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Economic Analysis: Theory and Practice

Algorithms of employee motivation and performance appraisal in project activities

Vol. 15, Iss. 12, DECEMBER 2016

PDF  Article PDF Version

Received: 26 October 2016

Received in revised form: 10 November 2016

Accepted: 23 November 2016

Available online: 26 December 2016


JEL Classification: C02, M12

Pages: 187-196

Marshirova L.E. National Research University – Higher School of Economics, Nizhny Novgorod, Russian Federation

Marshirov V.V. National Research University – Higher School of Economics, Nizhny Novgorod, Russian Federation

Importance Many organizations are involved in project activities. The domination of mental labor, creative approach and collective nature of project work necessitate developing the special tools enabling to assess the contribution of each employee to project deliverables and build an efficient employee incentive program.
Objectives The study aims to develop a methodology for personnel appraisal and motivation in project activities.
Methods The proposed methodology relies on the priority method, which implies a pairwise comparison of factors influencing the employee performance evaluation and a pairwise comparison of project participants for each factor. The algorithm of the priority method provides a generalized estimator of each employee's contribution to the overall results of the project.
Results We define a set of factors that may affect the assessment of employees' contribution to project outcomes, offer an algorithm to calculate the significance of these factors depending on tasks formulated by project managers. Furthermore, we present an algorithm for project participants' appraisal by each selected factor, the results of methodology test, calculations of estimates and interpretation of findings, and recommendations on how to use the methodology.
Conclusions and Relevance The offered methodology and algorithm for assessing the contribution of employees to project deliverables may be useful for human resource management improvement.

Keywords: project activity, priority method, job assessment, personnel management


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