Human resource management system development in IT startup: essence and improvement ways

When work is unpleasant, the number of absences increases considerably.The term «wage» refers to the monetary remuneration paid by the organization to an employee for the work performed. The Organization cannot recruit and retain labour if it does not pay competitive rates and does not have a pay scale that encourages people to work in a given location.The design of the wage structure is the responsibility of the personnel or labour departments. The wage structure of an organization is determined by an analysis of the salary survey, labour market conditions, and the productivity and profitability of the organization. The design of the remuneration structure of administrative and managerial personnel is more complex, as wages themselves often include various benefits, profit-sharing schemes and share payments.In addition to wages, the organization provides various additional benefits to its employees. Of course, benefits such as paid leave, sick pay, health and life insurance, as well as pensions, are an integral part of any permanent job. Other benefits include enterprise-subsidized canteens and cafeterias, loans with a reduced interest rate for the education of employees' children, children’s institutions, physical fitness programmes, etc.Training of staff. Organizations have an ongoing need to ensure high productivity. Many organizations are also concerned with the overall quality of the workforce. One way to achieve this is to recruit and select the best and brightest new workers. However, this is not enough. Management should also conduct systematic education and training programmes to help staff to develop their full potential within the organization.Training is the training of employees to increase their productivity. The ultimate goal of the training is to ensure that a sufficient number of people with the skills and abilities necessary to achieve the organization’s goals are available to the organization.Training is useful and is required in three main cases. First, when an individual enters an organization. Second, when an employee is appointed to a new position or is given a new job. Third, when verification establishes that a person lacks certain skills to perform his or her work effectively.Learning is a big, specialized field. Specific teaching methods are numerous and need to be adapted to the requirements of the profession and organization. Some of the basic requirements for effective training programmes are as follows:You need motivation to learn. People need to understand the objectives of the programme, how learning will increase their productivity and thus their own job satisfaction.- The leadership must create an environment conducive to learning. This implies encouragement of students, their active participation in the learning process, support from teachers, willingness to answer questions.- If the skills acquired through learning are complex, then the learning process should be broken down into successive stages. The participant should be able to put into practice the skills acquired at each stage of the training and then move on.- students must feel a feedback on the results of their studies, positive reinforcement of the material received must be ensured.Assessment of performance. The next step, once a worker has adapted in a team and received the necessary training to perform his or her work effectively, will be to measure the effectiveness of his or her work. This is the purpose of performance measurement, which can be seen as the continuation of the monitoring function. Performance measurement requires managers to collect information on how effectively each employee is discharging the delegated responsibilities. By communicating this information to their subordinates, the supervisor informs them of how well they are performing their work and gives them an opportunity to correct their behaviour if it is not in line. Performance measurement, however, allows management to identify the most outstanding employees and effectively improve their performance by moving them to more attractive positions.Management training. Training is about developing the skills and abilities that employees need to effectively perform their job or work assignments in the future. In practice, systematic training programmes are most often used to prepare managers for promotion. Successful leadership training, like training in general, requires careful analysis and planning.By measuring performance, an organization must first determine the ability of its managers. Then, on the basis of an analysis of the content of the work, management must determine what capabilities and skills are required for the performance of all positions in the organization. This enables the organization to identify which managers are the most qualified to occupy particular positions and those in need of training and retraining.Management training is mainly aimed at equipping managers with the skills and competencies required to achieve the goals of the organization. There is also a need to meet higher-level needs: professional growth, success, the test of your strength.Management training can take the form of lectures, small group discussions, case studies, reading, business games and role-playing exercises. Variants of these methods are annual management courses and seminars. Another widely used method is job rotation (widely used in Japanese management). By moving a grass-roots manager from a division to a division, for periods ranging from three months to one year, the organization introduces many facets to the new manager. As a result, the manager learns about the diverse problems of the different divisions, the need for coordination, informal organization and the relationship between the goals of the