Journal of Entrepreneurship Education (Print ISSN: 1098-8394; Online ISSN: 1528-2651)

Research Article: 2019 Vol: 22 Issue: 1S

Staff Development as a Condition for Sustainable Development Entrepreneurship

Natalia Sabat, Vasyl Stefanyk Precarpathian National University

Rukiye Ersozoglu, Dragomanov National Pedagogical University

Lyubov Kanishevska, National Academy of Educational Sciences of Ukraine

Lyudmila Pet'ko, Dragomanov National Pedagogical University

Yaroslav Spivak, Donbass State Pedagogical University

Ganna Turchynova, Dragomanov National Pedagogical University

Nadia Chernukha, Taras Shevchenko National University of Kyiv


It is proved that it is necessary to entrepreneurship consider adaptation of employees as the main factor of development in the conditions of crisis phenomena. It is justified on the basis of the proposed theoretical principles of the formation of an organizational mechanism for the development of employees through the separation of the conditions of non-compliance with the specific content of work in the workplace and staff development. The situations (A, B, C) of the employees’ development and the possible variants of the implementation of the mechanism are specified: choice of standard alternatives, problem situation, crisis situation.


Entrepreneurship Professional Adaptation, Development, Workplace, Personal Qualities.

JEL Classifications

I2, F6


The development of employees allows to successfully solve problems associated with the emergence of new areas of education activities, ensure their competitiveness in the market. The development of workers shall be considered through the positive impact on the vitality, energy, self-confidence, the possibility of professional growth of the person, which contributes to continuous improvement and affects the increase in the efficiency of labour. Constant renewal of knowledge and abilities, experience exchange not only develops the interest of the personnel in learning, creative activity, but it also allows the company to gain competitive advantages.

Review Of Previous Studies

In general, under development, we understand the irreversible, purposeful, logical positive change of material and ideal objects (Wang & Cook, 2017). Only the simultaneous presence of all three specified properties highlights the development processes among other changes: the reversibility of changes characterizes the processes of functioning (cyclic reproduction of a constant system of functions); the absence of regularities is characteristic of random processes of a catastrophic type; in the absence of direction, the changes cannot be accumulated, and therefore the process loses characteristic of the development of a single, internally interdependent line.

As a result of development there is a new qualitative state of the object, acting as a change in its composition or structure (i.e., the emergence, transformation or disappearance of its elements or connections).

The process approach allows us to consider the increase of staff development as a chain of continuous interrelated actions (Flutey et al., 2017). If the actions will be of uncertain and inconsequent nature, the probability of achieving the goal is significantly reduced.

The situational approach is based on the fact that the choice of methods for employee development is determined by the specific characteristics of the company activities in the education services system (Vorster & Quinn, 2017; Numminen et al., 2017).

The dynamic development of social relations and global changes in the totality of productive forces lead to development of the staff at all stages of development: formation, use and retention. During the whole life, the staff is formed under many external and internal factors.


The paper uses methods of the theory of organizational changes, based on the concept of the organization's life cycle. The life cycle of an organization plays an important role in the system of factors of its internal environment, although it is not always distinguished by the fact that it is perceived not as a situational variable, but as a system-wide property of an organization reflected in its other constituent parts. However, many difficulties and problems of organization are determined by the level of its maturity.

The staff is probably the only resource that is constantly in the hand, and not only in the turn of the company, but it changes in the public life, while gaining all the new unique properties, shifts in the structure of the components. To retain the relevant developmnet of the personnel, not only material and financial resources are needed, but also internal factors of personality.

Staff development not only allows the company to successfully solve the problems associated with the emergence of new areas of activity and ensure its competitiveness, but it also has a positive impact on employees: skills improvement and acquiring the up-to-date abilities and knowledge makes them the most competitive in the labour market and they receive additional opportunities for professional growth within the company.

Results And Discussion

It is important to take into account the experiences of the European Union member states to improve the staff development (Kaye & Humphreys, 2018) because of the following circumstances:

• Modern stage of development of market relations and processes of integration in the world.

• The objective need to form a real socially oriented economy.

• Requirements of effective use of labour potential.

• Further improvement of the motivation of effective labour activity.

• A turn from monetary schemes of the economy to take into account the social needs and characteristics of the person.

• The transition from destructive labour behaviour to innovation one with the gradual advance to the forefront of healthy competition in the society.

