Aspects of staffing and human resources potential in the security-oriented management of business processes during the restoration of national economic security

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Bohdan Khmelnytsky National University of Cherkasy

Aspects of staffing and human resources potential in the security-oriented management of business processes during the restoration of national economic security

N. Zachosova, Dr Econ. Sci., Professor



Annotation

N. Zachosova. Aspects of staffing and human resources potential in the security-oriented management of business processes during the restoration of national economic security

The paper identifies and substantiates the aspects of staffing and its potential in the security-oriented management of business processes in the course of restoring national economic security. The article offers a definition of security-oriented management of business processes as a model of realisation of tasks and functions performed within the framework of functioning of the economic system, which is aimed at satisfaction of needs and interests of their initiators with minimal risks of consumption of resources, obtaining untimely or incomplete achievement of the planned result as a result of completion of the operation. The publication outlines the directions for restoring national economic security, which require appropriate staffing to achieve the desired results in the future. It also identifies the vectors for forming and developing human resources to meet the needs of security-oriented management of business processes at domestic critical infrastructure enterprises.

Key words: human resources, human resources potential, war, economic security, security-oriented management, critical infrastructure enterprise.



Анотація

Аспекти кадрового забезпечення та кадрового потенціалу у безпеко орієнтованому управлінні бізнес-процесами під час відновлення національної економічної безпеки

Зачосова Н.В., д.е.н., професор, Черкаський національний університет імені Богдана Хмельницького

Узагальнено тенденції та якісні ознаки, якими характеризується кадрове забезпечення діяльності суб'єктів господарювання в Україні від початку повномасштабної війни. Встановлено та обґрунтовано аспекти кадрового забезпечення та кадрового потенціалу у безпеко орієнтованому управлінні бізнес-процесами під час відновлення національної економічної безпеки. Зроблено припущення, що концепція безпеко орієнтованого управління, що у своїй основі має визнання пріоритету збереження певного ресурсу та його якісних характеристик над ціллю його ефективного використання з метою отримання певного ефекту (економічного, соціального, фінансового, тощо), має поширюватись на усі бізнес-процеси сучасних українських компаній. Запропоновано визначення безпеко орієнтованого управління бізнес-процесами як такої моделі реалізації завдань і функцій, які виконуються у межах функціонування економічної системи, що має на меті задоволення потреб і інтересів їх ініціаторів з мінімальними ризиками витрати ресурсів, отримання несвоєчасного або неповного досягнення запланованого у результаті завершення операції результату. Конкретизовано напрями відновлення стану національної економічної безпеки, що вимагають належного кадрового забезпечення для досягнення бажаного та очікуваного результату у перспективі. Уточнено аспекти кадрового забезпечення та кадрового потенціалу українського бізнесу у воєнний час. Окреслено вектори формування та розвитку кадрового потенціалу для забезпечення потреби у безпеко орієнтованому управлінні бізнес-процесами на вітчизняних підприємствах. Запропоновано портрет ідеального кандидата для виконання завдання переведення вітчизняних компаній з моделі пріоритетної орієнтації на економічний результат до безпеко орієнтованого управління бізнес-процесами. Сформульовано основний меседж бренду держави, як роботодавця, що містить гарантії для працівників, можливості суміщення посад, конкурентний рівень оплати праці, сприяння у пошуку роботи для різних категорій населення, формування атмосфери поваги та пошани у суспільстві до тих, хто сумлінно виконує професійні обов'язки, людино центризм і врахування потреб і інтересів кожного працівника, формування позитивного образу (бренду) українського працівника. Узагальнено характеристики вітчизняного кадрового ресурсу на ринку праці з метою створення бренду сучасного українського працівника.

Ключові слова: кадрове забезпечення, кадровий потенціал, війна, економічна безпека, безпеко орієнтоване управління, підприємство критичної інфраструктури.



