RANKING OF LABOUR POTENTIAL AS AN INTERACTIVE TOOLKIT TO ENCOURAGE INNOVATION

Abstract

The paper offers insights to foreign and domestic studies on building and utilization of labor potential which has revealed the lack of knowledge of innovative labor potential which in modern realia makes the most valuable strategic asset of company development. The current classification of the structural elements of labor potential has been specified and complemented by adding an innovative component which includes physiological, demographic, psychosocial, intellectual, qualification and value-based components. Evaluation of the nature of the innovative labor potential category has allowed to identify its core elements (intellectual and creative) as well as the stages of its implementation: innovative thinking, innovative activity, innovative efforts. The following factors influencing the company innovative labor potential formation have been identified: globalization, modernization and informatization of manufacturing processes, government policy in the area of education and science, national and regional innovation policy, etc. Regional specifics that underpins the local business innovative labor potential has been revealed affecting sector-specific regional development; the level of regional innovative infrastructure development; the education level of the employed population; the availability of business R&D potential; business innovation activity level. The study has also identified the key trends in building and enhancing the company innovative labor potential which traced a decline in active working age population; an increase in the share of employed population with higher and secondary vocational education, etc. The research findings on the degree of innovative activity development of company labor potential have demonstrated: a high education level of the workforce (53% of the employed have higher education degrees; insufficient level of creative activity and utilization of intellectual potential. The conclusions provide evidence on the lack of an effective framework on managing innovative labor potential and ultimately – low innovative capacity in the manufacturing sector. It is argued that the main reasons for underutilization of employee innovative labor potential are the ineffective methods of labor potential management, the lack of a clear motivation and stimulation strategy (50%) along with the failure to use employee creative potential (29%). The proposed model of building an innovative labor potential ranking which combines the capabilities and benefits of rating and rating management allows for reasoned decision-making in a targeted and sound stimulation and motivation of innovative and inventive activities.