. The major part of it is covered by the stilt house on the sea, which is also the home of Chinese Clan Jetties, the Chinese labours at the harbour. The whole area is protected by the UNESCO World Heritage Site. This area is one of the busiest and crowded streets in George Town, where it has been visited by tourist around the year and most administrative buildings are near to the site. Today, it has also turned into an entertainment area during the night with a new generation of cafĂŠ and accommodation business startup.

Figure 1: A Key plan of Weld Quay and Beach Streat, George Town, Penang.

Figure 2: A Location Plan of Weld Quay and Beach Street, George Town, Penang.

3. METHODOLOGY This research paper is to study the characteristic of Colonial to traditional planning of its urban design elements. Therefore, qualitative methods were conducted through the study to document relevant data and information. Figure-ground mapping of the site was produced using AutoCAD and traced to the existing layout, for better understanding and data collection during the site visit. It is also for the ease of observation survey during the site study of identifying the five urban design elements. The data and information were collected through site visit on Friday 12th of April during working hours to evening hours. Accumulative information and data were later on reproduced with the related photos capture on site by mapping in the paths, edge, district, nodes, and landmarks using Adobe Photoshop software. *Corresponding author (Tan Yeong En). Email: dayanaarif@gmail.com ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19J http://TUENGR.COM/V10A/10A19J.pdf DOI: 10.14456/ITJEMAST.2019.268

3.1 PATH Based on Kevin Lynch (1960), some of the methods to measure the scale of path quality will depends on the following factors: a. Width of the streets or path. This will indicate the usage of the path as well as the hierarchy of the network. b. Directional quality. One direction can easily be identified from the reverse. Or the steady change of movement from the secondary road to auxiliary road. c. The sequence of known landmarks or nodes along the path. This is to give a sense of direction and scaling to a path. d. Pavement texture. It is fundamental but often regards as less important for the continuity of the path. e. Details of planting alongside the path f. Origins and destinations of the path. This will help the people to have a better sense of directions. g. A number of entrances for the path will give clearer ideas of density of traffic.

This can be done by counting number of blocks or units of building in between to get the distance of important landmark along the path.

3.2 EDGE Measuring the quality scale of edges can be done by identifying following characters: a. b. c. d. e. f.

Shore lines. Waterfront or riverfront. Position of the hill with the low land area Railroads or highway Topography District boundaries

3.3 DISTRICT A District is often recognized as having same characteristic within the area. Based on Lynch (1960) it can be recognized internally or on the external view of the area. To understand the quality of the district, the scale should be accounted for the following criteria: a. Organization and configuration of building b. The orientation of building and paths c. Thematic continuities components: texture, space, form, detail, symbol, building type, use, activity, inhabitants, degree of maintenance, topography, ornament, colour, skyline d. Ethnic concentration e. Major human activities. This will show the contrast in certain areas.

3.4 NODES As mentioned by Kevin Lynch, nodes are often associated with junctions or intersection of space. The scale of quality will depend on the following factor: a. Large square b. Break in the transportation area: railway station, subway station, bus depot/terminal. Switch points of one direction to another or multiple directions. c. Thematic concentrations: gallery with plaza, jetty point area. As nodes are indicated as either junctions or concentrations area.

3.5 LANDMARK Defined as the prominent area or building where it can be identifiable easily. a. Singularity. The key physical give memorable and unique in context. b. Clear and contrast form. The building or structures may be standing out if compared to its background and no repetition of same building in nearby. c. Spatial prominence. Any elements can be established as significant if they are being set up a local contrast with nearby elements and variation of setback and its height. d. Prominent points that is visible from many positions. This is very important in giving better sense of direction.

Tan Yeong En, D. Binti Aripin, A.Sanusi Hassan, M. Hafeez A. Nasir, B. Witchayangkoon

Figure 5: Paths of Site that stretch from the Beach Street towards the Clan jetties.

4. ANALYTICAL RESULT This research is based on the categorized elements of Lynchâ&#x20AC;&#x2122;s theory in urban design elements, which is paths, edges, districts, nodes and landmarks.

4.1 PATH A path is the dominant element among the five elements (Lynch, 1960). In Figure 5, the site is penetrated and intersected by four types of path which is Highway (yellow), Arterial road (red), Collector road (blue), cul-de-sacs (green) Path Access to Jetties. The differentiation of the path is determined by the distance of connection, width, the density of its usage throughout the day and its *Corresponding author (Tan Yeong En). Email: dayanaarif@gmail.com ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19J http://TUENGR.COM/V10A/10A19J.pdf DOI: 10.14456/ITJEMAST.2019.268

planning pattern. In Figure 5, the paths pattern of inner part appeared to be in gridiron comprises the connection of highway, arterial roads, and collector roads that has several entrances and access within the sites as according to British colonial style of divide and rule planning (Hassan, 2014). These paths are more organized with proper infrastructure along with it. On the other hand, the outer part has more narrow entrances, but all are accessed to a dead end, and uses the same path for entering and exit the site, according to the traditional planning pattern. These Cul-de-sacs Jetty paths used to be the private path for accesses to the clans, but due to tourism development, some clans have become more public for tourist access and visit.

Figure 6: The street connections based on the hierarchy 4.1.1 ARTERIAL ROADS Figure 6, Weld Quay (Pengkalan Weld) is the primary Arterial path that penetrates the site and connects Tun Dr Lim Chong Eu Highway with Pesara King Edward. The transition between colonial and traditional planning of the site is through this path that disseminates into a colonial gridiron pattern and traditional cul-de-sac dead end. It is the connection of path that accesses to both the fisherman village and heritage building. It is the busiest path of the site that converge access to jetties, and beach street commercial area of George Town, that often people use it for direct access to Tun Dr Lim Chong Eu Highway. Often Chinese festive season, part of the path will be closed for the festive season event like held by the temples of the clan jetty. Figure 7 shows the Weld Quay (Pengkalan

Tan Yeong En, D. Binti Aripin, A.Sanusi Hassan, M. Hafeez A. Nasir, B. Witchayangkoon

Weld) primary arterial path has a width of approximate 20m (66’) two ways in total and will be in a high jam during the peak season. The other Arterial roads, which is the Prangin Street (Gat Jalan Prangin) and Chulia Street (Gat Lebuh Chulia), covered only a small part of the site, it connects the collector roads and channels the way out to the highway from the inner part of George Town. It is a less event path and likely moderate jam in the peak season.

Figure 7: Pengkalan Weld. 4.1.2 COLLECTOR ROADS This is the Collector roads of the commercial zone of colonial heritage building area, which is Victoria Street (Lebuh Victoria) and Beach Street. Victoria Street (Lebuh Victoria) and Beach Street are parallel to each other with the connection of collector roads in between for interchange. The street is mostly filled with shop lots of cafes, bars, homestays, and old trading tenants. Often part of the street is filled with walking or cycling tourist, landmarks and nodes will emerge along these paths and are mostly tourist attraction area. It has a width of approximately 8m (26’) to 10m (33’) with parallel side parking, part of it will be in a moderate jam during the peak season.

Figure 8: Photo of Beach Street. 4.1.3 CUL-DE-SACS These paths are mostly accessed by pedestrian, bicycle, and motorcycle. It is the path within the residential of the fishing village stilt houses. The path is also the representation of entering a single clan’s village; each access has no connection between other clan’s paths or as private paths to 7 clans namely, Ong, Lim, Chew, Tan, Lee, Yeoh and New Jetty. Accesses from one clan to another is only through the entrances. All the access is only to the clan’s jetties have turned into tourist attraction and filled with pedestrian of the tourist along the path, it is covered with the crowd during the holiday season. In Figures 9 and 10, these paths have a width of approximately 2m (6.6’) and made by timber. However, the width might differ based on the function of the area.

*Corresponding author (Tan Yeong En). Email: dayanaarif@gmail.com ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19J http://TUENGR.COM/V10A/10A19J.pdf DOI: 10.14456/ITJEMAST.2019.268

Figure 9: Photo of Path in Chew Jetty

Figure 10: Path in Lee Jetty

4.2 EDGE Based on Lynch (1960), that edge is usually but not always, the boundaries between two differential areas. Sometimes it is less noticeable by people who does not has a strong cognitive map of the site. Referring to the edges in Figure 11, the water body and area of the jetties has the strongest distinguishing edge. Another less distinguishable edge is by the path of Weld Quay (Pengkalan Weld) that distinguishes the colonial heritage building and traditional timber fishing village stilt houses. It is also distinguishable through the heights of buildings of two zone, that the traditional fisherman village has lower height and single storey buildings and the colonial zone has a higher height of double-storey building. More than that, the other significant edges that are found throughout the site survey are the edges of each village at fishermen jetties and the edges along with the districts of the colonial area. They form less dominant edges but can be perceived directly on the site.

Figure 11: Prominent edges of the area between the land and sea.

Figure 12: Edges that separate the waterbody

Figure 13: A view from Clan jetty.

4.3 NODES From site observation, the nodes do not emerge distinctively in our study area. As shown in

Tan Yeong En, D. Binti Aripin, A.Sanusi Hassan, M. Hafeez A. Nasir, B. Witchayangkoon

figure 16, that the nodes of the site do not appear as a square or central public space, but rather the junction of paths with higher concentration of people, which is the junction of Armenian Street (Lebuh Armenian), see Figure 14, and Chew Jetty entrance, in Figure 15. It is a self-form node by tourist and both the nodes are the link to the tourist spot. While the other thematic nodes are forme d by the vehicular junctions and it is showed in the figure 16 below. The yellow nodes indicate junction of Armenian Street (Lebuh Armenian) where could be linked to the heritage walk; the area is filled with street arts and souvenir stall. While the other yellow nodes show the Chew Jetty entrance with food stalls and temples as an attraction spot for tourist, Similar with a square function where it is part of the space to gather and meet at the intersection of area.

Figure 14: Junction of Lebuh Armenian

Figure 15: Chew Jetty entrance.

Figure 16: The nodes are formed by thematic concentrations and junctions along the streets.

4.4 DISTRICT Based on the history of Beach Street and Weld Quay that the Beach Street is the Central Business District of George Town that serves as the financial and commercial zone of Penang, and the Clans jetty used to be the shelter for the Chinese labourers. Figure 17 shows the district highlighted in the drawings of the site. Beach Street is still served as a financial and commercial district today but these shophouses slowly replace by new generation of tenants and mainly focus business toward tourism. However, the Clans Jetty shelter of Chinese laborers which is still occupied by the Chinese now has partly become the commercial purpose that tenants used to make it as homestay to rent or turn the houses into a shop, loses its essence of a district as Chinese shelter and fishing village.

*Corresponding author (Tan Yeong En). Email: dayanaarif@gmail.com ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19J http://TUENGR.COM/V10A/10A19J.pdf DOI: 10.14456/ITJEMAST.2019.268

Figure 17: Districts of the site

Figure 18: Districts in detail of the site

The layout pattern is also well differentiating that colonial planning seems to be in more organized and consistent rigid pattern and traditional has a more clustered and inconsistent pattern, as shown in Figure 18. If we look closely to the figure- ground map above, as per human perceptions, the number of sub-districts will start to increase, this is since human tend to perceive that one area will be defined differently from the other due to its position and separation from the major roads. Let say even in the colonial district area; we will find that there are few different regions due to building facades and human activities. Commercial and residential is blending well in this area, but they are still significant in creating different visual organisation. Another districts that is formed based on visual observation on site are the different name for the clan jetties. As Figure 18 shows that there are namely 6 jetties; Ong, Lim, Chew, Tan, Lee, New, Yeoh Jetty. All these jetties are not different from each other, but the name gives an impactful perception to human that they are forming or encapsulating different villages although they live nearby each other.

Figure 19: Districts of site that comprises the Clan Jetties.

Figure 20: District of commercial area at Armenian Street.

Figure 19, the house on stilts is rather a significant character in comparison to the landed area.

Tan Yeong En, D. Binti Aripin, A.Sanusi Hassan, M. Hafeez A. Nasir, B. Witchayangkoon

Figure 20, Language and decoration of building is influenced by colonial architecture whereas the 5 foot walkway adds minor character to this district area.

4.5 LANDMARK There are a few reasons that make a landmark memorable which are its significance, uniqueness, contrast to the background and its distinctive location. Based on the major district mentioned above, the landmarks for the waterfront and the commercial district can be categorized based on the focal point, see Figure 21, and prominent function of the building or statue.

Figure 21: The important landmarks for the local or tourist along the arterial and collector road. For instance, there are few buildings that shows the landmarks quality by having flamboyant ornament as their facades. There is also different scale to determine if the structure can be used as landmarks; the different height or setback as well as singularity of the structure that has no repetition in nearby area. All these are important for people to recognized the landmarks from distance and easier to indicate as reference point from one place to another. The red dots in Figure 21 indicate the significant area of Khoo Kongsi, a temple with vibrant colors and stand out from the rest of the buildings, Figure 22. This building has become one of the most visited places in George Town area due to its character and function.

Figure 22: The ornaments of the Khoo Kongsi. *Corresponding author (Tan Yeong En). Email: dayanaarif@gmail.com ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19J http://TUENGR.COM/V10A/10A19J.pdf DOI: 10.14456/ITJEMAST.2019.268

The landmarks found on site also demarcate different architectural elements for instance Bomba Station has Neo Classical elements to it, shows in Figure 23. This will emphasize not only the identity but also let people reminisce the history part of the building. Whereas the other image is the Khoo Kongsi is obviously originated and mainly influenced from mainland China. The ambience of the building gives people especially the visitors to imagine that they are partially entering different eras of time. Hence, the similarities of both landmarks are not just limited to their nobility but also reflects the timeline of that regions. In this case, these will make tourists to ponder upon the structural timeline and visible aesthetic they offer. Along some of the path towards these landmarks there are also few 2D and 3D artworks done by international and local artists.

Figure 23: Landmarks of the Site of Fire Station and Temple. This indication of landmarks has the qualities of the function of the building , and different architecture in relation to the background or surrounding area.

5. DISCUSSION 5.1 PATHS Perceptually there will be two types of path based on the total site area. One will be the vehicular paths where it involves 12m width of major road, 6m arterial road for both lanes and another small channel in between the shophouses. The other type of path involves human body which is the walkways as any vehicular cant enter. Based on these two types, the application of the function of paths is different when it comes to gridiron or the colonial area and the traditional fishermen village. As for the colonial area, the road is mostly dense due to the functions of the area. Some of the roads such as Victoria Street, Armenian Street, and Weld Quay may have heavy traffic especially during festive events. The roadside area is limited in width as in the old times British has set the front area of shop should follow 5-foot walkway. It can be quite narrow for pedestrian if some of the shops extend their operation towards the front. The walkways provided at this area is not really defined by different materials except at the arterial road of weld quay where two districts blend together where they used proper roadside bricks. The most interesting part of the path provided at this area is they are dissecting towards the row of shop lots making most of the shops has double frontage and served both sides. This can be seen at China House Cafe. Whereas for the fisherman, the path is accessed from the Weld Quay and there are two type of pathways provided. The tarmac road is laid from weld quay towards the nodes of the Chew J ettyâ&#x20AC;&#x2122;s temple for villagers to park their car. Then starting from the Temple, there timber walkways of average 2m will be accessed towards the end of the cul-de-sac area. This wooden walkway gives viewers especially visitor vivid and unique experiences as it is a historical villages merge with commercial and the walkways offer open view towards the sea. Villagers whom stay there will use motorcycle to reach their house. And it is the only way for them to access their homes as there are no back doors or alternative routes. As per our observation during peak school holiday, this village especially Chew Jetty will be packed with visitors.

Tan Yeong En, D. Binti Aripin, A.Sanusi Hassan, M. Hafeez A. Nasir, B. Witchayangkoon

5.2 EDGES Human tend to perceive things faster using visual recognition especially when things and movement are in vivid motion. However, there are some less dominant edges that can be traced along the fishermen villages. For instance, the tarmac road for parking heading towards the fisherman timber jetty is one type of edges as they form linear element. Besides that the other linear elements that is associated with function of the space are the roadside and 5 foot walkways at the colonial shophouses area. Although it may give less significant impact in terms of visual from far, but it helps the user to determine their directions. Edges are actually helping the path directional quality increases. The other edges elements that can be found along the touristy Khoo Kongsi area is the walkways of the outside and inside of the templeâ&#x20AC;&#x2122;s compound are different as well as the walls surrounded the Khoo Kongsi area demarcate the regions or district that belong to the temple. The function of edges is not limited of helping directional and functional quality to the human, but it also helps to secure one place from the other as the boundary is clearly defined.

5.3 NODES A pedestrian friendly open space where activities happen and people gather around in an intersection focal point, is what the site is lacking off to dominantly show its nodes, maybe the reason is that the site originally does not planned with nodes, but due to the development ,usage of local and tourist, its location, eventually became nodes to the site. Even though the junction of Armenian is crowded with tourist and local open business stall but it can be improved by creating a differential of road material to indicate that spot as a node in the future, and the changing of pavement road material will also help to slow down vehicles for a better pedestrian movement. On the other hand, Chew jetty location has cause pedestrian to lost the direct connection due the Weld Quay (Pengkalan Weld) high traffic road, perhaps zebra crossing or traffic should implement to smoothen the pedestrian flow. Concept of a place or creating a centre which is the goal of meaningful event are experienced.

5.4 DISTRICTS The district of Colonial and traditional fisherman village are easily access from the Weld Quay, and both can be clearly distinguish by its function of zone and appearances of building. However, the traditional sub-district that has no connection between the clans jetty can be improved by adding collector path between each clans to become a whole dominant district with connection among each other. This will make the traditional zone to become a clearer parcel of district. In among clan of jetties Chew jetty seem to be the hierarchy, but Lee jetty has the most iconic appearance due to its newly added decorative elements.

5.5 LANDMARKS A strong image or identity of places can be embodied by having the significant element. It is apparent that some areas have different images due to its representation in its sculpture or structural building. This kind of representation will eventually attract people to perceive it as assisting directional and orientation quality. For instance, Khoo Kongsi as significant landmark s has not only attracts high numbers of international tourist every year but it also helps the local people to determine how far their location with regards to the surrounding context. Sense of place are also relevantly related with the existence of this temple since all the activities such as prayers, cultural performance associated with this temple has impactful image to the local people. Perhaps this area will be avoided *Corresponding author (Tan Yeong En). Email: dayanaarif@gmail.com ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19J http://TUENGR.COM/V10A/10A19J.pdf DOI: 10.14456/ITJEMAST.2019.268

by locals during festive season while high chances of tourist will come due to its valuable history and cultures. Meanwhile, as for the fire station (Bomba) the term landmark is quite significant here due to the strong influence of neo-classical facade with white and red stripes that is considered different from the background elevation. The function of this building is entirely on services, but it does not mean that function does not contribute the differences since the neighboring buildings are only filled with commercial areas. There are another landmark located at fishermen district which is the Chew Jettyâ&#x20AC;&#x2122;s temple. It is located at the one of the important nodes along the Weld Quay Street. It is hard to differentiate other villages since the houses are made from similar materials and design However, there is one entry point that has temple and it is located at Chew Jetty. This is a very small temple but the painting made from vibrant and lively colors.

6. CONCLUSION From the Studies, the most dominant urban design element found at the site of Beach street heritage building and traditional fisherman village is the districts and edges. The Weld Quay that stands out as an arterial road that separates the colonial and traditional zones of fisherman villages. That the transition characteristic between colonial double-storey shophouses and single-storey timber house is well distinguish by the arterial road of Weld Quay. Its functional of space can also be clearly acknowledge by its environment that in the fisherman village appears to be narrower like a private housing place, compared to colonial has a wider path that is publicly open for commercial. Even though the transition of colonial and traditional planning is distinguishable by its contrast of planning, building, materiality, but both zones still preserved its identity and been connected by the tourism development as a whole district of heritage site of George Town.

7. AVAILABILITY OF DATA AND MATERIAL Data can be made available by contacting the corresponding author.

8. ACKNOWLEDGEMENT We would like to express our sincere appreciation to Universiti Sains Malaysia for a support to this study with a Bridging Grant (Number 304.PPBGN.6316521).

9. REFERENCES Caniffe, E. (2006) Urban Ethics - Design in the Contemporary City. Routledge: Taylor and Francis Group. Carmona, M. et al. (2003) Public Spaces Urban Spaces: The Dimension of Urban Design. London, Architectural Press. Christina Oon, K.E. and Khoo, A.L. (2014). Issues and challenges of a liveable and creative city: The case of Penang, Malaysia. Development Planning and Management Programme, School of Social Sciences, Universiti Sains Malaysia, 10(3), 33-43. Cullen, G. (1986) Concise Townscape. London, Architectural Press. Hassan, A.S. (2014) Siri Syarahan Umum : Ke Manakah Hala Tuju Reka Bentuk Bandar dan Seni Bina Kita? Penang, Universiti Sains Malaysia. Lang, J. (1987) Creating Architectural Theory : The Role of Behavioural Sciences in Environemental Design. New York, Van Nostrand Reinhold. Lynch, K. (1960). The Image of The City. Massachussets Institue of Technology.

Tan Yeong En, D. Binti Aripin, A.Sanusi Hassan, M. Hafeez A. Nasir, B. Witchayangkoon

Relph, E. (1976) Place and Placeness . London, Pion Limited. Samsudin, S. (1997) Identity of Place. Unpublished Doctoral Thesis. University of Nottingham. Samsudin, S. (2011) Townscape Revisited: Unravelling the Character of Historic Townscape in Malaysia. Universiti Teknologi Malaysia, UTM Press Spreiregen, P.D. (1965) Urban Design: The Architecture of Towns And Cities. McGraw-Hill Book Company, Inc. Teo, P. and Huang, S. (1996) A Sense of Place in Public Housing: A Case Study Ris, Singapore. Habitat International. 20(2) Watson, D., Plattus A. and Shibley R. (2003) Time Saver Standards for Urban Design. New York: McGraw Hill. Webber, G. (2008). Outside in: The forgotten model of the European square. Architectural Theory Review, 13(1), 52-68. Webber, G. (2010). Book Reviews: Convivial Urban Spaces: Creating effective public places and Genius of the European Square. Urban Design International, 15(3), 186-188. Dayana Aripin is a student of Master of Architecture in School of Housing, Building and Planning, Universiti Sains Malaysia (USM), Penang, Malaysia. She obtained her degree in Bachelor of Science in Architecture at Universiti Malaya. She is interested in Architecture and Town Planning.

Tan Yeong En is a Master’s degree student of Architecture at School of Housing, Building and Planning, Universiti Sains Malaysia (USM), Penang, Malaysia. He obtained his degree in Bachelor of Science (Hons) in Architecture at University College Sedaya International. His research is Architectural Analysis.

Professor Dr.Ahmad Sanusi Hassan is Professor in Architecture Programme at the School of Housing, Building and Planning, Universiti Sains Malaysia (USM), Penang, Malaysia. He obtained a Bachelor and Master of Architecture degrees from University of Houston, Texas, USA, and a PhD degree from University of Nottingham, United Kingdom. His researches encompass Sustainable Architecture and Urban Design Development. Muhammad Hafeez Bin Abdul Nasir is a PhD student at the Universiti Sains Malaysia under the school of Housing Building and Planning. He had his Bachelor and Master of Design Studies from the University of Adelaide. He is interested in Sustainable Architecture.

Dr.B. Witchayangkoon is an Associate Professor of Department of Civil Engineering at Thammasat University. He received his B.Eng. from King Mongkut’s University of Technology Thonburi with Honors in 1991. He continued his PhD study at University of Maine, USA, where he obtained his PhD in Spatial Information Science & Engineering. Dr. Witchayangkoon interests involve Applications of Emerging Technologies to Engineering.

International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies http://TuEngr.com

PAPER ID: 10A19K

MOOC AND MOOC DEGREES: NEW LEARNING PARADIGM AND ITS SPECIFICS a

Mikhail Nikolaevich Shcherbinin , Sergei Vasilievich Kruchinin a Alexey Gennadievich Ivanov a

Department of Philosophy, Tyumen State University, RUSSIA

Department of Applied Mathematics and Natural Sciences, Noyabrsk Institute of Oil and Gas (branch) TIU in Noyabrsk, RUSSIA.

ARTICLEINFO

A B S T RA C T

Article history: Received 12 June 2019 Received in revised form 02 October 2019 Accepted 10 October 2019 Available online 30 October 2019

Massive Open Online Courses (MOOCs) are one of the most important facets of modern education. They appeared in 2008 and are still developing. The article is dedicated to understanding the MOOCs learning paradigm, its development, and realization in the new product – MOOC degrees. MOOC degrees are full Bachelor’s, Master’s, or MBA programs provided by platforms such as Coursera, edX, and others. These degrees are cheaper in comparison with other online education programs by separate universities and with traditional programs. MOOC degrees are based on principles of previous courses, including auto-grading, flexibility, fully online format, and topicality. The vast majority of current programs are in the spheres of business, computer science, engineering, and data science. There is a lack of humanities and social science degrees. However, this direction of education has been implemented just recently. In the future, the number of such programs will increase and become more varied. MOOC degrees are based on the MOOC paradigm and inherit its pros and cons, but completion rates should be significantly higher. These programs can substitute online degrees by many universities and be useful, but not very affordable for students from lower-income countries. The overall quality of universities provided MOOC degrees, currently is lower than MOOCs founder members.

Keywords:

Massive open online course; MBA; Online education; Online students; Master’s degree; Bachelor’s degree.

