Evaluation of factors influencing labour performance of machine-building enterprises in mining industry

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T. Olejarz, Candidate of Historical Sciences, Associate Professor,Rzeszow University of Technology, Lecturer of the Department of Humanities, Rzeszow, Poland, e-mail: This email address is being protected from spambots. You need JavaScript enabled to view it., orcid.org/0000-0001-7940-3248

V. Nitsenko, Doctor of Economic Sciences, Associate Professor, Odesa I.I. Mechnikov National University, Professorof the Department of Accounting, Analysis and Audit, Odesa, Ukraine,e-mail:This email address is being protected from spambots. You need JavaScript enabled to view it., orcid.org/0000-0002-2185-0341

O. Chukurna, Candidate ofEconomics Sciences, Odesa National Polytechnic University, Associate Professor of the Marketing Department, Odesa, Ukraine, e-mail: This email address is being protected from spambots. You need JavaScript enabled to view it., orcid.org/0000-0001-9285-7068

M. Mykhailova, Candidate ofEconomics Sciences, Kharkiv State University of Food Technology and Trade, Associate Professor of the Department of Marketing and Commercial Activity, Kharkiv, Ukraine, e-mail: This email address is being protected from spambots. You need JavaScript enabled to view it.


Purpose. The article is devoted to the investigation of factors influencing labour productivity of machine-building enterprises in mining industry and to their evaluation in order to increase the competitiveness. To develop ways to increase the competitiveness of engineering enterprises within the same mining industry by the means of increasing their labour productivity. To determine the relationship between labour productivity at engineering enterprises of mining industry and return on assets as well as return on sales using correlation analysis. To ground and to explain the indicator of labour as basis for the formulation of quantitative and qualitative indicators used in further assessment of production competitiveness at machine-building enterprises.

Methodology. The study uses the methods of analysis and synthesis, deduction and induction (in determining the factors affecting company’s productivity), systematization and generalization (to clarify the relationship between living and materialized labour, to suggest new ways to increase productivity and, thus, enhance enterprises’ competitiveness), correlation analysis (in determining the relationship between labour productivity at machine-building enterprises of mining industry and the indicators of return on assets and return on sales).

Findings. Impacts on productivity of machine-building enterprises within the mining industry are analysed and explained. Forms of labour productivity are investigated on the sample of these enterprises. Ways for further improvement are determined concerning the increased productivity of these enterprises that are producing equipment for the mining industry which include: improving the organization of production and labour through formation of labour force possessing newest qualifications; transformation of factors of macroeconomic environment of these enterprises, especially those of ecological sphere; structural transformation of production, aimed at modernization of fixed assets; creation and development of necessary social infrastructure; ensuring business competitiveness based on the definition of marginal productivity. The authors suggest new directions of increasing enterprises’ competitiveness through implementation of following measures: revision of the key competitive strategies; increase in revenue through higher prices and raised marketing spendings; cost cutting; reduction of illiquid assets; combining all these methods from above.It is also recommended to ensure these enterprises’ competitiveness on the basis of determining their marginal productivity. The degree of influence of return on assets and sales margins on productivity of machine-building enterprises within the mining industry is established using correlation analysis.

Originality. The level of labour productivity is economically grounded through the use of both quantitative and qualitative indicators directed on the measurement of the competitiveness of machine-building enterprises. An approach is presented which is supposed to ensure the competitiveness of enterprise-based marginal productivity based on defining production volume growth using an additional unit of labour under other fixed conditions. This approach encourages enterprises optimizing their resources through the application of additional labour or displacement of inefficient work and reaching optimal marginal productivity.

Practical value. The results of this research can be used for further development both in scientific and practical ways. Thus, they can be used by machine-building enterprises as an element of improving the competitiveness economically based on the labour productivity index. A new approach is presented here which uses the reduction of time needed for market circulation of products or logistics cycle, directly related to the time saving. As a result, enterprise resources reach higher productivity which is occurring due to the increasing asset value and the performance metrics concerning the return on company’s sales.


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ISSN (print) 2071-2227,
ISSN (online) 2223-2362.
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