THE IMPACT OF DIGITAL MANAGEMENT ON AN ORGANIZATION’S EMPLOYEE MOTIVATION SYSTEM

Abstract

The increasing trend towards digitalization of business processes of modern enterprises, the updating of HR policies of business entities in accordance with the principles of human-centeredness, and the popularization of the remote employment model have led to the combination of personnel management mechanisms and its motivational component with the digital business management ecosystem. This article examines the transformative impact of digital HR management on employee motivation systems in organizations. It explores modern digital management tools, including HRIS, big data analytics, LMS, gamification, and digital feedback platforms. It is determined that the digitalization of HR processes facilitates the transition from external to internal motivation, focused on competency development, employee autonomy, and their  engagement in work. A comparative analysis of traditional and digital models of employee motivation is conducted, and their key differences and effectiveness are identified. It is shown that the implementation of digital tools allows for an increase in employee engagement, a reduction in staff turnover, and an increase in labor productivity. Significant differences between traditional and digital models of personnel motivation have been identified. The traditional system is based mainly on material incentives and periodic assessment of results, which limits its adaptability to rapid changes in the external environment. In contrast, the digital model is characterized by continuity of assessment, a high level of personalization of managerial influences and the use of data analytics for decision-making. It has been confirmed that the implementation of digital HR tools ensures increased efficiency of management processes, in particular through increased transparency of performance evaluation and efficiency of decision-making. The generalized results indicate an increase in the level of staff engagement to 80-86%, which is confirmed by analytical reports of Deloitte, McKinsey and research in the field of HR analytics. Practical recommendations are provided regarding the digitalization of motivational processes within an organization.