1. INTRODUCTION Massive Open Online Courses (MOOCs) are the most interesting phenomenon of modern online education. They cover the broad topicality of academic disciplines at different levels. The first MOOCs appeared in the year 2008. There were just several courses that attracted more than 100 000 *Corresponding Author (K.S.Vasilievich) Tel: +7-922-0604382 Email: Kruchinin.s.v@bk.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19K http://TUENGR.COM/V10A/10A19K.pdf DOI: 10.14456/ITJEMAST.2019.269

students from all over the world. These courses covered topics interconnected with information technologies and engineering. Currently, topicality is much wider. Previously, Kobas predicted a reduction of interest in MOOCs (Kobas, 2014). Simultaneously, Evans & McIntyre (Evans, McIntyre, 2016) found that in March 2013 there were only 65 humanities courses provided by Coursera and edX, which was 17% of the total course number. That meant the total number of courses in March 2013 was 382 (8 times less than in September 2016). Therefore, it can be concluded that interest in MOOCs have not reduced and have even increased since 2014. At the very beginning, MOOCs were absolutely free. Later, some of the MOOCs platforms started to offer payable verified course certificates simultaneously with their free versions. During several years, the number of courses with payable certificates has increased significantly. Some platforms started to provide even payable courses without free taking opportunities. Thus, not all MOOCs became free, whereas they are still named MOOCs. The year 2018 was called “Year of MOOC-based degrees”. The vast majority of these degrees are Masters or MBAs, whereas there are some Bachelor's degrees too. The main advantages in comparison with regular degrees are: • fully online education (distance learning); • more flexibility in time, both in hours per week and in years of education. Undoubtedly, these two variables are interconnected with each other. The more that students learn during each week, the less is the whole duration of education; • easier admission procedure and lower academic requirements; • lower cost of education; • possibility to avoid moving due to education necessities; • group education and possibilities to communicate with lecturers and classmates; • online access to lecturer materials, students can repeat each course if they need it. Undoubtedly, there are many disadvantages of MOOC degrees, such as lower socialization, absence of an on-campus learning atmosphere, lower possibilities for career promotion due to university communications and contacts. Thus, MOOC degrees are a new phenomenon in online learning that should be analyzed in different ways. The article discusses the key differences in the learning paradigm between MOOCs and MOOC degrees. Moreover, specifics of new formats are discussed more precisely.

2. LITERATURE REVIEW There are five main issues interconnected with the MOOC learning paradigm. Due to the fact that MOOC degrees are a new phenomenon in online education, there is a lack of articles covering this topic. However, several articles still exist. First of all, MOOC models have to be discussed. There are three waves of interest in MOOCs: marketing, life-long learning, and credit generating (Brown 2018). The marketing wave was initiated by elite and famous universities that created the first MOOCs. Life-long education was a new phenomenon associated with modern technologies in different spheres. These technologies

Mikhail Nikolaevich Shcherbinin, Sergei Vasilievich Kruchinin, Alexey Gennadievich Ivanov

significantly changed the vast majority of business and production processes in different branches. Thus, the second wave of MOOCs is associated with education improvement. The third wave of MOOCs is determined by the opportunity to take a course for university and college credits. Sometimes such substitution was reasoned by a better quality of MOOCs and in other cases by lower prices of the courses. The second aspect of the MOOC models is revenue. The first model is selling certificates of completion. This was called the blue ocean strategy (Koller 2013). The second model is based on payable courses and MicroMasters programs. The third model is a new one – MOOC degrees (Reich, Ruipérez-Valiente, 2019). Secondly, there is an issue with MOOC origins which Morozov (2013) called ‘Silicon Valley solutionism’. MOOCs were in the fields of engineering and programming, which assumed several educational standards. Later, these standards were applied to all courses. The main idea was that high educational standards given by elite universities based on principles of rationality will guarantee a high educational level in all scientific fields (Giannella, 2015). However, these educational standards assume one correct answer or definite set of answers even in case if there are several variants to get this answer, while the classical educational paradigm is based on critical thinking, reasoning and arguing (Chandler, 2002). In other words, all MOOCs, including degree programs, are based on auto-grading estimation of students’ achievements. Therefore, in some scientific areas it is impossible to speak about correctness of answer as about basic criterion of successful completion of the course. Undoubtedly, knowledge is an important part of education in any scientific field. However, we cannot reduce educational process just to process knowledge obtaining (Kanuka, 2008). The most reasonable critique of the MOOC learning paradigm has demonstrated the lack of moral and human principles in this educational approach, which is strongly correlated with dialogue between lecturers and students. Some critiques metaphorically compare the MOOC learning paradigm with binary logic of the Internet as ‘salvation or destruction’ (Johnston, 2009) or even with the fast-food industry and warnings about the ‘uncontrolled spread of junk education’ (Baggaley, 2014). However, it is important to highlight that these critical articles were published before Coursera’s specialization program became widespread. Moreover, Udacity started its own long-term educational programs and edX started serial courses and MicroMasters programs, which attracts students and provides education opportunities more similar to traditional education. Some of these long-term programs, specializations, and serial courses have restrictions in number of participants that help to develop intragroup communications and dialogue between lecturer and students. MOOC degrees is one more step in the development of this type of education. The third issue is MOOC students. The vast majority of courses require no particular background and, thus, they are accessible for all students. Whereas, several studies have shown that the vast majority of foreign students (83%) of MOOCs already had 2 or 4-year degrees (Emanuel et al., 2013) and 55% of students, who completed the courses had Master ’s degrees or higher (Chernova, 2013). Therefore, the author assumes that MOOC students are pursuing goals other than obtaining a degree. Despite this fact, they can use their verified certificates earned through MOOC course completion to accumulate credits at their universities. The fourth and the main issue is the completion rates of modern MOOCs. Different sources *Corresponding Author (K.S.Vasilievich) Tel: +7-922-0604382 Email: Kruchinin.s.v@bk.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19K http://TUENGR.COM/V10A/10A19K.pdf DOI: 10.14456/ITJEMAST.2019.269

discuss this issue. The main estimations of this indicator vary from 10 to 15 percent (Jordon, 2016; Khalil, Ebner, 2014). One study has suggested that completion rates depend on the quality of the course, which is strongly correlated with the level of the university that provided the course (Kolowich, Steven, 2013). The other one improves on this idea. The better universities with better ordinary courses had higher rankings. These learning traditions and ordinary courses were transferred to MOOCs. Thus, courses by top universities had more students who completed them. The courses with higher completion rates usually are better known. The simple fact that ‘MOOCs by the top universities attract more students’, was not actually true. (Kruchinin, 2019). The number of enrolled students affected the number of students who completed the course. Typically, 4.5 students from each hundred completed the course. Assessment by auto-grading resulted in higher completion rates than other formats. Peer-to-peer and auto assessments made courses more difficult and took more time, which decreased students’ actual involvement. Simultaneously, current tendencies in MOOCs shifted from completion to involvement. Ahearn (2019) showed that many students take only the most important information and knowledge in each MOOC they are enrolled in. These students are involved in the educational process without the aim of obtaining a certificate. Ahearn explained this tendency as dictated by the education level of the students. Many of them already hold a degree before taking a particular MOOC. She also cites some statistics: • • •

40 percent of people complete a podcast episode. Most podcast episodes are between 20-60 minutes, compared to the typical MOOC, which can take more like 10-100 hours to complete; between 50-80 percent of students who sign up for a MOOC open the first email; higher education websites have a bounce rate of 51 percent, meaning that more than half the people navigate away from them after viewing just one page.

Thus, it is not just a MOOC issue. MOOCs are a part of the online education and Internet surfing process. In other words, many students are not really interested in the courses even if they are enrolled in them. Many scientists discussed the issue of MOOC completion rates. The first reason for dropouts of MOOCs was the lack of time for each particular course. Many students take more than one course at a time. As a result, they have to spend more time on them than they have (Belanger, Thornton, 2013). The second reason is the different education strategies. Some students want to look through all courses, some targeted on certificate obtaining, and some just need a part of lecturers and materials (Bruff, 2013). Simultaneously, many students are interested in participating in MOOCs instead of obtaining a certificate (Yuan, Bowel, 2013). Moreover, there are very different reasons for taking and completing courses (Belanger, Thornton, 2013). On the pre-course survey, fun and enjoyment were selected as important reasons for enrolling by a large majority of students (95%). In the post-course survey, most reported that they have a general interest in the topic (87%). One more issue is feelings of isolation and the lack of interactivity in MOOCs (Levy, Schrire, 2012). MOOC degrees are a new phenomenon. Current studies discuss the same issues with completion rates. Moreover, they discuss opportunities for these new programs to substitute regular education (Reich, Ruipérez-Valiente, 2019).

Mikhail Nikolaevich Shcherbinin, Sergei Vasilievich Kruchinin, Alexey Gennadievich Ivanov

2.1 HYPOTHESES The hypothesis of this study is dedicated to the MOOC educational paradigm and MOOC degrees educational paradigm. The study is based on the idea that the paradigm of MOOC origins is commonly known. Therefore, the main research questions are: 1) 2) 3) 4)

Do recent MOOCs follow their origins or become another type of education program? Are MOOC platforms profitable companies or do they follow the idea of free education? Are MOOCs still popular and relevant? Are MOOC degrees close to the original ideas of this kind of education or are they a new, separate product?

3. METHOD The research combines figures and data from different open sources, dedicated to MOOCs, its completion rates, and other issues. The main research method is the analysis of data from different sources, combined with each other. Authors provide some estimates of MOOC platform income and revenues. Moreover, data about all MOOC degrees, provided by edX and Coursera platforms, available in the autumn of 2019, are presented in this article. In this study, the data was calculated and analyzed. Different indicators were estimated. Among these indicators are the following: share of Bachelors, Masters, and MBA programs, share of education direction, average duration of the program, and the average cost of the program. The research outcome is based on the calculated, estimated, and analyzed data.

3.1 DATA The research is based on data from open-source courses, known as MOOCs and MOOC degrees. Some of the data are from the journal Science. The most important issue is data collection from edX and Coursera platforms. Authors collected data about all MOOC degrees, represented on these platforms, that are available in the autumn of 2019. Collected data covered: MOOC platform, program level, topicality and direction, the university that provides it, cost and duration of the program. Thus, it can be easily found out whether current MOOC degrees are close to MOOCs' basics and origins, or they are separate products at online education market.

4. RESULT AND DISCUSSION 4.1 MOOC PLATFORMS AND COURSES DISTRIBUTION MOOC platforms started to arise in 2008. Since 2011, the number of platforms has significantly grown. In the year 2012 their number was 17 and after two years, 44. Currently, their number is about 60 (Figure 1). Thus, growth has been quite rapid. Undoubtedly, Coursera is the leader in this field. This site eared to be the first one. It is the origin of MOOCs. EdX appeared at the same time. However, nowadays its share of the market is significantly lower. Coursera’s share is 35.6 percent and edX’s just 18.1. This difference can be explained via different policies of the platforms. Coursera is quite open to new universities and courses. There is plenty of small universities form all over the world that provide courses via this platform. These courses attract many students. EdX provides courses just *Corresponding Author (K.S.Vasilievich) Tel: +7-922-0604382 Email: Kruchinin.s.v@bk.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19K http://TUENGR.COM/V10A/10A19K.pdf DOI: 10.14456/ITJEMAST.2019.269

from several universities, usually elite or commonly known all over the world. As a result, their quality is higher than by Courseraâ&#x20AC;&#x2122;s courses, but the quantity is lower. This leads to lower rates of site visiting.

Figure 1: Growth of MOOC platform numbers (Source: http://www.mooclab.club/resources/mooclab-report-the-global-mooc-landscape-2017.214) The other platforms appeared later. Among these platforms are Udacity, FutureLearn, Open2Study, iversity, and others. Currently the platform Canvas Network is ranked second, according to popularity and usersâ&#x20AC;&#x2122; visits (6.9%). Other named platforms have from 2 to 6 percent. Moreover, the other platforms, such as Lagunita (Stanford University), Open Education (Russia) and others collaborate have 16.4 percent of the market (Figure 2).

Figure 2. MOOC platforms shares. (Source: http://bizmooc.eu/papers/initiatives). One more important issue is the course's topicality distribution. In literature review has been shown that MOOCs' origins are technological, mathematical and engineering courses. Currently their overall share is 30.3 percent. Moreover, the share of science courses is 10 percent. Thus, these courses are still the basis of MOOCs. Business courses are also very popular. Their share is 18.5 percent. All other courses have less of a share. Social sciences courses' share is 10.6 percent and humanities, 9.5 percent. In other words, current MOOCs' topicality is not equally distributed. The vast majority of the courses, including all platforms, are dedicated to science, technologies, and business. Whereas the share of humanitarian, social and art courses overall is less than one-third of

Mikhail Nikolaevich Shcherbinin, Sergei Vasilievich Kruchinin, Alexey Gennadievich Ivanov

the total number of the courses (Figure 3). Thus, it can be concluded that MOOCs are a market that has had rapid growth and are currently growing well too. It is not so rapid as in the years 2012-2015 and soon the market will obtain its peak. In this case, according to modern product and business life models of Miller, Adizes and other scientists, new products have to be announced on the market. At the moment when one product obtains its market peak, the new one should be presented and significantly grown up. This strategy allows firms to be at the top of the market. For instance, such a strategy is applied by the Apple corporation. Thus, it is the proper moment for the first MOOC platforms to provide a new product, such as MOOC degrees.

Figure3. MOOC courses topicality Moreover, current MOOCs topicality corresponds with the paradigm of ‘Silicon Valley solutionism’ (Morozov, 2013). It is illustrated by the distribution of the courses. It also should be added that many technological, especially in case of information technologies, courses have some stages. From basics and beginnings to advanced ones. Whereas humanity courses are usually provided on introduction level. In other words, critics of the MOOCs by Chandler (2002), Morozov (2013), Baggaley (2014) and other scientists are still actual nowadays both in context of courses topicality and humanization of them. MOOCs main paradigm is constant since its origins.

4.2 STUDENT PARTICIPATION Student participation was previously measured by the certificates that were obtained and the and courses completed. However, in the literature review, it has been shown that the criteria are not proper for current MOOC participation. Therefore, in this research, the other criterion is taken into account – recent enrollment. Recent enrollment is the rate of enrollment of previously registered users. The indicator shows the share of students who enrolled in MOOCs each year after their registration (Figure 4). Thus, users that registered in the year 2012, later enrolled at a significantly lesser rate. In the year 2013, their enrollment rate was just 38 percent. In other years, the rate of enrollment continues to decrease. In the 5 years after registration, only 8 percent of users continued taking new courses. For *Corresponding Author (K.S.Vasilievich) Tel: +7-922-0604382 Email: Kruchinin.s.v@bk.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19K http://TUENGR.COM/V10A/10A19K.pdf DOI: 10.14456/ITJEMAST.2019.269

the later years of registration, since 2013, the same rate reduced even more dramatically. Thus, in the year 2017, the average rate of enrollment of previously registered users was varied from 6 to 10 percent, regardless of the year of registration.

Figure 4. Enrollment of previously registered users. (After Reich and Ruipérez-Valiente (2019)) For instance, only 12 percent of users who were registered in the year 2015 were enrolled again in 2016, and 7 percent in 2017. Just 6 percent of users who were registered in 2016 continued their education using MOOC platforms in 2017. It is important to highlight two tendencies: • regardless of the year of registration, users’ participation in 2017 was very low. Only 6-10 percent of them used MOOC platforms at all; • involvement of new users reduces every year. Users who registered in later years were involved significantly less than the previous years. Thus, it is concluded that users are interested in MOOC registration, but not in long term course enrollment and completion. Each year, their interests in furthering their education significantly decrease. Thus, in 2017, the actual number of users was 250 million, whereas the overall number of registered users before this year was 3.219 billion. The share of active users in 2017 was 7.8 percent. Taking into account previously discussed completion rates, the overall completion rate among all registered users in 2017 was less than 1 percent. This is extremely low. It can be concluded, that regardless of the way of measuring, the completion rates, certificate obtaining, or renewed enrollment, the share of active students is very small. That means a low actual interest in MOOCs and low revenues of MOOC platforms. However, the rates of new registrations show that MOOCs attract users. Thus, new formats of education should be offered to them.

4.3 REVENUE OF MOOC PLATFORMS There are many ways for MOOC platforms to earn money. Some of them are: • • •

payable certificates; paid courses; paid pathways; Mikhail Nikolaevich Shcherbinin, Sergei Vasilievich Kruchinin, Alexey Gennadievich Ivanov

•

long-term programs, including degrees.

The list is presented according to the order of appearance. Thus, payable certificates are the oldest way of MOOC platforms generating revenue. The platforms, especially Coursera, often report high potential revenue or growth of this indicator. Taking into account the previous statistics and price of certificates, the average income of Coursera exceeds 0.6 billion dollars in 2017. EdX’s revenue was about two times less in the same period. Moreover, nowadays there is extra income, based on programs, paid courses, micro-Masters, and degrees. MOOC platforms are firms with quite high revenue, especially for the leading firms in the market. In the year 2017, the total number of MOOC platforms was 57. 36, including 36 fully free courses and 21 paid courses. Thus, the major part of platforms provides fully free courses and close to non-commercial organizations (Figure5).

Figure 5: MOOC platforms distribution according to provided programs. (Source: http://www.mooclab.club/resources/mooclab-report-the-global-mooc-landscape-2017.214) Forty platforms provided free certificates. Thus, the number of platforms that give free certificates were even higher than the number of platforms with fully free courses. It means that the main idea of MOOC is still actual. Mainly it is free education. Simultaneously, many platforms provide courses on different languages, including English, Chinees, Spanish, German, Russian and others. Current MOOCs are even more available to students all over the world than in the beginning. Thus, MOOCs’ origins paradigm is still actual nowadays. Nine platforms provide degrees. Therefore, MOOC platforms have started to expand their format. Some of them provide full degrees, including bachelors, masters, and MBAs; and even more platforms (19) provides pathways. Pathways is a form of long-term education with more deep interaction with students. Less than half of MOOC platforms allow their students to get credits to substitute college and university courses. This opportunity is not the main in this educational format. Returning to MOOC platforms' revenue, it is important to highlight that the vast majority of enrolled students are from countries with very high incomes. The overall number of students from other countries is less than form the first group. A similar situation, even with higher disproportions between very high-income countries and other, characterizes the number of purchased certificates. Moreover, the peak of enrollment of students of all categories was in the year 2015. Whereas, the peak of purchased certificates was in the year 2014. In other words, the peak of obtained certificates was earlier than the peak of enrollments. Thus, earlier registered students were more active and *Corresponding Author (K.S.Vasilievich) Tel: +7-922-0604382 Email: Kruchinin.s.v@bk.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19K http://TUENGR.COM/V10A/10A19K.pdf DOI: 10.14456/ITJEMAST.2019.269

motivated in the educational process. Currently, the number of courses is increasing and purchased certificates are decreasing (Figure 6).

Figure 6: Participation in MOOCs by students from different countries. (Source: Reich and Ruipérez-Valiente, 2019). The proposed income of MOOC platforms, earned on certificates, reduces and they have to seek new business opportunities. Due to the fact that the vast majority of students are from very high-income countries, new products and services have to be targeted in this group. This determines MOOC's degree's origin. They have to compose both MOOC origins, such as accessorily, flexibility, low costs, and high variation and follow the interests of the targeted students. Therefore, MOOC degrees are generally provided by universities from very high-income countries or, at least, based on their academic standards and programs. MOOC degrees paradigm is an open, online, low-cost education for students, based on very high-income countries' educational standards.

4.4 MOOC DEGREES MOOC degrees nowadays cover bachelor, master and MBA programs. Due to MOOC origins, these academic programs generally directed on technological, engineering, science and business education, whereas other fields are presented significantly less (Table 1). In Table 1, MOOC degree programs by Coursera and edX platforms are represented. Currently, the vast majority of programs are at the Master’s level. Coursera offers 13 Master’s programs and edX offers 10. There are just several MBA and Bachelor's programs (some of them are not included in the table because they are offered by other providers). The average MOOC Master’s program duration is about 28-36 months. The average cost for Coursera Master’s degree programs is $ 22,000 and MBA programs are $ 22,600. The average cost for edX Master ’s degree programs is $ 16,290. Thus, the average edX’s master program is cheaper than Coursera’s. EdX programs also have an additional benefit – better-known universities with potentially higher educational standards and quality. Whereas Coursera announces high-quality education provided by the top 1 percent universities in the world or by one of the tenth best universities in the country (for instance, Russia), their academic ratings are lower than by edX universities. The overall quality of universities, provided MOOC degrees, is currently lower than MOOCs founding members. All of the universities previously have published their MOOCs, but they are no universities that have started in this

Mikhail Nikolaevich Shcherbinin, Sergei Vasilievich Kruchinin, Alexey Gennadievich Ivanov

direction. Also, MOOCs are not associated with any of them.

Table 1. MOOC degrees program in the year 2019 Platform Coursera

Program level MBA

Program field

Program title

University

Cost

Business Business

MBA

Business

University of Illinois at Urbana-Champaign University of Illinois at Urbana-Champaign Macquarie University

$21,384

MBA

$20,564 – $27,200 $22,500

12 - 18

Master

Business

HEC Paris

$22,100

Master

Arizona State University Universidad de los Andes University of Illinois at Urbana-Champaign University of Colorado Boulder Penn Engineering

$15,000

18-36

$21,440

12 - 36

$20,000

$26,300

16-40

University of London

$13,000-19,500

36-72

Master

Computer Science and Engineering Computer Science and Engineering Computer Science and Engineering Computer Science and Engineering Computer Science and Engineering Computer Science and Engineering Data Science

Master of Business Administration Master of Science in Accountancy Global Master of Business Administration Innovation and Entrepreneurship Computer Science

$10,000-18,000

18-24

Master

Data Science

Applied Data Science

$31,688-$42,262

Master

Data Science

Master

Data Science

$21,440

12 - 36

Master

Data Science

Machine Learning

Master

Public Health

$15,500-$26,000

Master

Public Health

$44,520

20-22

Master

Computer Science and Engineering Humanities

Electrical and Computer Engineering Leadership: Service Innovation Business Administration IT Management Accounting Cybersecurity

National Research University Higher School of Economics University of Michigan University of Colorado Boulder University of Illinois at Urbana-Champaign Imperial College London Imperial College London University of Michigan Purdue University

$22,500

12-48

$17,000

$24,000 $21,000 $21,000 $9,920

24-36 21-36 21-36 24-36

$9,900

12-36

$17,500 $19,080

18-36 24-36

$10,000

18-36

$15,000

12-36

Master Master Master Master Bachelor

edX

Master MBA Master Master Master Master

Business Business Business Computer Science and Engineering Data Science

Master Master

Business Business

Master

Computer Science and Engineering Data Science

Master

Ingeniería de Software Computer Science Science in Electrical Engineering Computer and Information Technology Computer Science Data Science

Analytics Marketing Supply Chain Management Computer Science Data Science

The University of Queensland Boston University Indiana University Indiana University The Georgia Institute of Technology The Georgia Institute of Technology Curtin University Arizona State University The University of Texas at Austin The University of California, San Diego

Duration (months) 24-36 18-36

Characterizing MOOCs ' degree distributions, several issues have to be mentioned. At Coursera platform 23,5 percent of courses are dedicated to business, 35,3 percent – to computer science and engineering; 29,4 percent – to data science, 11,8 percent – to public health. At edX platform 45,5 percent of courses are dedicated to business; 27,3 percent – to computer science and engineering; 18,2 *Corresponding Author (K.S.Vasilievich) Tel: +7-922-0604382 Email: Kruchinin.s.v@bk.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19K http://TUENGR.COM/V10A/10A19K.pdf DOI: 10.14456/ITJEMAST.2019.269

percent – to data science; 9 percent – to humanities. Thus, MOOC degrees are quite close to their origins according to course distribution. They continue MOOC traditions. There is still ‘Silicon Valley solutionism’ (Morozov, 2013), lack of humanities and different ways of grading, besides auto-grading (Reich, Ruipérez-Valiente, 2019). However, these degrees are cheaper than regular education from the universities which provide them. Students in MOOC degrees face with previous admissions and have to pay for a course, module or semester before its start. Therefore, their motivation is significantly higher than of average MOOC students. These degrees are far from the ‘uncontrolled spread of junk education’ (Baggaley, 2014). Universities ranking, possibility to get a diploma and auto-grading will lead to the high enrollment of students end completion rates (Kolowich, Steven, 2013; Kruchinin, 2019). Thus, MOOC degrees are based on the MOOC paradigm and inherit its pros and cons, but completion rates should be significantly higher. At least, these programs taking is much serious educational decision in comparison with any course. So, MOOC degrees can exclude some disadvantages of basic MOOCs. Moreover, these courses can substitute online degrees by many universities and be useful, but not very affordable, for students from countries without very high incomes.

5. CONCLUSION MOOCs are a market that has had a rapid growth and are currently growing well too. Soon the market will obtain its peak. Therefore, new products, such as MOOC degrees is quite actual and awaited. Currently, regardless of the way it is measured, complete rate, certificate obtaining or renewed enrollment, the share of active students is very small. That means a low actual interest in MOOCs and leads to low revenue of MOOC platforms. However, the rates of new registration show that MOOCs attract users. The proposed income of MOOC platforms, earned on certificates, reduces and they have to seek new business opportunities. Due to the fact that the vast majority of students are from very high-income countries, new products and services have to be targeted in this group. This determines MOOC's degree’s origins. They have to compose both MOOC origins, such as accessibility, flexibility, low costs and high variation and follow the interests of the targeted students. MOOC degrees are based on their academic standards and programs. MOOC degrees paradigm is an open, online, low-cost education for students, based on very high-income countries' educational standards. MOOC degrees are quite close to their origins according to course distribution. They continue MOOC traditions. These degrees are cheaper than regular education from the universities which provide them. Students in MOOC degrees face with previous admissions and have to pay for a course, module or semester before its start. Therefore, their motivation is significantly higher than of average MOOC students. MOOC degrees are based on the MOOC paradigm and inherit its pros and cons, but completion rates should be significantly higher. These programs can substitute online degrees by many universities and be useful, but not very affordable, for students from non very high-income countries. The overall quality of universities provided MOOC degrees, currently is lower than MOOCs founder members.