different units.Such knowledge is also vital to the success of higher-level jobs, but is particularly useful to managers at the lower levels of management.Promotion Management. As a follow-up to leadership training programmes, in the early 1970s many companies and consulting firms developed career management programmes, that is, promotions. Career management programmes help organizations to make full use of their employees' abilities and enable employees to make the most of their abilities.Improving the quality of working life. One of the most recent important developments in human resource management in the enterprise is the creation of programmes and methods to improve the quality of working life.Interest in the quality of working life has now spread to many industrial countries in the West and is gaining popularity in our country as well.A high quality of working life should be characterized by:the work should be interesting;- workers must receive fair remuneration and recognition for their work;- the working environment shall be clean, with low noise and good lighting;- supervision by management should be minimal but always necessary;- workers must participate in decisions affecting them and their work;- work guarantees and friendly relations with colleagues must be ensured;- accommodation and medical facilities must be provided.Improving the organization of work. The two most widely used methods of reorganizing work are the expansion of the volume of work and the enrichment of its content.The amount of work is the number of different transactions performed by workers and the frequency of their repetition. The volume is narrow if the worker performs only a few operations and repeats them frequently. A typical example is work on an assembly line. The amount of work is said to be extensive if the person performs many different operations and repeats them rarely.The content of work is the relative degree of influence a worker can have on the work itself and the working environment. This includes such factors as autonomy in planning and performance, the pace of work and participation in decision-making. Work can be reorganized to change its scope or content. Consolidation refers to improving the organization by increasing the volume. Enriching its content involves changes by making it more meaningful.The staff management strategy of an organization is designed to link multiple aspects of staff management in order to better stimulate and optimize their impact, especially on their performance and skills, and thereby create a unified a specific target group-specific combination of personnel management policy elements. Once at least one element (such as recruitment or the pay system) is unsuccessful, failure in the use of the remaining tools is expected. Thus, the isolated, uncoordinated use of economic instruments in personnel management may have undesirable consequences. In other words, the principles of interconnection of individual elements in their «systemic» combination are based primarily on the fact that the application of specific elements is perceived by employees as part of a unified system of management of the organization’s personnel. When using organizational tools, it should be borne in mind that staff members are individuals. With regard to motivation and qualification, organizational instruments must «direct» the behaviour of employees in the process of work in the direction of the interests of the enterprise, thus predetermining the desired results. In addition to the employees themselves, staff structures, working conditions, etc., may also be subject to strategic management. In the medium- and long-term management of the staff structure, efforts should be made to identify the optimum structure in terms of the multiple aspects of efficiency. The most important criteria for structuring the collective are age, qualification, gender and possibly nationality (for example, in joint ventures). Based on these criteria, it is possible to identify groups (segments) of staff that have an impact on the achievement of specific personnel management policy objectives. For example, having a relatively large number of employees in the 60-65 age group in a firm means, provided that the orders are stable, that there is a need to attract a new workforce and thus the possibility of introducing young employees, with other qualities (for example, other qualifications). The relatively high number of senior staff in the 34-44 age group suggests that the path to leadership will be closed for a long time for their growing up, etc. Personnel management in the conditions of developed market economy is more extensive than the concept of «work with personnel». In the new environment, the philosophy of personnel management, while retaining the well-known classical tasks of personnel administration, must be in line with the basic strategic vision of managing an organization. The short-term strategic role of personnel management can be defined as: Personnel management must be represented at the highest level of management of an organization; Personnel management must be considered in the development of a business strategy and organizational structure of a company; All line management should be involved in the implementation of personnel management. Training is defined as any activity knowingly undertaken to develop and support the core competencies of staff required to perform current work or to develop the capacity of staff to perform future work. More specifically, training is the process of directly transferring new skills and (or) knowledge to the staff of an organization. In the practice of vocational education, two forms of training of personnel have developed: intraproductive and non-productive. On-the-job training takes place in the course of work. This form of training is