Introduction

Following the commencement of the full-scale invasion, the issue of maintaining, preserving, restoring and strengthening the state of national economic security of Ukraine is a constant focus of attention of domestic public management and administration bodies, international organisations and partner countries that provide economic assistance to the state and seek to convince themselves of its effectiveness and efficient distribution of donor funds. The occupation of a large part of the territory, where business objects were concentrated and powerful socio-economic systems were functioning, the destruction of economic entities, the relocation of businesses abroad became significant blows to the economic stability of the country and thus destabilised the state of its economic security. Reconstruction of the national economy should take place now, without waiting for the end of the active phase of hostilities, because material and financial support are essential conditions for success in the military arena. As the saying goes: "Battles are won by soldiers, and wars are won by economies." These words are particularly relevant in the context of the increasing duration of the war in Ukraine. The strategic thinking of heads of state in such a situation should focus on ways to build a strong economic rear, as well as to help restore economic security at both the macro- and micro-levels.

Stabilising the economy of a country exposed to military risks is impossible without a high-quality human resource. Modern business cannot function and develop without qualified personnel, the demand for which will increase significantly even during the post-war economic recovery. However, as of the end of 2023, there was a significant loss of human capital at the state level and human resources at the level of business entities. In view of this, managers need to find effective tools to retain employees of domestic companies in their current jobs, to focus on training and development of personnel at the management level, to create a reserve of personnel for future use. At the state level, it is advisable to take immediate measures in the political, economic and social spheres to preserve human resources and return Ukraine's intellectual capital from emigration.

Analysis of recent research and publications. The importance of human resources development and human resources potential for the strategic management of the financial and economic security of the business entity was substantiated in the research [1]. At the same time, it did not take into account the risks of war, which currently have a significant impact on the personnel management processes of domestic critical infrastructure facilities and other business entities, as well as on the processes of ensuring their economic security during the war period, and did not address the current issue of personnel ensuring the recovery of the Ukrainian economy in the post-war period. V.O. Tkachuk and R.V. Vernyhora recognise and emphasise the essential importance of human resources and the effectiveness of the process of their management for ensuring the economic security of the enterprise [2]. Suhak T.O. researches personnel management in the information and analytical support of the financial component of the system of economic security of enterprises [3], Chenusha O.S. presents to the scientific community the results of diagnostics of the influence of personnel competence on the economic security of oil refining enterprises [4]. This refers to the question of the quality of human resources and human potential necessary for the effective restoration and improvement of the level of economic security of Ukrainian enterprises. The search for instruments of influence on the personnel of enterprises in order to create a model of security-oriented behaviour in accordance with the needs and realities of the time is also considered to be a relevant research issue. For example, O.V. Arefieva and A.M. Kovalchuk study the issue of ensuring the economic security of the enterprise by motivating the personnel for strategic changes [5]. Contemporary researchers focus on the problems of enterprise personnel management in connection with the changes and circumstances dictated by the war in the field of management. In particular, O.V. Perchuk and O.O. Artyukh study aspects of the organisation of military accounting in the personnel management system of the enterprise [6]. Scientific and technical progress and the rapid spread of the digital economy create additional risks for ensuring the stability of the personnel potential of modern enterprises [7]. A separate vector of scientific research has become the issue of increasing the personnel potential of Ukrainian science in the period of its post-war recovery [8, 9]. The publication "The mechanism of state policy regarding the formation of personnel potential in the field of national security and national-patriotic consciousness in Ukraine" (S.S. Bizov, A.S. Lyader) [10] deserves attention in the context of this research. Among foreign scholars, the issue of human and human capital in the context of economic development, from the standpoint of its multiplication and restoration, is raised by Qin N., Dongmin K. [11], Collin M., Weil D.N. [12], Chiappori P.-A., Galichon A., Bernard S. [13], Mialon H. M., Nesson E.T. [14], Ali M. D.M., Hamid, M.O., Hardy I., Khan M.A. [15], Zivin J.G., Hsiang S.M., Neidell M. [16], Gould E.D., Simhon A., Weinberg B.A. [17], Cotton C.S., Hickman B.R., Price J.P. [18].

Objectives of the article. The purpose of the publication is to outline the aspects of human resources and human resources potential in the security-oriented management of business processes during the restoration of national economic security, to specify the problem of preserving the quality of human capital of Ukrainian enterprises, including critical infrastructure facilities, during the wartime period of their operation and after its end.