6. AVAILABILITY OF DATA AND MATERIAL The research is based on open edX, Coursera, and the other MOOC platforms data. No data is generated from this study.

Mikhail Nikolaevich Shcherbinin, Sergei Vasilievich Kruchinin, Alexey Gennadievich Ivanov

7. REFERENCES Brown M. (2018) Why invest in MOOCs? Strategic institutional drivers. In D. Jansen; L. Konings (Eds.) The 2018 OpenupEd Trend Report on MOOCs. (pp. 6-9). Maastricht, NL: EADTU. Koller D. (2013) The Online Revolution: Learning Without Limits, in Proceedings of the 20th International Conference for Online Learning. Review retrieved from https://sloanc2013.wordpress.com/2013/11/21/moocs-the-blue-ocean-strategy Reich, J., Ruipérez-Valiente, J. A. (2019). The MOOC pivot. Science, 363(6423), 130-131. Morozov E. (2013) To save everything, click here: Technology, solutionism, and the urge to fix problems that don’t exist. London: Allen Lane. Giannella E. (2015) Morality and the idea of progress in Silicon Valley. Berkeley Journal of Sociology. Available at: http://berkeleyjournal.org/2015/01/morality-and-the-idea-of-progress-in-silicon-valley (accessed 14 November 2019). Chandler D. (2002) Technological determinism. Web essay, Media and Communications Studies. University of Aberystwyth. Kanuka H. (2008) Understanding E-learning technologies in practice through philosophies in practice. In: Anderson T (eds) The Theory and Practice of Online Learning. Edmonton: AU Press, pp. 91–118. Emanuel E., Christensen G., Steinmetz A., et al. (2013) Online education: MOOCs taken by educated few. Nature, 503(7476), 346. Chernova Y. (2013) New study sheds light on free online courses. Venture Capital Dispatch. Available at: http://blogs.wsj.com/venturecapital/2013/07/31/new-study-sheds-light-on-free-online-courses/ (accessed 14 November 2019). Johnston R. (2009) Salvation or destruction: Metaphors of the Internet. First Monday 14(4). Available at: http://firstmonday.org/ojs/index.php/fm/article/view/2370/2158 (accessed 14 November 2018). Baggaley J. (2014) MOOCS: Digesting the facts. Distance Education, 35(2), 159–163. Jordon

K. (2016) MOOC Completion rates: the data. Available http://www.katyjordan.com/MOOCproject.html (accessed 14 November 2019).

at:

Khalil, H., Ebner, M. (2014). MOOCs completion rates and possible methods to improve retention-A literature review. In EdMedia+ Innovate Learning (pp. 1305-1313). Association for the Advancement of Computing in Education (AACE). Kolowich S. (2013) The Professors Who Make the MOOCs. Chronicle of Higher Education. Available at: http://www.chronicle.com/article/The-Professors-Behind-the-MOOC/137905/#id=overview (accessed 14 November 2019). Kruchinin, S. (2019) An investigation into the attraction and completion rates of MOOCs. Knowledge Management & E-Learning: An International Journal, 11.1, 38-58. Ahearn A. (2019) Stop Asking About Completion Rates: Better Questions to Ask About MOOCs in 2019. Digital learning in higher education. EdSurge. Available at: https://www.edsurge.com/news/2018-11-28-stop-asking-about-completion-rates-better-question s-to-ask-about-moocs-in-2019 (accessed 14 November 2019). Kobas J. (2014) Measuring the success of scaleable open online courses. Performance Measurement and Metrics, 3 (15), 145-162. Evans, S., McIntyre, K. (2016) MOOCs in the humanities: Can they reach underprivileged students? Convergence, 3 (22), 313-323. *Corresponding Author (K.S.Vasilievich) Tel: +7-922-0604382 Email: Kruchinin.s.v@bk.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19K http://TUENGR.COM/V10A/10A19K.pdf DOI: 10.14456/ITJEMAST.2019.269

Belanger, Y., Thornton, J. (2013). Bioelectricity: A Quantitative Approach, Duke University’s First MOOC, Duke Center for Instructional Technology. Bruff, D. (2013). Lessons Learned from Vanderbilt's First MOOCs - Center for Teaching, Retrieved 2nd August 2013, from http://www.irrodl.org/content/v5.1/lentell_orourke.html Yuan, L., Bowel, S. (2013) MOOCs and Open Education: Implications for Higher Education, Retrieved 25th July 2013, available at: http://publications.cetis.ac.uk/2013/667 Levy, D., Schrire, S. (2012) The Case of a Massive Open Online Course at a College of Education, retrieved 30th August 2013, available at: http://conference.nmc.org/files/smkbMOOC.pdf Professor Dr.Shcherbinin Mikhail Nikolaevich is Professor at the Department of Philosophy at Tyumen State University in Russia. His scientific interests cover Youth Development, Self-Development, Ontology, and Theory of Knowledge.

Dr.Kruchinin Sergei Vasilievich holds a PhD in Philosophy from the Department of Applied Mathematics and Natural Sciences at Noyabrsk Institute of Oil and Gas (branch) TIU in Noyabrsk, Russia. His researches is dedicated to Modern Education in Different Forms and the Factors that Affect it.

Dr.Ivanov Alexey Gennadievich holds a PhD in Philosophy from the Department of Philosophy at Tyumen State University, Russia. His academic interests are interconnected with Ontology, Theory of Knowledge, Modern Education, and Influence of Technologies on Social Development.

Trademarks Disclaimer: All products names including logos, trademarks™ or registered® trademarks writings, images/photos mentioned in this article are the property of their respective owners, using for identification and educational purposes only. Use of them does not imply any endorsement or affiliation.

Mikhail Nikolaevich Shcherbinin, Sergei Vasilievich Kruchinin, Alexey Gennadievich Ivanov

International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies http://TuEngr.com

PAPER ID: 10A19L

OXIDATIVE STRESS OF PIGS UNDER THE CONDITIONS OF INDUSTRIAL PRODUCTION a

a,b

A.P. Poryvaeva , I.M. Donnik , A.G. Isaeva , A.S. Krivonogova , a,b b b b I.A. Shkuratova , N.B. Musikhina , A.A. Baranova , O.G. Loretts a

Ural Research Veterinary Institute, Federal State Budgetary Scientific Institution “Ural Federal Agrarian Scientific Research Centre, Ural Branch of the Russian Academy of Sciences” (FSBSI UrFASRC, UrB of RAS), 112 А, Belinskogo St., Еkaterinburg, RUSSIA. b Federal State Budgetary Educational Institution of Higher Education ”Ural State Agrarian University” (FSBEI HE Ural SAU), 42, K. Liebknechta St., Ekaterinburg, RUSSIA. ARTICLEINFO

A B S T RA C T

Article history: Received 31 May 2019 Received in revised form 24 September 2019 Accepted 05 October 2019 Available online 30 October 2019

Under modern conditions, especially under conditions of unfavorable ecological load, intensive development of swine rearing has a negative effect on animals’ adaptive abilities. Adaptive resources of organisms of productive animals determine some measures taken regarding various factors, including technogenesis. Thus, the necessity of the research on the correction of oxidative stress of productive animals is becoming essential. In order to balance the process of lipid peroxidation when feeding pigs, a multi-component complex of organic nature was used. The content of malondialdehyde in blood serum and the content of amino acids in longissimus was determined. In organisms of pigs, at the cellular and tissue levels, the accumulation of toxic products of lipid peroxidation and the complete absence or low level of positive dynamics in decreasing the level of the oxidative load was stated. Under the conditions of oxidative stress, there were changes in organisms of pigs regarding the composition of amino acids.

Keywords:

Pigs; Oxidative stress; blood serum; Amino acid composition; Longissimus; Multicomponent complex of organic nature.

1. INTRODUCTION Rearing of agricultural animals under the conditions of modern man-made civilization inevitably results in constant stress situations. The negative effect of environmental factors, such as contamination of air, water, soil and feedstuff with xenobiotics of man-made origin, as well as radiation, triggers increased production of free radicals [2, 3, 6, 8]. Accumulation of active damaging agents (prooxidants, ROI, and free radicals) and metabolic disorders cause damage to cells and lead to various pathologies that do not allow the complete realization of the biological potential of productive animals. *Corresponding Author (A.P. Poryvaeva) Email: app1709@inbox.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19L http://TUENGR.COM/V10A/10A19L.pdf DOI: 10.14456/ITJEMAST.2019.270

On the molecular-cellular level, oxidative stress (OS) is characterized by activation of the process of lipid peroxidation that results in morphofunctional changes in biomembranes. Products of free-radical lipid peroxidation (LP) trigger an oxidative modification of proteins and nucleinic acids that leads to the deregulation of the energy production process in an organism. Under physiological conditions, the antioxidative activity of an organism makes it possible to minimize and balance the negative effect of OS. However, OS progression causes depletion of resources of the antioxidative system. It happens mostly as a result of oxidative modification of the components of the antioxidative system, affected by both free radicals and toxic products of lipid peroxidation. For evaluation of LP quantification of malondialdehyde (MDA) in biological material, such as blood serum, mucosa cells, synovial fluid and so on, it is most often used. An increase in the concentration of MDA is taken as a diagnostic marker used for early diagnosis of metabolic disorders in the organism [1, 5, 7]. Under the conditions of industrial technologies of breeding agricultural animals, oxidative stress does not have any clinical manifestation. For this reason, neither timely preventive measures or correction of disorders are taken. OS effect on the amino acid profile of porcine muscles and the possibility to monitor the process of free-radical oxidation in an organism makes the present research essential and important. This research focuses on the amino acid profile of porcine muscles under the conditions of oxidative stress and evaluates the possibility of its correction by means of food additive containing anti-oxidant elements.

2. MATERIALS AND METHOD Dynamics of the MDA level in leucocytal cells and blood serum of fattening pigs was studied under the conditions of research and production experiment. Blood of animals was taken from ear’s marginal vein on the 1st, 30th and 60 days of research. Quantification of MDA in biological material was done according to standard methods. Amino acid profile was identified in the homogenate of longissimus according to 17 parameters. The possibility of correction of LP was evaluated by means of the use of a multicomponent complex of organic nature with antioxidant elements. two groups of landrace breed of pigs were formed on the principle of analogs (n=80). The animals from the control (C) and experimental (E) groups were kept under the usual conditions of the pig-breeding farm. The pigs from the experimental group were given the multicomponent complex of organic nature (pyridoxine, niacin, ascorbic acid, magnesium citrate, a complex of calcium and methionine hydroxy analog (MHA), lysine) fed for 14 days. The authenticity of the results was proved using mathematical statistic techniques with averaging and standard deviation calculation by means of unpaired t-test. The results were considered to be verified by Р<0.05. Processing of the obtained data was done using Microsoft Excel®.

3. RESULTS OF RESEARCH Analysis of the results of biochemical research has shown that in 80% cases MDA level in the homogenate of white blood cells of pigs was 1.53 ± 0.11 mcIU/l in blood leukocytes, and 1.75 ± 0.23 mcIU/l in blood serum. 20% of pigs had an MDA level of 0.81±0.02 mcIU/l in blood leukocytes and 1,51±0,10 mcIU/l in blood serum. The obtained results proved the fact that the animals’ blood had

A.P.Poryvaeva, I.M.Donnik, A.G.Isaeva, A.S.Krivonogova, I.A.Shkuratova, N.B.Musikhina, A.A.Baranova, O.G.Loretts

excess content of LP products. For the entire period of the experiment, the MDA level in the biological material under research did not undergo any significant changes (p≥0.05). However, the number of pigs with identified excess content of LP products increased by up to 93,8%. MDA level in the homogenate of their white blood cells was 1.51 ± 0.17 mcIU/l and in blood serum - 1.78 ± 0.19 mcIU/l. 6.4% of the animals had the parameters of 1.17 ± 0.29 mcIU/l and 1.47 ± 0.21 mcIU/l respectively. The results of the comparison between the obtained data and figures of MDA level described by other researchers make it possible to state that the pigs under research had long-term oxidative stress [6]. Research on the amino acid composition of samples of the longissimus of the pigs from the control group has shown the following. The content of the total amount of amino acids in samples of the animals under research was 23,3% less than standard parameters for landrace breed. Totally according to 17 parameters the content was 14883.7±102.2 mg/100 g, whereas the performance standard is 19413 mg/100 g [4]. No significant differences between the experiment data and performance standards of the content of lysine, methionine, and threonine in the porcine longissimus were not stated (p≥0.05). However, a significant reduction of the content of 5 irreplaceable amino acids (valine, isoleucine, leucine, tryptophan, and phenylalanine (p≤0.05) was stated. Changes in the amino acid composition of longissimus were stated in 77.5% of samples under research. In 22.5% of cases changes in amino acid composition were minimal. However, it is necessary to note that protein full-value (tryptophan/oxyproline) of all the samples under research was 3.28±0.14, whereas the performance standard is 5.7-6.0 [4]. Table 1 – Amino acid composition of the porcine longissimus under the conditions of oxidative stress, mg/100 g №

Parameters

Irreplaceable amino acids Including: 1 Valine 2 Isoleucine 3 Leucine 4 Lysine 5 Methionine 6 Threonine 7 Tryptophan 8 Phenylalanine Non-essential amino acids Including: 9 Alanine 10 Arginine 11 Asparagine acid 12 Histidine 13 Glycine 14 Glutamine acid 43 Oxyproline 820 Serine 17 Tyrosine Total number of amino acids

Parameter among the pigs from “Experimental” group (n=40)

8270

Parameter among the pigs from “Control” group (n=40) 5479.0±97.3

1060 1000 1590 2010 490 970 260 870 11143

679.1±22.7 463.0±11.9 684.2±19.3 1549.8±102.9 559.0±15.1 852.6±20.2 126.5±24.9 567.9±14.5 9404.7±104.8

497.3±19.5 547.6±17.3 751.6±23.4 1386.7±95.9 504.3±18.7 776.4±19.5 122.3±18.8 509.2±16.4 8621.1±99.1

1130 1420 2050 920 860 3190

1040.6±82.4 1037.0±63.9 1676.7±70.1 831.8±19.7 707.5±13.9 2895.0±103.8 38.3±5.4 644.4±17.6 536.2±12.5 14883.7±102.2

875.6±57.6 914.6±40.3 1734.4±53.9 644.3±14.5 657.3±17.2 2638.3±107.3 60.7±9.8 601.3±11.6 495.7±14.1 13715.9±107.5

Performance standard [4]

710 19413

5094.8±85.4

The possibility of correction of the negative effect of oxidative stress on an organism was researched on the pigs from the experimental group. As an antioxidant preparation, a feed additive *Corresponding Author (A.P. Poryvaeva) Email: app1709@inbox.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19L http://TUENGR.COM/V10A/10A19L.pdf DOI: 10.14456/ITJEMAST.2019.270

containing organic substances, such as niacin, vitamin D3, vitamin В6, vitamin C, lysine, magnesium citrate, MHAn (methionine hydroxy analog), was used. Research on dynamics of MDA level in the homogenate of leucocytes and blood serum of the experimental pigs have shown that a significant reduction of toxic OS products was identified only on the 30th day of research. Thus, the MDA level in the homogenate of leucocytes was 1.03±0.22 mcIU/l. in blood serum - 1.35±0.13 mcIU/l (р≤0.05). By the 60th day content of MDA was at the level of 1.52±0.14 mcIU/l and 1.77±0.25 mcIU/l respectively. The obtained results proved the antioxidant effect of food additive on porcine organisms. On the other side, they proved the fact that under the conditions of industrial complex antioxidant effect is short-termed (Figure 1).

Figure 1: Dynamics of MDA level in white cells and blood serum of pigs (umol/l) Amino acid composition of longissimus of the experimental pigs was compared with performance standards for landrace breed and parameters of the control group (Figure 2).

Figure 2: Indexes of the amino acid composition of longissimus of Landrace breed of pigs (mg/100g) The samples of the experimental group showed disbalance in the number of irreplaceable amino

A.P.Poryvaeva, I.M.Donnik, A.G.Isaeva, A.S.Krivonogova, I.A.Shkuratova, N.B.Musikhina, A.A.Baranova, O.G.Loretts

acids, similar to the parameters of the animals from the control group. Content of valine, isoleucine, leucine, tryptophan. and phenylalanine in 100 g of muscle mass was also significantly (2.15-2.32 times) less (р≤0.05). Changes in the amino acid composition of longissimus were stated in 82.5% samples. Defining of protein full-value of samples of longissimus regarding the proportion tryptophan/oxyproline showed that the parameter. like in the control group. is less than the performance standard and is 3.20±0.17.

4. CONCLUSION Thus, this research has shown that the conditions of industrial breeding technologies cause the oxidative stress of the pigs. In organisms of the animals, on cellular and tissue levels, accumulation of toxic LP products took place, whereas the dynamics of a reduced level of the oxidative load was absent or very low. Presumably, the animals were suffering from the depression of the antioxidant defense system. Under the conditions of oxidative stress, the amino acid composition of the pigs underwent significant changes in the group of “Irreplaceable amino acids”, such as valine, isoleucine, leucine, tryptophan, and phenylalanine. Content of leucine and tryptophan reduced by more than twice. Changes in amino acid profile resulted in depreciation of the quality of pork, as a full-value food product. Experimental research on evaluation of the possibility to use food additives with antioxidant effect has shown that, firstly, it is necessary to improve the formulation, considering species differences of agricultural animals and methods of animal management. Secondly, in order to achieve the significant antioxidant effect, the schedule of implementation of such food additives should be worked out in detail and compatible with animals’ diet.

5. CONFLICT OF INTEREST The authors confirm that the given data do not have any conflict of interest.

6. ACKNOWLEDGEMENT The research was financially supported by a grant from the Russian Science Foundation (Project No. 16-16-00071). The paper preparation was backed by Ural State Agrarian University (FSBEI HE Ural SAU) and Federal state budgetary scientific institution «Ural Federal Agrarian Scientific Centre, Ural Branch of the Russian Academy of Science” (FSBSI UrFASC, UrB RAS).

7. REFERENCES [1] Zenkov N.K., Lankin V.Z., Menshikov E.B. pathophysiological aspects. М.: Nauka. 2001. 340p.

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[2] Karmoliev P.Kh. Biochemical processes during free-radical oxidation and antioxidant defense. Prevention of oxidative stress of animals. Agricultural Biology. Series “Biology of animals. 2002. 2, 19–28. [3] Lazko A.E., Yaroshinskaia A.P. Dynamics of content of product of semi-schiff base in blood plasma affected with sulphur-containing pollutants. Natural Sciences. 2011. 2(35), 148-152 *Corresponding Author (A.P. Poryvaeva) Email: app1709@inbox.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19L http://TUENGR.COM/V10A/10A19L.pdf DOI: 10.14456/ITJEMAST.2019.270

[4] Lisitsyn A.B., Tchernukha I.M., Kuznetsova T.G., Orlova O.N., Mkrtschian V.S. Chemical composition of meat: Reference tables of general chemical, amino acid, fatty acid, vitamin, and major and minor elements compositions and food (energy and biological) meat value. М.: VNIIMP. 2011, 104p. [5] Martusevich A.K., Karuzin K.A. Oxidative stress and its role in formation of misadaptation and pathology. Bioradicals and antioxidants. 2015, 2(2), 5-18. [6] Martusevich A.K., Karuzin K.A. Antioxidant therapy: modern state, possibilities and prospects // Bioradicals and antioxidants. 2018, 5(1), 5-17. [7] Niki E, Yoshida Y, Saito Y, Noguchi N. Lipid peroxidation: mechanisms, inhibition, and biological effects. BiochemBiophys Res Commun. 2005. 338, 668–676. [8] Yoshikawa T. What Is Oxidative Stress? JMAJ. 2002. 45(7), 271–276.

Dr.Poryvaeva Antonina Pavlovna holds a D.Sc. in Biological Sciences. She is interested in Virology, Immunology, Microbiology, Epidemiology, Epizootiology.

Dr.Donnik Irina Mikhailovna is an Academician of Russian Academy of Sciences. She holds a D.Sc. in Biological Sciences, professor. She is interested in Antibiotic resistance of Microorganisms, Infectious Diseases of Animals, Immunodeficiency State, Ecological and Biological Monitoring, Bovine Leukemia, Molecular Genetic Studies.

Dr.Isaeva Albina Gennadievna holds a D.Sc. in Biological Sciences, docent. She is interested in Immune Status, Biologically Active Additives, Productive, Ecology, Productive Animals.

Dr.Krivonogova Anna Sergeevna holds a D.Sc. in Biological Sciences, docent. She is interested in Molecular-Genetic Technologies, Agricultural Animals, Microbiology, Radiation Biology, Radiation Technologies, Biotechnologies, Foods, Food Safety, Animals And Human Health.

Professor Dr.Shkuratova Irina Alekseevna is a corresponding member of Russian Academy of Sciences. She holds a D.Sc. in Veterinary Sciences, Professor. She is interested in Ecology, Immunology, Productive Animals, Animals Health, Metabolic Process, Milk Yield And Milk Quality, Industrial Pollution, Quality Of Primary Products Of Animal Origin. Musikhina Nina Borisovna is an Assistant of Department of Infectious and Non-communicable Diseases. Molecular-Genetic Technologies, Agricultural Animals, Microbiology, Radiation Biology, Radiation Technologies, Biotechnologies, Foods, Food Safety, Animals And Human Health.

Baranova Anna Aleksandrovna is a Candidate of Biological Sciences. She is interested in Biotechnologies, Genetic Variation, Food Safety, Agricultural Animals.

Professor Dr.Loretts Olga Gennadievna holds a D.Sc. in Biological Sciences. Genotype, Milk Composition, Processing.

She is interested in Selection,

Trademarks Disclaimer: All products names including logos, trademarks™ or registered® trademarks, writings, images/photos mentioned in this article are the property of their respective owners, using for identification and educational purposes only. Use of them does not imply any endorsement or affiliation.

A.P.Poryvaeva, I.M.Donnik, A.G.Isaeva, A.S.Krivonogova, I.A.Shkuratova, N.B.Musikhina, A.A.Baranova, O.G.Loretts

International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies http://TuEngr.com

PAPER ID: 10A19M

REGIONAL MODEL OF INDIGENOUS EDUCATION: THE CASE OF THE SAKHA REPUBLIC (YAKUTIA) a

Alla Dmitrievna Nikolaeva , Nikolai Dmitrievich Neustroev , Anna Nikolaevna Neustroeva b b b Aya Petrovna Bugaeva , Tuyaara Alekseevna Shergina , Alina Alekseevna Kozhurova

Department of Education, Pedagogical Institute, Ammosov North-Eastern Federal University, Yakutsk, RUSSIA. b Department of Primary Education, Pedagogical Institute, Ammosov North-Eastern Federal University. Yakutsk, RUSSIA. ARTICLEINFO

A B S T RA C T

Article history: Received 14 June 2019 Received in revised form 19 September 2019 Accepted 15 October 2019 Available online 30 October 2019

The article considers the introduction of an indigenous approach to the learning process, with a focus on the concept of “indigenity” and the indigenous approach. The authors defined the indigenous approach as a methodological basis for the stable development of creative ethnocultural values in the general education of indigenous peoples of the North. The study goal was to create a model of primary general education in the Arctic region Keywords: based on the indigenous approach that adapts child’s personality to the Indigenous approach; extreme lifestyle and traditional culture of indigenous peoples of the North. community; Ethnic With a scientific and theoretical substantiation of ethnocultural and culture; Ethno-pedagogy; ethno-pedagogical issues related to the preservation and development of Indigenous peoples; Small-numbered peoples original national culture of the indigenous tribes of the North within this approach, this implies creating ways for adapting a child to the seasonal of the North; Ethnocultural education; climate cycle and developing his personality as a representative of the people of the North. The authors classified the basic concepts and categories of the The Arctic; general indigenous approach from a scientific and pedagogical perspective. The core education; Specifics of proposed concept uses training methods deeply rooted in folk pedagogy, as the North; Regional implemented in the Regional Model of Indigenous Education of the Republic characteristics; of Sakha (Yakutia). The model aimed at the development of a person who is Educational content; aware of himself as a Russian citizen, a carrier of the unique culture of his Indigenity concept; Ethno-pedagogy; people, and who is brought up with ethnocultural educational technologies. Indigenous education The educational content within this model enables the younger generation to model; pedagogy training creatively master their ethnocultural values (language, literature, history, method; Indigenous main culture and spiritual heritage): traditional culture is integrated into modern stages policy. educational systems, ideas, and technologies, developing educational environment and ensuring the unity and interconnection of educational institutions, family and society. This allows forming the integral of the educational ethnocultural environment in the region. Disciplinary: Pedagogic/Educational Sciences, Socio-cultural Sciences, Human and Family Development (Child and Family Studies, Self-development). ©2019 INT TRANS J ENG MANAG SCI TECH. *Corresponding Author (Anna Nikolaevna Neustroeva) Email: anneneustroeva@yandex.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19M http://TUENGR.COM/V10A/10A19M.pdf DOI: 10.14456/ITJEMAST.2019.271

1. INTRODUCTION At present, researchers both in Russia and abroad see the indigenous approach as the main fundamental idea in the development of ethnocultural concepts and programs. The significance of the study of the indigenous approach within regional research projects is connected with the need to preserve and promote the centuries-old traditions of the peoples living in the Arctic and Russian subarctic territories in the modern conditions of the information age. In this context, bringing up the indigenous youth of the North from early childhood according to the requirements of the updated all-Russian standards of education means that it is necessary to apply an adequate methodological approach that reflects the specifics of national and regional school education. The comparison of the indigenous approach and the ethno-pedagogical theory and practice in Russian science will promote ethnocultural and ethno-pedagogical research in all regions of the Russian Federation Modern researchers all over the world are just beginning to systematically study the phenomenon of “indigenity”. In the last decade of the 20th century, the problem of indigenous peoples was recognized by the world community as one of the central ones. According to the United Nations, in total, there are about 370 million people belonging to the category of “indigenous peoples” in about 70 countries around the world. Researchers became interested in the ethno-pedagogical aspects of educational systems in the late 1960s. This interest was clearly inspired by the national liberation movements of the colonial countries, as well as the formation of the American nation and the Soviet people regarding the ethnocultural diversity of these countries (Pankin, 2009; Baklanova, 2015). In his study “Ethno-pedagogy: А manual in cultural sensitivity: with techniques for improving cross-cultural teaching by fitting ethnic patterns”, Burger (1968) explores the idea of studying the ethno-pedagogical characteristics of small-numbered peoples to improve the quality of education. In the USA, aboriginal peoples were given the right of self-determination in accordance with the Indian Education Act (1972), which established a comprehensive approach to meeting the unique needs of American Indians and Alaska Natives (Vinokourova, 2017). David Beaulieu reviewed and assessed culturally-oriented educational programs for American Indians in the United States (2006). He concluded that learning is a socially driven activity, a sociolinguistic and semiotic network of stories and relationships. Australian Soenke Biermann notes that many students, especially among vulnerable groups, feel a growing rejection, apathy, and alienation from the education system. Indigenous children are not the only ones struggling with monocultural education. Therefore, he proposes to revise the existing models of teaching and learning, as well as to reconsider alternative pedagogies and the underlying epistemologies (Biermann, 2008). A Canadian scholar and a representative of Canadian natives, Margaret Kovacs develops transgressive pedagogy, assuming that education should serve as a way to create mutually beneficial coexistence of nations based on respect and understanding (Kovach, 2010). In recent years, indigenous peoples have become an influential political force, and the category “indigenous peoples” is one of the most studied issues in social sciences (Chilisa, 2012; Harvey, 2002; Nogovitsin, 2018; Fasihi et al., 2019). In this research, we have analyzed how the concept of “indigenity” is considered in the papers of Russian authors and what sciences study it. The phenomenon of “indigenity” in our country has been explored mainly within history, anthropology, ethnology and ethnic sociology.

