Effectiveness evaluation of HR processes

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Just as it is difficult for individual employees to determine a method of self-evaluation, it is also difficult for companies to develop an ideal approach for evaluating the effectiveness of their personnel management systems. This indicates that research in this scientific field is actively conducted by both practitioners and scientists. Evaluation of the effectiveness of personnel management is a systematic, formalized process that provides an opportunity to compare actual work results with strategic goals and focusing on modern, effective methods of personnel management, which significantly contribute to the fulfillment of the company’s mission. The HR performance evaluation system provides information on the strengths and weaknesses of the company’s HR activities and identifies the necessary, result-oriented recommendations and action algorithms to eliminate deficiencies and overcome identified problems. Modern conditions have transformed the process approach, which has caused changes in the personnel management evaluation system. The study of scientific and theoretical works shows the existence of a large arsenal of labor indicators that are used for analysis, but they do not fully meet the modern requirements of the system for evaluating the effectiveness of personnel management. The purpose of the study is to improve the model of HR business processes of a modern enterprise and generalize the methods and indicators for evaluating the personnel management system in terms of business processes. To achieve the goal, theoretical scientific research and recommendations of practitioners regarding the introduction of HR business processes were analyzed. The main HR metrics were developed for a comprehensive assessment of the effectiveness of the personnel management system. The results of improving HR business processes and evaluating their effectiveness enable the company to save time and resources, ensure business productivity and effectiveness, improve product or service quality, increase sales volumes, reduce costs and increase profits, increase the loyalty of staff, customers and partners, and increase competitiveness and improve its reputation. For implementing this, there is a need to develop detailed guidelines for evaluating each HR process, by taking into account qualitative and quantitative indicators. However, this is the subject of further research.