The main material of the study

Economic instability in the pre-war period and new challenges faced by Ukrainian society and business during the war resulted in the following trends in the staffing of business entities:

- Shortage of male staff and insufficient supply of male labor on the labor market;

- high staff turnover in positions that do not require a high level of qualifications and have low remuneration;

- loss of intellectual potential due to the displacement and migration of highly skilled personnel;

- replacement of male labor with female labor in positions where it is physically and technically possible;

- acceleration of the pace of adaptation of new employees in teams, to working conditions, performance of professional duties and tasks, etc. (corporate, social, organisational, technical, professional, psychophysiological adaptation is carried out by employees of the HR services of enterprises in the shortest possible time);

- combination of positions, assignment of additional responsibilities to employees, their physical and emotional overload;

- reduction of human resources potential due to the departure of qualified personnel due to low remuneration and the lack of real forms of material motivation for high personal KPIs;

- expansion of the boundaries of shadow employment and self-employment in the creative industries, the IT sector and other industries where it is possible to perform work or projects remotely, without the need for personal contact with the customer, employer, and so forth;

- loss of sources of replenishment of the talent pool with young professionals due to young people leaving the country for study, residence and further employment;

- a decline in the level of employees' working capacity and a drop in their professional performance due to objective circumstances provoked by the war (air raids, power outages, inability to get to the workplace on time, the need to find a way to combine work and family roles (for example, in a situation where a mother is forced to pick up her children from school or kindergarten due to the lack of shelter during an air raid when she should be at work and perform her duties));

- deterioration in the quality of human resources (due to a drop in the level of education of recent graduates who completed their studies during the global pandemic; the departure of talented young people who receive grants and other forms of financial support for free education from other countries abroad, while the cost of education in Ukraine is growing and the requirements for admission to popular specialities are increasing every year).

A decrease in the quality and quantity of human resources in the short term (1-2 years) will lead to a significant deterioration of the economic situation, to a personnel famine, which is increasingly being mentioned by economic experts and analysts, to the impossibility of producing products with a high level of added value due to the lack of an intellectual component in the business processes of enterprises. The Ukrainian economy is in danger of turning into an "industry of executors", i.e., only those parts of the organisational structures of enterprises that deal with routine processes and operations, some of which are automated and controlled from abroad, will accumulate on the territory of Ukraine. The management, innovation and research components of companies will be located in other countries, both for security reasons and because of the availability of high-quality human resources to carry out those business functions that require personnel qualifications, experience, education, creativity, critical thinking, skills and initiative.

After a year of working in the conditions of an aggressive stage of military confrontation between the two states, the management of domestic companies begins to realize the importance of security-oriented management of material, financial, information and human resources. The concept of security-oriented management, which is based on the recognition of the priority of preserving a certain resource and its quality characteristics over the goal of its effective use to achieve a certain effect (economic, social, financial, etc.), should be extended to all business processes of modern Ukrainian companies. Hence, security-oriented management of business processes is a model of implementation of tasks and functions performed within the functioning of the economic system, aimed at satisfying the needs and interests of their initiators with minimal risks of resource consumption, obtaining untimely or incomplete achievement of the planned as a result of completion operations effect.

In order to implement safety oriented management in Ukrainian enterprises in practice, it is necessary to have human resources - first of all in the management of business entities - capable of planning, organising and implementing the transition from a profit-oriented to a safety oriented model of business process implementation, and also to develop systems for evaluating the effectiveness of such a model and monitoring the implementation of planned indicators, identifying the causes of deviations, calibrating the work of the economic system aimed at identifying risks and their countermeasures, etc. The portrait of an ideal candidate for these tasks should meet the following requirements:

- Management, economics or law degree;

- high level of social skills development;

- work experience at an enterprise, understanding of the current model of business processes;

- understanding of the company's corporate values, strategic goals and adherence to them;

- authority and leadership in the team;

- initiative, the ability to delegate tasks and take responsibility for the overall result;

- stress resistance;

- ability to concentrate and attention to detail;

- digital literacy and knowledge of the basics of information security.