The condition of personal development is its professional adaptation. In our view, in modern conditions, staff development must be defined through three aspects of adaptation: to the workplace (correspondence to the workplace), to the labour collective (the integration of the individual (person) into the social structures of the collective) and changes in the conditions of activity (susceptibility to external and internal changes).

The target function of the staff development, depending on its professional adaptation, will be as follows:

image (1)


Where, Dst is staff development; Awi is convolution of indicators of adaptation of employees to the workplace: Aw1 ,...,Awn ; Alc j is convolution of indicators of adaptation of employees to the labour collective: Alc1 ,...,Alcn; Aino is convolution of indicators of adaptation of employees to changing conditions of activity: Ain1 ,...,Ainn; i is indicator of adaptation of employees to the workplace i=[1, …, n]; j: indicator of adaptation of employees to the j=[1, … m]; o is indicator of adaptation of employees to the changes in the conditions of activities o=[1, … r]; n is number of i-x indicators of the evaluation of adaptation of employees to the workplace; m is number of j-x indicators of evaluation of adaptation of employees to the labour collective; o is number of r-x indicators of evaluation of adaptation of employees to the changes.

Based on the concept of correspondence of staff development to the content of work in the workplace proposed by the author (Tetiana et al., 2018a:2018b) it is necessary to highlight three situations of non-compliance with the specific content of work in the workplace (Slc) and staff development (Sst). We propose to conditionally designate three situations of staff development A, B, C.

Slc = Sst - situation A

Slc < Sst - situation B .......(2)

Slc > Sst - situation C

Let's consider each situation. Situation A is a perfect situation, but as any ideal object, it is almost not found. In situation B it is necessary to bring up staff development to the content of work in the workplace. Situation C is the opposite situation. In this case it is necessary to bring up the content of work in the workplace to staff development.

Situation B occurs most often–this is due to the objective processes of globalization, integration and waves of social development, lagging in staff development to the requirements of high-tech workplace and working conditions. In Situation B it is necessary to invest, first of all, in staff development in order to bring up to the existing level of technology and instruments of labour.

In Situation C it is necessary to take steps aimed at the development of a specific work in the workplace-to develop a set of measures on technological improvement.

In our opinion, the possibility of existence of situations of non-compliance with the specific content of work in the workplace and staff development is the situations of the staff development. It is proposed to determine the situation of staff development, in accordance with the principle of situationism (i.e., any situation is a certain stage of some important process, which consists of the stages of beginning, the stages of development and the stages of process end). The situation of the staff development is a set of events and a set of circumstances in which it is impossible to get into or out without having previously created or changed them using some set of actions (Osmond-Johnson et al., 2018; Hilorme et al., 2018).

No increase of the staff development was required before informatization at the stage of manual labour. Existing skills were sufficient for a lifetime, but the staff needs special training with the appearance of the “man-machine” system. In the period of the information society, the complex of necessary knowledge includes the mastering of information technologies.

Now, along with the traditional factors of production-land, capital and labour-there is a qualitatively new production resource-information and knowledge. The staff is the bearer of knowledge, skills and experience.

In this situation, the development of personnel can be determined by three states:

• The situation with the choice of standard alternatives, in relation to which you need to make a choice to get into one of them, is the existence of already developed tools, levers and methods.

• Problem situation-its solving requires more complex actions, but which consist of simple and usual actions and additional actions.

• The crisis situation is a solution through simple innovations and powerful innovations-simple innovations make it possible to get out of a crisis situation into problem one, and powerful innovations allow us to move from a crisis situation to a situation of choice of standard alternatives.

But with rapid technological development, especially the innovative industries, which include the service sector-education, it is not enough to solve only the problem situation of staff development, i.e., non-correspondence of staff development to the technical development of the workplace. In a situation of crisis, the criteria for social success gradually change. The success begins to be determined not by demonstrative consumption, but by the innovativeness.

The crisis is usually an at-the-limit situation, which reveals all the best and worst qualities of the staff and leaves unnoticed characteristics, through which it is like many other people, and the innovations with their carriers are put forefront.

Therefore, in the presence of the situation of staff development during a certain period (situations A, B, C) depends on such components of stuff development as susceptibility to changes in the conditions of activity, adaptation to the labour collective and adaptation to the workplace.

