Economics, Sociology of Labor and Demographic

Modeling the system of compensation of labor costs in the enterprise

Authors: Sukhova O. V.

Abstract

The development of pay models in the personnel management system of a company is a crucial moment. Modeling future relationships will avoid many risks, both financial, legal, and managerial. In order for the relationship to be transparent, open and effective, you should resort to a modeling tool. Initially not thought out payment systems that are being finalized during operation become labor-intensive in maintenance, not transparent from the point of view of the employee, and from the point of view of cost management for the head, which subsequently increases costs, but at the same time reduces the efficiency of employees, among other things, decreases opportunities for managerial influence on the team. The purpose of this article was to systematize staff costs, to develop a single model of compensation for labor costs (SKTZ). This model will allow more accurate planning of staff costs, as well as increase the manageability of the labor collective. When modeling SKTZ, for starters, it’s worthwhile to understand and determine its basic fundamentals, such as the motivational aspects that will be used in working with staff, the legal field and digital capabilities of the company. Not all possible pay systems can be applied in each specific organization, some may not be suitable in the current case, because it may turn out that the company does not have the ability to digitize it, or its implementation is contrary to applicable law. When modeling the system of compensation for labor costs, the author suggests dividing the model into two directions: monetary and non-monetary; developing them in combination will allow you to see a single picture of costs, as a result of which it will help to avoid waste. One of the important points in the modeling of SKTZ is the development of a model philosophy that will give it meaningfulness and lay down the basic principles in the relationship between the employee and the employer.

Key Words

Labor motivation, personnel management, team management, personnel costs, enterprise efficiency, resource management, labor behavior, wage system, wages, social programs at the enterprise, business digitalization