cheaper and quicker, is closely linked to day-to-day work and makes it easier for those who do not have access to the classroom to participate in the learning process. Training outside the workplace is more efficient, but it involves additional financial costs and a distraction from the employee’s work. At the same time, the environment is being deliberately changed and the employee is being removed from his day-to-day work. Thus, on the basis of the merits of each method, organizations should choose the most appropriate one for them. In our country, remuneration has a dual function: on the one hand, it is the main source of income for workers and the improvement of their standard of living, and on the other, it is the main tool for stimulating growth and improving production efficiency. Thus, one of the basic principles of wage organization in the modern economy is the principle of the material interest of an employee in the results of his work. A material interest is an objective link between the ability to meet needs and the need to solve economic problems. This category manifests itself in human activity. The degree to which it manifests itself depends on the degree to which it is influenced by incentives. Therefore, stimulation is a means of activating interests, a form of realization of economic relations between people in the process of production and distribution of material benefits. Material incentives - a set of measures and tools consciously designed by society (the labour force) to reconcile the results of production activities and the remuneration of workers, aimed at achieving high end results, on the basis of the use of material interests. In order to ensure the unity of purpose of all forms of material interests (personal, collective and social), the system of material incentives must be based on certain principles. The effectiveness of incentives is determined by many factors. They can be divided into three groups: first, the creation of common economic conditions; second, the theoretical development of the concept of material incentives in market conditions; third, the development of a mechanism for the formation of wage funds, Social as well as technological development that directly correlates the outcome of the work achieved with the resources received. In order to better meet personal and social needs and meet the challenge of increasing the efficiency of production, enterprises need to be placed in conditions that will encourage them to increase the rate of growth in the volume of goods (services), profits, and contract deliveries, To produce high-efficiency equipment, to improve the use of production resources. To this end, it is necessary: To base a material incentive mechanism on scientifically sound criteria for evaluating the activities of enterprises and structural units. This includes the need to use indicators that reflect the final output of the collective; the amount of the social and technical development funds must be determined by the final results of the collective’s work. A sine qua non for the effectiveness of material incentives is a reliable assessment of the results of the work of each employee or collective. This assessment should take into account the amount of labour invested, measured by working hours, as well as the efficiency of production. To develop such a performance assessment mechanism, used as a measure of the performance of each employee and unit, is to find the key to the global challenge of consciously incorporating time-saving law into the motivational mechanism of management. Thus, personnel management is a rather complex process, which is impossible without adequate knowledge of the methods, principles, styles of personnel management and the development of an appropriate management concept.In addition, personnel management is important for all organizations, large and small, commercial and non-commercial, industrial and service-related. Without people, there is no organization. Without the right people, no organization can achieve its goals and survive. There is no doubt that human resources management is one of the most important aspects of management theory and practice. Specific responsibility for the overall management of the workforce in large organizations is usually assigned to professionally trained human resources officers. In order to be able to contribute actively to the goals of the organization, such professionals need not only knowledge and competence in their particular field, but also awareness of the needs of lower-level managers. However, if managers at the lower levels do not understand the specificities of labour administration, its machinery, capacities and shortcomings, they cannot take full advantage of human resources specialists. It is therefore important that all leaders know and understand the ways and means of managing people.Human Resources Management - a purposeful impact on the human dimension of an organization, aimed at aligning staff capabilities with the goals, strategies, and conditions of an organization. Personnel management is divided into the following areas of activity: personnel identification and adaptation, operational personnel management (including staff training and development, rapid staff assessment, work organization, business communication management, motivation and compensation)Strategic Human Resources Management.Key personnel management practices include:- economic methods - techniques and methods of influencing perpetrators by means of a specific measure of costs and benefits (material incentives and sanctions, financing and credit, wages, costs, profits, price);- organizational and administrative methods - methods of direct intervention that are prescriptive and binding, based on discipline, responsibility, authority, coercion, and the documenting of