Economics and Business Management

Impact of human capital on the efficiency of resource management and production processes in agricultural enterprises

Oleksandr Bilichenko, Oksana Bolshaia
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Abstract

The study aimed to determine the effect of human potential on management decisions and production. The methodological foundation of the study was an empirical approach, incorporating descriptive, dynamic, structural and comparative analysis of official statistics, analysis of relative labour market indicators, case studies and analysis of human capital management practices of leading agricultural enterprises. Based on the results of 2020 and mid-2025, the number of employees in the agriculture sector increased by 3.5%, while average monthly nominal wage increased from UAH 9,737 in 2020 to over UAH 21,413 in the first quarter of 2025, exceeding UAH 25,000 for certain roles. Given the labour shortage, the increase in labour costs has strengthened the role of staff quality in resource management. The study established that staff qualifications, investment, and motivation improved labour productivity by 5-15% and enterprise profitability by 10-20%, while results-oriented remuneration systems increased the performed volume of work by 20-25%. The share of agriculture in Ukrainian GDP reached approximately 17% in 2024, reflecting structural transformations in the labour force. Human capital management practices analysed using the examples of Myronivsky Hliboproduct, Kernel and Astarta-Kyiv showed a 15-20% reduction in staff turnover, a 10-30% increase in labour productivity, and an 85-95% increase in the efficiency of material and technical resources, which reduced operating losses by 15-25%. The practical significance of the study is determined by the possibility of using the results obtained by agricultural enterprises to improve the efficiency of personnel and resource management

Keywords

unemployment; productivity; competencies; qualifications; wages; motivation

Suggested citation
Bilichenko, O., & Bolshaia, O. (2026). Impact of human capital on the efficiency of resource management and production processes in agricultural enterprises. Economics and Business Management, 17(1), 85-101. https://doi.org/10.31548/economics/1.2026.85
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