To sum up, in order to make the transition to the safety oriented management of business processes, Ukrainian enterprises need personnel support, which will be formed by professionals who know how to plan, organise, control production, administrative, financial and other processes, understand the basics of risk management, have the ability to work with people, have developed social skills and are able to predict and calculate the economic, social, financial and other consequences of their decisions. In order to meet the proposed description, employees of modern Ukrainian enterprises must strive for self-development, continuous training, mastery of new relevant skills, and management personnel must apply new forms of real material and non-material stimulation of those individuals who, even in times of war, strive for professional growth.

Security-oriented management of business processes will allow Ukrainian business to become the foundation for stabilizing and reviving the national economy and economic security of the state in the post-war period. Restoring the state of national economic security should begin at the state level and take place simultaneously in several directions:

- Reconstruction and modernization of critical infrastructure enterprises; strengthening their management staff through the employment of internally displaced persons with experience in this area;

- return of human capital from abroad and achievement of a personnel balance in the labor market due to the reversal of the process of internal displacement after the outbreak of war;

- minimization of requirements for establishing small businesses, reducing the level of control over their activities;

- providing state support, grants for the restoration of destroyed business facilities, and tax holidays of up to three years for restored business entities;

- establishment of coworking centers in cooperation with kindergartens and schools (public, private, and online) to enable the self-employed to continue working in a comfortable and safe environment;

- inclusion of management and economic specialities in the list of specialities with state support; simplification of admission conditions and the possibility of financing training from the budget, provided that the cost of training is worked off at restored enterprises in the frontline regions or in the liberated territories.

The current state of human resources and human resources potential of Ukrainian business has certain characteristics and qualitative features (Table 1).

Table 1

Negative aspects of human resources and human resources potential of Ukrainian business in wartime

Aspect	Behaviour model	Impact on the economic security of the entity	Management options
Fear	Confusion, inability to take responsibility for actions in critical situations	Loss of resources, damages due to the actions or inaction of an employee	Construction of shelters and ensuring labour safety, providing opportunities for remote work
Stress	Inattention, lack of initiative	Lack of profit, economic or other effect	Adjustment planning for new employees, organisation of psychological support
Professional and information overload	Low level of concentration on tasks	Errors in the allocation and use of resources, making irrational or incorrect decisions	Arrangement of recreation areas, assessment of employees' condition and provision of additional leave based on its results, automation of workflows with information
Feeling of insignificance	Lack of career ambitions, unwillingness to develop professionally	Dismissal of employees, refusal to perform official duties, sabotage	Periodic communication between managers and employees in a 1:1 format, using various forms of motivation and encouragement
Constant need to learn	Superficial and fragmented learning of new skills	Poor quality of work performed and services rendered	Stimulation of success in learning and mastering new professional competences
Multitasking	Failure to complete tasks in a timely manner and of poor quality	Breach of obligations, loss of customers and partners	Recruitment of additional staff for full or part-time employment
Mixing social and professional roles	Distractions, inability to concentrate, ineffective time management	Use of company resources for personal needs, abuse of office	Arrangement of premises for employees' children, sleeping, eating and sports facilities ("home" approach)
Uncertainty about the professional future	Search for a new job, alternative sources of income	Low level of staff loyalty, increased personnel risks	Development of career trajectories and career growth plans

Source: compiled by the author

Given the constant loss of human capital for various reasons, both objective and subjective, the state must create an employer brand that will not only slow down this process but also reverse it. The main message of such a brand should be combined:

- Guarantees for employees of government agencies and private businesses;

- opportunity to combine positions while working in domestic and foreign companies;

- competitive level of remuneration in public institutions (in education, science, medicine, social work, etc.) compared to foreign firms and private business entities;

- assistance in finding a job in their field of study, as well as in undergoing professional reorientation and additional training if necessary;

- formation of an atmosphere of respect and appreciation in society for people who continue to work in good faith at Ukrainian enterprises and support the national economy;

- human centricity and consideration of the needs and interests of each employee and those who are in the process of finding a job;

- Source: compiled by the author

- formation of the image of a Ukrainian employee as a professional capable of effective work in conditions of threat to his/her life and health, stress-resistant, ready for continuous training and expansion of his/her skills, abilities and competences in accordance with the needs of the employer and new working conditions, possessing effective time management skills, capable of flexibility in performing job duties, quick transition from offline to online employment, with a high level of communication skills (Figure 1).

