UDC 336.67
Authors
Zavyavyatnykh A. A.
Abstract
In the light of the toughening of the problem of maintaining the competitiveness and financial stability of domestic organizations, innovative ways of material incentives for employees are gaining new significance. To date, the effective management of the enterprise’s labor costs makes it possible to significantly improve the economic performance of its activities, reduce financial risks, and increase the level of employee interest in the results and quality of labor. Studying the issue of material incentives for workers, from an economic point of view, allowed us to revise and supplement the concept of “material incentives for labor”. An algorithm has been developed for constructing an innovative model of stimulating the work of workers based on the use of an integrated approach that provides for the specifics of organizations of different types of ownership, sizes, areas of activity and territorial affiliation. The proposed universal algorithm will significantly simplify the process of constructing a model of material incentives. In the course of the analysis of the main indicators for assessing the effectiveness of personnel costs, it was found that increasing the efficiency of labor costs is inextricably linked with an increase in its incentive function. At the same time, one of the key conditions for increasing efficiency is that wage increases should be accompanied by improved production indicators.
Keywords
material incentives, an algorithm for constructing and implementing a model of a material incentive system, indicators of cost-effectiveness of labor costs