Alla D.Nikolaeva, Nikolai D. Neustroev, Anna N. Neustroeva, Aya P. Bugaeva, Tuyaara A. Shergina, Alina A. Kozhurova

In social sciences a trend for modern social development is called an “indigenous perspective”, which implies the recognition of indigenous peoples as discrete communities with certain collective interests (Yudin, 2013). The increasing attention to the economic potential of the Arctic region underlies the growing interest in the socio-economic situation of the indigenous peoples of the North in economic studies. The issue is considered from a political point of view in the monograph of Yakut political scientist Yu. D. Petrov “Peoples of the North: Power and Politics” (1997). This research paper is highly relevant for Russia due to several reasons (Kuropyatnik, 2006): 1. Russian social sciences and legislation recognize the existence of a special group of the population—the small-numbered peoples of the North. At the same time, these peoples insist on the recognition and legislative consolidation of their special status as indigenous people, endowed by the international community with a wider range of rights. 2. Indigenous peoples of the North are actively involved in the international movement of indigenous peoples, the activities of international non-governmental organizations (NGOs), adopting the experience of aboriginal self-government in Australia, Canada, the Nordic countries, the United States and constantly appealing to the world community, including this third party in their relationships with the state. 3. There is a fundamentally new phenomenon—the transnational strategies of indigenous peoples scattered over large territories or belonging to several national states. 4. In modern Russia, the trends of “indigenization” are characteristic of various peoples and groups, which in certain social and cultural contexts define and position themselves as indigenous, filling this concept with their own meaning. In line with the fundamental change in the political foundations of the Russian state, the thesis “The Indigenous Perspective in the Context of the Modern State Policy” names three main stages of the indigenous policy (Yudin, 2013): 1. The Imperial stage. As a rule, state did not interfere in the lives of indigenous peoples. Thanks to this policy, the natives of the North of the Russian Empire managed to preserve their ethno-cultural specifics, traditional economic structure and social organization by the beginning of the 20th century, which enabled to maintain the ethnic identity of these peoples (this can also be explained by the absence of human impact on the region since at that time industrial development of the North was not possible). 2. The Soviet stage. The thesis shows that the Soviet policy on indigenous peoples underwent quite significant changes over time: at first it was based on the principle of “uniqueness” of indigenous peoples (until the 1930s), the need to take into account and preserve their traditions, and then on the principle of “universalization”, that is, the need to assimilate them within the dominant society and to get rid of the so-called “backwardness” of indigenous peoples. The state played the main role in this process, so one can say that the policy of “state paternalism” was the dominant one. 3. The post-Soviet years and the modern stage (from 2000 until present). During the period of transformation of social relations and an abrupt transition to a market economy, indigenous peoples were in an extremely vulnerable position. The communities lost the former organizational structure imposed from above by the Soviet authorities, but they could not figure out their new role in rapidly changing political and economic conditions. Many indigenous communities experienced tremendous *Corresponding Author (Anna Nikolaevna Neustroeva) Email: anneneustroeva@yandex.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19M http://TUENGR.COM/V10A/10A19M.pdf DOI: 10.14456/ITJEMAST.2019.271

difficulties, and some were on the verge of extinction during this period, which was proven by a sharp increase in unemployment, poverty and alcoholism. However, despite all this, the indigenous peoples of Russia were able to preserve their unique original identity, culture, language and traditions. During post-Soviet transformations, a new perspective on the status of indigenous peoples began to evolve. The state policy on the small-numbered peoples of the North is undergoing some changes. Currently, the main goal of the state policy on indigenous people is the development of “partnerships”.

2. THE THEORETICAL BASIS Argunov (2015) laid the foundations of Indigenous Methodology in Yakutia. Tyrylgin (2017) also worked in this field. Vinokurova (2016) applied Indigenous Methodology to the Yakut culture and revealed the fundamental values of self-preservation of the Sakha people. Indigenization trends are developing as more and more researchers are working on scientific principles that are based on indigenous values and beliefs. The latter, in turn, reflect the philosophical and religious, ethno-national tradition of a certain people (Baisheva, 2015). It is assumed that ideally, each civilization and cultural community should develop its own indigenous approach, which is the result of the collective centuries-old creativity of many generations, the expression of the interests of the majority and generates its own educational folk traditions and folk pedagogy. Russian progressive thinkers and teachers considered the idea of nationality, history, geography of the people, their moral and spiritual creativity as the basis for educating the younger generation. In the second half of the 20th and early 21st centuries, a great attention was paid to the role of national culture in educating the youth, the ideas of pedagogical regional studies, the focus on ethno-pedagogy, development and implementation of the national and regional component in the learning content, the role of family and school in forming the national culture. There are some invariant components that are the same for folk pedagogies of various nations and ethnic groups. Such constants are the national ideal of man, the means of education and upbringing (folklore, folk crafts, songs and music, customs, traditions, etc.), some aspects of training and education (nature, labor, play, etc.), methods, principles and forms of training and education (community and peer training and education, respect and love for children, the example of adults, etc.) The founder of ethno-pedagogy, Volkov (2000) defines it as “the science of the empirical experience of ethnic groups regarding the upbringing and education of children; moral, ethical and aesthetic views on the original values of a family, clan, tribe, and nation.” Volkov believes that eternal spiritual and moral values should be regarded as the highest universal values: love for children—the cult of the child; love for the mother, turning into a cult; devotion to family and ancestral memory; hard work; love for man, for the motherland; sincerity, openness, and honesty; sense of justice, mutual tolerance, and gratitude. The scholar assumes that these values can be assimilated by comprehending the culture of other nations and other generations (Volkov, 2000). In this regard, it is also viable to analyze how concepts “Emic” and “Etic” from Indigenous Methodology are used in ethno-pedagogical research in a textbook by Berezhnova et al. (2013). Ethnocultural education is believed to be a significant social and educational problem, which is considered as an area of realization of human rights and peoples’ potential (Marfusalova, 2003). Ethno-pedagogy is called the pedagogy of national salvation since it is the basis of multicultural education in the dialogue of cultures (Kozhurova, 2016).

Alla D.Nikolaeva, Nikolai D. Neustroev, Anna N. Neustroeva, Aya P. Bugaeva, Tuyaara A. Shergina, Alina A. Kozhurova

As Mamedov (2015) rightly notes that new dimensions of capital have emerged: intellect, creativity and bright personality. For indigenous peoples, this means relying on a kind of “internal capital,” that is, Indigenous Methodology, developing a personal creative interest in the intellectual heritage and worldview of their ancestors, accumulating and incorporating them into the modern scientific and educational paradigm, vocational education programs, and spiritual values of the global civilization. It can conclude that Russian research on the phenomenon of “indigeneity” primarily deals with the small-numbered peoples of the Russian North. Northern civilizations are unique and are of a significant interest for the whole world as they are on the verge of extinction due to globalization trends. Studying the northern regions helps understand the role of the Arctic as an international area, with cultures that are the most resilient and adapted to the extreme conditions.

3. METHODOLOGY In this research the authors compared the current state of Russian and international developments in the field of Indigenous Methodology. The new transformative paradigm of Indigenous Methodology is aimed at enriching science with the worldview and experience of indigenous peoples—carriers of the northern culture. Indigenity (local, aboriginal, autochthonous, endogenous, and permanent) is inherent in a certain cultural group of people united by a specific traditional lifestyle. Indigenous peoples pay special attention to the upbringing of the younger generation, in particular, the use of Indigenous Methodology as an educational paradigm (Kovach, 2010; Parkes, 2000; Porsanger, 2004; Smith, 2005). This article authors claim that it was Indigenous Methodology that helped create ethno-pedagogy as a science in post-Soviet Russia, which is clearly manifested in the works of Volkov (2000), Afanasyev (1979), Neustroeva, and Semenova (2005). The scientific heritage of Volkov (2000) represents the embodiment of the principles, values and ideas of Indigenous Methodology. Understanding of this methodological idea makes education creative through ethnocultural potential and opens up new prospects for the development of various areas of ethno-pedagogy.

4. RESULTS A significant event in the regional education system of the Republic of Sakha (Yakutia) occurred on May 23, 1991, when a resolution of the Council of Ministers of the Yakut (Sakha) SSR approved the “Concept for the renewal and development of national schools in the Republic of Sakha (Yakutia)”. This event reflected the interconnection between the democratization of the education system and a growing role of folk pedagogy. The Law “On Education” was adopted on July 10, 1992, and on October 16, 1992—the Law “On Languages in the Republic of Sakha (Yakutia)”. Practical implementation of the main provisions of these documents implied solving a range of scientific, pedagogical and organizational problems. For instance, 17 elective curricula have been developed since this year for different levels, profiles, reflecting language and ethnocultural specifics. Schools are introducing a course on the national culture of Russians, Yakuts and the small-numbered peoples of the North. The following programs on the national Yakut culture have been developed: “Uraanhay Sakha Ogoto” (Neustroeva, 2005), “The National Culture of the Peoples of Yakutia” (Baishev, 2015), “Aiyy Teaching” (Vinokurova, 2016), “Studying Folklore in Yakut *Corresponding Author (Anna Nikolaevna Neustroeva) Email: anneneustroeva@yandex.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19M http://TUENGR.COM/V10A/10A19M.pdf DOI: 10.14456/ITJEMAST.2019.271

Schools” (Nikolaev, 2019), “The Folklore of the Yakuts” (Prokopyeva, 2016), “Kyys Kuo” (Ivanova and Fedorov, 2017), “The National Culture of the Peoples of Yakutia” (Izbekova, 2018). For many years, the Pedagogical Institute of the North-Eastern Federal University has been establishing research ethno-pedagogical schools and laboratories. Fundamental works such as “Ethno-pedagogy of non-Russian peoples of Siberia and the Far East“ (Afanasyev, 1979), “Ethno-pedagogy “kut-sur” (Portnyagin, 1999), “Folk pedagogy and the modern national school” (Danilov, 1993), “Ethno-pedagogy of the Peoples of the North” (Neustroyev, 1999), “Ethno-pedagogical views of the Sakha people: on the material of Olonkho” (Baisheva, 2008), “Ethnopedagogization of the holistic process of educative upbringing (on the material of schools of the Republic of Sakha)” (Semenova, 2003) opened new directions in regional science and laid foundations for further research. The consistent work on the introduction of ethnic culture in the Republic of Sakha (Yakutia) led to the emergence of new models and types of schools with a new educational indigenous content. These various options can be grouped according to the specifics of educational ideas and priorities: - Agricultural projects with a focus on traditional types of economic activity; - Museum projects studying local history and ethnology of the region; - Programs developing traditional skills (satabyl); - Language programs on teaching the native language; - Health-saving programs restoring traditional methods in combination with modern achievements in this field. - Sports projects creating conditions for mastering popular sports; - Ecological projects, reviving traditional forms of environmental protection in the North. The Republic of Sakha (Yakutia) has accumulated positive experience of using Yakut analogues of well-known Russian educational technologies adapted for national schools that have a unique complex effect on the personality of students and take into account their ethno-psychological and ethno-pedagogical specifics. These are such programs as “Kuolaan Ueretiy” by Semenova (2005), “Satabyl” by Kondratiev (2009), “Olonkho Pedagogy” by Chekhorduna (2013), technologies of ethno-psychology and ethno-sociology in the educational process by Vinokurova (2016, 2017). However, educational technologies for rural, including nomadic, Arctic schools require further development. We have developed a model of how the younger generation can use the indigenous approach. The proposed model is based on the idea of applying educational technologies rooted in folk pedagogy, and thus being of great educational value, as well as the principle of the activity approach as a holistic meaningful activity of children in their everyday, life, personally important interaction and the subject-subject dialogue in a multi-ethnic environment (Semenova, 2015). This model is mainly aimed at creating favorable conditions for educating the individual who recognizes himself as a citizen of the Russian Federation, a carrier of the unique culture of his people by means of ethno-cultural educational technologies, literature, history, culture and spiritual heritage. This includes integration of traditional cultures with modern educational systems, ideas, technologies that form the developing educational environment and ensure the unity and interrelation of educational institutions, family and society, as well as the educational integrity of ethno-cultural space in the region (Figure 1).

Alla D.Nikolaeva, Nikolai D. Neustroev, Anna N. Neustroeva, Aya P. Bugaeva, Tuyaara A. Shergina, Alina A. Kozhurova

The indigenous approach is based on the following principles: 1) Ethno-pedagogical, ethno-psychological and ethno-philosophical focus of education goals and content, methods, means, and general organizational forms of students activities and learning technologies aimed at the formation of a self-developing and harmonious personality; 2) The activity approach in the system of everyday, life, and personally important interactions and the subject-subject dialogue of students based on cooperative learning; 3) Focus on the person, which implies that training is organized in accordance with abilities of an individual; 4) Collectivism ensuring cooperation, mutual assistance, peer learning and peer education; 5) Patriotism, forming the national identity of students; 6) Tolerance which implies recognition and respect for all parties in the educational process, regardless of their ability, social status, ethnic origin or religion; 7) Integration of resources and efforts of educational institutions, family, social and cultural environment.

The Model of Indigenous Education Ethno-philosophical and ethno-pedagogical origins of fatherhood, motherhood, marriage and family Prenatal development, loving and encouraging communication The birth of a healthy, beloved child Education and training in kinder garden and school Intellectual education

Moral education

Physical education

Labor education

Aesthetic education

Ethno-pedagogization of the content and technologies of training and education, Olonkho Pedagogy Integration of scientific ethno-pedagogical knowledge The concept of the renewal and development of national school

Integration of teaching and learning

Technology of peer learning and education

Integration of spiritual and physical education

Integration of spiritual and labor education

Organizational and managerial technology

“Satabyl“ productive technology

Integration of spiritual and aesthetic education Technology of initiation to the beautiful

Spiritual and moral education and intellectual development of a young person in a continuous education system Self-developing harmonious personality Entering the multicultural space

Figure 1: Model of Indigenous Education. The indigenous approach is based on the following fundamental ideas of the educational process: 1) Creative and robust folk traditions are seen as the basis. *Corresponding Author (Anna Nikolaevna Neustroeva) Email: anneneustroeva@yandex.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19M http://TUENGR.COM/V10A/10A19M.pdf DOI: 10.14456/ITJEMAST.2019.271

2) The regional and ethnic orientation of the folk traditions is further developed, which includes: a. Maximum availability of education to people (opening schools that do not separate children from their parents or family, and that preserve language, culture and economic traditions adequate to their lifestyle); b. Enriching the content of school subjects with local history and including regional content into textbooks and teaching aids; c. Improving learning technologies according to ethno-psychological characteristics of children; d. Providing training and education in students’ native language. 3) The ethno-pedagogical environment implies the joint work of schools and public, municipal and state organizations in students’ place of residence. 4) Learning process should be more natural, in line with the factors of natural human development in the regional conditions.

This educational approach can be successfully implemented only by preserving ethnic traditions, since psychologically the child genetically bears some behavioral stereotypes, ancestral memory, innate talents and abilities (Kozhurova, 2015). Natural learning and upbringing is also implemented in extracurricular educational work. In addition to artistic and aesthetic functions, folklore acts as folk philosophy and folk pedagogy (Baisheva, 2015). The method of peer learning helps deal with problems that are difficult to solve at a lesson: individualization and differentiation of the course content; the development of communication skills; independent learning-self-education-self-development-self-education-self-organization-self- manage ment-self-evaluation-self-control; optimization and intensification of the educational process; student-centered learning; the relationship between school and family, etc. (Semenova, 2005). In the harsh conditions of the North, economic activity was carried out by accumulating relevant experience related to the development of efficient and universal methods of activity of the nation. The essence of “Satabyl” productive technology fully corresponds to the development of activity and patriotism, as it is closely connected with life and work tradition of the peoples of Yakutia. Next, let us consider technologies of getting familiar with aesthetics and a healthy lifestyle through the pedagogy of Olonkho epos (Chekhorduna, 2013). The main goal of spiritual, moral and aesthetic education is forming and developing the highest-level needs of the individual, spiritual revival based on traditions and culture of the native land and universal values. The spiritual symbols of Yakutia peoples are founded on the aestheticization of nature, the environment, and human relations. The integration of physical, spiritual and moral education in physical and sports activities makes it possible to change the focus typical of the traditional educational system to the ideology which implies the self-formation of the personality, the transition from the reproductive-pedagogical paradigm to the creative-pedagogical one. This facilitates students’ self-regulation and self-management of their physical, intellectual, and moral development by emphasizing such internal regulators as values, meanings, needs, and moral. The developers of the indigenous approach to education prove that ethnocultural educational technologies can work “in a routine mode” and can become an efficient tool for developing the required universal learning skills at school and competencies in secondary vocational schools and universities.

Alla D.Nikolaeva, Nikolai D. Neustroev, Anna N. Neustroeva, Aya P. Bugaeva, Tuyaara A. Shergina, Alina A. Kozhurova

5. DISCUSSION The need for the development and implementation of indigenous education is determined by certain contradictions in modern education and ethnocultural situation: - The population of Russia includes more than 160 nations and ethnic communities, the overwhelming majority of which are at the stage of ethnic frustration, that is, disappearance. To preserve them in the 21st century, it is necessary to adopt urgent comprehensive measures that go beyond the capabilities of institutions of pre-school and school education. This goal can be achieved by mobilizing, integrating and coordinating the resources of the whole society for preserving and developing the cultural diversity of the Russian peoples. However, the previously adopted concepts, programs, and management decisions were not effective enough and could not solve current and future problems in this area due to the lack of appropriate ethno-pedagogical technologies. - Russia does not have a state targeted program of ethnocultural education. The introduction of normative per capita financing, a new system of teachers’ pay scale does not take into account the specifics of the republican curriculum reflecting the national-regional component. The situation is particularly difficult for urban schools that teach in the languages of the peoples of the republic and offer ethno-cultural courses of academic subjects. At the same time, the educational and cultural policy of the Russian Federation implies that regions should preserve and ensure the continuity of ethno-cultural education. Consequently, the legislative and executive branches of government in Yakutia can and are obliged to regulate the issues of ethnocultural education and the cultural and pedagogical situation in the republic. - In the context of increasing educational content and insufficiently effective learning technologies, school’s focus on teaching and lack of attention to the huge potential of education; innate talents and abilities of students and the atmosphere of school life; the objective need for ethno-pedagogization of learning technologies by introducing group training sessions a nd the insufficient development of this problem by researchers; the need of society to familiarize the younger generation with national and human values, the national culture and traditions of the people, contrasted with the insufficient training of teachers for ethno-pedagogization of the learning process. - Indigenous education of the peoples of Siberia, including Yakutia, reveals a noticeable reverse trend from the positions of the 1990s. Ethnocultural education is defined as an organic component of the general public education of Russia as a multi-ethnic country. Ethnocultural education is a multidimensional historical, political, social, cultural, pedagogical and organizational phenomenon, based on the creative development of a value (language and literature, history, culture, and spiritual heritage) (Nikolaeva, 2009).

6. CONCLUSION Thus, an educational model aimed at the formation of a person capable of managing his own activities and his own education in line with the modern educational standards can eventually develop into a model of an educational institution of a new type, provided that the mechanisms for timely organizational, financial and resource support are developed. The innovative nature of the indigenous approach is determined by: - the content of the educational model based on original teaching technologies that ensure the unity of training and education, with self-developing harmonious competitive students graduating *Corresponding Author (Anna Nikolaevna Neustroeva) Email: anneneustroeva@yandex.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19M http://TUENGR.COM/V10A/10A19M.pdf DOI: 10.14456/ITJEMAST.2019.271

from educational institutions, the future generation capable of maintaining ethnic security in the world; - scientific and methodological support of ethno-pedagogization in an educational institution and preparing teachers who are able to form universal learning skills of the federal standard of general education for each student (educational module, electronic educational and methodical kit, monographs, conferences, electronic methodical resource pack of the teacher, webinars, practical experience of the leading schools); - openness, which implies numerous forms of interaction with the social and cultural environment. Thus, the project of the indigenous approach to regional education may be interesting for modern educational organizations and practicing teachers who want to improve the quality of training and education. According to Russian experts, ethnocultural educational models have great potential, and their active introduction is to become an important task in the near future.

7. DATA AND MATERIALS AVAILABILITY Relevant information is available by contacting the corresponding author.

8. ACKNOWLEDGEMENT The article was written as part of the RFBR research project Grant No. 19-013-00730.

9. REFERENCES Afanasyev, V. F. (1979). Ethno-Pedagogy of Non-Russian Peoples of Siberia and the Far East. Yakutsk: Yakutsk Publishing House. Baisheva, M. I. (2015). Formation of a Creative Person in the Ethnocultural Traditions of the Sakha People: Monograph. Yakutsk: NEFU Publishing House. Baisheva, M., Grigoryeva, А., Neustroeva, A., Borisova, T., Sidorova, E., Iliynova, T. (2017). Spiritual dominance of the Sakha people traditional belief in the personality development of children. Journal of Social Studies Education Research, 8(3), 139-148. Baklanova, T. I. (2015). Ethnocultural Pedagogy: Problems of Russian Ethnocultural and Ethno-artistic Education: Monograph. Saratov: “Vuzovskoye Obrazovaniye” Publishing House. Beaulieu, D. (2006). A survey and assessment of culturally based education programs for Native American Students in the United States. Journal of American Indian Education, 45(2), 50—61. Berezhnova, L. N., Nabok, I. L., Scheglov, V. I. (2013). Ethno-Pedagogy: University Textbook. Moscow: Academiya. Biermann, S., Townsend-Cross, M. (2008). Indigenous pedagogy as a force for change. The Australian Journal of Indigenous Education, 37S, 146—154. Burger, H. (1968). Etho-Pedagogy: A Manual in Cultural Sensitivity, with Techniques for Improving Cross-Cultural Teaching by Fitting Ethnic Patterns. Albuquerque, New Mexico. Chekhorduna, E. P. (2013). Ethnocultural Basics of Olonkho Pedagogy. Kirov: ICNIP. Chilisa, B. (2012). Indigenous Research Methodologies. London: Sage Publication Ltd. Fasihi, R., Hasanzadeh, R., & Mahmoudi, G. (2019). Attachment Style and Alexithymia Correlation among University Students. Journal of Humanities Insights, 3(02), 45-9. Frolova, A. N. (2004). The development of ethnocultural traditions in the upbringing of children of indigenous minorities of the Extreme North-East of Russia: Socio-pedagogical aspect: Thesis of Doctor of Pedagogical Sciences. Moscow.