functions;- socio-psychological methods (motivation, encouragement, social planning).Personnel is managed by the Personnel Division. The Personnel Specialist is a Personnel Inspector. Enterprises sometimes outsource some personnel management functions to specialized recruitment agencies. For example, functions linked to recruitment can be transferred to recruitment agencies.There are styles of government: authoritarian, democratic and liberal. Authoritarian - the excessive use of power, the inability to use management methods, the intolerance of criticism, the misuse of specialists, the inability to listen to the opinions of others, so in the working group the initiative is suppressed, It creates an unfavourable climate, staff turnover begins, and there is no social satisfaction.Democratic - relies on the consent of the working community in decision-making, it gives full information, it considers the opinion of the employees, it responds correctly to comments, therefore the working community strives for self-management and self-control.Liberal - does not interfere in the affairs of subordinates, avoids solving problems, builds friendly relations with subordinates.Novosoft is dominated by a democratic style. The CEO considers the opinion of the staff. Every Monday there is a meeting. Heads of divisions must be present and can come forward. The meeting hears presentations by division chiefs on the results of the work done over the past week to improve work processes. The Director-General listened to proposals, made adjustments to activities, posed new challenges to the Divisions and looked forward to results.In the context of a market economy, it is important to identify the main areas of efficiency improvement and the factors that determine its growth. This can be greatly facilitated by a market-friendly and proactive system of staff management improvements.The management of an organization’s personnel has long been recognized as a fundamental aspect of the effective management of an entity. Regardless of the size of the business and its organizational and legal forms, effective personnel management becomes the key to the durability and success of any enterprise.Economic reform, involving changes in ownership, the right of organizations to economic autonomy and the management of the results of their work, creates objective economic conditions for the application of personnel management in the activities of enterprises.Of course, the market economy places high demands on the skills of specialists. For example, managers should develop and recommend an effective strategy based on market criteria, ensure continuous product renewal, and create an enabling organizational culture.Managers must constantly monitor changes in the external environment and assess changes in the enterprise’s production and business activities.The successful development of organizations is linked to significant improvements in the productivity of productive resources and productivity. Personnel managers and specialists should be equipped with a variety of methodologies to assess the effectiveness of various resources, particularly staff. Today, it is important for staff divisions to move beyond the mere timely filling of vacancies in order to maintain the level of production. The personnel management system should be designed in such a way as to ensure a continuous increase in the number of people in the enterprise who have the best knowledge, skills and personal qualities, and make sure that there are more and more of them in each unit.The enhancement of the role of personnel in modern production is closely linked to the fundamental changes in the content of labour brought about by the application of new technologies and production methods. Another factor in enhancing the role of staff in modern society was a change in the control of staff and the importance of self-control and self-discipline. Increasing the role of self-discipline and self-control in the work process changes the relationship between different methods of motivating the employee and increases the share of more complex personnel management technologies in comparison with the "reward-punishment" method under the "stimulus-reaction" schememotivations in personnel management. Mention should also be made here of the improvement of the worker’s educational and cultural level and the increase in his personal requests for work.Labor Market: In the economic crisis, many organisations have been forced to downsize to the minimum number of employees, so the labor market is now saturated with skilled workers in any industry. The consulting vendors are currently the most sought-after employees. In order to organize the labour market, on the one hand, it is possible to provide the personnel with the necessary specialization and skills, the necessary level of education, the cost of the labour force and the age for the fulfilment of their tasks, On the other hand, it increases competition between employers.Marketing intermediaries are organizations that help an enterprise to carry out marketing activities (media, trade intermediaries, research firms, etc.). The media are the most influential among them, as the company has an extensive advertising policy.Target audiences: organizations, social groups that are not direct business partners but can influence the success of an enterprise in a particular market (financial circles, media, State institutions, public organizations, local authorities, general public). Among them, the public at large is the most important. So far, there have been many negative comments about the company, which could have a negative impact on further development. Public loyalty must be increased and rumours must be prevented.The following methods of record-keeping exist:1) Paper. Means that all financial transactions are