Year of Graduation
The role of non-material component in personnel motivation system
Key words: motivation, intangible/non-material incentives, stimulation, needs, motives.In a hot job market many employers find it difficult to keep workers. Most corporate executives assume that the most reliable personnel motivation system is a combination of material and non-material components. However, the role of non-material component becomes more and more vital. It is well known that non-monetary incentives allow companies to keep highly qualified workers in the situation of small salaries when different methods of material motivation become impossible to apply.Working team is a group of people with different vital values and ideologies. The complexity of non-material stimulation is that its methods have to get out personally for each employee because of sometimes absolutely unpredictable needs and motives that influence people`s behavior.The primary aim of the study is to describe intangible incentives, affecting the HR-Department of the company "ALIDI" and to develop recommendations for the improvement of non-material motivation system of the analyzed department.To achieve the objective following tasks were performed:· To clarify the concept of non-material motivation;· To describe the existing system of non-material stimulation of the employees in the HR-Department of the company "ALIDI";· To diagnose the motivational climate in the analyzed department;· To work out suggestions for improvement of non-material stimulation system for employers of HR-Department.The following hypotheses were confirmed:1) The enterprise "ALIDI" uses both material and non-material incentives affecting employees’ job satisfaction.2) Non-material incentives for employees to be active are an important component of loyalty formation.3) The system of non-material stimulation affecting the employees of the HR-Department is poorly developed. Workers are ready to change company to work for when they get better offer.For the hypotheses implementation and goals achievement the following methods were applied: standardized interview with the head of HR-Department, individual questionnaires of the employees, the analysis of the enterprise "ALIDI" documentation.During this investigation process we received information concerning employees working conditions, needs and motives that influence people`s behavior, existing corporate culture and organizational leadership style, system of training and professional employees’ development.According to the results of the study there are significant reserves in the area of improving non-material motivation system for the staff of HR-Department.The following measures were offered to improve non-material motivation system of the employees of HR-Department:· Creating professional contests;· Using mentoring system;· Developing a set of trainings;· Providing the opportunities for rotation and relocation· Using seminars as a meetings of employees from different branches;· Awarding honorary titles for special contribution;· Equipping Intranet portal with materials for self-study.For the changes implementation a program was developed. This program includes a complex of steps, starting with the decision on improving the system to its full implementation.The program steps were consistently reflected in the Gantt chart which shows the possible stages location in time and the anticipated results of the program implementation in the enterprise "ALIDI".The results of the project will have a practical value for the company. These findings will be applied in the company as a part of future program of organizational changes. Putting developed measures into practice will help to increase employees` loyalty degree and enhance workers’ productivity.