Structuring the problems of regional management and innovative development

In modern conditions, uncertainty of innovative development is the basis of public administration crisis. The synergy of the state, business, public organizations is designed to ensure the successful development of the economy and social sphere. The authors have revealed the lack of significant results in innovative development at the regional level, which is expressed in underdevelopment of priority sectors of the regional economy. The main hypothesis is that models of reality perception and systemic thinking in state employees have a significant impact on public administration effectiveness. Personnel, able to think systematically and transform outdated models of regulatory processes, ensure effective functioning of organization. The authors rank the main problems of the public administration system impeding innovative development and determine the key directions, based on the “Strategy for the SocioEconomic Development of the Republic of Crimea until 2030” and using a systematic approach and method of expert assessments. Representatives of the state and municipal government of the Republic of Crimea are the experts for this research. It was revealed that the reluctance to take responsibility and the lack of an effective system of interaction between government bodies, the low degree of use of advanced management technologies, work “on behalf of” and not “ to the result” are the main obstacles to improving the public administration system and ensuring high growth rates socioeconomic development of the region. The authors have established that innovation as a key characteristic expressed in creativity and human capital requires a rethinking of the practical approach and development of the mental model of a public employee. Its application, along with other foreign theoretical concepts, requires adaptation to the realities of the modern administrative crisis of public administration.