documented. Transactions are paper-based only, but must contain mandatory details and be authenticated by the originators' signatures. To do so, it is necessary to spend sufficient money and a considerable amount of time on the creation, circulation and storage of documents. The risk of irretrievable loss of the document in case of destruction of the material carrier is possible.2) Electronic. Implies that all business processes are recorded in documents that do not have the original on paper, they are stored only electronically. Electronic digital signatures are used to validate documents. They protect against plagiarism and document distortion. This method of record-keeping makes it possible to reduce the time required to create documents and to increase control over the movement of documents.3) Mixed. It assumes that documents are negotiated and approved in paper form and computer-assisted preparation and transfer between units or employees. The original paper document is legally valid. This method optimizes the flow schedule of documents in the enterpriseElectronic means of document processing and creation are widely used in enterprises;therefore, documents circulation is considered as the main part of management information support. It includes the movement of the information flows of the organization in which it receives, uses, processes, recycles. Novosotf, when using different document processing technologies, documents management takes as its basis established principles, or rules, that ensure the expeditious passage of documents in the shortest possible time.2.3 HR management modern approaches and techniques which were developed for the NovosoftClassical project management methodologies are not tightly linked to the fields used. Three traditional methodologies are usually considered. These are PMBOK, PRINCE2 and APM Body of Knowledge. In the case of this study, a fourth, P2M, should be added, especially in the context of information technology. PMBOK and PRINCE2 are the most popular methodologies used in management. Moreover, BoK’s APM is superficial in its coverage of project activities and performs only an information function.The body of knowledge of PMBOK and PRINCE2 project activity processes, while P2M is more systemic methodology. Despite the traditional nature of these methodologies, a number of tools and methodologies mentioned in them are used in the activities of IT startups. The PMBOK standard is much more common in business than P2M even in startup environments. In addition, PMBOK considers the project separately from the organization, which brings the project closer to a startup. However, the standard always uses tools in the context of specific management processes and at specific stages of the life cycle, making it difficult to attempt their indirect application. There is a list of over 100 PMBOK tools and the most popular tools of classical methodologies and independent methodologies. The most popular of the list tools are:- cost-benefit analysis- planning by milestones;- contracts;- analysis of business opportunities and threats;- a phased list of works;- monitoring of key success factors;- diagrams Gant;- NPV, IRR, PBP.Startups can use other tools, but the above list corresponds to the most proven tools in IT startups.Modern flexible methodologies have generally more advantages for IT-projects. Although their effective implementation in IT startup is more difficult than the conventional methodologies that have become routine, the potential benefits are significant. Flexible methodologies will be of particular interest in this work, as recent studies demonstrate the high popularity of flexible methodologies in product and project management. Today there is a significant number of agile methodologies and their modifications applied in the business sphere, including in IT startups.Agile is a flexible iterative incremental approach (the first operating version, after consultation with the user, the second version, extending the functionality of the product to the final version, which is subject to modifications) to project and product management, oriented on dynamic formation of product requirements, their realization by ensuring close interaction of the project team with the future consumer of the product.Agile is not a set of ready-made tools and techniques, but a set of principles and ideas that guide successful teams. And already on the basis of Agile as a set of principles and ideas, different tools are applied and flexible methodologies of project management are built.Within the scope of this work, IT startups will not be suitable for the methodology of development and project management, which assumes low uncertainty of the planned product, i.e. by definition a startup, A high degree of uncertainty is an essential factor in the operation of a startup. However, some of the tools used may be adequate for use.It should be noted that Agile is the most popular methodology for managing both IT projects and IT startups based on the results of recent research.This methodology has become particularly popular since the publication of the «Manifesto of Flexible Methodology of Software Development» in 2001. In essence, it was an alternative to what was considered the traditional cascade model of development. The Manifesto contains 4 ideas and 12 basic principles. The main ideas are:- human interaction and capacity are more important than processes and tools;- product is more important than documentation;- close interaction with the customer is more important than agreement of contract terms;- readiness and ability to change is more important than the original plan.The basic principles of the Manifesto of Flexible Software Development Methodology are:- simplicity as an art of not doing unnecessary work;- trend towards organized teams;- continued willingness