RISK MANAGEMENT OF THE KPI-BASED PERSONNEL MOTIVATION SYSTEM IN WARTIME CONDITIONS

Abstract

The article is devoted to the study of risk management features within the personnel motivation system based on KPI under wartime conditions. The relevance of the topic is determined by the growing instability of the external environment, which significantly affects labor relations, employee behavior and approaches to performance evaluation. In modern conditions, enterprises face new challenges related to uncertainty, psychological stress and changes in workforce structure, which increases the importance of effective motivation management. The paper focuses on the nature of risks arising in the personnel motivation system and emphasizes their connection with overall enterprise performance. Special attention is given to personnel risks, which may manifest through reduced engagement, declining productivity, loss of motivation, and increased staff turnover. The study highlights that under wartime conditions employees’ motivational priorities are shifting towards safety, job stability, and psychological well-being, which requires reconsideration of traditional management approaches. The article also examines the role of KPI as a tool for performance assessment and motivation, outlining its limitations in unstable environments. It is noted that rigid performance indicators may not reflect real working conditions and can create additional risks within the motivation system. Therefore, the necessity of adapting KPI systems to current realities is emphasized, including flexibility in goal setting and consideration of factors beyond employees’ control. Furthermore, the study addresses the importance of combining quantitative evaluation methods with non-material motivation tools, such as communication, recognition, professional development opportunities and support mechanisms. These approaches are considered essential for maintaining employee engagement and organizational resilience in challenging conditions. The study also considers the impact of environmental instability on the effectiveness of motivation systems and the need for their transformation in response to modern challenges.