Alla D.Nikolaeva, Nikolai D. Neustroev, Anna N. Neustroeva, Aya P. Bugaeva, Tuyaara A. Shergina, Alina A. Kozhurova

Harvey, G (2002). Readings in Indigenous Religions. London: Continuum. Kawagley, O. (1995). A Yupiaq Worldview: A Pathway to Ecology and Spirit. Waveland Press. Kondratyev, P. P. (2009). Developing the universal function of the activity of schoolchildren in the educational environment. Yakutsk: Bichik. Kovach, M. (2009). Indigenous Methodologies: Characteristics, Conversations and Contexts. University of Toronto Press. Kozhurova, A. A. (2015). Formation of Younger Schoolchildren’s Value Attitude to Ethnic Traditions in a Multicultural Environment. Monograph. Yakutsk: NEFU Publishing House. Kozhurova, A. A., Shergina, T. A. (2016). Educating Younger Schoolchildren in a Multicultural Environment: A Textbook. Yakutsk: NEFU Publishing House. Kuropyatnik, M. S. (2006). Indigenous peoples in the process of sociocultural changes. Author’s abstract of the thesis of Doctor of Sociological Sciences: 22.00.06. St. Petersburg State University, St. Petersburg. Mamedov, A. K. (2015). Informational context of social inequality. Proceedings of the international conference (work-shop) “Argunov Readings-2015”. Ed. U. A. Vinokourova. Yakutsk: AGIKI Publishing House. Marfusalova, V. P. (2003). Community Self-Government at Arktika School. Neryungri: Publishing house of Arctika Experimental Boarding School. Moreton-Robinson, A. M., Walter, M. (2009). Indigenous methodologies in social research. In: Walter M. (Ed.). Social Research Methods: An Australian Perspective. 2nd ed. Oxford University Press, South Melbourne, Vic., pp. 1—18. Neustroev, N, Neustroeva, A., Shergina, T. (2018). Individualization and ethno-pedagogy at small elementary schools: Components of vocational training for university tutors. Sibirica: Indigenous Methodology in the Study of the Native Peoples of Siberia, 17(3), 92-115. Neustroev, N., Neustroeva, А., Sakerdonova, A., Sleptsov, Y., Rufov, B. (2018). Small school as a sociocultural center in rural settlements of the North-East of Russia: search for the ways to preserve and develop. Revista ESPACIOS, 39(23). Neustroev, N.D., Neustroeva, A.N., et al. 2019. Ecological Spirituality of Sakha People in The Context of an Indigenous Approach. International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. 10(11), 10A11D: 1-11. Nikolaeva, A. D. (2009). Evolution of Management System of General Education in a National Region: Socio-Cultural Perspective (On the Material of Yakutia). Yakutsk: YSU Publishing House. Nogovitsin, V., Neustroev, N., Nikiforova, Е., Neustroeva, A., Savvin, A. (2018). School education harmonization based on natural and cultural conformity in the Russian North and the Arctic Region. Revista ESPACIOS, 39(43). Pankin, A. B. (2009). Ethnocultural Connotation of Education: Monograph. Elista: Kalmyk State University. Parkes, P, Ellen, R. (2000). Indigenous Environmental Knowledge and its Transformations. Critical Antropological Perspectives. (Eds) R. Ellen, P. Parkes, A. Bicker. London and New York: Routledge. Porsanger, J. (2004). An essay about indigenous methodology, Nordlit 8(1), 105-120. Portnyagin, I. S. (1999). Ethnopedagogy “Kut-sur”: Pedagogical Views of the Sakha People. Moscow: Academiya. Semenova, A. D. (2005). The modern functioning of ethno-pedagogy in the technology of training and education of self-developing harmonious personality. Yakutsk: YSU. Semenova, A. D., Vinokurova, U. A. (2015). Modern Ethnodidactics: Textbook. Yakutsk: NEFU Publishing House. *Corresponding Author (Anna Nikolaevna Neustroeva) Email: anneneustroeva@yandex.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19M http://TUENGR.COM/V10A/10A19M.pdf DOI: 10.14456/ITJEMAST.2019.271

Shergina, T. A., Neustroev, N. D. (2018). Modernization of the Educational Process of a Small Rural School in the North: Monograph. Yakutsk: NEFU Publishing House. Smith, G. H. (2005). The problematic of “Indigenous theorizing”: a critical reflection. Paper present at the AERA Annual Conference, Montreal, 11-15 April. Vinokurova, U. A. (2016). Arctic Circumpolar Civilization: A Textbook. 2nd ed., extended. Novosibirsk: Nauka. Vinokurova, U. A. (2017). Indigenous Methodology in Ethno-pedagogy. In Ethno-pedagogy of Love and National Salvation: A Collective Monograph. Ministry of Education and Science of the Republic of Sakha (Yakutia). (Ed) U.A. Vinokurova, Doctor of Sociological Sciences. Yakutsk: Yakutia Media Holding, pp. 13-26. Volkov, G. N. (2000). Ethno-pedagogy: a textbook for college and university Education students. Moscow: Academiya. Yudin, V. I. (2013). Indigenous perspective in the context of the modern state policy. Author’s abstract of Thesis of Doctors of Political Sciences: 23.00.02. St. Petersburg. Professor Dr.Alla Dmitrievna Nikolaeva is Professor and Head of the Department of Pedagogy, Pedagogical Institute of the Ammosov North-Eastern Federal University. She has her PhD in Pedagogic Sciences. Her scientific interests related to Regional Problems of Education Development, Pedagogical Innovations, Expertise, National Education History. Professor Dr. Nikolai Dmitrievich Neustroev is Professor at Department of Primary Education, Pedagogical Institute of the Ammosov North-Eastern Federal University. He holds a D.Sc. degree in Pedagogic Sciences. He is a Honored Scientist of the Russian Federation and the Republic of Sakha (Yakutia), a full member of the Academy of Pedagogical and Social Sciences of the Russian Federation, Head of the Master's program "Pedagogical Support of Childhood in the North". His research interests are National-Regional Education System, Rural Ungraded School, Pedagogical Innovations. Dr.Anna Nikolaevna Neustroeva is an Associate Professor and Head of the Primary Education Department, Pedagogical Institute of the Ammosov North-Eastern Federal University. She received her PhD in Pedagogic Sciences. Her research interests include Teacher's Professional Competence, Regional Pedagogical Education History. Dr.Aya Petrovna Bugaeva is an Associate Professor works at the Primary Education Department, Pedagogical Institute of the Ammosov North-Eastern Federal University. She had a PhD in Pedagogic Sciences. Her research interests are in the fields of General Education Regionalization, Personal and Professional Development of Primary School Teachers, Spiritual and Moral Development and Education. Dr.Tuyaara Alekseevna Shergina is an Associate Professor at the Department of Primary Education, Pedagogical Institute of the Ammosov North-Eastern Federal University. She defended her thesis on the topic “Pedagogical Conditions for the Modernization of the Educational Process of a Rural Small-Class School on the Example of the Republic of Sakha (Yakutia)” She has her PhD in Pedagogic Sciences. Her research interests are Ethnopedagogy and Small Rural Schools. Dr.Alina Alekseevna Kozhurova is an Associate Professor at the Department of Primary Education, Pedagogical Institute of the Ammosov North-Eastern Federal University. She defended her thesis on the topic "Formation of Value Relations Among Younger Students to Ethnic Traditions in a Multicultural Environment." She has her PhD in Pedagogic Sciences. Her research includes Ethnopedagogy and Polycultural Education.

Alla D.Nikolaeva, Nikolai D. Neustroev, Anna N. Neustroeva, Aya P. Bugaeva, Tuyaara A. Shergina, Alina A. Kozhurova

International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies http://TuEngr.com

PAPER ID: 10A19N

CORRECTION OF OXIDATIVE METABOLISM OF ANIMALS BY MEANS OF BIOLOGICALLY ACTIVE COMPLEX OF ANTIOXIDANT DEFENCE A.P. Poryvaeva a, I.M. Donnik b*, A.G. Isaeva a,b, A.S. Krivonogova a,b, I.A. Shkuratova a,b, N.B. Musikhina b, A.A. Baranova b, O.G. Loretts b, M.V. Petropavlovskiy a Federal State Budgetary Scientific Institution “Ural Federal Agrarian Scientific Research Centre, Ural Branch of the Russian Academy of Sciences” (FSBSI UrFASRC, UrB of RAS), 112 А, Belinskogo St., Еkaterinburg, RUSSIA. b Federal State Budgetary Educational Institution of Higher Education ”Ural State Agrarian University” (FSBEI HE Ural SAU), 42, K. Liebknechta St., Ekaterinburg, RUSSIA. a

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A B S T RA C T

Article history: Received 31 May 2019 Received in revised form 24 September 2019 Accepted 14 October 2019 Available online 30 October 2019

Nowadays one of the most burning issues in manufacturing of highquality hog products is reduction of biological value of meat. The reasons for that are low quality of feed stuff, huddling, limited activity of animals, and contamination of the feed stuff with xenobiotics of technogenic nature. All the factors result in development of animals’ stress that firstly triggers activation of free-radical process. Thus, the research on correction of oxidative stress of animals is considered to be essential. To eliminate negative effect of lipid peroxidation among fattening pigs, biologically active complex of antioxidant defence, including vitaminmineral, oily and plant components, was used. Content of malondialdehyde in blood serum and content of amino acids in longissimus was determined. The use of biologically active complex of antioxidant defence in diet of the experimental pigs made it possible to reduce negative influence of LP metabolites on organism. Besides, in the experimental group the number of animals with the meat parameters of biological value close to the expected level according to genetic potential, increased.

Keywords: Pigs; Oxidative stress; Vitamin-mineral; Blood serum; Longissimus; Amino acid composition; Biologically active complex of antioxidant defense; Oily and plant components.

1. INTRODUCTION Under the conditions of large industrial livestock breeding complexes, the influence of various stress factors on the organism of agricultural animals has a synergetic effect. According to a number of authors, low quality of hog products, as well as veterinary problems in agricultural enterprises in this sphere of livestock breeding, are mostly caused by stress factors [3, 7]. One of the basic components of organism adaptation to living conditions is oxidative metabolism *Corresponding Author (A.G.Isaeva) Email: isaeva.05@bk.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19N http://TUENGR.COM/V10A/10A19N.pdf DOI: 10.14456/ITJEMAST.2019.272

and its supporting homeostatic mechanisms. The improper physiological balance between intensity and speed of free-radical reactions on one side and activity of antioxidant systems on the other side leads to metabolic changes in the organism, i.e. to “oxidative stress” [5]. Hypersynthesis of various bioradicals, such as reactive oxygen species (ROS) and reactive nitrogen species (RNS) is accompanied by quick depletion of reserves of the antioxidant system [6]. On the molecular-cellular level, it is characterized by activation and intensity of the LP process that results in both changes in properties of biomembranes and in the complete cellular dysfunction [4]. Transition LP products are able to induce oxidative transformation of nucleic acids, and protein and lipidic macromolecules. Under the conditions of oxidative stress, the speed of reparation of those macromolecules is much less than the speed of the formation of bioradicals [4, 5]. Oxidative modifications mostly affect amino acids included in the composition of proteins, such as cysteine, methionine, histidine, arginine, tryptophan, tyrosine, and phenylalanine [3, 6]. According to both Russian and foreign authors, the influence of stress factors on porcine organisms firstly results in a reduction of the expected genetic level of production [1, 2]. Issues of correction and regulation of processes of oxidative metabolism in porcine organisms are still considered to be essential in veterinary theory and practice. This research concentrated on the influence of alimentary biologically active complex of antioxidant defense on the amino acid composition of porcine muscles under the conditions of oxidative stress.

2. MATERIALS AND METHODS Dynamics of the MDA level in blood serum of fattening pigs was studied under the conditions of research and production experiment. Blood of animals was taken from ear’s marginal vein on the 1st, 30th and 60 days of research. Quantification of MDA in biological material, such as blood serum, and samples of muscles, heart, liver, kidneys, and lungs was done according to standard methods. Amino acid profile was identified in homogenate consisting of equal weights of longissimus, and shoulder, round and iliac muscles, according to 17 parameters. Analysis of amino acid composition was done on a liquid chromatograph LC-20 Prominence (Shimadzu production) with spectrophotometric detector (254 nm); reverse stationary phase column С18 (Analysentechnik 250 х 4.6 mm, 5 mcIU, Germany) and proper precolumn; mobile phase – mixture of sodium acetate liquor (0.06 mmol/dm3. рН≤5.5 and 4.05.and 1% liquor 2-propanol in acetonitrile. Possibility of correction of oxidative stress was evaluated by means of implementation of a biologically active complex of antioxidant defense (BACAD), consisting of vitamin-mineral, oily and plant components, into the porcine organism. The complex included soy isolate, pyridoxine, niacin, vitamin C, magnesium citrate, a complex of calcium with methionine hydroxy analog (MHA), lysine, threonine, valine, tryptophan, flaxseed, olive and jinjili oils (gingili/gingelly oils), and leaves of Urtica dioica. Two groups of landrace breed of pigs were formed on the principle of analogs (n=40). The animals from the control (C) and experimental (E) groups were kept under the usual conditions of the pig-breeding farms. The pigs from the experimental group were given BACAD for 14 days. The authenticity of the results was proved using statistic techniques with averaging and standard deviation calculation using Student's t-test. The results were considered to be verified by p<0.05.

A.P.Poryvaeva, I.M.Donnik, A.G.Isaeva, A.S.Krivonogova, I.A.Shkuratova, N.B.Musikhina, A.A.Baranova, O.G.Loretts, M.V.Petropavlovskiy

Processing of the obtained data was done using Microsoft Excel®. The research on the dynamics of the MDA level in blood serum of pigs has shown that only 8.75% of animals had background concentration within physiological standards that was 0.853±0.015 mcIU/l. In 15% of cases MDA content increased by 59.5% (1.276±0.023 mcIU/l). Most of the pigs under research (76.25%) had MDA content on the level of 1.045±0.019 mcIU/l that on average was higher than physiological standards by 30.6% (p≤0.05). For the whole period of research and production experiment in the Control group of pigs MDA level increased by 7.2-8.5% as compared with background parameters. The obtained data proved that the pigs under the conditions of industrial breeding technologies suffer from depression of system of antioxidant defence. Organisms of animals are subjected to constant intensive influence of toxic products of lipid peroxidation. In the Experimental group of pigs having the diet with added BACAD, there was positive dynamics in reduction of MDA level (p≤0.05). By the 30th day of research, MDA content in blood serum was 0.967±0.020 mcIU/l. by the 60th day of research 0.834±0.022 mcIU/l. that was not different from physiological standards of that kind of animals. Table 1: MDA concentration in samples of tissue and organs of the experimental pigs, mcIU/l. № 1. 2. 3. 4. 5. 6.

Sample of the researched biomaterial Blood serum Muscle tissue Heart Liver Kidney Lung

MDA concentration. mcIU/l The Control group The Experimental group 1.386±0.036 0.834±0.022 1.296±0.027 1.195±0.031 1.432±0.024 1.367±0.026 2.180±0.032 2.053±0.035 1.955±0.026 1.986±0.028 1.733±0.022 1.420±0.032

Table 2: Amino acid composition of porcine muscle tissue under the conditions of oxidative stress, (mg/100g). №

Parameters Irreplaceable amino acids

1 2 3 4 5 6 7 8

Valine Isoleucine Leucine Lysine Methionine Threonine Tryptophan Phenylalanine Non-essential amino acids

9 Alanine 10 Arginine 11 Asparagine acid 12 Histidine 13 Glycine 14 Glutamine acid 15 Oxyproline 16 Serine 17 Tyrosine Total number of amino acids

Parameter among the pigs from Control group (n=20) 7801 5840.2±51.7 Including: 1135 668.2±22.3 970 763.3±12.9 1538 845.3±18.4 1631 1526.4±92.9 478 515.5±15.4 961 818.2±20.3 274 138.6±16.9 814 565.1±15.2 10832 9569.6±94.8 Including: 1213 1219.3±62.4 1223 1020.1±63.7 1895 1801.8±70.5 773 705.6±19.4 864 698.0±14.7 3385 2899.7±113.5 50 48.6±5.4 743 641.5±17.6 695 535.0±14.8 18633 15409.8±101.6

Performance standard [2]

Parameter among the pigs from Experimental group (n=20) 7736.5±35.4 917.7±14.5 1226.5±17.3 1194.8±20.4 1857.2±25.1 402.8±11.7 1251.5±19.9 156.8±13.8 728.7±14.4 10954.2±69.4 1194.3±57.8 1372.5±35.3 2197.5±52.8 764.7±14.1 792.6±18.3 3136.8±103.7 38.4±4.8 822.5±10.6 710.3±11.2 18690.2±62.2

*Corresponding Author (A.G.Isaeva) Email: isaeva.05@bk.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19N http://TUENGR.COM/V10A/10A19N.pdf DOI: 10.14456/ITJEMAST.2019.272

The research on MDA level in samples of porcine tissue and organs have shown that in homogenate of liver of animals from both the Control and Experimental group, MDA concentration was the highest - 2.180±0.032 mcIU/l and 2.053±0.035 mcIU/l, respectively (Table 1). According to the results shown in Table 1, distribution of toxic LP products in other tissues under research is equal enough. Difference in MDA concentration in homogenate of muscle tissue between the Control group and Experimental group was 7.8%. The results of defining amino acid composition of muscle tissue of the experimental animals are shown in Table 2. Comparative analysis of the obtained data has stated that total number of amino acids in samples of muscle tissue of the pigs from the Control group was 17.3% lower than the performance standards for muscle tissue of this kind of animals [2]. Total number of amino acids in samples of muscle tissue of the pigs from the Experimental group was within performance standards. In the amino acid composition in samples of muscle tissue of the pigs from the Control group the content of tryptophan was 49.4% lower; the content of leucine - 45% lower; the content of valine 41.1% lower; the content of phenylalanine - 30.6% lower (р<0.05). In muscle tissue from the Experimental group shortage of tryptophan stayed stable (42.8%). However. it was not so prominent (22.4%). the content of valine was 19.2%. and the content of phenylalanine was 10.5% (р≤0.05). It is worth to note that content of isoleucine, lysine and threonine in samples from the Experimental group was generally 24-25% higher than in the samples from the Control group (Figure 1).

Figure 1: Indexes of amino acid composition of muscle tissue of Landrace breed of pigs. Shortage of non-essential amino acids – arginine, glycine, glutamine acid, serine and tyrosine – in the samples from the Control group was from 12.6 to 23%, as compared to both performance standards and data obtained in the Experimental group. No prominent differences between the data obtained from the Experimental group and performance standards regarding content of non-essential amino acids in porcine muscle tissue have not been found (p≥0.05). In all the samples of porcine muscle tissue under research disbalance in proportion tryptophan/ oxyproline (index of protein value) was identified. It was most prominent in the Control group 2.85±0.16, performance standard 5.2-5.8 [2]. In the Experimental group index of protein value was 4.13±0.09.

A.P.Poryvaeva, I.M.Donnik, A.G.Isaeva, A.S.Krivonogova, I.A.Shkuratova, N.B.Musikhina, A.A.Baranova, O.G.Loretts, M.V.Petropavlovskiy

In samples of muscle tissue of the pigs from the Control group changes in amino acid composition were identified in 82.5% of cases. and in 17.5% of cases the data were within low limit of performance standards. Shortage of amino acids in muscle tissue of the pigs from the Experimental group was identified in 27.5% of cases. and in 72.5% cases the data met performance standards. Thus, the research done have shown that under the conditions of industrial breeding technologies in 85-90 % of cases pigs suffer from oxidative stress. Local signs of oxidative stress in porcine organism were identified by increased MDA content in tissues of liver, kidneys and lungs. Concentration of that LP metabolite in organs were 1.5-2 times higher than its concentration in blood serum that may be indirect implication of oxidative damage of cell structure and disorder in process of reparation of protein macromolecules [9], as well as of trigger action of oxidative stress on whole organisms of animals (Figure 2).

Figure 2: Quantative content of amino acids: targets of oxidative modifications in muscle issue of pigs. Under the conditions of research and production experiment it was shown that the targets of oxidative modifications in porcine organism were mostly irreplaceable amino acids, such as valine, leucine, tryptophan and phenylalanine. Content of those amino acids in samples of muscle tissue was 30.6â&#x20AC;&#x201C;49.4% lower. AS is commonly known, oxidative modification of irreplaceable amino acids results in changes in not only primary, but also both secondary and tertiary structure of protein. Changes in protein structure create conditions for their agglomeration that in a number of cases causes autostimulation of free-radical processes in organism [4, 5]. In the range of non-essential amino acids the most prominent quantity changes were identified regarding arginine, glycine and tyrosine. In samples of porcine muscle tissue their content was 17-23% lower. Like irreplaceable amino acids, during oxidative modification arginine and glycine cause transformation of protein macromolecules [4, 5, 6]. Modification of tyrosine leads to inhibition and blocking cell signals [5, 7]. Identified changes show that there are high chances of that under the conditions of industrial breeding technologies pigs suffer from depression of antioxidant defence of organism. *Corresponding Author (A.G.Isaeva) Email: isaeva.05@bk.ru ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19N http://TUENGR.COM/V10A/10A19N.pdf DOI: 10.14456/ITJEMAST.2019.272

3. CONCLUSION The use of BACAD in feeding diets of experimental pigs allowed to reduce the negative effect of metabolites on the organism of experimental pigs [8, 10, 11]. MDA content in the blood serum of animals reduced up to the level of physiological standard. In the tissue of the liver, kidneys, and lungs' positive dynamics were less prominent, and the MDA level was 6-8% lower than in samples of tissue of the animals from the Control group. The other result of equal importance is the standardization of most quantity indexes of the amino acid composition of muscle tissue. Content of irreplaceable amino acids – valine, leucine, and phenylalanine – was 10-20% lower than the reference value. However, as compared with the data obtained from the animals from the Control group, obtained results can be considered to tend to normalization of protein synthesis in organisms and reduction of the intensity of oxidative modification of amino acids. The positive effect of the use of BACAD was also proved by that the number of animals with the meat having a biological value close to the expected level according to genetic potential, increased by 3.2 times.

4. DATA AND MATERIALS AVAILABILITY Relevant information is available by contacting the corresponding author.

5. CONFLICT OF INTEREST The authors confirm that the given data do not have any conflict of interest.

6. ACKNOWLEDGEMENT The research was supported by a grant from the Russian Science Foundation (Project No. 16-1600071). The paper preparation was backed by Ural State Agrarian University (FSBEI HE Ural SAU) and Federal state budgetary scientific institution «Ural Federal Agrarian Scientific Centre, Ural Branch of the Russian Academy of Science” (FSBSI UrFASC, UrB RAS).

7. REFERENCES [1] Belik S.N., Belik V.V., Kolmakova T.S. Lipid peroxidation and antioxidant activity among breeding boars with various genotypes. Health and Education in 21st century. 2015. 17(2), 1-4. [2] Lisitsyn A.B., Chernukha I.M., Kuznetsova T.G., Orlova O.N., Mkrtchian V.S. Chemical composition of meat: Reference tables of overall chemical, amino acid, fatty acid, vitamin, macro- and microelement compositions and nutrition (energy and biological) value of meat. M.: VNIIMP. 2011. 104 pages. [3] Liubin N.A.,Stetsenko I.I., Liubina E.N. Functional status of system of antioxidant defence and freeradical oxidation of pigs according to the use of various forms of vitamin A and B-Carotene. Herald of Ulianovsk State Agricultural Academy. 2013: 54-59. [4] Makeev A.A., Sakharov A.V., Prosenko A.E., Zhutchaev K.V., Riabtchikova E.I. Influence of oxidative stress on structural-functional organization of porcine runner // Herald of Krasnodar State Agrarian University. 2009. 7: 120-123. [5] Martusevitch A.K., Karuzin K.A. Oxidative stress and its role in formation of misadaptation and pathology. Bioradicals and Antioxidants. 2015. 2(2): 5-18. [6] Mentschikova E.B., Lankin V.Z., Zenkov Prooxidants and antioxidants. 2006, 556.

N.K., Bondar I.A., and coauthors. Oxidative stress.

[7] Titov V.Yu., Dolgorukova A.M., Osipov A.N. Suggested mechanism of specificity of interaction between nitrogen oxide and physiological targets. Bioradicals and antioxidants. 2017. 4(2): 36-40. [8] Einafshar S., Poorazrang H., Farhoosh R., Seiedi S.M. Antioxidant activity of the essential oil and methanolic extract of cumin seed (Cuminumcyminum)// European Journal of Lipid Science and Technology. 2012. 114: 168-174.

A.P.Poryvaeva, I.M.Donnik, A.G.Isaeva, A.S.Krivonogova, I.A.Shkuratova, N.B.Musikhina, A.A.Baranova, O.G.Loretts, M.V.Petropavlovskiy

[9] Niki E, Yoshida Y, Saito Y, Noguchi N. Lipid peroxidation: mechanisms, inhibition, and biological effects. BiochemBiophys Res Commun. 2005. 338: 668–676. [10] Young A.J., Lowe G.M. Antioxidant and prooxidant properties of carotenoids. // Arch. Biochem. and Biophys. 2001. 385(1): 20-27. [11] Zhang P., Omate S. β-carotene oxidation: effect of ascorbic acid and α-tocopherol. J.Toxicology. 2000. 146(1): 37-47. [12] Poryvaeva, A.P., Donnik, I.M., Isaeva, A.G., Krivonogova, A.S., et al. Oxidative Stress Of Pigs Under The Conditions of Industrial Production. International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. 2019. 10(19), 10A19L: 1-7. Dr.Poryvaeva Antonina Pavlovna holds a D.Sc. in Biological Sciences. She is interested in Virology, Immunology, Microbiology, Epidemiology, Epizootiology.