to seek and implement change;- focus on technical excellence and design convenience;- project participants must maintain a constant pace of work;- the best measure of progress is the working software;- personal conversations are the recommended method of information exchange;- the project is managed by motivated individuals;- constant contact between the customer and the performer;- weekly, monthly delivery of software workers;- ability to accept changes even at the end of the project period;- customer satisfaction by providing valuable software.Flexible methodologies in managing information projects include:- the involvement of end-users of the product is crucial;- decision-making should be based on the high efficiency of the team;- the basis of work is step-by-step and iterative;- concentration on intermediate results with mandatory product submission;- the Paretto 80/20 efficiency model is used;- applying a collective approach to the implementation of the plan;- to proceed to the next stage only after the previous one has been completed.As can be seen from the principles of Agile methodology, its use is rational in intellectual spheres of business such as marketing, IT and similar. This type of methodology has been actively introduced in organizations in the last decade due to the low effectiveness of classical project management approaches.The project team has traditionally passed through the development phases of the team formed by Bruce Tukmanov in 1965:1) forming is the stage at which startup participants first get together. They have little confidence in each other, trying to appreciate their role in the team;2) storming - Once formed, team members try to fight for power within the project. At this stage, there is little agreement in the discussion of issues. It is considered to be the most difficult stage in the management of conflicts;3) norming - At this stage, the power struggle subsides and the team members get to know each other better. The level of trust in the team is growing. Consensus is increasingly being reached in discussions;4) performing - the team becomes self-governing and shifts the focus from internal problems to solving the problems of the project.So startups, including those in the IT industry, have significant similarities with projects in terms of timing, budget constraints, and a focus on achieving a unique result. It follows that the project methodology is applicable for IT startups, but it is necessary to take into account the peculiarities of IT startups during implementation. The main differences are:high uncertainty of the external environment;- the importance of paying attention to their clients;- a strong link between product life cycle and startup life cycle.To ensure that these features are taken into account, a list of requirements for methodologies has been established:- an iterative and incremental model;- ease of implementation and use;- the model should regulate not only the process of product development, but also the process of startup management.Based on the results of the Novosoft business process observations and interviews with the Director of Startups, it was found that the company used a flexible approach to project management. This conclusion was drawn because of the presence of long-term planning, and the clear relationship between the management team, the development office and the software product.The startup uses Agile methodology. The interviews and observations also revealed that the company has project documents on the organization of work, on risk management, cost, timing, budget. Even if it existed, none of the crew members could answer the question of their use.The level of involvement and motivation of startup participants is high. This is a good indicator, as the high level of motivation of project team members is a prerequisite for the application of flexible methodologies, many of which are based on the principles of self-organized commands.The entire project was divided into monthly iterations for both iOS and Android. These iterations will be called sprints according to Scrum terminology. In order to form the planned functional content of the products to be developed, a project request journal will be kept, in which the planned tasks will be entered, and the focus groups will be filled with new tasks on the basis of feedback. In this journal, tasks will be assigned the importance of joint discussions between the product owner and the development team. They will also be given weights to fill sprints more evenly. Next from this journal will be selected tasks to the next sprint and placed by importance from top to bottom in the column «To do» in the program Trello, which will replace the board with corresponding columns. In contrast to the traditional Scrum approach, it will be possible to add tasks to «To do» to the product owner to account for uncertainty during the sprint.Figure2.4 - Create a board [17].It will also take into account the performance of the teams using the Burndown chart, as is done in the classical Scrum. Also from Scrum were taken 15-minute team meetings before the start of the working day, as well as an analysis of the work done at the end of the sprint. In order to assess the efficiency, the burndown chart was analyzed at the end of each iteration, where the chart on the y-axis was set to iterate all working hours, and on the x-axis working days. And at the end of each day, the chart shows how many hours of net work remain until the finished MVP.Figure 2.5 - Sample Burndown Chart [18].In general, the resulting hybrid methodology differs from Scrum’s comparative simplicity, and from Kanban’s superfluous for this methodology is the formalised workflow.CONCLUSIONSAny IT startup is a very expensive treat. Therefore, before paying a large sum for the realization of the idea, it