Labor and Demographic Economics

Creation of optimal labor motivation system at modern enterprises

Authors: Lamikhov Y. B.

Abstract

The paper considers formation of optimal system for personnel labor motivation at modern enterprises. Taking into account the expert interview outcomes with business trainers, couches, human resources directors, the author defines key ways of labor motivation urgent for modern companies. The author suggests wages as one of motivation mechanisms underlining the fact that salary cannot be the same for a long time; it is necessary to enlarge it in time. The paper shows high quality motivation system as an important element of an enterprise’s management system, and in serious financial issues in particular. The author unveils the algorithm of efficient motivation of employees which promotes optimization of expenditures and increases efficiency of personnel. The author analyzes approaches to motivation of personnel and defines the most effective ones. The investigation by means of expert interview has allowed defining significance of non-material motivation system. Non -material stimulation leads to growth of enterprise’s profit; creation of convenient atmosphere including elements of healthy competitive environment; formation of competences for personnel; training and development of employees and their creative potential. In creation of motivation system the companies should use individual approach and focus not only on active but also all the others. All the employees should be covered and not only motivation programs used but also acceptance of work and praise.

Key Words

Labor motivation, material stimulation, non-material motivation, personnel management, system of labor motivation, social behavior, needs, motive.