Figure 1. Characteristics of human resources in the labour market (The "Ukrainian Worker" brand)

personnel resource economic security restoring business process war

Thus, the average employee of a domestic enterprise can be characterised as a person who, in most cases, has a university degree (and increasingly does not stop, but continues to study and improve his/her skills), is stress-resistant, as he/she can perform professional duties during air raid, blackout, enemy attack and danger alerts; capable of rapid professional adaptation (as a standard, the adaptation of a new employee at an enterprise can take up to six months, but in a situation where it is necessary to urgently replace an employee who has left his or her position for one reason or another, there is a need for ultra-fast adaptation, especially in cases related to the critical infrastructure of the enterprise); has good time management skills, developed due to problems with transport, electricity, the closure of many offices during the air raid, etc.); communicative, able to use various communication channels, organize and moderate communications; and at the same time, a person who is willing to lower their financial expectations (e.g., salary) in line with the current economic capabilities of the company and give up ambitious career plans in favor of receiving guarantees of long-term employment with stable and timely remuneration.

Having studied the current state of human resources in Ukraine's economy, the following vectors of formation and development of human resources are considered promising to meet the need for security-oriented management of business processes at domestic enterprises, primarily those belonging to the list of critical infrastructure facilities:

- Usage of educational tools, primarily digital ones, to expand the boundaries of employees' competencies and adapt their skills to the realities of Industry 4.0;

- promotion of employees' foreign language skills and digital literacy;

- development of skills in risk management and analysis of data and information from various sources, ability to systemize and protect information resources;

- intensification of staff rotation to create a talent pool to replace employees in strategically important positions and to develop an understanding of how the company operates as a whole;

- increasing the level of employee involvement in the company's management, defining its strategic goals, and revising corporate values in wartime;

- creation of transparent performance evaluation systems for each employee and setting clear KPIs for each position;

- formation of a model of safety-oriented behavior of enterprise employees during professional and organizational adaptation.



Conclusions

The study of the aspects of human resources and human resources potential in the security-oriented management of business processes during the restoration of national economic security has led to the following conclusions.

1. The activities of business entities in wartime conditions led to the realization of the expediency and necessity of applying a security-oriented approach at the level of their management. Therefore, the security-oriented management of business processes was defined as a model of implementation of tasks and functions performed within the limits of the existence of the economic system, aimed at satisfying the needs and interests of their initiators with the minimum risk of consumption of resources, obtaining untimely or incomplete achievement of the planned as a result of the completion of the effective operation.

2. It was found that the negative aspects of personnel support and personnel potential of Ukrainian business during the war were anxiety and a state of constant stress among employees of enterprises, their professional and information overload, feelings of worthlessness, forced necessity to constantly learn and master new types of professional activities, multitasking and the need to perform various work tasks, often forced to combine positions with unchanged level of remuneration and length of working day, mixing of social and professional roles, uncertainty about professional future.

3. The main message of the state's brand as an employer is formulated, which includes: guarantees for employees, opportunities to combine positions, a competitive level of remuneration, assistance in finding a job for various categories of the population, the creation of an atmosphere of respect and honor in society for those who conscientiously perform their professional duties, people-centeredness and taking into account the needs and interests of each employee, the creation of a positive image (brand) of the Ukrainian employee.

4. The characteristics of the domestic human resource on the labor market (the brand of the modern Ukrainian worker) are currently: the presence of higher education, average digital literacy, desire for professional development, low financial and career expectations, not prone to conflict and aversion to conflict, ability to quickly adapt to professional life, sociability, effective time management, stress resistance, desire and ability for continuous learning, self-improvement, independence in the performance of professional tasks, but at the same time controllability and obedience, recognition of authorities, etc.

5. In order to ensure the need for security-oriented management of business processes in domestic enterprises, especially those belonging to the list of critical infrastructure objects, the following vectors for the formation and development of personnel potential are proposed: the use of educational tools, stimulation to increase the level of foreign languages and digital literacy, development of risk management and information analysis skills, rotations, increasing the level of employee involvement, providing guarantees of long-term employment, creating systems for transparent evaluation of work results and establishing clear KPIs, forming a model of security-oriented behavior of employees.



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