Dr.Isaeva Albina Gennadievna holds a D.Sc. in Biological Sciences, docent. She is interested in Immune Status, Biologically Active Additives, Productive, Ecology, Productive Animals.

Musikhina Nina Borisovna is an Assistant of Department of Infectious and Non-communicable Diseases. Molecular-Genetic Technologies, Agricultural Animals, Microbiology, Radiation Biology, Radiation Technologies, Biotechnologies, Foods, Food Safety, Animals And Human Health.

Baranova Anna Aleksandrovna is a Candidate of Biological Sciences. She is interested in Biotechnologies, Genetic Variation, Food Safety, Agricultural Animals.

Professor Dr.Loretts Olga Gennadievna holds a D.Sc. in Biological Sciences. Composition, Processing.

She is interested in Selection, Genotype, Milk

Dr.Petropavlovskiy Maxim Valerievich holds a Ph.D. in Veterinary. His research interests are Virology, Immunology, Microbiology, Molecular Biology, Virology, Epidemiology, Epizootiology, Bovine Leukaemia Virus, Syncytium Test, Polymerase Chain Reaction, Phylogenetic Analysis, DNA Sequencing.

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PAPER ID: 10A19O

DEVELOPMENT FEATURES OF PHARMACEUTICAL INDUSTRY AND ITS ROLE IN SECURING THE FUTURE DEVELOPMENT OF RUSSIAN ECONOMY Mintimer Vagizovich Mingazov a

, Aydar M. Tufetulov , Gulnara Nasimovna Khadiullina

Institute of Management, Economics and Finance, Kazan Federal University, Kazan, RUSSIA.

ARTICLEINFO

A B S T RA C T

Article history: Received 29 May 2019 Received in revised form 01 October 2019 Accepted 11 October 2019 Available online 30 October 2019

The article examines the factors of competitive potential and the risks of the development of the pharmaceutical industry in the modern Russian economy, its impact on the state of national security and the dynamics of the main macroeconomic indicators. The aim of the study is to identify tools to control the sources of competitive advantages of Russian pharmaceutical companies in order to increase their level of competitiveness in the domestic Keywords: and foreign markets, enhance their innovative activities. The article uses the Pharmaceutical industry; general scientific and specific methods to analyze the state of the National security, pharmaceutical industry and the pharmaceutical industry as its component. Medical devices, the SWOT analysis identifies the strengths and weaknesses of the internal and Innovative activities, Medicines, Targeted state external environment of Russian pharmaceutical companies, opportunities and development risks, and also formulate recommendations regarding the programs. directions of strategic development of manufacturers of medicines and medical devices. Particular attention is paid to the analysis of the provisions of the state program "Development of the pharmaceutical and medical industry for 2013-2020" ("Pharma-2020") providing for the implementation of measures of state regulation of the pharmaceutical industry, including measures to stimulate investment and innovation activity, the adjustment of compliance control tools produced standards, the introduction of information and communication technologies in the process of monitoring the promotion of drugs NNYH funds on the market, the formation of integrated structures (pharmaceutical clusters) and innovation infrastructure. Disciplinary: Multidisciplinary (Economic Sciences, State Law & Policy, Pharmaceutical Industrial Management). ©2019 INT TRANS J ENG MANAG SCI TECH.

1. INTRODUCTION One of the features of the economy of a developed state in the modern world is the increasing importance of the pharmaceutical industry, the state of which largely determines the volume and efficiency of human capital sales, the level of risks of the national security system, and the dynamics of the main indicators of the state of the business sector and the national economy as a whole. The pharmaceutical industry has a significant impact on the direction and pace of innovation *Corresponding Author (M.V.Mingazov) Email: mintik001@mail.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19O http://TUENGR.COM/V10A/10A19O.PDF DOI: 10.14456/ITJEMAST.2019.273

development, the effectiveness of which is a key factor in the competitiveness of drug manufacturers in the domestic and foreign markets, determines the composition of their key competencies and the dynamics of financial and economic indicators. In turn, the activity of scientific research in this area largely depends on the order of regulation of the processes of creation and commercialization of the results of intellectual activity, protection of rights of legal owners, determined by national legislation. Pharmaceutical enterprises have a significant impact on aggregate demand, the structure of the market of production factors and final products, as well as the composition of technological infrastructure facilities. At the same time, an increase in the number and change in the age structure of the population, an increase in the proportion of elderly people is a potential source of growth for the pharmaceutical industry. According to expert estimates, in Russia the proportion of people over 60 by 2025 will be 24% (Overview of trends in the global and Russian pharmaceutical market, 2019). The strategic importance and high rates of development of the pharmaceutical industry, on which cyclical fluctuations in the macroeconomic situation do not have a decisive influence due to inelastic demand for medicines, a strong dependence of health care, certain sectors of engineering, chemical industry, agriculture, biotechnology and other spheres of activity from its state indicate the need for increased attention from the government to numerous organizations that conduct research, develop, produce and implement medicines for the treatment of people and animals, the prevention of various diseases and disorders The process of developing regulatory measures on the part of public authorities is complicated by the fact that producers and sellers are national and international organizations whose activities are governed by international and national legislation defining requirements for the development, patenting, standardization and certification of medicines and their promotion to the market. At the same time, public organizations and civil society have a significant impact on the activities of drug manufacturers. The development of control measures for manufacturers to stimulate their innovative activity aimed at developing and producing medicines with improved therapeutic effects and minimal side effects requires an objective assessment of the state and development trends of the Russian pharmaceutical industry, taking into account the peculiarities of factors of the internal and external environment of manufacturers, and also high social significance of this type of activity, its high profitability and dynamism. This determines the choice of the research topic, its theoretical and practical significance.

2. METHOD The theoretical basis of the research is the theory of management, the theory of state regulation of the economy, the concept of strategic planning, etc. To confirm the working hypothesis of the study, the system analysis method and elements of the structural-functional approach were used to identify the sources of sustainable development of the pharmaceutical industry in conjunction with the directions and dynamics main macroeconomic indicators, as well as general scientific and special methods, including ode content analysis and comparative analysis SWOT-analysis and others. The information base of the research is made up of information from the official federal bodies of state statistics of the Russian Federation and foreign countries, the Ministry of Economic Development of the Russian Federation, the Ministry of Industry and Trade of the Russian

M.Vagizovich Mingazov, A.M. Tufetulov, G.Nasimovna Khadiullina

Federation, and also data from international consulting organizations. The paper uses the provisions of the Federal Target Program “Development of the pharmaceutical and medical industry of the Russian Federation for the period up to 2020 and beyond”, approved by the Decree of the Government of the Russian Federation of February 17, 2011 No. 91 (expired on January 1, 2018) (Decree of the Government of the Russian Federation of February 17, 2011) the state program “Development of the pharmaceutical and medical industry for 2013–2020” (“Pharma-2020”), approved by Decree of the Government of the Russian Federation of April 15, 2014 N 305 (Decree of the Government of the Russian Federation of April 15, 2014).

3. RESULTS AND DISCUSSION Understanding the importance of the pharmaceutical industry in the development of the modern economy and the need to develop control measures adapted to the peculiarities of its operation has led to the emergence of many studies, among which there are Russian works (Avrutskaya, 2015; Balashov, 2016; Vorobyova, 2017; Mamedyarov, 2016; Tretyakova, 2015; Kholn, 2017; Shilova, 2018 and others) and foreign (Roy, 2011; Kaplan, 2017; Scherer, 2010) Authors. The marketing agency DSM Group regularly analyzes the state of the Russian pharmaceutical market, which is followed by monthly analytical reviews. Significant innovation potential, high technology determines the high rates of development of the pharmaceutical industry, which is accompanied by changes in the placement of assets in the economic space, the emergence of integrated entities (pharmaceutical clusters), acquiring the status of independent subjects of the international and national drug markets, the emergence of new segments in its structure, formation of qualitatively new technologies and tools for managing production and promotion of products, etc. In this connection, it is necessary to conduct further research on the development trends of the pharmaceutical industry in order to enhance the positive influence of its subjects on the state and dynamics of the main macroeconomic indicators, as well as the formation of practical recommendations for government bodies entrusted with the authority to regulate this sector of the Russian economy.

4. DYNAMICS OF THE RUSSIAN PHARMACEUTICAL MARKET The pharmaceutical market in the modern Russian economy consists of two segments commercial, or pharmacy, and the public procurement segment. The commercial segment includes the sale of drugs through the pharmacy chain for personal consumption, the public procurement segment includes the purchase of medicines by the Ministry of Health of the Russian Federation, regional departments and hospitals for privileged categories of patients. According to the Russian media holding Rosbiznesconsulting (RBC), “the share of the public sector of drugs in 2018 compared with 2017 decreased from 444 billion to 432 billion rubles, while the share of the commercial increased from 949 billion to 992 billion rubles. and has reached its maximum value in recent years 69.7% of the total market ” (Zvezdina & Grosheva, 2019). “Over the past five years, the growth of the pharmaceutical market has slowed six times. In 2018, its volume reached 1.7 trillion rubles, an increase of only 1.8% over last year, according to the calculations of the analytical company DSM Group. The year before, the market grew by 8.2%, and in five years it grew by about 16% annually ” *Corresponding Author (M.V.Mingazov) Email: mintik001@mail.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19O http://TUENGR.COM/V10A/10A19O.PDF DOI: 10.14456/ITJEMAST.2019.273

(Zvezdina & Grosheva, 2019). Dynamics of the Russian pharmaceutical market in the period from 2012 to 2018 reflected in fig. one.

The value of market

2000

1500

15 12

1000

10 8

500

0 2012

2013

2014

2015 Year

Market volume, billion rubles

2016

2017

2018

Rate of increase, percentage

Figure 1: Dynamics of the Russian pharmaceutical market, 2012-2018 [ten] The analysis of the presented indicators and their dynamics indicates that the increase in the market volume in nominal terms is explained by the inflation in Russia. In real terms, there is a negative trend prevailing in previous years, which indicates a slight increase in sales of medicines, which grew in physical terms by 1.5 percent. and amounted to 6.4 billion packs. The decrease in the share of OTC drugs and the growth of the market due to two price segments - “up to 50 rubles” and “over 500 rubles” represent two key market trends, which reflects the differentiation of consumer income (Pharmaceutical market of Russia: 2018). The key factors hindering the growth of the Russian pharmaceutical market at the moment are: the fall in real incomes of the population, the lack of growth in budget expenditures on public procurement. One of the significant shortcomings of the Russian pharmaceutical market is a significant proportion of imported products, which is a risk-forming factor for the national security system. This predetermined the need to develop and adopt the federal target program “Development of the pharmaceutical and medical industry of the Russian Federation for the period up to 2020 and beyond” (FTP “Pharma-2020”), which is part of the state program “Development of the pharmaceutical and medical industry for 2013–2020 years. " Funding amounts in accordance with the above programs are presented in Table 1. Table 1. Funding volumes in accordance with the state program "Development of the pharmaceutical and medical industry for 2013-2020", mln. Rub (Pharmaceutical market of Russia: 2018). Directions of financing Total funding Development of

2013 15177 -

2014 14654 -

2015 16599 -

M.Vagizovich Mingazov, A.M. Tufetulov, G.Nasimovna Khadiullina

Years 2016 2017 16330 11636 5199 2244

2018 11220 7751

2019* 11292 7896

2020* 11278 7899

medicaments production Development of medical device production Integrated development of the pharmaceutical and medical industries The federal target program "Pharma - 2020"

1751

2246

3127

3129

342

267

260

15177

14654

16599

9380

7146

Completed early 31.12.2017 г.

* forecast During the period of implementation of the programs, the share of Russian drugs increased from 20 to 30 percent. market, which amounted to 295 billion rubles, while the market volume increased to 1.246 trillion rubles. In the list of essential drugs (VED), in 2018, domestic drugs accounted for 81.1 percent, while their share in government procurement is gradually increasing. The most significant indicators take place in the segments “7 high-cost nosologies” (in terms of money, 36.65 percent versus 10.2 percent in 2012), oncological diseases (32.94 percent versus 12.22 percent in 2012) , drugs for the treatment of HIV (29.66 percent. vs. 9.91 percent. in 2012) (From import to export, 2018). At the same time, it should be noted that according to the report of the Accounts Chamber of the Russian Federation on budget execution, in 2018, 62.9% of the planned expenditures were executed under this state program, which is the smallest indicator among all state programs. This government program should be replaced by the Pharma-2030 strategy, the draft of which was presented in 2018 by the Ministry of Industry and Trade of the Russian Federation, but was not adopted, since a number of its key provisions became objects of criticism. As the key areas for the development of the pharmaceutical industry, the project envisages an increase in the level of innovativeness of manufacturers with the support of states, as well as an increase in the export volume of Russian medicines by 2030 by 5 times, an increase in the production of medical products, which should replace imported products for all critical items. In addition to the global development trends inherent in the Russian pharmaceutical industry, the dynamics of its indicators are determined by a number of specific factors, including changes in the regulatory framework. In 2019, a new method of determining the price of drugs from the list of vital and essential drugs (VED) is introduced, while the list of countries for determining the reference price is expanded to include an additional 12 countries, which, along with the mandatory re-registration of drugs from this list should lead to lower prices. At the same time, the opposite trend in the price level is being implemented, which is due to the introduction of mandatory labeling of all drugs from January 1, 2020, which will lead to an increase in production costs. The adoption of a law regulating the distant sale of non-prescription drugs will result in an outflow of buyers from the retail market of drugs to the online space, which is a necessary prerequisite for companies to use information and communication technologies more widely and change marketing strategies. According to expert estimates, a decrease in the share of OTC drugs in favor of prescription drugs and a decrease in the share of generics in favor of original drugs is predicted, which is a result of the trend towards an increase in the share of innovative and original drugs in 2018. Such a trend is a form of realization of a high level of innovative activity of leading manufacturers. The peculiarity of the Russian pharmaceutical market is the composition of factors of investment *Corresponding Author (M.V.Mingazov) Email: mintik001@mail.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19O http://TUENGR.COM/V10A/10A19O.PDF DOI: 10.14456/ITJEMAST.2019.273

attractiveness of manufacturers, among which an important role is played by preferences for participation in government procurement and manufacturers' tenders that have their own or joint production with national companies in the Russian Federation. According to the Ministry of Industry and Trade of the Russian Federation, in the period from 2011 to 2017. private and public investments in the pharmaceutical industry exceeded 150 billion rubles, which led to the opening of 30 production sites, as well as ensure in 2013-2016. high rates of growth in the production of medicines and medical devices (Digitalization strategy as a way to organize interaction with end users, 2018). According to expert estimates, companies specializing in the production of medicines for such therapeutic sectors as diabetes, oncology, thrombotic diseases, blood fibrinolytic activity, etc., have the greatest investment attractiveness. Investment in the development of new drug promotion programs as a unique value proposition is expected interaction with consumers based on the use of information and communication technologies That is the source of formation of competitive advantages in the domestic and global markets. A SWOT analysis of the Russian pharmaceutical industry shows that its strengths are: the presence of state support and budget financing of state programs; implementation of import substitution strategy; high profitability of enterprises, which largely neutralizes the cost of inflation; the presence of highly qualified personnel, which is determined by the system of training specialists by educational organizations. As weaknesses it should be noted: the orientation of domestic companies to the production of generic pharmaceutical products (generics), due to the need for significant investment in the development of new and effective medicines, problems of compliance of domestic products to GMP standards (Good Manufacturing Practice - good manufacturing practice), and also the considerable duration of such investment projects in the presence of high competition with foreign manufacturers; low level of innovation; dependence on imports of primary substances. The possibilities of domestic pharmaceuticals are: increasing life expectancy and the proportion of older people in the population structure; development of cooperation with the participation of foreign manufacturers; expired drug substitution options. Among the risks to the operation of the pharmaceutical industry enterprises are the following: the structure of domestic demand, in which the demand for low-performing, obsolete cheap drugs prevails; the specifics of the compulsory health insurance system, which does not provide for reimbursement of expenses for the purchase of medicines; relatively low (compared to world levels) level of drug consumption per capita; the intensification of competition with foreign manufacturers; the prevalence of counterfeit products.

5. CONCLUSIONS The identified risks of the development of the pharmaceutical industry pose threats to the effective functioning of the national security system of the Russian state and are an obstacle to the realization of the trajectory of sustainable economic development. In this regard, it seems necessary to comprehensively study the experience of the functioning of foreign pharmaceutical companies in order to use it to develop a development strategy in the face of growing uncertainty of the external environment and macroeconomic instability Increased competitiveness determines the growing role of investment in basic and applied research, without which there is no possibility of accumulating and realizing the innovative potential. In this regard, it is necessary to determine the strategic guidelines for the development of the pharmaceutical industry within the framework of state programs at the

M.Vagizovich Mingazov, A.M. Tufetulov, G.Nasimovna Khadiullina

federal level and to develop tools for their implementation in conjunction with the rationale for the drug doctrine of Russia. The condition for the implementation of the strategic goals of the pharmaceutical industry development is the formation of an appropriate institutional environment that ensures the creation and commercialization of intellectual property. Creation of innovation infrastructure facilities (business incubators, databases, etc.) and integrated entities (pharmaceutical clusters) with the participation of the state, business structures, research and educational organizations is a prerequisite for the initiation and dissemination of open innovation, the use of public-private partnership tools, the realization of the potential of contradictory relations of cooperation and competition. Special investment contracts, concessional and leasing loans act as instruments of state support for the pharmaceutical industry. The study allows us to conclude that there is a significant competitive potential accumulated by manufacturers of drugs and medical devices. Realization of competitive potential will ensure increased availability of highly effective innovative medicines for the population and increase the level of security of the Russian state.

6. DATA AND MATERIALS AVAILABILITY Relevant information is available by contacting the corresponding author.

7. ACKNOWLEDGEMENT The work is performed according to the Russian Government Program of Competitive Growth of Kazan Federal University.

8. REFERENCES Overview of trends in the global and Russian pharmaceutical market, (2019). [Electronic resource] Access mode: file: /// c: /users/usr/downloads/24104.pdf Access date: 07.07.2019. Roy, J. (2011). Future prospects for the pharmaceutical industry. An Introduction to Pharmaceutical Sciences., 2, 357–384. DOI: 10.1533 / 9781908818041.357 Kaplan, W. (2017). Development of a health care system. Pharmaceuticals. Springer International Publishing, 405–430. DOI: 110.1007 / 978-3-319- 51673-8_20 Scherer, F. M. (2010). Pharmaceutical innovation. In Handbook of the Economics of Innovation (Vol. 1, pp. 539-574). North-Holland. Zvezdina ,P., & Grosheva, M. (2019). For five years, the growth of the pharmaceutical market has declined six times [Electronic resource] Access mode: https://www.rbc.ru/society/22/02/2019/5c6d752b9a7947e3df5d59f6. Appeal date: 11.07.2019. Digitalization strategy as a way to organize interaction with end users. (2018). Russian Pharmaceutical Market Trends - 2018. M .: Deloitte Research Center in the CIS. https://www2.deloitte.com/content/dam/Deloitte/ru/Documents/life-sciences-health-care/russian /r- pharmaceutical-market-trends-2018.pdf. Appeal date: 11.07.2019. Pharmaceutical market of Russia: (2018). Report DSM Group [Electronic resource] Access mode: https://dsm.ru/docs/analytics/Annual_report_2018_DSM.pdf. Appeal date: 11.07.2019. From import to export. (2018). The Pharma-2020 strategy gave impetus to the development of the domestic pharmaceutical industry. Rossiyskaya gazeta. 7.10.2018. [Electronic resource] Access mode: https://rg.ru/2018/10/07/farma-2020-dala-impuls-k-razvitiiu-otechestvennoj-farmindustrii.html. Appeal date: 11.07.2019. *Corresponding Author (M.V.Mingazov) Email: mintik001@mail.ru ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19O http://TUENGR.COM/V10A/10A19O.PDF DOI: 10.14456/ITJEMAST.2019.273

Decree of the Government of the Russian Federation of April 15, 2014 N 305 (as amended by the Resolution of the Government of the Russian Federation of March 29, 2019 No. 359) “On approval of the state program of the Russian Federation“ Development of the pharmaceutical and medical industry for 2013–2020 ”[Electronic resource] Access mode: http://minpromtorg.gov.ru. Appeal date: 11.07.2019. Decree of the Government of the Russian Federation of February 17, 2011 N 91 "On the federal target program" Development of the pharmaceutical and medical industry of the Russian Federation for the period up to 2020 and beyond "(with amendments and additions) (expired on January 1, 2018) [Electronic resource] Access mode: http://base.garant.ru/12183677/#ixzz5tM2pVJEC. Contact date: 11.07.2019. Airat Faritovich Mukhamadeev is a Graduate Student at Higher School of Business and Institute of Management, Economics and Finance, Kazan Federal University (KFU), Kazan, Russia. His research includes Tax Management and Basic Economic.

Professor Dr.Aydar Mirgalimovich Tufetulov is Professor and Head of Department of Economic Security and Taxation, Institute of Management, Economics and Finance, Kazan Federal University (KFU), Kazan, Russia. He studied his higher educations at Kazan Institute of Finance and Economics, Finance and Credit and Kazan State University named after V.I. Ulyanov-Lenin, Faculty of Law, Law. He had a Doctoral degree (Economic Sciences). His research include Taxes and Taxation, Tax Law, Regional Economy, Economics and Organization of Production, Economic Security, Information Security, Financial Literacy. Professor Dr.Gulnara Nasimovna Khadiullina is Professor at the Institute of Management, Economics and Finance, Kazan Federal University (KFU), Kazan, Russia. She holds a Doctor of Economic Sciences degree. Her research includes Modern Economics and Management.

M.Vagizovich Mingazov, A.M. Tufetulov, G.Nasimovna Khadiullina

International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies http://TuEngr.com

PAPER ID: 10A19P

A STUDY ON KEVIN LYNCH’S URBAN DESIGN ELEMENTS AT BAYAN BARU TOWNSHIP, PENANG a*

Lu Min Yun , Teh Xian Zhi , Ahmad Sanusi Hassan , Boonsap b a Witchayangkoon , Muhammad Hafeez Abdul Nasir a b

School of Housing, Building & Planning, Universiti Sains Malaysia, MALAYSIA. Department of Civil Engineering, Thammasat School of Engineering, Thammasat University, THAILAND.

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Article history: Received 14 June 2019 Received in revised form 05 September 2019 Accepted 02 October 2019 Available online 30 October 2019

This study is to determine and measure the effectiveness of the urban design elements at Bayan Baru Township, Penang through mental mapping. The study is conducted based on observation and interview. Mental mapping is used to identify the urban design elements, and information from the interview is used to understand the The findings show that the place making by the local residents. township is mainly gridded with paths as the main urban element based on Colonial divide and rule concept. In contrast, the idea of ‘Garden City’ is expressed through the organisation of buildings with nodes and landmarks on mostly every districts. Study shows that the five urban design elements has been integrated successfully in the planning of the township. Path is the most dominant urban element in gridding the districts, while nodes and landmarks complement each other well in the planning. Edges do not play an important role as it is mainly identified as transportation edges expressed by paths. Nevertheless, the combination of urban design elements are considered successful in highlighting the image of Bayan Baru township in Penang.

Keywords:

Bayan Baru Township; Urban Design; Design elements; Kevin Lynch; Garden City.

1. INTRODUCTION This paper will focus on the urban design elements of a case study in Penang under the category of ‘Garden City’ (see Figure 1). Urban design is the process of designing the built environment, such as towns, cities, streets and spaces. It involves the arrangement and planning that give form, shape and character to the built environment. The practice of urban design uses principles and urban design elements to arrange and blend architecture, landscaping, and city planning to form systematic and planned urban areas.

*Corresponding

author (Lu Min Yun, Teh Xian Zhi) Tel +60-135757485/+60-124351917 Email: luminyun@outlook.com teh_xz@hotmail.com ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19P http://TUENGR.COM/V10A/10A19P.pdf DOI: 10.14456/ITJEMAST.2019.153

Figure 1: Geolocation of Bayan Baru, Penang, Malaysia (Courtesy of Google®). The principles of urban design are well evaluated by Kevin Lynch in his classic work ‘The Image of the City’. His work explains how people orienting themselves in the city through mental mapping. People engage in way-finding by recognising and organising urban design elements into a coherent pattern (Lange, 2009). Lynch proposes five urban design elements under the practice of mental mapping – paths, edges, districts, nodes and landmarks (Lynch, 1960). On the other hand, the concept of garden city was first initiated by Ebenezer Howard in 1898 in the United Kingdom. Garden city is a planned, self-sustained community surrounded by greenbelts and open spaces, aiming to promote a healthy lifestyle with employment opportunities (Howard, 1902). Howard founded Letchworth, the world’s first garden city in Hertfordshire, England in 1903 (The International Garden Cities Institute, 2018). Howard’s vision of garden cities has had an enormous impact upon urban planning in the new town around the world. In this paper, Bayan Baru is chosen as the case study to evaluate the integration of urban design elements to the development of the township under the concept of garden city. Figure 2 shows the location plan of Bayan Baru.

Figure 2: Location Plan of the Case Study: Bayan Baru. This study determined the urban design elements implemented in Bayan Baru township, Penang,

Lu Min Yun, Teh Xian Zhi, A.Sanusi Hassan, B.Witchayangkoon, M.Hafeez A.Nasir

and measure the effectiveness of the urban design elements used in urban planning. The reasons of choosing this case study are: (1) Bayan Baru is now one of the most rapidly developed townships in Penang under the category of ‘Garden City’ and (2) it can be easily accessed for site visit. Research and analysis will be presented to show the connections between people and places and how well the urban design elements are adopted in urban planning.

