Conceptual principles of effective labor motivation as a premise of competitive functioning of agricultural enterprises

Abstract

Purpose – Labor motivation plays a significant role in the successful development of an agricultural enterprise, because only creative workers who display initiative will be able to make the business entity effective and competitive in the market environment. Research method – This caused the need to conduct an in-depth study of theoretical and methodological foundations of intensification of labor motivation of employees in agricultural enterprises as prerequisites for their competitive functioning. In the course of researching this issue, the authors of the article proposed a methodological approach, which envisages determining the productivity of labor based on the indicator of gross output at the prices of the current year. Results – As a result, it was determined that the index of productivity in agricultural enterprises of the researched region is significantly higher than the similar figure of 2010 which was determined by the constant prices. At the same time, the correlation between the productivity growth rate and the wage in the period from 2016 to 2018 was respectively 1.031 – 1.269. Implications /originality /value – The article and methodical provisions on the balanced scorecard according to the balanced scorecard concept (BSC) are further developed, which enables an in-depth analysis of the impact of certain aspects of business entities on such indicators as productivity and production efficiency, level of competitiveness, etc.