is necessary to find out how relevant the project is and how much money will be needed for its realization.Novosoft was considered. From the analysis it can be concluded that the infrastructure and market situation of the enterprise are favourable for launching new, innovative projects.The details of the start-up projects were discussed, and the risks and difficulties of launching new projects were studied. The review identified financial risks as the most significant and significant.Since information technology is a fast-growing, mobile and very flexible field, not all methods suitable for traditional business can be used for the information environment. In this regard, methodologies have been found that are better suited to IT projects.Any start-up is a project for which a clear plan is very difficult to build. New factors are emerging at each stage of implementation. Therefore, it is important to consider a very flexible methodology when choosing the estimation method, which can change with the influencing factors.The analysis of the company’s activities showed that the organization is fast-growing and promising. The available IT infrastructure not only allows but also facilitates the operation and development of the information technology enterprise. This means that there are prerequisites for the successful implementation of IT startups.The theoretical and practical research carried out confirmed the topicality of the subject and the hypothesis of this work, made it possible to study the peculiarities of the implementation of startups, methods of estimation of IT startup, to identify existing problems and to determine the ways of their solution.The work done has a certain theoretical and practical significance for the business environment and the economy as a whole, a good evaluation of IT startup in its initial stages is one of the main guarantees of the success of the project. IT startup is always a project with a high level of uncertainty. Its success depends a lot on the marketing and end-user of the product/service. Therefore, each startup must understand, whatever the cost of the project, its success depends to a large extent on the desire and commitment of the author. And if the project is really profitable and promising it will always pay off and bring high profit to its creators.In economic terms, the proposed improvements to Novosoft personnel management system should ensure increased efficiency through continuous organizational improvement. Economic objectives generally ensure the development and competitiveness of the organization.Thus, specific recommendations have been developed for the organization reviewed in the present exercise, the implementation of which should contribute to the more effective functioning of the personnel management system, in line with current trends in personnel management. The objective of the study has been achieved and the objectives have been achieved.REFERENCESHenderson R. I., Compensation Management, 2004. - p. 355Larry B., Ram H., The Discipline of Getting Things Done, 2012.- p. 214Mark A. X., The HR Scorecard, 2007. - p. 651E. Wheeler, Knowledge management, 2005. - p. 458Ferb O., Human Resource Management, 2019. - p. 116M. Armstrong, Strategic Management of Human Resources, 2006. - p. 342Elvira B., Computerization of Personnel Management, 2010. - p. 133N. Cornelius, HR-management, 2005. - p. 227D. Ulrich, Human Resource Champions, 2006. - p. 985J. Simpson, United Kingdom: Oxford University, 1989. - p. 116S. Blank, Startup first Principles, 2010. - p. 118K. Sun, What’s Up with "Startup", 2011. - p. 551E. Rhys, The Lean Startup, 2015. - p. 778J. Hagel, The burdens of the past, 2013. - p. 323P. Miller, Zero to One, 2014. - p. 981D. Henton, J. Kaiser, Silicon Valley Competitiveness and Innovation Project, 2015. - p. 991R. Garland, Venture Investments Soar, 2015. - p. 311M. Marmer. The Startup Revolution Series, 2015. - p. 285B. Solomon, The Best Startup Accelerators, 2015. - p. 394Moran A., Managing Agile: Strategy, Implementation, Organisation and People, 2015. - p. 134Hugh M., Management methodology, 2019. - p.637;Nicholls G., Agile Project Management, 2017. - p. 127Paul G., Big Ideas from the Computer Age, 2004. - p. 272Miller P., Zero to One summary, 2014. - p. 103Ross S., Westerfield R., Corporate Finance, 2017. - p. 191Winston R., Managing the Development of Large Software Systems, 2010. - p. 534Flory D., Korora B., A quantitative analysis of agile project, 2016. - p. 412Calvin S. Hall and Gardner Lindsey, Theories of Personality, 2017. - p. 326.Calvin S. I Iall and Gardner Lindsey, Theories of Personality, 2017. - p. 326.David С. McClelland, The Two Faces of Power, 2017. - p. 141.Don Hellriegal and Jojn W. Slocum, Management: Contingency Approaches, 2nd ed, 2018. - p. 154. Edgar Shein, Organizational Psychology, 2010. – p. 215.Edward E. Lawler, Motivation in Work Organizations, 2013. – p. 162.Edward F. Lawler, Pay and Organizational Effectiveness, 2011. – p. 151.Elton Mayo, The Human Problems of an Industrial Civilization,2016. – p. 314.Frederick Herzberg, "One More Time: How Do You Motivate Employees?", 2018. - pp. 157.Geert Hofstede, "Motivation, Leadership and Organization: Do American Theories Apply Abroad?" Organizational Dynamics, Summer,2010. - pp. 266.A. Murray, Explorations in Personality,2018. - pp. 115.Harrod R. Economic Essays. London, Macmillan & Co., 2012. - p. 254.Herzberg, B. Mauser, and В. B. Snyderman, The Motivation to Work, 2015. - p. 318.J. S. Livingston, "Myth of the Well-Educated Manager", 2011, pp. 89.Mason Haire, E. Ghiselli, and L. Porter, Managerial Thinking: An International Study, 2016. - p. 247.Mayo E. The social problems of an industral civilization., 2015. - p. 144.Paul Lawrence, Developing Organizations, 2010, pp. 169.Richard I. Henderson, "Short Term Incentives", 2015. - p. 175.