2. LITURATURE REVIEW Understanding the Kevin Lynch (1960) five urban design elements, it is necessary to realise their importance towards a city’s image, and how people orient in the city. It is important to understand the relationship between the urban design elements, as a good integrated city image can be exhibited through the combination of these elements.

2.1 URBAN DESIGN ELEMENTS 2.1.1 PATHS Path is an urban city nerve to ease the user’s movement. According to Yasin, Hassan & Al-Ashwal (2017), it is a channel where people potentially move such as roads, pedestrian walkways, transit lines, and railroads. Under colonial divide and rule concept, it is an effective urban design element to organise the township into a grid system. 2.1.2 EDGES Edges in urban neighbourhoods can be either impermeable or permeable. Typical examples are transportation edges, usually expressed by arterial roads like highways and rail lines, or spaces like parking lots, large industrial sites and vacant land (Yasin et al., 2017). In some cases, watercourse edges and façade edges can also become effective orientation elements. 2.1.3 DISTRICTS District is an administrative division on an area. It can be distinguished by its similar identity or character (Yasin et al., 2017). Typically, the classification of district can be based on functions and activities such as commercial, residential, education, and public amenities. A successful planning of district typically shows a strong context and interrelationship of activities. 2.1.4 NODES Nodes are typically places where the crowds gather. The gathering point can be a primary junction or an open plaza where people need to travel from one to another point by crossing the path. Nodes can be classified as outdoor nodes and indoor nodes, where people always recall and mark as a place of activity in the township (Pauzi et al., 2018). 2.1.5 LANDMARKS Landmarks can be defined as an object or building to identify a place. It can be anything recognisable like a monument, skyscraper, or even part of the building structure as well. It gives people a clear image or identity while visiting a place. Landmarks also can be described as concrete speakers and attractive elements in various sizes, which reflect community life (Bocekli, 2003). *Corresponding

2.2 BACKGROUND OF CASE STUDY: BAYAN BARU TOWNSHIP Bayan Baru is a residential neighbourhood located within the Southwest Penang Island District, adjacent to the Bayan Lepas Free Industrial Zone. The name ‘Bayan Baru’ means ‘new town’ as it was developed under the concept of town-country where the advantages of town and country are combined. Founded in 1972 by the Penang Development Corporation (PDC), the township has evolved into a booming neighbourhood with many commercial and retail developments (Tye, 2017). Before that, it was once paddy fields due to its strategic location that was near two rivers – Sungai Relau and Sungai Ara. However, it was always flooded when rain coincided with the high tide as the river expanded. Over the decades, the condition was improved by rectified drainage and other mitigation works, such as canalising Sungai Relau and Sungai Ara, which are channeled to flow to Sungai Kluang before emptying into the sea. Nevertheless, flash flood still occurs occasionally during heavy rainfall mainly due to blocked drainage (Tye, 2017).

Figure 3: Ground Plan of the Case Study: Bayan Baru. Bayan Baru development was largely influenced by the industrial decentralisation strategy that causes a change of land use patterns (Hassan, 2005). The strategy intended to build new city centers, housing areas and industrial areas in previously underdeveloped areas, one of them being Bayan Baru. Besides, rural urbanization is another strategy applied in the development of Bayan Baru, aiming to reduce congestion in metropolitan areas by channeling migration to these new towns. The environment of a new town, services and facilities are introduced into rural areas to eliminate the social and economic inequalities between urban and rural inhabitants (Ngah et al., 2015). Over the years, the change of land use patterns can be seen in the urban landscape and fabric. Figure 3 shows the ground plan of Bayan Baru.

Lu Min Yun, Teh Xian Zhi, A.Sanusi Hassan, B.Witchayangkoon, M.Hafeez A.Nasir

Today, Bayan Baru is one of the most rapidly developed garden city in Penang due to its proximity to the Bayan Lepas Free Industrial Zone. It houses many condominium and apartments within the residential district, as well as many eateries in the commercial district, ranging from ‘mamak’ stalls to the fast food and ‘Kopitiam’ like outlets (EdgeProp, 2016). Bayan Baru Market (officially known as Bayan Baru Market Complex and Community Hall) is the biggest market in the area, housing a wet market, dry market and hawker centre. Due to the increase of employment opportunities, there is a shift in population out of Georgetown and towards Bayan Baru and its immediate neighbourhood. It provides the people with multiple blessings such as the accessibility to new amenities and facilities. For instance, the Subterranean Penang International Conference and Exhibition Centre (SPICE), which is formerly known as Penang International Sports Arena (PISA), was redeveloped in the township by a major Malaysian property developer, SP Setia (Tye, 2017).

3. METHODOLOGY The study was conducted from qualitative research referring to Kevin Lynch’s study on the quality of the urban element during the site visit at Bayan Baru Township. The figure-ground plan (see Figure 3) will be scrutinised to match the record in the layout plan with the site survey on the quality of urban design elements. Meanwhile, interviews have been conducted with the locals and tourists. Noted the term ‘Jalan’ is a Malay word, which can be defined as a road or way by which people or vehicles may pass between places. On the other hand, ‘Sungai’ is defined as a river or any natural stream of water.

3.1 URBAN DESIGN ELEMENTS 3.1.1 PATHS The paths can be analysed by looking on its sizes, accessibility and popularity of usage. Through the observations and interviews towards the local residents and tourists, precise information can be gathered to categorise the roads for analysis purpose. 3.1.2 NODES Nodes are determined based on its function, attraction, uniqueness and popularity in Bayan Baru Township. It is often places where people gather and meet, such as road or street junction. There are some constraints using observation techniques to identify the nodes as some places are not operating 24 hours. Hence, interviewing the locals or the pedestrian nearby would be the best alternative. 3.1.3 DISTRICTS Districts are identified based on the building usage of each zone. They are classified into commercial district, residential district, small holdings and public amenities. Besides, the types of housing are further defined into residential low-rise, condominium and apartment to indicate the living zoning in the township.

*Corresponding

3.1.4 EDGES Edges are determined based on the edges typologies, including amorphous edge, distinct edge and overlapping edge. Furthermore, the basic characteristics of an edge - opaque, transparent and permeable - also act as a crucial role in the identification and evaluation of the edge quality in the formation of the township (Desai, 2018). 3.1.5 LANDMARKS Landmarks are determined based on the recognisable objects and built masses in the township. Site observation is applied to identify the different building types that can serve as a clear image to the citizens in guiding and recognising a place. Interviews are also carried out among the locals to identify the importance of the different buildings within the studied zone to the locals as well as tourists. The criteria include the architecture value, history, function, size and height of the building.

4. ANALYSED RESULTS Referring to the five urban design elements, analysis was carried out after the on-field study. Through in-depth data collections from the interviews with the local residents and tourists, the results are discussed based on the five urban design elements.

4.1 URBAN DESIGN ELEMENTS

Figure 4: Bayan Baru Township main entrance 4.1.1 PATHS Bayan Baru Township is located at the southern part of Penang Island where it can be accessed by using Jalan Tun Dr Awang (arterial road) from Penang 1st Bridge and Penang International Airport. The main entrance to access the township is from Setia SPICE where Jalan Tun Dr Awang connect to Jalan Mahsuri (see Figure 4). Through observation, the path of Bayan Baru Township can be categorised into two types of pattern - transportation and pedestrian. Figure 5, the transportation paths are accessed by vehicles and motorcycles along the arterial road (primary), collector road (secondary) and local road (tertiary). The arterial roads act as a connector to the collector roads following a perimeter system, while the local roads lead to specific commercial shop or housing. The path pattern of the whole development of the township is following the colonial divide and rule system using arterial road as a grid for the organisation of buildings. There is a few of arterial roads (45-meter to 40-meter road reserve) in Bayan Baru, such as Jalan Mahsuri, Jalan Tengah, and Jalan Mayang Pasir (see Figure 6). Common vehicles including public transport can be observed during heavy traffic hour. The Setia SPICE and One World Condominium can be approached from Penang town through Jalan Tun Dr Awang via linkage to Jalan Mahsuri, as well as from Jalan Mayang Pasir. Next, Sunshine Square can

Lu Min Yun, Teh Xian Zhi, A.Sanusi Hassan, B.Witchayangkoon, M.Hafeez A.Nasir

be approached from town by using Jalan Mahsuri and Jalan Mayang Pasir as well. Besides, government service department like Bayan Baru Polis Station, Fire Station, Hospital Pantai Mutiara and S.R.K. Seri Permai are all located along Jalan Tengah.

Figure 5: Path Diagram of the Case Study: Bayan Baru.

Figure 6: Jalan Mahsuri (left), Jalan Mayang Pasir (middle) and Jalan Tengah (right)

Figure 7: Persiaran Mahsuri (left), Jalan Mayang Pasir 2 (right) The collector roads (26m to 20m road reserve) are 4-meter car lanes which connect the users from main paths, such Persiaran Mahsuri (see Figure 7), into the residential, commercial and recreational areas at Bayan Baru Township. The main entrance of Elite Avenue and Umar Ibn Al-Khattab Mosque can only be accessed from the secondary path (Jalan Mayang Pasir 2) (Figure 7). Bayan Baru food court and wet market main entrance can be accessed from Lintang Mayang Pasir. *Corresponding

author (Lu Min Yun, Teh Xian Zhi) Tel +60-135757485/+60-124351917 Email: luminyun@outlook.com teh_xz@hotmail.com ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19P http://TUENGR.COM/V10A/10A19P.pdf DOI: 10.14456/ITJEMAST.2019.153

Figure 8: Persiaran Mahsuri 2/5 (left), Tingkat Mayang Pasir (right) Also, the tertiary roads (15-meter to 12-meter road reserve) can be observed in specific areas like residential (see Figure 8) or government amenities. Some tertiary roads also link to commercial shops.

Figure 9: Pedestrian Link Bridge at Jalan Mahsuri (left) and Jalan Tengah (right) The second type of path is pedestrian walkway, leading people from one place to another place such as commercial and residential area. Unfortunately, there is no specific or proper lane for cyclist. The whole study area barely has any facility that provides for cyclist. In contrast, the pedestrian walkway is nearly everywhere. It leads people from their home to any commercial area; hence showing a friendly urban design. Additionally, there are pedestrian link bridges at crowded places like school and commercial area (see Figure 9). Based on our observation, the pedestrian link bridge located at Jalan Tengah helps students crossing the road to S.R.K. Sri Permai and Raja Tun Uda High School.

Figure 10: Zebra Crossing at Jalan Mayang Pasir (left) and Jalan Tengah (right) Next, zebra crossings are located at Jalan Mayang Pasir and Jalan Tengah (see Figure 10). These zebra crossings link the residential area to the commercial place. For example, the zebra crossing at Jalan Mayang Pasir connects Taman Sri Tunas and Bayan Baru Wet Market. 4.1.2 NODES Figure 11 shows the outdoor and indoor nodes within the studied zone. Even though Bayan Baru is considered as Garden City, the organisation of the building is based on the colonial urban design pattern where the layout follows the grid system. It can be seen that almost every grid in the layout has their own node provided. One of the most significant nodes in terms of functionality and popularity would be Setia SPICE. Located along Jalan Mahsuri, the SPICE Arena it is Penangâ&#x20AC;&#x2122;s main indoor sports centre and people came here for business, exhibition and any international concert. Thus, it becomes a focal point where

Lu Min Yun, Teh Xian Zhi, A.Sanusi Hassan, B.Witchayangkoon, M.Hafeez A.Nasir

locals and tourists can gather around to enjoy the facilities and spaces provide. Besides the SPICE Arena, SPICE Garden also considered as a main outdoor node that allows the public to come and enjoy the environment (Figure 12).

Figure 11: Node Diagram of the Case Study: Bayan Baru

Figure 12: SPICE concert (left), SPICE rooftop garden (middle) and playground (right)

Figure 13: Sunshine Square Mall Shopping Area (Left) and Food Court (Right) Next, the major indoor node will be Sunshine Square Mall where it located in between the junction of Jalan Mahsuri and Jalan Mayang Pasir. Sunshine Square is opened in 1993. It is *Corresponding

five-storey shopping mall which caters the surrounding community, as well as shoppers from the nearby towns and residential areas such as Bayan Lepas (see Figure 13). Until today, the mall could still attract a large crowd as it embarks on an upgrading exercise once every couple of years to maintain its quality of services. In 2005, Sunshine unveiled a new brand logo, refurbished the department stores and expanded the supermarket into the new wing previously occupied by the food court (Tye, 2019).

Figure 14: Bayan Baru Wet Market (Left) and Food court (Right) Besides, Bayan Baru Wet Market and Food Court is also considered as a major indoor node at Lintang Mayang Pasir 4 in between the Bayan Baru Mosque and Sunshine Square. The wet market is well-arranged and the food court attracts many people to come (see Figure 14). The area is public welcoming as it provides sufficient parking lots near to the building.

Figure 15: Ramadhan Bazaar at Umar Ibnu Al-Khattab Mosque Umar Ibnu Al-Khattab Mosque is also considered as a major indoor node. The mosque is designed to cater the all Muslims at Bayan Baru area where people can come to a Friday praying session from 12 pm to 2 pm. Besides, the open car park of the mosque will be used as a bazaar during the Ramadhan period (Figure 15). Elite Avenue is identified as an indoor node (Figure 16). The whole development has a good catchment in the fast-developing Bayan Baru area. At the residential area, Elite Avenue Condominium have their own indoor node as well like lobby at the podium and rooftop garden that serve for the residential only. Besides, The Promenade at opposite of the Elite Avenue has an internal street between the retails, serving as an outdoor node.

Figure 16: Bayan Baru Elite Avenue (left), Outdoor node at The Promenade (right) Another node is Giant Hypermarket along Jalan Mayang Pasir (see Figure 17). It is the only Giant hypermarket in Penang opened in 2005. Giant hypermarket is designed to serve the community

Lu Min Yun, Teh Xian Zhi, A.Sanusi Hassan, B.Witchayangkoon, M.Hafeez A.Nasir

by providing a large variety of goods which is very convenience to the people. However, it is going to be demolished due to a newly proposed mixed development by Ideal Property Group, called Bayan Baru City Centre. In term of design layout, the hypermarket does provide a huge parking space to cater the costumer, at the same time the interior of the market is huge enough to gather all the customer from everywhere.

Figure 17: Bayan Baru Giant Hypermarket

Figure 18: ‘Happy-Dance’ Exercise at Sunway Tunas Open Field At Sunway Tunas residential, there is an open field for the neighbourhood serving as an outdoor node. The basketball court can be rented to the youngster if they want to use the court at night with the spotlight. When the court is not used to play basketball, it is used as a platform by the residents of Sunway Tunas to organise dance exercise activities (see Figure 18). 4.1.3 DISTRICTS As shown in Figure 19, the studied zone can be classified into four main districts - residential district, commercial district, small holdings and public amenities. The residential district can be further broken down into landed housing, apartment and mixed-use development (condominium and retail). Within the studied zone, Taman Sunway Tunas and Taman Mahsuri are the main residential landed housing in the area. Sunway Tunas was developed as a housing area with double-storey terrace houses by Sunway City Sdn Bhd. The housing area is well connected to the public amenities and commercial buildings. On the other hand, for residential high-rise, it can be observed that there are more mixed-use condominiums than apartments. The mixed-use condominiums are located within the commercial district to incorporate retails in the lower floors. For instance, they are Arena condominium, D’Piazza condominium, The Promenade, Elit Heights, and The One condominium. The commercial district is situated at the centre of the township, and surrounded by the residential district. Hence, residents can easily access to the commercial area. There is a lot of eateries in the area. For instance, the hawker centre of Bayan Baru Market is one the most popular open eateries among the community, especially factory workers due to its variety of food choice and its affordable price range. As for relatively new developed eateries, the retails of The One, The *Corresponding

Promenade and Elit Heights are the more popular choices among the community, especially the young population. Meanwhile, Sunshine Square and Giant Hypermarket are the shopping malls serving the area.

Figure 19: District Diagram of the Case Study: Bayan Baru The significant public amenities within the studied zone include Subterranean Penang International Conference and Exhibition Centre (SPICE), Penang Development Corporation (PDC), Masjid Bandar Bayan Baru, Pantai Mutiara Hospital and SMK Raja Muda. Hence, the residents can access to different amenities within travelling distance. From the pattern of the arrangement of districts, we can suggest that the town planning was based on colonial ‘divide and rule’ concept based on the functionality of the buildings. Besides, the boundaries of different districts were determined by the arterial roads, as suggested in Section 4.1.1. 4.1.4 LANDMARKS There are many landmarks in Bayan Baru. Figure 20 shows the category of landmarks classified based on its hierarchical order, from architecture value, height to function. Under the major landmarks based on its architecture value, the most successful landmark is Setia SPICE. Located along Jalan Mahsuri, it is Penang’s main indoor sports centre and the preferred venue in Bayan Baru

Lu Min Yun, Teh Xian Zhi, A.Sanusi Hassan, B.Witchayangkoon, M.Hafeez A.Nasir

for meetings, incentives, conferences and exhibitions (MICE).

Figure 20: Landmark Diagram of the Case Study: Bayan Baru

(1) SETIA SPICE

(2) SPICE Roof Structure and Pyramid Skylight

(3) Bayan Baru Mosque

Figure 21: Major Landmarks Identified Based on Architecture Value *Corresponding

author (Lu Min Yun, Teh Xian Zhi) Tel +60-135757485/+60-124351917 Email: luminyun@outlook.com teh_xz@hotmail.com Â©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19P http://TUENGR.COM/V10A/10A19P.pdf DOI: 10.14456/ITJEMAST.2019.153

According to Setia Spice (2018), its 120m modern iconic roof structures were installed with 1600 custom-made glass panels along Jalan Tun Dr Awang, and it is the first ever 654-LED colour-changing roof in Asia. The Pyramid Skylight and Pearl Crown that are aligned in the centre of the roof was inspired by Louvre Pyramid in Paris designed by architect I.M.Pei (see Figure 21). Such unique architecture feature has successfully become an identity in Bayan Baru. Besides, another major landmark in architecture value is Masjid Umar Ibn Al-Khattab, also known as Bayan Baru Mosque (see Figure 21). Built in the 1980s, it is the main mosque in Bayan Baru, named after Umar Ibn Al-Khattab, the second caliph, a highly regarded figure among Sunni Muslims (Tye, 2008). It is located along Jalan Mayang Pasir and is just one road across Bayan Baru Market. Next, the major landmarks can also be classified based on height. The most prominent building would be Olive Tree Hotel. Situated along Jalan Mahsuri, it has quickly gained popularity due to its strategic location beside SETIA SPICE. It only requires 8 minutesâ&#x20AC;&#x2122; drive from Penang International Airport and 15 minutesâ&#x20AC;&#x2122; drive from Penang Second Bridge. Besides that, there is a few mixed-use developments in the area that can be recognised through the height of building, such as The Promenade, Elit Heights, The One and Arena Curve. Suntech is also another high-rise landmark functioning as a business tower. Generally, the building design gives the impression of extreme simplicity by applying the simplest and fewest element to create the maximum effect. As shown in Figure 22, the minimalist style mostly uses white with cool grey to black tones as the main colour scheme with glass wall and window (Hassan et al., 2015). Although these high-rise buildings are not especially unique on their own, they can still help drivers and pedestrian in way-finding in the area.

(1) Olive Tree Hotel

(2) The Promenade

(3) Elit Heights

(4) The One

(5) Arena Curve

(6) Suntech

Figure 22: Major Landmarks Identified Based on Height Additionally, the major landmarks in Bayan Baru can also be identified through the building function and usage (see Figure 23). The only two shopping malls in Bayan Baru - Sunshine Square mall and Giant Hypermarket - can be easily recognised in the township. Another landmark under this

Lu Min Yun, Teh Xian Zhi, A.Sanusi Hassan, B.Witchayangkoon, M.Hafeez A.Nasir

category is the Bayan Baru Market Complex.

(2) Giant Hypermarket

(1) Sunshine Square Mall

(3) Bayan Baru Market

Figure 23: Major Landmarks Identified Based on Function

(1) PDC

(2) Mayang Mall

(3)Pantai Mutiara Hospital

(4) Dâ&#x20AC;&#x2122;Piazza Mall

(5) Raja Tun Uda High School

(6) S.R.K. Sri Permai

(7) Bayan Baru Fire and Rescue Station

(10) Shell

(8)

(9) Caltex

Petron

(11) Bayan Baru Police Station

(12) Bayan Baru Health Clinic

Figure 24: Minor Landmarks in Bayan Baru Besides all the major landmarks mentioned, there are also other minor landmarks in the area, as shown in Figure 24. One of them is the Penang Development Corporation (PDC). PDC was established by the late Tun Dr. Lim Chong Eu in 1971. Aiming to spearhead the socio-economic *Corresponding

development of Penang, it was instrumental in the development of new townships. According to Tye (2014), PDC will be relocated into Mayang Mall while its present building will be demolished to make way for the proposed BPO Prime. Other minor landmarks include public amenities along Jalan Tengah such as Pantai Mutiara Hospital, Dâ&#x20AC;&#x2122;Piazza Mall, Raja Tun Uda High School, S.R.K. Sri Permai, Bayan Baru Police Station and Bayan Baru Fire and Rescue Station. Petrol stations such as Petron, Caltex and Shell also serve as minor landmarks in the area. While all the minor landmarks can provide a guide for people to navigate in the township, they are not as significant as the major landmarks. Due to the building function, being public amenities, administration and education, the minor landmarks only serve a specific group of people, unlike the commercial buildings which can easily attract crowds. Also, as the location of these minor landmarks is further away from the arterial roads, they are not as noticeable as the major landmarks. In short, we notice that most of the major landmarks are at the edge of the district facing the arterial road. The location makes the landmarks successful in serving as a clear image in the township. On the other hand, when there are many major landmarks in the area, the purpose of minor landmarks in way-finding becomes less important. 4.1.5 EDGES Figure 25 shows the edges within the studied zone. Firstly, Sungai Relau is a distinct edge formed by a natural watercourse, separating Taman Sunway Tunas in the residential district and the commercial district next to it. However, the river is not as significant as it only serves as a canal to prevent flooding (Tye, 2017). Nevertheless, Jalan Mahsuri and Persiaran Mahsuri are aligned to the river in order to classify the districts.

Figure 25: Edge Diagram of the Case Study: Bayan Baru.

Lu Min Yun, Teh Xian Zhi, A.Sanusi Hassan, B.Witchayangkoon, M.Hafeez A.Nasir

The change in building typology is also obvious from residential low-rise to mixed-use high-rise. Next, the arterial roads also act as transportation edges that separate different building typologies in the township. For instance, public amenities such as SPICE and PDC are separated from the commercial district to the South direction by Jalan Mahsuri. Besides, Taman Sunway Tunas from the residential district is separated from the public amenities to the South direction by Jalan Tengah. Lastly, Jalan Mayang Pasir separates the commercial district to its west and the residential district to its east.

5. DISCUSSION Based on the overall result, the analysis based on Lynch’s five elements of urban design characteristic at Bayan Baru Township, as well as the conclusion will be discussed accordingly in this chapter.

5.1 URBAN DESIGN ELEMENTS 5.1.1 PATHS The paths in Bayan Baru Township play a main role to enhance the development to it finest. The perimeter system inside out the township gives a great impact to the local economic. The arterial road, collector road, and local road fully fulfill their purpose to direct the visitors into different districts. At the same time, the pedestrian walkways also create convenience to the local people and visitor. Most of the pedestrian walkways are designed to link to the commercial area with bus stop provide along the way. It encourages people to access everywhere in the area. However, there are still some improvements needed to be done in certain area due to poor connectivity and accessibility between the district. For instance, there is only a few pedestrian link bridges and barely no zebra crossing provided. It loses the purpose of garden city where it should be encouraging people to travel by walking. Then, in term of accessibility, some of the pedestrian walkway cannot be accessed due to low maintenance where the pathway is almost covered by grass. There are also certain areas that do not cover pedestrian walkway. For example, it is difficult for residents at Sunway Tunas to walk to certain commercial area like Elite Avenue or D’Piazza Mall directly due to lack of zebra crossing and pedestrian link bridge, not to mention that the district is segregated by arterial and collector roads. Thus, instead of walking people would still rather to drive from one place to another place. 5.1.2 NODES The layout of Bayan Baru township is based on colonial grid system with garden city concept, and every grid has their own nodes. The element of nodes in Bayan Baru township has been strongly supported by various type of path where it brings people from outside to come and enjoy the facility and space as well. Then we found out that almost all of the nodes still work perfectly fine. For example, for the node at the residential area, the local still fully utilize the usage of the green field to have different kind of activities, whereas commercial areas also provide sufficient space like car park and public space to cater the visitor from outside. The most significant public node is held at Setia SPICE where it successfully attracts people to come because of its unique content and design. With these factors, people can easily remember their time in Bayan Baru township. On the other hand, some of the nodes might not function at its finest. One of the examples is *Corresponding

Dâ&#x20AC;&#x2122;Piazza Mall. The retail shop failed to attract people into the business. There is no architecture value in the development of Dâ&#x20AC;&#x2122;Piazza Mall. Moreover, the newly built buildings surrounding the area are mostly under mixed-use development. These will give people more reason to choose where they want to go, and people might be attracted by newly open retail shop and facility surrounding that area. Thus, some of the oldest building cannot sustain very well in such circumstance unless they improve their management to attract back the people. 5.1.3 DISTRICTS The clarity of districts in Bayan Baru is high as it is classified based on the colonial divide and rule concept. Nevertheless, it is still noticeable that the planning follows the theory of Garden City, in which the commercial district is planned at the centre of the township so that it is easily accessible from other parts of the township. Most landmarks and nodes are concentrated in the commercial district to attract crowds to the town centre. Besides, since the commercial district are gridded by the arterial roads (Jalan Mahsuri and Jalan Mayang Pasir) and the collector road (Persiaran Mahsuri), it promotes better pedestrian connectivity between different commercial buildings as pedestrians do not need to cross any arterial road to move within the commercial area. In contrast, the location of the shophouses beside Taman Sunway Tunas of the residential district is isolated from other commercial buildings. As a result, they do not share the popularity of other commercial buildings in the main commercial district. This scenario suggests the importance of concentrating the commercial buildings in the town centre to ensure a high level of usage. Nevertheless, the overall planning of the districts is still deemed to be successful, combining the main principle of Garden City and Colonial divide and rule concept. 5.1.4 LANDMARKS Bayan Baru township has many landmarks in the different districts. SETIA SPICE is one of the most successful landmarks in the area. This suggests that peopleâ&#x20AC;&#x2122;s appreciation of a building is the highest when a building is unique in terms of architecture value. Similarly, Bayan Baru mosque is another successful example due to its typology as a religious building. Since the township was planned in a grid-system with roads, landmarks are located in every area along the arterial and collector roads. Locals and tourists are able to navigate easily in the township by referring to the landmarks in their mental map. Next, the landmarks and nodes often complement each other in the town planning. This combination is effective in pulling crowds to the township and makes the neighbourhood more lively. 5.1.5 EDGES The primary edges that define the area are the transportation edges by the arterial roads. Although there is a watercourse edge by Sungai Relau, it is only considered as a minor edge as nature is unimportant in the planning of Bayan Baru township. On the contrary, the transportation edges mainly define all the districts in the area using a perimeter grid system. Hence, this could suggest that the merging of urban design elements, namely path, edge and district, is successful in complementing each other. On another perspective, the facade edges are not as obvious because unlike colonial town in Georgetown with rows of shophouses, the building types in Bayan Baru consist of more variety.