In order to ensure protection against crisis phenomena, company face the task to reduce the lagging of personnel development from the workplace. This should be done in two directions: according to development indicators and in time. Hence follows formation of the task of reducing the inconsistency of the technological development of the workplace (ΔSlc → min) lc S of staff development (ΔSst →min) st S the gap between them should be reduced:

image ..........(3)

Where, Y is the task of reduction of the deviation of the discrepancy between the development of the workplace (as the content of work) and the staff development; ΔSlc -change in the development of the workplace over a period of time (between the start of the implementation of development activities (ti) and their completion (t(i+1)) at a certain i-stage of technological development, which necessitates the appropriate development of staff; ΔSst - changes in staff development over a period of time between the beginning of the implementation of activities development (ti) and their completion (t(i+1))at the i-stage of technological development, which is the result of improvement of workplaces.

Then the target function of reduction of the inconsistency of technological staff workplace development gains the formalized form:

image ......(4)

Decisions made will be the best of all possible decisions, only when the chosen optimality criterion is fully adequate to the goals of the company (minimization of resource consumption and maximization of the effectiveness of the activity).

Inconsistency between staff development and workplace development (as a deviation between them) in two areas: when Slc > Sst -the development of the workplace leaves behind staff development, this leads to poor performance of the employee's functional responsibilities, and as a consequence-the provision of poor quality education services and, consequently, the reduction of students in the future.

When the situation is the opposite, i.e. the staff development is ahead of the content of work in the workplace: Sst > Slc not all available capabilities of the employee are implemented, there is an underpayment for potentially high skills of the staff, and as a result-non-satisfaction with work. In order to avoid quits of highly-skilled employees, the company needs to increase investment in development of workplaces for technological upgrades.

Using the MS Excel, analysis based on the built model of impact on the personnel labour effectiveness, the three scenarios of the personnel development was determined. The first scenario, "Pessimistic" is in increase the exogenous variables of the model by 1%; the second one-"Medium", the increase of exogenous variables of the model by 5%; the third one- "Optimistic", increase exogenous variables model by 10%. The zero (basic) scenario is the value of exogenous changes in the model for 2018.

Table 1 shows the calculation of scenarios of the labour effectiveness change at PJSC “Farlep-Invest” (city of Kyiv, Ukraine). Variants of changes in key output indicators were determined by expertise with a probable estimate.

Table 1
Structure of the scenarion of the labour effectiveness change at pjsc “farlep-invest”
Parameters Scenario 1
Scenario 2
Scenario 3
Salary fund, US dollars.
545484790 567088148 594092345
Costs of medical servicing and social insurance, US dollars. 4612573 4795249 5023594.29
Costs of personnel advance training, US dollars. 3931728 4087440 4282080
Result (labour effectiveness), US dollars. 5694933 5864627 6076746

Based on the results obtained, one can came to the following conclusion: The average value of labour productivity is 5894323.9 UAH, and slightly lower than the experts' forecast in the average scenario with the highest probable estimate; the risk of implementation of the scenarios of changes in labour productivity is negligible-the value of the coefficient of variation of 0.2 is significantly less than 1.

Therefore, in order to overcome the existing shortcomings of the organizational mechanism, the staff development in the conditions of crisis phenomena should be formulated and implemented at the company, taking into account the adaptation of staff as the main factor of development, taking into account the features of the existence of development situations.

The results of our study are confirmed by the following studies. The situational approach is based on the fact that the choice of methods for employee development is determined by the specific characteristics of the company's activities in the education services system (Vorster & Quinn, 2017; Desimone & Pak, 2017; Megginson & Whitaker, 2017).


The researchers conducted allow us to conclude that the practice of choosing the path of development of the company will be imperfect without taking into account the results of evaluation of its staff as a priority resource in the information society. Most authors do not pay attention to the virtues of staff influencing its development, when developing the staff development prospects, and therefore development measures are not fully supported with internal resources and do not adequately meet external conditions. It affects the results of building the areas of personnel development and the timing of its implementation, and, consequently, on the possibility of innovative development of the company. The prospects for further research are the development of matrices for the staff development depending on the level of professional adaptation.


According to the results of the study it is recommended to create a personnel reserve in companies that will solve the problem of the process of expanded reproduction of personnel and its development at the company level. The reserve planning allows you to determine which positions are key at the moment and how they will change in a year, two or five years. Such planning is necessary at high competition and acceleration of technological development, which can cause a rapid change in the organizational structure of the enterprise.


Get the App