Lu Min Yun, Teh Xian Zhi, A.Sanusi Hassan, B.Witchayangkoon, M.Hafeez A.Nasir

Hence, the buildings do not produce a consistent and obvious facade edge in the township.

6. CONCLUSION Urban design elements in Bayan Baru Township has been analysed after the qualitative survey and analysis. We can conclude that the five urban design elements - path, node, district, landmark and edge - are fairly expressive in shaping the township. Although Bayan Baru is deemed to be a garden city, the planning is generally based on the colonial divide and rule concept. Hence, the path is the most prominent urban design element in planning the township into a grid system in which buildings are organised into different districts in high clarity. Nevertheless, the concept of planning in garden city is still applied by integrating a lush of greenery in the township. Also, the commercial district is located at the centre of the township to act as an urban magnet to invite crowds. Next, landmarks and nodes are also effective in recognising the township. Within every grid in the district planning, there are many significant nodes and landmarks to revive and identify the places. Hence, the locals and tourists can easily create a mental map, which aids in the way-finding in the township. Moreover, the activities that are brought in to the township by the commercial area keep the city sustainable. On the other hand, the edges within the studied zone are less significant on its own as it is only expressed through the transportation paths. Also, the watercourse edge only helps to guide road planning without expressing the concept of nature in a garden city. In short, Bayan Baru township is successful in the planning of the five urban design elements. It is memorable as a lively neighbourhood with integrated commercial activities. Nevertheless, there might be a trend of oversupply of retail spaces that remained empty for an extended period. One of the examples is D’Piazza mall. Therefore, we could suggest incorporating interesting architecture features into the business pattern as people’s appreciation level of buildings has increased over the years. This will ensure a positive image of the township and keep the urban design elements functional over time.

7. AVAILABILITY OF DATA AND MATERIAL Data can be made available by contacting the corresponding authors

8. ACKNOWLEDGEMENT This study is financially supported with a Bridging Grant (Number 304.PPBGN.6316521).

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B. Witchayangkoon is an Associate Professor of Department of Civil Engineering at Thammasat University. He received his B.Eng. from King Mongkut’s University of Technology Thonburi with Honors. He got a PhD in Spatial Information Science & Engineering from University of Maine, USA. Dr. Witchayangkoon interests involve Applications of Emerging Technologies to Engineering. Professor Dr.Ahmad Sanusi Hassan is Professor in Architecture Programme at the School of Housing, Building and Planning, Universiti Sains Malaysia (USM), Penang, Malaysia. He obtained a Bachelor and Master of Architecture degrees from University of Houston, Texas, USA, and Doctor of Philosophy (PhD) degree focusing on sustainable architecture and urban design development for Southeast Asia from University of Nottingham, United Kingdom. He is interested in Urban Design, Architecture and History and Theory of Architecture. Muhammad Hafeez Bin Abdul Nasir and is a PhD student at the Universiti Sains Malaysia under the school of Housing Building and Planning. He got a Bachelor of Design Studies and a Master of Architecture from the University of Adelaide, Australia. He is interested in Architecture Functionings.

Lu Min Yun, Teh Xian Zhi, A.Sanusi Hassan, B.Witchayangkoon, M.Hafeez A.Nasir

International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies http://TuEngr.com

PAPER ID: 10A19Q

OCEAN CONSERVATION AND WASTE PREVENTION CENTRE: THE STUDY OF SPACE SYNTAX IN RECYCLING FACILITY a*

Nur Fasiha Abdul Halim , Ahmad Sanusi Hassan , Yasser Arab , a Rasha Saeed Abdulla Ba Angood a

School of Housing, Building & Planning, Universiti Sains Malaysia, MALAYSIA.

ARTICLEINFO

A B S T RA C T

Article history: Received 14 June 2019 Received in revised form 02 September 2019 Accepted 07 October 2019 Available online 30 October 2019

Space Syntax is an approach of relating a correspondence between spatial configurations of a building and site planning. This paper concentrates on the study of Space Syntax on the Recycling Facility. The objective of this study attempts the scientific approach to define how the spatial layout of the selected building typology gives influences on how people use and utilise the building spaces. The building typology is a Recycling Facility, which is under the category of a factory building’s typology. To study the space syntax of the building spaces, this work uses the inventory of the layout plan. While use graphs to analyse the way-finding and the permeability level inside the buildings. The result shows that the building has proper spatial planning of orientation and circulation. Thus, the spaces are well-defined as the way-findings of each space are distinguishable. This study shows that space syntax is important and influencing spatial configurations on the building that measures the characteristics of the building typology.

Keywords:

Spatial Configurations; Building typology; Measurable Scale; Building spaces; Permeability; Wayfinding.

1. INTRODUCTION This study analyses space syntax for the Recycling Facility, in which the typology is a factory type of building. Space syntax is a combination theory of space, analytical set that has descriptive and quantitative methods to analyse the various forms of spatial formations such as; interior spaces, buildings, landscapes, cities, etc.(Hillier, 1997). Thus, the spatial layout of buildings influences the way people use them (Hassan, 2004). Space Syntax is a technique for describing and studying the connection between spaces of buildings. The spaces are comprehended as voids such as rooms, squares, streets and fields, between walls, fences and other things that limit movement of people or the visual field (Ching, 2014). The *Corresponding author (N.Fasiha A.Halim). Tel: +60-16-2050301. Email: nurfasiha_edu@student.usm.my ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19Q http://TUENGR.COM/V10A/10A19Q.pdf DOI: 10.14456/ITJEMAST.2019.45

purposes are to assume that most people, most likely, will take the easiest and uncomplicated direction to their stopping place. That path tends to include little changes of direction. The more changes in direction, the more complex the space syntax system, and consequently the more ineffective or inefficient the spatial arrangement design becomes (Sadalla & Magel, 1980). The idea initiated 20 years ago in the United Kingdom was not efficient by Julienne Hanson and Bill Hillier while they describe and analyse how the housing layouts interacted with space accessible (Dursun, 2007). The study is to identify and analyse the layouts of the case study building. It is to make a relationship between the spatial layout and the function of the building and is to discover the best layout plan to be used as guidelines for designing this building typology in the future. The focus of this study is on a typology of factory type. The chosen building is from international which is located in Naples, Italy which is Waste-to-Energy Plant, Termoutilizzatore.

2. LITERATURE REVIEW 2.1 DEFINITION OF WAY-FINDING

SPACE

SYNTAX:

LEVEL

PERMEABILITY

AND

Space syntax is a technique analyse the relationship between spaces of urban areas and buildings. It evaluates the performances of integration and connectivity of spaces within a building and represents it in a formalised graph-based version of spatial layout configuration into the architectural analysis (Li et al., 2009). The concept of space syntax analyse based on the deep analysis of permeability and way-finding level. Permeability can be defined as to allow or limit of movement of people or vehicles in a direction or within the spaces inside a building. For instance, the level of permeability contains public, semi-public, semi-private and private spaces. Way-finding is defined as a design process that leads people through the physical environment and deepens their experience and understanding of the space. Consequently, circulation and ease of way-finding of that building can be proven through the space syntax analysis (Natapov et al., 2015).

2.2 DEFINITION OF BUILDING TYPOLOGY An industrial building typically comprises of regular buildings and machinery, with a variety of building types. Whereas workers create goods and operate the machines process one into another. It begins with the introduction of machinery during the Industrial Revolution when the capital and space requirements became substantial for cottage industry or workshops. Many past and new factories have large warehouses that accommodate heavy equipment utilised for fabrication and production lines. That includes numerous types of transportation, some have rail, highway and water loading and unloading facilities. A materials recycling facility is a plant that collects, segregate and prepares recyclable materials for marketing to end-user manufacturers. It is a factory for processing used or abandoned materials. Recycling transforms waste materials into new materials and products. It is another better way to "conventional" waste disposal that can conserve material and help lower the effects of environmental degrading. Recycling can avert the waste of the possibility of useful materials and decrease the consumption of fresh raw materials, thereby lowering energy usage, environmental pollution.

Nur Fasiha Abdul Halim, Ahmad Sanusi Hassan, Yasser Arab, Rasha Saeed Abdulla Ba Angood

2.3 CASE STUDY: WASTE-TO-ENERGY PLANT, TERMOUTILIZZATORE, NAPLES, ITALY The Waste-to-Energy Plant is a processing centre locate in Termoutilizzatore, Naples City, Italy, see Figure 1. This recycling facility building was built in 2011. That curbside metal, glass, and plastic recycling are undertaken by its local council. While it is design influenced by its programmatic use as a recycling center that inspired reuse throughout.

Figure 1: An exterior perspective of the Termoutilizzatore Waste-to-Energy Plant. The project was developed in a competition for the construction and management of a waste-to-energy plant. The plant is composed of three major manufacturer lines, with a steady nominal thermal power of 84.33 MW for each line. Which means an equivalent of a mass 450.000-750.000 tons/year of waste that can be used in order to create this amount of thermal power (CREW, 2015). The plant covers a lot of 44515.4 sqm situated in the city of Ponticelli (NA). The complex is made of various buildings: boiler and ashes treatment/flue gas filtering, a discharging hall; a waste bunker; a turbine building, some subsidiary buildings, garages, offices, a control room, visitor center along with the reception. From an architectural point of view, the buildings are designed with the focus to minimise the visual impact with the surrounding environment. The primary purpose is, in the meanwhile, the development of a new landmark for the contemporary urban landscape.

3. RESEARCH METHOD The initial approach in this research was to understand the definition of space syntax theory by doing studies of previous literature reviews on related topics which are mostly gained from books, journals, articles and references were collected. The research about the background and history of the selected case study were collected. This research uses a qualitative method to explore the spatial arrangements in Recycling Facility and realize the context of the space with qualitative layout observation and collection of data, to get a clear synthesis about the way-finding and the permeability of the building. A method of the numbering system is used to study the space syntax of the building within the inventory of the plan layout and graph of the building as a method to analyse the way-finding and the permeability of the buildings. The conducted study divided into two phases. The first content review from published journals, books and seminars. In addition to that, a layout of the three case study buildings is mapped out with a layout image source by software such as Autocad and Photoshop to conduct the survey. While the second phase is a fieldwork study that conducts in Waste-to-Energy Plant, Termoutilizzatore, Naples, Italy to observe the quality of spatial arrangements by collecting the layout plan online. That explains *Corresponding author (N.Fasiha A.Halim). Tel: +60-16-2050301. Email: nurfasiha_edu@student.usm.my ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19Q http://TUENGR.COM/V10A/10A19Q.pdf DOI: 10.14456/ITJEMAST.2019.45

the visibility of the spatial arrangements the numbering methods and space syntax graph analysis. That could record the existing layout and space functions to understand the context of the building entirely. The scale of measurement on the graphs is indicated using the Likert Scale to show the level of permeability and wayfinding of users of the building. The Likert Scale is defined in Table 1: Table 1: Likert Scale for Space Syntax Analysis of each measurable scale graph. Likert Scale Numbering 0 1-3 4-6 7-9 10 - 12

Level of Permeability Public Semi-Public Semi-Private Private

Level of Wayfinding Easy Hard

4. ANALYSIS This research chooses the spatial aspects of the building based on the building typology.

4.1 AN INSPECTION ON SITE PLAN Figures 3 and 4 respectively show the re-drawn Site Plan and the Measurable Scale of the Site Plan of Termoutilizzatore Waste-to-Energy Plant.

Figure 2: Re-drawn site plan (Source: CREW Cremonesi Workshop (2015)).

Figure 3: Measurable Scale of the Site Plan.

Likert scale for space syntax explains the relation between public and private area as shown in Table 2. Table 2 shows the Likert Scale for Space Syntax Analysis of each measurable scale graph for the site plan of the Termoutilizzatore Waste-to-Energy Plant. Table 2: Likert Scale for Space Syntax Analysis: Measurable scale graph for the site plan. Area G P1, T1 E1, E2, P2 E3, B1, B2, B3

Depth of Space form Entrance / Exit 0 1 2 3

Level of Permeability Public Semi-Public Semi-Public Private

Level of Wayfinding Easy Easy Easy Medium

In Figure 3, the level of permeability for users in context to the site plan is mostly considered the public area. Both visitors and staffs are allowed to use these spaces, and the wayfinding is easier since

Nur Fasiha Abdul Halim, Ahmad Sanusi Hassan, Yasser Arab, Rasha Saeed Abdulla Ba Angood

it is visible and noticeable. However, when entering the site plan at G, both are required to go to each direction of their purposes such as private or public. Public visitors are required to enter P1, while for staff or truck drivers they are required to enter through T1. Figures 4 and 5 show the re-drawn Ground Floor Plan and the Measurable Scale of the Ground Floor Plan. Table 3 shows the Likert Scale for Space Syntax Analysis of each measurable scale graph for the ground floor plan of Termoutilizzatore Waste-to-Energy Plant.

Figure 4: Re-drawn ground floor plan (Source: CREW - Cremonesi Workshop (2015)).

Figure 5: Measurable Scale of the Ground Plan. Table 3: Likert Scale for Space Syntax Analysis - measurable scale graph for ground floor plan Area E1, E2 1 2 3, 4, 5, 6 9, 10, 11 E3,8, 12 7, 13, 16 14,17,18,19,20 15

Depth of Space form Entrance / Exit 0 1 2 3 4 5 6 7 8

Level of Permeability Public Public Public Semi-Public Semi-Public Private Private Private Private

Level of Wayfinding Easy Easy Easy Easy Medium Medium Medium Medium Hard

The level of permeability for users in ground floor plan is still considered a public area since the spaces landed on scale 1 to 4. These mean that these spaces are designed for the use of visitors and *Corresponding author (N.Fasiha A.Halim). Tel: +60-16-2050301. Email: nurfasiha_edu@student.usm.my ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19Q http://TUENGR.COM/V10A/10A19Q.pdf DOI: 10.14456/ITJEMAST.2019.45

staffs. The wayfinding between spaces is easy to access as of how it is shown through the lines connecting between each space in Figure 5. Figures 6 and 7 show both re-drawn the plan of the first floor and it is a measurement scale. Table 4 shows the Likert Scale of Space Syntax Analysis for each measurable scale graph of the first-floor plan of the Termoutilizzatore Waste-to-Energy Plant.

Figure 6: Re-drawn first floor plan (Source: CREW - Cremonesi Workshop (2015)).

Figure 7: The plan of the measurable scale of the first floor. Table 4: First floor: Likert scale of space syntax and measurable scale graph Area 21 22,23,24 25,26,27,28 29 30 31

Depth of Space form Entrance/Exit 5 6 7 8 10 11

Level of Permeability Semi-Public Semi-Public Private Private Private Private

Level of Wayfinding Easy Easy Medium Medium Medium Medium

The level of permeability for users in first-floor plan has become more private as it is intended to make it less accessible by visitors. The wayfinding between spaces is harder to find without the aid of signage like how it is shown through the lines connecting between each space in Figure 7. Figures 8 and 9 show the re-drawn Second Floor Plan and the Measurable Scale of the Second Floor Plan of

Nur Fasiha Abdul Halim, Ahmad Sanusi Hassan, Yasser Arab, Rasha Saeed Abdulla Ba Angood

Waste to Energy Plant, Termoutilizzatore. As shown in Figure 10, private in the second-floor plan is more than the first floor plan. Thus, the wayfinding is harder to find since the spaces are mostly designed for authorised personnel and very private areas for staff. Table 5 shows the Likert Scale for Space Syntax Analysis of each measurable scale graph for the second-floor plan.

Figure 8: Re-drawn second-floor plan (Source: CREW - Cremonesi Workshop (2015)).

Figure 9: The plan of the measurable scale of the second floor Table 5: Likert Scale for Space Syntax Analysis - measurable scale for Second Floor Plan Area 32 C1 C2,C3 C4 33,34,35,36,37,38, 39,40,41,42,43,44, 45,46

Depth of Space form Entrance/Exit 9 10 11 12

Level of Permeability

Level of Wayfinding

Private Private Private Private Private

Easy Easy Medium Medium Medium

Figures 10 and 11 show the re-drawn Third Floor Plan and the Measurable Scale of the Third Floor Plan of the Termoutilizzatore Waste-to-Energy Plant. *Corresponding author (N.Fasiha A.Halim). Tel: +60-16-2050301. Email: nurfasiha_edu@student.usm.my ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19Q http://TUENGR.COM/V10A/10A19Q.pdf DOI: 10.14456/ITJEMAST.2019.45

Figure 10: Re-drawn third floor plan (Source: CREW - Cremonesi Workshop (2015)).

Figure 11: Measurable Scale of the Third Floor Plan. Table 6 below shows the Likert Scale for Space Syntax Analysis of each measurable scale graph for the third-floor plan of Termoutilizzatore Waste-to-Energy Plant. Table 6: Likert Scale for Space Syntax Analysis - measurable scale graph for Third Floor Plan Area 47 C5 C6,C7,C8 C9 48,49,50,51,52,53, 54,55,56,57,58,59,60, 61

Depth of Space form Entrance/Exit 15 16 17 18 18

Level of Permeability

Level of Wayfinding

Private Private Private Private Private

Medium Medium Hard Hard Hard

Figure 11, the third-floor plan is the most private part compared to others. This area consists of a higher level of staff such as an employer. Thus, the wayfinding is harder to find since the spaces are mostly designed for authorised personnel and very private areas for staff. Figure 12 shows the space syntax of the whole building.

Nur Fasiha Abdul Halim, Ahmad Sanusi Hassan, Yasser Arab, Rasha Saeed Abdulla Ba Angood

*Corresponding author (N.Fasiha A.Halim). Tel: +60-16-2050301. Email: nurfasiha_edu@student.usm.my ÂŠ2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19Q http://TUENGR.COM/V10A/10A19Q.pdf DOI: 10.14456/ITJEMAST.2019.45

Figure 12: The space syntax in Termoutilizzatore, Naples, Italy. The green numbers indicate the spaces in ground floor, the blue numbers indicate the spaces in first floor, the yellow numbers indicate the spaces in second floor, and the purple numbers consists of spaces in third floor. While the red numbers indicate the stairs and lift for the building

5. DISCUSSION According to the site plan graph which is the yellow numbering, there is only one entrance, and it is considered as public access. The facility is accessible by both public and privately for staff and workers. After the entrance, only P1 can be directly accessed by the public while T1 is only accessible by the workers. This shows that the site plan is almost can be accessed by the public through their way-finding although strictly cannot be accessible. The only building that is public is the building which is the educational centre and administrating building. Thus, the next spatial study can only be done in this building. Focusing on the building that is on the ground level, the numbering is labelled as green, is show that the graph defined the way-finding and the permeability as the main administrating building, making the spaces more private as people walk into the level. Furthermore, the first level gives the users space for educational purposes. The students or visitors are welcomed as they enter the ground level and directly to the stairs or lift to the first level which is the educational area. After that, they can also go to the above level that is the second level to access the walkway to the other buildings. Its purposes are to let the students see the showcasing of production building next door without disturbing the private working area. The last floor plan which is the third-floor plan would be the most private part and the least permeability in the building as space contains an area for staff and private personnel only. Which means it is strictly inaccessible by the public.

6. CONCLUSION The analysis of the graph of space syntax, the Likert scale and the spatial arrangement of the case study showed that it could be divided into three parts. The first is the educational building that consists of classrooms and auditorium. While the second part is the spatial arrangement which administrate the building that related to staffs and meeting room. Moreover, the last part is the warehouse building that is focusing on factory and manufacturing building. As the recycling facility that is the Termoutilizzatore Waste-to-Energy Plant, which design base on it is a function of segregate the spaces. The educational building has good wayfinding and permeability in its floor plan and with important layout space in the forming of the functional building, development to arrangement spatial in terms of privacy, permeability, and wayfinding. So, in the planning and designing of the Termoutilizzatore Waste-to-Energy Plant, has accurate thought with a basic layout that easy to understand its spatial arrangement. While the readability of the Plant produces quality spaces through the elements of space syntax with good style.

7. AVAILABILITY OF DATA AND MATERIAL Data can be made available by contacting the corresponding authors

8. ACKNOWLEDGEMENT This study is financially supported by a Bridging Grant (Number 304.PPBGN.6316521).

9. REFERENCES Ching, F. D. (2014). Architecture: Form, space, and order: John Wiley & Sons. Dursun, P. (2007). Space syntax in architectural design. Paper presented at the 6th International Space Syntax Symposium.

Nur Fasiha Abdul Halim, Ahmad Sanusi Hassan, Yasser Arab, Rasha Saeed Abdulla Ba Angood

Hassan, A. S. (2004). Issues in sustainable development of architecture in Malaysia: Penerbit Universiti Sains Malaysia. Hillier, B. (1997). The hidden geometry of deformed grids: or, why space syntax works, when it looks as though it shouldn’t. Li, Y., Lertlakkhanakul, J., Lee, S., & Choi, J. (2009). Design with space syntax analysis based on building information model: Towards an interactive application of building information model in early design process. Joining languages, cultures and visions, 501-514. Natapov, A., Kuliga, S., Dalton, R. C., & Hölscher, C. (2015). Building circulation typology and space syntax predictive measures. Paper presented at the Proceedings of the 10th International Space Syntax Symposium. Sadalla, E. K., & Magel, S. G. (1980). The perception of traversed distance. Environment and Behavior, 12(1), 65-79. Nur Fasiha Abdul Halim is an Assistant Architect at Penang-based Bee Architect. She received her B.Arch and did her M. Arch. from the School of Housing, Building, and Planning, Universiti Sains Malaysia (USM). Her interests include Sustainable Building Technology, Reusable Waste in Architecture, and Thermal Comfort Studies. Professor Dr.Ahmad Sanusi Hassan is Professor in Architecture Programme at the School of Housing, Building and Planning, Universiti Sains Malaysia (USM), Penang, Malaysia. He obtained a Bachelor and Master of Architecture degrees from University of Houston, Texas, USA, and Doctor of Philosophy (PhD) degree focusing on sustainable architecture and urban design development for Southeast Asia from University of Nottingham, United Kingdom. He is interested in Urban Design, Architecture and History and Theory of Architecture. Dr.Yasser Arab is a Research Associate at the School of Housing, Building and Planning, Universiti Sains Malaysia (USM), Penang, Malaysia. He is teaching Studio for first year student and involved in supervising student of Master of architecture. He got his Bachelor of Architecture from Ittihad Private University, Aleppo, Syria. He is a Registered Architect in the Syrian Engineers Union. He obtained his Master’s and PhD degrees in Sustainable Architecture from Universiti Sains Malaysia. His researches are related to Natural Lighting, Modern Architechture.

Rasha Saeed Baangood is a Lecturer at Architectural Department, Faculty of Engineering, University of Aden. She obtained her Bachelor’s degree in Architectural Engineering from Aden University, Aden, Yemen. She was awarded a Master’s degree in Architectural Engineering from Jordan University of Science and Technology (JUST), Jordan. She is a PhD student at School of Housing, Building and Planning, University of Science, Malaysia.

*Corresponding author (N.Fasiha A.Halim). Tel: +60-16-2050301. Email: nurfasiha_edu@student.usm.my ©2019 International Transaction Journal of Engineering, Management, & Applied Sciences & Technologies. Volume 10 No.19 ISSN 2228-9860 eISSN 1906-9642 CODEN: ITJEA8 Paper ID:10A19Q http://TUENGR.COM/V10A/10A19Q.pdf DOI: 10.14456/ITJEMAST.2019.45

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